148 



should perhaps speak in terms of rights and freedoms, not 



safeguards. What we are seeking is affirmation of the freedom 



of people from all nations, including ours, to conduct seabed 



mining so long as it is done in a way that respects other 



legitimate interests. 



15. What provisions are made for adequately protecting 

 American technological advances from transfer to the Authority? 



A. "he provisions of the Draft Convention that directly 

 relate to the transfer of proprietary technology to the Enterprise 

 and developing states are contained in Annex III, article 5. 

 Under this article, a miner or technology supplier may be required 

 to sell mining technology as a condition of the contract. 

 The article places a number of restrictions on when and under 

 what conditions a company may be required to make a sale. The 

 need for the technology transfer provisions and the degree to 

 which U.S. technology would be protected are under examination 

 as part of the Administration's review of the Draft Convention. 

 The specific restrictions on transfer provided in article 5 are: 

 . Transfer can only be required if the Enterprise determines 

 that the technology, or equally efficient and useful techno- 

 logy, is unavailable on fair and reasonable commercial 

 terms and conditions; 

 . Transfer cannot be required if the owner does not have the 

 legal right to transfer the technology, such as in the case 

 of export restrictions under the Export Administration Act; 

 . If the technology supplier and the Enterprise cannot reach 



