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Consultants

Applying Intelligence to IP – Globally

Introduction to Intellectual Property (IP)

Topics
• What is IP • Criteria for Patentability
• Types of IPRs • Copyrights
• Patents • Trademarks
• Patentable Subject Matter • Geographical Indications
• Types of Patent • Trade Secret

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What Is Intellectual Property (IP)?
Intellectual Property Rights (IPR) are the absolute rights over the creation of a mind. Creators have IP rights over
their creation/work, such as inventions, lyrics of a song, photographs etc. without the need to observe any
formalities, i.e. registration. Essentially, these are rights to stop others from copying or counterfeiting.
IP is the property created by application of human mind.
- Intangible (non-physical) in nature that derives value from ideas.
- In knowledge age, IP is a key to techno-economic growth .
- They are territorial in nature.

Why Protect IP?


 Legal recognition to the ownership of new ideas, designs etc.
 Right to stop others from exploiting the owners property
 Commercialization: Enhance revenue and market domination
 IPR can be treated as a currency that can be sold or licensed to
others, provided certain conditions are met
 Keeping away the competitors
 Encourage creativity and innovation

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Types of Intellectual Property
Seven Kinds of Intellectual Property
 Patents
 Copyrights
 Trademarks and service marks
 Trade Secret
 Geographical Indication (GI) Patents
 Industrial Designs
 Plant Varieties Plant
Trademarks
Varieties
Like Real Property:
- It can be bought, sold, licensed, exchanged,
given away. Types of
- The owner can prevent unauthorized use and IPR
Industrial
can take legal action, in case someone else Copyrights
Designs
uses it without permission.

Geographical Trade
Indication Secrets

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What is Protected Under What?
Example 1 – ALL IN ONE THE “RING FENCE” OF IP

Brand/ Logo

Trademark
Bottle/ Can Ring-pull Cans
Design

Image/ Content Formula/


Recipe
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What is Protected Under What?
Example 2 – ALL IN ONE

For most products some form of intellectual property rights can be obtained
 Patent - For every individual improved mechanism
 Design - For outer shape and Contour/Configuration
 Trademark (denoted as ) - Brand name or Logo for goods
®
 Copyright (denoted as ©) - For Instruction / manual booklet
 Protection of Confidential Info/Trade secret - For Film Coating Process

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Patents
Patent is
- a grant of exclusive right
- for an invention
- by the Government
- to the inventor
- for limited period (20 years)
- in exchange for full disclosure of invention
- to prevent others from selling, making or using the invention

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What’s Patentable?
The Supreme Court has said that patents cover “anything under the sun that is made by man”.
Must fall within five Statutory Classes :
• Processes
• Machines
• Manufactured items (objects made by humans or machines)
• Compositions of matter, and
• New uses of any of the above

Non-Patentable Subject Matter


• Any artistic creation
• Mathematical formulae and algorithms
• Naturally occurring organisms
• Laws of nature
• Abstract ideas
• Natural phenomenon
• Treatment process
• Harmful inventions
• Anything prohibited by the National Patent Laws

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Patentable Subject Matter
US JP IN
Subject Matter

Method/Process O O O
Apparatus/Machine/Product O O O
Substance O O O
Abstract Idea, Law of Nature, Algorithm X X X
Software O Δ X
Business Process O O X
Scheme, Rule, Mental Act, Method of Playing Game Δ Δ X
Integrated Circuit Topography Δ Δ X
Medical Treatment Procedure O X X
Pharmaceutical O O O
Man-made microorganism O O O
Biotechnology process O O O

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Patentable Subject Matter
US JP IN
Subject Matter

Design O O O
Plants, Animals Δ Δ X
Works of Art X X X
Traditional Knowledge O O X
Method of Agriculture/Horticulture O O X
Atomic Energy Δ Δ X
Public Order/Morality O X X

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Types of Patents
Design Patent / Industrial Design
• Ornamental design
• Configuration
• Improved decorative appearance
• Shape of an invention

Utility Patent
• Any new invention
• Functional improvements on
existing inventions

Plant Patent
• New variety of asexually
reproduced plant

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Patentability Tests / Criteria
Conditions for Patentability
• Novelty (i.e. new) - Invention not known to public, prior to claim by inventor
• Non-Obviousness (i.e. inventive step) - Invention would not be obvious to a person with ordinary skill in the art
• Usefulness (i.e. industrial applicability) - Invention can be made or used in any useful, practical activity as distinct
from purely intellectual or aesthetic one

Patent Duration
• Utility Patents : 20 years (from filing date)
• Design Patents : 14 years (from issue date)
• Plant Patents: 17 years
• Patent cannot be renewed
• Patent term can be adjusted for delay by patent office
• After expiry, anyone can use the invention

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Copyrights

Copyrights are given over artistic works. It was realized that


songs, lyrics, broadcasting rights, paintings and such work of art
need protection. Music,
Compositions,
Copyrights are considered territorial rights, which means that Literary Works signers, lyrics,
(e.g. books, novels, etc.
they do not extend beyond the territory of a specific publications,
jurisdiction. newspapers,
brochures etc.)

Term: Generally expires 50 to 100 years after the author dies,


depending on the jurisdiction.
• For books and other works of arts it is 50 to 70 years after the
death of the author (the laws of a country vary); Artistic Works (eg.
• For photographic work 25 years from making the work; Paintings,
drawings, designs)
• For cinematic works 50 years after making the work available
Software Codes
to public.

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Trademarks / Service Marks
Trademarks are signs used to identify goods & services. These are
legally not linked to the quality, but within a consumer’s mind
these are linked to quality expectation.
Service marks are the type of the trademarks pertaining to the
Unregistered Unregistered Registered
services. Trademarks Service mark trademark

Kinds of Sign used:


- a word (e.g. Kodak)
- combination of words (e.g. Coca-Cola)
- letters & abbreviations (e.g. BMW, IBM)
- drawings (e.g. logo of a company)
- 3D signs (e.g. shape & packaging of goods)

Period of protection:
- varies (usually 10 years)
- can be renewed indefinitely

Need for trademark:


- Protect against unfair competition
- Avoids confusion among consumers
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Geographical Indication (GI)
Sign used on goods to show:
• product originates in a given geographical area
• possess qualities due to that place of origin
• Example: Swiss (watches), Darjeeling (tea)

Need for Geographical Indications:


• Denote origin & quality of product

Term/Duration:
• The registration of a Geographical Indication is for a period of ten years.
• Renewal is possible for further periods of 10 years.

Examples of Geographical Indications in India are Darjeeling Tea, Kanchipuram Silk Saree,
Alphonso Mango, Nagpur Orange, Kolhapuri Chappal, Bikaneri Bhujia, etc.

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Trade Secret
Some inventions, data, information cannot be protected by any of the available means
of IPRs. Such information is held confidential as a trade secret.
Trade secret can be an invention, idea, survey method, manufacturing process,
experiment results, chemical formula, recipe, financial strategy, client database etc.

When are Trade Secrets preferred?


- When invention is not patentable;
- Patent protection is limited to 20 years, when secret can be kept beyond that period;
- When cost of patent protection are prohibitive;
- When it is difficult to reverse engineer

How to Guard a Trade Secret?


- Restricting number of people having access to secret information
- Signing confidentiality agreements with business partners and employees The best kept secret till date
- Using protective techniques like digital data security tools and restricting entry into
area where trade secret is worked or held.
- National legislations provide protection in form of injunction and damages if secret
information is illegally acquired or used.

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Consultants
Applying Intelligence to IP – Globally

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