Chapter 7 Flashcards
4 types of intellectual property
trade secrets, patents, copyrights, trademarks
intellectual property
patents, copyrights, trademarks, and trade secrets. Federal and state laws protect intellectual property rights from misappropriation and infringement. Describes property that is developed through an intellectual and creative process. Falls into a category of property known as intangible rights.
Trade Secrets
Product formula, pattern design, compilation of data, customer list, or other business secret.
Uniform Trade Secrets Act
Gives statutory protection to trade secrets. For the lawsuit to be actionable, defendant must have acquired a trade secret through unlawful means. Owner is obliged to take all reasonable precautions to prevent that secret from being discovered by others.
Precautions of Trade Secrets
Fencing in buildings, placing locks on doors, hiring security guards, and the like.
Reverse Engineering
Used by competitors to lawfully discover a trade secret. Taking apart and examining a rival’s product or re-creating a secret recipe.
Misappropriation of a trade secret
Performed by unlawful means can lead to a civil lawsuit by the owner under state law. Successful plaintiff in the lawsuit can: recover the profits made by the offender from the use of the trade secret, recover for damages, obtain an injunction prohibiting the offender from divulging or using the trade secret.
Economic Espionage Act (EEA)
Makes it a crime for any person to convert a trade secret for his or her own or another’s benefit. Knowing or intending to cause injury to the owners of the trade secret. Enacted to address the ease of stealing trade secrets through computer espionage and use of the internet. Provides severe criminal penalties. Imposes prison terms on individuals of up to 15 years per criminal violation.
Patent
Grant by the federal government to the inventor of an invention for the exclusive right to use, sell, or license the invention for a limited amount of time. NO STATE PATENT LAWS
Federal Patent Statute
Establishes the requirements for obtaining a patent and protects patented inventions from infringement,
U.S. Court of Appeals for the Federal Circuit
Special federal appeals court that hears appeals from the Board of Patent Appeals and Interferences and federal court concerning patent issues. Create to promote uniformity in patent law.
Patent Application
Filed with PTO in Washington, DC. Contains a written description of the invention. Inventor should hire a patent attorney to assist in obtaining a patent for an invention. Patent number: assigned if patent has been granted.
Provisional applicationI
Inventor may file with the PTO to obtain 12 months to prepare a final patent application
Patents are _____ patents.
utility
Utility Patent
Protects the functionality of an invention
Innovation that can be patented
machines, processes, compositions of matter, improvements to existing machines, processes, or compositions of matter, designs for an article of manufacture, asexually reproduced plants, living mater invented by person
To be patented, an invention must be
novel - new invention which has not been invented and used in the past. useful - invention with some practical purpose. nonobvious - invention is nonobvious.
Leahy-Smith America Invents Act (AIA)
Passed by Congress in 2011. Stipulates a first-to-file rule for determining the priority of a patent. Utility patents for inventions are valid for 20 years.
Completion results in entrance of the invention or design into the __________.
public domain
Patent Infringement
Unauthorized use of another’s patent. Patent holder may recover damages and other remedies against a patent infringer.
Successful plaintiff in a patent infringement can recover
Money damages equal to a reasonable royalty rate on the sale of the infringed articles. Other damages caused by the infringement. Order requiring the destruction of the infringing article. Injunction preventing the infringer from such action in the future.