Summary: H.R.4363 — 102nd Congress (1991-1992)All Information (Except Text)

Bill summaries are authored by CRS.

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Passed Senate amended (10/08/1992)

Amends Federal bankruptcy law to define "farmout agreement," and to articulate conditions under which any interests in liquid or gaseous hydrocarbons which have been transferred pursuant to such an agreement are excluded from a debtor's estate.

National Cooperative Research Act Extension of 1992 - Amends the National Cooperative Research Act of 1984 (NCRA) to include a joint production venture within the scope of such Act as an activity that shall not be deemed illegal per se under the antitrust laws, subject to specified conditions.

Declares as the purpose of such Act to promote innovation, facilitate trade, and strengthen U.S. competitiveness in world markets by clarifying the applicability of the rule of reason standard and establishing a procedure under which firms may notify the Department of Justice (DOJ) and the Federal Trade Commission (FTC) of their cooperative ventures and thereby qualify for a single-damage limitation on civil antitrust liability.

Modifies the definition of a joint research and development (R&D) venture to reflect the extension of the NCRA to joint production ventures. Authorizes: (1) joint venturers to engage in the production or testing of any product, process, or service and to collect, exchange, and analyze production information related to the venture's activity; and (2) the integration of existing facilities to produce or process a new product or technology. Limits recovery to actual damages for joint production ventures.

Makes this Act inapplicable with respect to: (1) the marketing of proprietary information, such as patents and trade secrets developed through a joint venture formed before the enactment of this Act; and (2) the licensing, convening, or transferring of intellectual property, such as patents and trade secrets, developed through such venture formed after the enactment of this Act.

Expands the filing requirement under the NCRA to specify that, in identifying the parties to the venture, the notification must include a corporation's place of incorporation and the location of its principal executive offices.

Makes provisions of the NCRA limiting recovery to actual damages applicable only to a joint production venture: (1) that provides substantial benefits to the U.S. economy; and (2) whose principal facilities for the production of a product, process, or service are located within the United States or its territories or within a country whose antitrust law accords national treatment to U.S. entities that are parties to joint ventures for production.

Sets forth reporting requirements regarding the effect of such Act on U.S. competitiveness in key technologies and areas of production, including: (1) annual reports by the FTC listing joint ventures filing under the Act and any enforcement actions brought against such ventures by DOJ and FTC; (2) a report by the Secretary of Commerce, within one year, on the treatment of U.S. business entities under the laws relating to joint R&D, joint production, or similar ventures of each foreign nation or community of nations whose business entities have filed under the Act; and (3) triennial reports by the Secretary describing the industrial technologies most commonly pursued by joint ventures for R&D made under this Act and the areas of production most commonly engaged in by joint ventures for production under the Act, analyses of the trends in U.S. industry competitiveness in those technologies and production areas, and an update of the report submitted by the Secretary with respect to the treatment of U.S. business entities under foreign laws to reflect changes in foreign laws or practices.

Provides for interagency cooperation in providing such information and assistance as the Secretary may request in the preparation of such reports.