Halting Showfloor Piracy

IAEM and trade group in China to sign declaration against IP theft

By Gary Tufel and Michael Hart -- Tradeshow Week, 1/2/2006

There's no better place to commit larceny than on a tradeshow floor, according to the old saw. But the fight for intellectual property protection is now being waged on several battlefronts, and will get a significant symbolic victory in a joint declaration to be signed later this month.

The Intl. Assn. for Exhibition Management announced Dec. 21 that the China Council for the Promotion of Intl. Trade, the country's leading exhibition industry organization, acknowledges that theft, counterfeiting and piracy at tradeshows is a serious problem that it will work to resolve.

The declaration, to be signed by IAEM and the government-controlled CCPIT, states that they "support the protection of exhibitors' rightful protection of their intellectual property rights at the exhibitions in which they participate." The groups are scheduled to sign the document at the China Expo Forum for Intl. Cooperation in Guangzhou the week of Jan. 11.

"For the first time, a component of the Chinese government is joining with us to put a stake in the ground on this issue," said IAEM President Steven Hacker.

Both Hacker and IAEM Chairman Sandy Angus agreed this is only a first step in what could be a long process. "I'm astonished we've gotten to this stage," Angus said.

The declaration is only the latest development concerning an issue that has attracted the concern of tradeshow organizers and exhibitors around the world, but most particularly in the United States.

The U.S. Department of Commerce, for one, also is trying to do what it can to stem theft at tradeshows. The DOC plans to conduct seminars and outreach at various tradeshows and road shows to educate exhibitors.

Donald L. Huber, industry sector manager and program liaison for the department's trade fair certification program, said the agency doesn't have police powers, but wants to educate show managers and exhibitors on how to deal with the issue.

"We want to make sure exhibitors are confident at shows we endorse, and provide guidance so show managers will be aware of the problem," Huber said.

Hacker said that after the declaration is signed, "the next step is to try to put our arms around the (Chinese) Ministry of Commerce" to make it more aware of American tradeshow exhibitors' concern about intellectual property rights.

While China has had laws protecting intellectual property rights ever since the country joined the World Trade Organization, Hacker said, "It's no secret that the Chinese courts have not been particularly supportive."

In talks with China, he hopes to use the example of SEMA Show, the automotive aftermarket industry event that deploys attorneys to the showfloor to handle exhibitors' complaints about theft.

"We're going to use that as a best-practices model," Hacker said.

He attributed the Chinese government's changing attitude to the 2008 Summer Olympics in Beijing. Since the Chinese government has signed agreements with companies all over the world to share revenue from the sale of Olympic souvenirs, it is more aware now of the impact that manufacturers of knockoffs can have.

"For the first time, the Chinese government has strictly enforced its own copyright laws," Hacker said.

Also there is the growing understanding in China that, as it becomes an increasingly active participant in the global economy, it must adhere to new standards.

"The Chinese understand that their economic development will be hindered if they don't get rid of the ripoffs," Hacker said.

Huber said the DOC's main interest is in the domestic events in which it participates, but it wants to educate the industry as a whole on the issue. He added that foreign exhibitors at U.S. shows are a particular problem when it comes to counterfeiting and piracy, and the DOC wants to protect American companies.

"Shows like SEMA Show (which recently removed an exhibitor's product for this) and Intl. CES take this issue very seriously," Huber said.

"I think we are still very much at the front end of what should be a joint industry-government effort," said Chris Brown, senior vice president of conventions and expositions for the Natl. Assn. of Broadcasters.

Gary Shapiro, Consumer Electronics Assn. president, reiterated that Intl. CES takes the issue seriously. The association is pursuing its own education efforts and will work with the Commerce Department and other groups to educate exhibitors.

"It is good to have the DOC focus on tradeshows in general, and counterfeiting specifically," said Shapiro.

Targeting show organizers, as the DOC is doing, is wise because they are in the best position to help exhibitors with the problem, noted Jim Parker, show committee member and past show chair of Win-Door North America.

"I think exhibitors should be very concerned about foreign groups stealing their intellectual property at tradeshows," Parker said.

Patrick Shield, president of Shield Associates, which operates Win-Door North America, said his show committee has taken a hard stance on the issue, banning all video equipment other than that used by the official photographer. "We want to send a message that this won't be tolerated," he said, "and we have large signage to warn exhibitors about it."