[Congressional Record Volume 140, Number 134 (Thursday, September 22, 1994)]
[House]
[Page H]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: September 22, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
          CERTAIN GATT PROVISIONS UNFAIR TO AMERICAN INVENTORS

  The SPEAKER pro tempore (Mr. Bishop). Under a previous order of the 
House, the gentleman from California [Mr. Rohrabacher] is recognized 
for 5 minutes.
  Mr. ROHRABACHER. Mr. Speaker, the greatest crime of the decade is in 
progress, and very few people in this House and very few people around 
the United States of America realize what a heinous crime is about to 
be perpetrated. Billions of dollars that should be going into the 
pockets of America's innovators will instead be going into the bank 
accounts of multinational and Japanese corporations. Unbeknownst to 99 
percent of all Americans, as well as, and get this, 90 percent of my 
fellow Members of Congress, unbeknownst to all of us, hidden in the 
GATT implementation language is a provision that will dramatically 
reduce the length of patent protection for America's most creative 
people.
  This administration, encouraged by wealthy and powerful Japanese and 
multinational corporations, has slipped this provision into GATT, and 
if it stays in GATT and the GATT passes, Americans will pay dearly. The 
insidious aspect of this is that it is being done in disguise. The 
wording of this provision would lead all of us, even those who know 
what is in there, to conclude that the length of patent protection is 
actually being extended. What it says now today, American inventors are 
protected from 17 years from the time they are issued a patent. The 
changes in the GATT language say they will be protected now 20 years 
from the time they file for their patent. That would make you think 
they have 20 years of protection.
  American inventors are not fooled, because they know that patent 
pending means nothing. This provision in GATT will basically, for 
America's inventors, cut their protection half, maybe to a third, and 
maybe wipe it out altogether.
  Billions of dollars' worth of royalties that would have been going to 
America's inventors, will now be in the bank accounts of Japanese 
corporations and multinational corporations.
  The first insidious aspect is the language makes it sound like it is 
actually extending the protection, when in reality we are reducing the 
protection for Americans. Another insidious aspect is we are being told 
this change is mandated by the GATT treaty itself. That is why it is in 
the GATT implementation language.
  Well, the fact is, it is not mandated by GATT. This is a special 
interest provision that has been slipped into a treaty and presented to 
this body as if it is mandated by that treaty. That will benefit 
special interests to the tune of billions of dollars, yet it is not 
mandated by GATT. This is a crime against this Congress. It is a crime 
against the people of this country. What will happen if it passes? 
Inventors will be ripped off, as I say, to the tune of billions. 
American universities, which now develop many innovations and patents, 
and often patents are left to universities, will lose billions and 
billions of dollars that are now going into the coffers of our 
universities to educate our people and provide money for research and 
development.
  In fact, private research and development, which is predicated on the 
idea that you are going to have 17 years worth of protection, that 
private research and development money that has been so essential for 
American prosperity, will dry up because why should investors be 
investing in something when they do not have the same length of patent 
protection? In fact, they may not get any protection for the inventions 
they come up with at all.
  Also, when all of this happens, of course, our balance of payments 
with Japan and other competitors, will be greatly affected. Those 
royalties that should be going to American investors will now be going 
right into the products and bank accounts of those Japanese 
corporations. We, in fact, will lose a competitive edge, because these 
countries will no longer have to pay to use American technology. Our 
innovators, our creators will come up with the technology. They will 
use it. The length of time they have to pay to use it is diminished so 
greatly, the costs will be greatly minimized to those corporations 
overseas. American competitiveness will be hurt dramatically.
  American's future depends, as it always has, on our ability to come 
up with a better idea, to come up with a better approach. America's 
inventors, our innovators, our creative genius, has been the mainstream 
of our prosperity, wealth and freedom. And what we are doing and what 
this administration is doing by a stealth tactic is underhandedly 
trying to steal this away from the American people. We cannot put up 
with it.
  I would hope that my colleagues would realize what is in the GATT 
implementation legislation. I am pleading with them. Please pay 
attention to the details. Stop this ripoff. Stop this crime that is in 
progress.

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