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   Protection of Undisclosed Know-How and Business Information (Trade Secrets) Against Their Unlawful Acquisition, Use and Disclosure. This Directive would harmonize civil trade secret law throughout the EU. The United States welcomes this important step and looks forward to continued progress on this draft measure specifically, and on EU efforts to protect trade secrets from theft and misappropriation generally.

Israel – On January 23, 2014, Israel passed patent legislation that satisfied its remaining commitments under a 2010 Memorandum of Understanding (MOU) with the United States. As a result of the successful execution of the MOU, Israel has taken legal and regulatory measures to make its patent system more transparent, efficient, and effective, and was removed from the Watch List earlier this year.

Italy – Italy is removed from the Watch List in the 2014 Special 301 Report in recognition of the Italian Communications Regulatory Authority's (AGCOM) adoption, on December 12, 2013, of long-awaited regulations to combat copyright piracy over the Internet. The regulations, which entered into force on March 31, 2014, provide notice-and-takedown procedures that incorporate due process safeguards and establish a mechanism for addressing large-scale piracy. The adoption and entry into force of these regulations is a significant achievement, resulting from intensive efforts over many years, which the United States strongly welcomes. We look forward to continuing to work with Italy on our shared commitment to IPR protection and enforcement, and will closely monitor Italy's implementation of these regulations.

Paraguay – On October 10, 2013, President Cartes signed the implementing regulation (Decree 460) for Law 4798 of 2012 that created the National Directorate of Intellectual Property (DINAPI). DINAPI is now the Paraguayan government authority responsible for the administration of copyrights, trademarks, patents, industrial designs, and geographic indications. Additionally, the law authorizes DINAPI's enforcement arm, the General Enforcement Directorate, to conduct administrative investigations and initiate proceedings at customs checkpoints and businesses.

Philippines – The Philippines is removed from the Watch List in the 2014 Special 301 Report. This decision was based on the collective weight of a series of significant legislative reforms, a move toward more effective civil and administrative enforcement efforts, IP authorities' sustained and constructive engagement with the U.S. Government and members of the private sector, and commitments to continue to address remaining concerns.  11