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 Peru Peru will remain on the Watch List in 2010. Peru has enhanced its IPR legal framework by enacting legislation designed to implement its obligations under the United States-Peru Trade Promotion Agreement (PTPA). Additionally, Peru has strengthened its Intellectual Property Office (INDECOPI) and created a National Strategic Plan to combat counterfeiting and piracy. However, several concerns remain, including continued overall weak enforcement resulting in the widespread availability of pirated and counterfeit goods. A further concern is that courts fail to impose deterrent penalties in criminal IPR cases and against businesses found to have engaged in infringing activity. There is a continuing need for measures to prevent government use of unlicensed software. In connection with its obligations under the PTPA, Peru should clarify its system for protecting undisclosed test or other data submitted to obtain approval of agricultural chemical products, particularly in light of recent measures that appear to provide for automatic approval of generic products. The United States will work closely with Peru on these and other issues through the framework provided by the PTPA.

Philippines The Philippines will remain on the Watch List in 2010 with an Out-of-Cycle Review to be conducted this year. Ineffective enforcement of IPR continues to be a concern. Although some agencies continue making progress to increase raid and seizure activity, these efforts have proven insufficient to address widespread piracy and counterfeiting in the country. The United States encourages ongoing efforts to address inefficiencies in the judicial system, and to establish specialized IPR courts so that rights holders have a reliable avenue for recourse and prosecutions move forward effectively and without delay. The United States also encourages the Philippines to complete its work on legislative reforms needed to strengthen IPR protection, including the implementation of the WIPO Internet Treaties, which has been pending in Congress for years, and the final signing of the anti-camcording bill. The United States remains concerned about amendments to the patent law that prohibit patents on certain chemical forms unless the applicant demonstrates increased efficacy. The United States urges the Philippines to address its IPR protection and enforcement challenges, and looks forward to working with the Philippines in the coming year to address these and other issues.

Romania Romania will remain on the Watch List in 2010. Romania took some positive steps in 2009, including increased cooperation between enforcement authorities, such as the National Police and General Prosecutor's Office, the use of a national database to improve interagency coordination on enforcement, and coordination with rights holders on enforcement matters. Although large scale optical disc piracy has been greatly reduced and Romania has made further positive efforts aimed at ensuring the government's use of licensed software, rights holders report an increase in Internet piracy, compounded by coordination problems with Internet service providers. Despite gradual improvements in enforcement, concerns remain over weaknesses in