Intellectual Property Theft: Permission to Call the Cops?

The Intellectual Property Enforcement Coordinator suggested changes to our laws that will help creators large and small enforce their rights. Intellectual property–particularly American intellectual property–is one of the most highly prized targets of free riders both foreign and domestic. While some of the IPEC’s proposals may seem forceful, they actually harmonize some of the gaps in the law and further support well-defined property rights.

Even if you have questions from a libertarian perspective on the duration of intellectual property rights, during whatever term you think appropriate those rights still are property rights. Enforceable property rights are at the bedrock of our free market. And if the government is not the backstop for egregious–often criminal–violations of those rights, then what good are the rights in the first place?

During the Bush Administration, the Congress created the office of the Intellectual Property Enforcement Coordinator, a White House position that was first filled by President Obama but that will continue into the future regardless of the President’s party. While the title sounds grandiose, the IPEC performs an important facilitating role to focus the resources of the Federal government on the stick part of IP rights. If you are on the side–my side–that believes strongly both in a free market and also the property rights that are the basis of it, at some point you want the government to help level the playing field. While I loathe the idea of government seizing private property for any reason, including eminent domain, I equally loathe the government essentially allowing–through a failure to enforce the laws–big corporations and pirates to seize private property. Government should enforce these private property rights and reduce free-riding and negative externalities occurring due to piracy.

As I watched Chairman Goodlatte’s recent hearing in the House IP subcommittee on the theft of America’s intellectual property assets, a fundamental question came to me that no one asked. Few would argue that a creator has the right to call the police when their physical property is being stolen. When it comes to IP, somehow it’s different to some people. Opponents of intellectual property rights often think that creators should be forced to pay for private litigation against large corporate interests, or pursue transborder pirates in China, Russia or CatchMeIfYouCan-istan–even though these shadowy operators sell US IP in the US illegally.

If a creator’s car is being stolen, they can call the police, but some would have the law say that if their life’s work is being stolen, creators have to spend a fortune on litigation or suck it up. This is inconsistent with free market principles. The IPEC’s recommendations are consistent with fundamental first principles and are a necessary back-fill to loop holes that have been exploited by parasitic free riders for far too long.