Page images



Part 601 615 667

Issuance of licenses under foreign patents owned by the United States.
Determination of bona fide motor-vehicle manufacturer.
Official U.S. Government recognition of and participation in international

expositions held in United States.



BY THE UNITED STATES Sec. 601.1 Scope. 601.2 Application for licenses. 601.3 Type of license. 601.4 Conditions in licenses. 601.5 Revocation.

AUTHORITY: The provisions of this Part 601 issued under E.O. 9865, June 14, 1947, 12 F.R. 3907; 3 CFR, 1947 Supp.

SOURCE: The provisions of this Part 601 appear at 13 F.R. 313, Jan. 22, 1948, unless otherwise noted. Redesignated at 13 F.R. 6623, Nov. 10, 1948. 8 601.1 Scope.

The regulations in this part are issued under the authority contained in Executive Order 9865 dated June 14, 1947. Under the Executive order, the Secretary of Commerce is required, where the best interests of the United States so indicate, to file patent applications in foreign countries covering inventions resulting from Government conducted or financed research embodied in United States patents owned by the Government of the United States. The Secretary of Commerce having obtained such foreign patent rights for the United States Government may issue licenses thereunder

to nationals of the United States who make application therefor. § 601.2 Application for licenses.

An application for a license should be addressed to the Secretary of Commerce, Washington 25, D. C., Attention: Director, Business and Defense Seryices Administration. It should set forth the name and address of the individual, partnership, or corporation desiring the license, a brief description of the business activities in which engaged, and such other pertinent information as may be desired. The Government of the United States is interested in the maximum use being made of patented processes and devices which it owns, and, accordingly, the Secretary of Commerce will consider the likely ability of the applicant to use the patented process or device before determin. ing that a license should or should not issue. (13 F. R. 313, Jan. 22, 1948, as amended at 18 F. R. 8111, Dec. 10, 1953) $ 601.3 Type of license.

Under existing law, the United States can issue only licenses which are revocable at will. Licenses will also be nonexclusive and royalty-free except where the Secretary of Commerce shall determine and proclaim it to be inconsistent with the public interest to issue licenses on such a basis.

135 F.R. 19350.



8 601.4 Conditions in licenses.

to be determined a bona fide motorThe licenses to be issued will be

vehicle manufacturer. Under headnote 2 granted on the following express condi

to Subpart B, part 6, schedule 6 of the tions: (a) The Government of the United

Tariff Schedules of the United States, States will not guarantee the validity of

whenever the Secretary of Commerce has the patent covered by the license, nor

determined a person to be a bona fide will it undertake to defend any suits

motor-vehicle manufacturers, such perbrought against the licensees or to in

son is eligible to obtain duty-free imdemnify for infringement of the patent;

portation of certain Canadian articles (b) the Government of the United States

and to issue certain orders, contracts, or will reserve the right at any time to grant

letters of intent under or pursuant to additional licenses; and (c) the Govern

which other persons, not themselves ment will reserve the right to revoke the

bona fide motor-vehicle manufacturers, license at any time. It will also be pro

may obtain duty-free treatment for such vided in the license that it be non

Canadian articles. The responsibilities of transferable.

the Secretary of Commerce relating to the

development, maintenance and publica$ 601.5 Revocation.

tion of a list of bona fide motor-vehicle Although licenses issued under the manufacturers and the aut ity to proregulations in this part are revocable at

mugate rules and regulations pertaining will, licenses will not ordinarily be re

thereto, have been delegated to the voked. The occurrence of the following

Deputy Assistant Secretary and Director, may, however, result in the revocation Bureau of Domestic Commerce, Departof the license: (a) Failure to abide by ment of Commerce, with power of redelethe terms and conditions of the license; gation, by Department of Commerce (b) failure to use the process or device Organization Order 40-1A of Februcovered by the patent; (c) the bank ary 11, 1971. ruptcy or insolvency of the licensee. 136 F.R. 7127, Apr. 15, 1971, as amended at

36 F.R. 8032, Apr. 29, 1971) PART 615-DETERMINATION OF 8 615.2 Definitions.

BONA FIDE MOTOR-VEHICLE MAN For the purposes of the regulations in UFACTURER

this part and the forms issued to imple

ment it: Sec. 615.1 Scope and purpose.

(a) “Act" means the Automotive Prod615.2 Definitions.

ucts Trade Act of 1965 (79 Stat. 1016, 615.3 Application.

19 U.S.C. secs. 2001-2033). 615.4 Determination by the Director.

(b) "Director" means the Deputy As615.5 Maintenance and publication of a list sistant Secretary and Director, Bureau of bona fide motor-vehicle manu.

of Domestic Commerce, of the Departfacturers.

ment of Commerce, or such official as AUTHORITY: The provisions of this part 615 may be designated by him to act in his Issued under (schedule 6 of the Tariff Sched behalf. ules of the United States) 19 U.S.C. 1202;

(c) “Motor vehicle" means a motor sec. 501(2), 79 Stat. 1025, 19 U.S.C. 2031; Commerce Dept. Org. Order 40-1A, Feb. 11,

vehicle of a kind described in item 692.05 1971, 36 F.R. 4553.

or 692.10 of subpart B, part 6, schedule 6,

of the Tariff Schedules of the United SOURCE: The provisions of this part 615

States(excluding an electric trolley bus appear at 36 F.R. 7127, Apr. 15, 1971, unless otherwise noted.

and a three-wheeled vehicle) or an auto

mobile truck tractor. 8 615.1 Scope and purpose.

(d) “Bona fide motor-vehicle manuThe purpose of this part is to set forth

facturer" means a person who, upon apregulations implementing headnote 2 to

plication to the Director under this part, subpart B, part 6, schedule 6 of the Tariff

is determined by the Director to have Schedules of the United States as pro

produced no fewer than 15 complete claimed by Proclamation No. 3682 of

motor vehicles in the United States dur

ing the 12-month period preceding the October 21, 1965 (3 CFR 140 (1964-65

date certified in the application, and to Comp.)), issued pursuant to the Auto

have had as of such date installed capacmotive Products Trade Act of 1965 (19 ity in the United States to produce 10 U.S.C. sec. 2031), by establishing a pro or more complete motor vehicles per 40cedure under which a person may apply hour week. A person shall only be re

garded as having had the capacity to § 615.5 Maintenance and publication of produce a complete motor vehicle if his a list of bona fide motor-vehicle operations included the assembly of two

manufacturers. or more major components (e.g., the The Director shall maintain, and pub"attachment of a body to a chassis) to lish from time to time in the FEDERAL create a new motor vehicle ready for

REGISTER, a list of the names and aduse.

dresses of bona fide motor-vehicle manu(e) "Person" includes any individual, facturers, and the effective dates for each corporation, partnership, association, determination, company, or any other kind of organization.

PART 667_OFFICIAL U.S. GOVERN(f) “United States” includes only the MENT RECOGNITION OF AND PARStates, the District of Columbia, and




STATES Any person in the United States desir

Sec. ing to be determined a bona fide motor 667.1 Background and purpose. vehicle manufacturer shall apply to the

667.2 Definitions. Director by filing two copies of Form

667.3 Application for Federal recognition.

667.4 Action on application. BDCF-725 in accordance with the in

667.5 Report of the Secretary on Federal structions set forth on the form and in

recognition. this part. Application forms may be ob 667.6 Statement for Federal participation. tained from the Director, field offices of

667.7 Proposed plan for Federal participa

tion. the U.S. Department of Commerce, or

667.8 Report of the Secretary on Federal from U.S. Collectors of Customs, and

participation. should be mailed or delivered to the:

AUTHORITY: The provisions of this Part 667 Bureau of Domestic Commerce (Mall Code are issued pursuant to 22 U.S.C. 2801 (84

631), U.S. Department of Commerce, Wash Stat. 271); Department of Commerce Orington, D.C. 20230.

ganization Order 40—1A. $615.4 Determination by the Director.

SOURCE: The provisions of this part 667

appear at 36 F.R. 5035, Mar. 17, 1971, unless (a) As soon as practicable after receipt otherwise noted. of the application, the Director shall 8 667.1 Background and purpose. determine whether an applicant has pro

The regulations in this part are issued duced no fewer than 15 complete motor

under the authority of Public Law 91-269 vehicles in the United States during the

(84 Stat. 271), which establishes an or12-month period preceding the date cer

derly procedure for Federal Government tified in the application and as of such recognition of, and participation in, indate, had installed capacity in the United ternational expositions to be held in the States to produce 10 or more complete United States. The Act provides, inter motor vehicles per 40-hour week. The alia, that Federal recognition of an expoDirector may request such additional sition is to be granted upon a finding by data from an applicant as he may deem

the President that such recognition will appropriate to establish whether the ap

be in the national interest. In making plicant has satisfied the requirements of

this finding, the President is directed to this part.

consider, among other factors, a report

from the Secretary of Commerce as to (b) A determination by the Director under this part shall be effective for a

the purposes and reasons for an exposi

tion and the extent of financial and other 12-month period to begin on the date as

support to be provided by the State and of which the Director determines that the

local officials and business and commuapplicant qualified under this part.

nity leaders where the exposition is to Within 60 days prior to the termination be held, and a report by the Secretary of of such period, a bona fide motor-vehicle State to determine whether the exposimanufacturer may apply for another tion is qualified for registration under determination under this part.

Bureau of International Exposition (c) The Director will promptly notify (BIE) rules. The BIE is an international each applicant in writing of the final organization established by the Paris action taken on his application.

Convention of 1928 (T.I.A.S. 6548 as



amended by T.I.A.S. 6549) to regulate the conduct and scheduling of international expositions in which foreign nations are officially invited to participate. The BIE divides international expositions into different categories and types and requires each member nation to observe specified minimum time intervals in scheduling each of these categories and types of expositions. Under BIE rules, member nations may not ordinarily participate in an international exposition unless such exposition has been approved by the BIE. The United States became a member of the BIE on April 30, 1968, upon ratification of the Paris Convention by the U.S. Senate (114 Cong. Rec. 11012). Federal participation in a recognized international exposition requires a specific authorization by the Congress, upon a finding by the President that such participation would be in the national interest. The Act provides for the transmission to Congress of a participation proposal by the President. This proposal transmits to the Congress information regarding the exposition, including a statement that it has been registered by the BIE and a plan for Federal participation prepared by the Secretary of Commerce in cooperation with other interested Federal departments and agencies.

§ 667.2 Definitions.

For the purposes of this part, except where the context requires otherwise:

(a) “Act" means Public Law 91-269.

(b) "Secretary" means the Secretary of Commerce.

(c) "Director” means the Director, Domestic Trade Fairs and Expositions Staff, Office of Business Services, Bureau of Domestic Commerce, Department of Commerce, Washington, DC 20230.

(d) “Applicant” means County, municipality, a political subdivision of the foregoing, private nonprofit organizations, or individuals filing an application with the Director seeking Federal recognition of an international exposition to be held in the United States.

(e) "Exposition" means an international exposition to be held in the United States for which an application has been filed with the Director seeking Federal recognition under the Act. $ 667.3 Application for Federal recog.

nition. (a) Applications for Federal recognition of an exposition shall be filed with, and all official communications in connection therewith addressed to, the Director, Domestic Trade Fairs and Expositions Staff, Bureau of Domestic Commerce, Department of Commerce, Washington, DC 20230.

(b) Every application, exhibit, or enclosure, except where specifically waived by the Director, shall be in quadruplicate duly authenticated and referenced.

(c) Every application shall be in letter form and shall contain the date, address, and official designation of the applicant and shall be signed by an authorized officer or individual.

(d) Every application, except where specifically waived by the Director, shall be accompanied by the following exhibits:

1. Exhibit No. 1. A study setting forth in detail the purposes for the exposition, including any historical, geographic, or other significance of the host city, State, or region related to the exposition.

2. Exhibit No. 2. An exposition plan setting forth in detail (i) the theme of the exposition and the "storyline" around which the entire exposition is to be developed: (il) whatever preliminary architectural and design plans are available on the physical layout of the site plus existing and projected structures; (iii) the type of participation proposed in the exposition (e.g., foreign and domestic exhibits); (iv) cultural, sports,

1 The BIE defines a General Exposition of the First Category as an exposition dealing with progress achieved in a particular field applying to several branches of human activity at which the invited countries are obliged to construct national pavilions. A general Exposition of the Second Category is a similar exposition at which invited countries are not authorized to construct national pavilions, but occupy space provided by the exposition sponsors. Special Category Expositions are those dealing only with one particular technique, raw material, or basic need. The BIE frequency rules require that an interval of 15 years must elapse between General Expositions of the First Category held in the same country, and an interval of 10 years must elapse between General Expositions of the Second Category held in that country. As for Special Category Expositions an interval of 5 years must ordinarily elapse between Special Category Expositions of the same kind, or 3 months between Special Category Expositions of different kinds. These frequency intervals are computed from the date of the opening of the exposition. More detailed BIE classification and criteria and regulations are contained in the Paris Convention of 1928, as amended in 1948 and 1966. Applicants not having a copy of the text of this convention may obtain one by writing the Director.

and special events planned; (v) the proposed BIE category of the event and evidence of its conformity to the regulations of the BIE, a copy of which can be obtained from the Director upon request; and (vi) the proposed steps that will be taken to protect foreign exhibitors under the BIE model rules and regulations.

3. Exhibit No. 3. Documentary evidence of State, regional, and local support (e.g., endorsing letters to the applicant from business and civic leadership of the region, State, and/or municipal resolutions, acts, or appropriations, referendums on bond issues, and others).

4. Exhibit No. 4. An organization chart of the proposed exposition management structure of the applicant, including descriptions of the functions and duties of each official position along with bibliographic material on principal officers, if available. (The principal officials should also be prepared to submit subsequent individual statements under oath of their respective financial holdings and other interests.)

5, Exhibit No. 5. A statement setting forth in detail (1) the availability of services in existence or projected to accommodate visitors to the exposition (e.g., number of hotel and motel units, number and type of restaurants, health facilities, etc.); and (11) evidence of adequate transportation facilities and accessibility of the host city to large groups of national and international visitors (e.g., number and schedule of airlines, bus lines, railroads, and truck lines serving the host city).

6. Exhibit No. 6. A statement setting forth in detail the applicant's plans for acquiring title to, or the right to occupy and use real property, other than that owned by the applicant or by the United States, essential for implementing the project or projects covered by the application. If the applicant, at the time of filing the application has acquired title to the real property he should submit a certified copy of the deed (s). If the applicant, at the time of filing the application, has by easement, lease, franchise, or otherwise acquired the right to occupy and use real property owned by others, he should submit a certified copy of the appropriate legal instrument(s) evidencing this right.

7. Exhibit No. 7. A statement of the latest prevailing hourly wage rates for construction workers in the host city (e.g., carpenters, cement masons, sheet metal workers, etc.).

8. Exhibit No. 8. Information on attitudes of labor leaders as to "no strike" agreements during the development and operation of the expositiun.

9. Exhibit No. 9. A statement setting forth in detail (1) proposed capital investment costs and sources of financing available to meet these costs, including but not limited to funds from State and municipal financing, bond issues, and other public or private sources; (ii) projected expenses for manag

ing the exposition; (iii) projected operational revenues broken down to include admissions, space rental, concessions, service fees and miscellaneous income; and (iv) cost benefit projections.

10. Exhibit No. 10. A description of the exposition implementation time schedule and the management control system to be utilized to implement the time schedule (e.g., PERT, CPM, etc.).

11. Exhibit No. 11. A statement setting forth in detail the public relations, publicity and other promotional plans of the applicant. For example the statement could include: (i) An outline of the public relations/publicity program broken down by percentage allocations among the various media; (ii) public relations/publicity program budget with the various calendar target dates for completion of phases prior to the opening, the opening and post opening of the exposition; and (iii) protocol plans for United States and foreign dignitaries, as well as for special ceremonies and events and how these plans are to be financed.

12. Exhibit No. 12. A study setting forth in detail the economic benefits of the exposition and residual use plans for the area comprising the exposition. For example, the study might include: (i) Extent of immediate economic benefits for the city/region/ nation in proportion to total investment in the exposition; (ii) extent of long-range economic benefits for the city/region/nation in proportion to total investment in the exposition; and (iii) extent of intangible (social, psychological, "good-will") benefits accruing to the city/region/nation including the solution or amelioration of any national/local problems. § 667.4 Action on application.

(a) Upon receipt of an application, the Director will investigate the application and accompanying exhibits for compliance with the provisions of $ 667.3 and report his findings with respect thereto to the Secretary.

(b) In conducting his investigation the Director may hold a public hearing with the objective of clarifying issues that might have been raised by the application. If desired the Director may require the services of an examiner.

(c) If the Director, in his discretion, decides to hold a public hearing, notice of such hearing shall be published in the FEDERAL REGISTER, and a copy of the notice shall be furnished to local newspapers. The notice should state the subject to be considered and when and where the hearing will be held, specifically designating the date, hour, and place.

(d) The following general procedure shall govern the conduct of public hear

« PreviousContinue »