Antigua Wins Another Round In Online Gambling Fight With U.S.

Arbitrators have ruled that Antigua can suspend its intellectual property obligations to the United States in retaliation for the U.S. prohibition of online gambling.

In a 97-page report (PDF) released last week, a panel weighing Antigua's complaint that the online gambling ban violates free trade agreements said that Antigua has no effective trade sanctions against the United States in terms of services and agreed that the country could suspend copyright, trademark, and intellectual property obligations.

The decision means Antigua can take copyright-protected U.S. goods, like CDs and software, and sell them without copyright protection. The value of the goods can total up to $21 million a year to satisfy the supposed damages the country has suffered.

The ruling estimated Antigua's trade loss at $21 million, which is less than the country estimated but more than the United States estimated. Antigua claimed $3.4 billion in losses; the United States said the country would lose $500,000.