Microsoft Corporation - Page 27




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         See 141 Cong. Rec. S16,086-S16,087 (daily ed. Oct. 27, 1995)                 
         (statement of Sen. Hatch); 140 Cong. Rec. H3428 (daily ed. May 17,           
         1994) (statement of Rep. Lantos).  The Department of the Treasury            
         maintained  that an “expansion” of the scope of the FSC rules                
         required legislative action.  140 Cong. Rec. H3428 (daily ed. May            
         17, 1994) (letter from Secretary of the Treasury Bentsen to Rep.             
         Lantos (May 6, 1994)).  Legislation was introduced to expressly              
         include the sale or licensing of computer software for use outside           
         the United States, even when accompanied by a right to reproduce,            
         within the definition of FSC export property.  See 141 Cong. Rec.            
         S16,086-S16,087 (daily ed. Oct. 27, 1995).  This legislation was not         
         enacted; thus, section 927(a)(2)(B) remained intact.                         
         D.  The Parties’ Positions                                                   
              The threshold question before us is whether copyrights in               
         computer software fall within the parenthetical.  According to               
         respondent:                                                                  
                        The parenthetical describes the narrow                        
                   subset of copyright rights that Congress                           
                   intended to “save” from the general rule                           
                   excluding intangibles from export property.  The                   
                   parenthetical describes only copyright rights in                   
                   motion pictures and sound recordings. The                          
                   parenthetical was not intended to, and does not,                   
                   refer to copyrights fixed on various media                         
                   without regard to the nature of the copyrighted                    
                   content.                                                           
         Thus, respondent maintains that “the parenthetical refers to                 
         particular kinds of content fixed on the media that are mentioned in         
         the parenthetical, and any similar media that might be invented in           






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