Intellectual Property

Question 1

What is Intellectual Property?

Answer 1

Refers to the creations of the mind, such as inventions, literary and artistic works, designs, and symbols, names, and images used in commerce. IP is protected by law, enabling people to earn recognition or financial benefit from what they invent or create.

Question 2

What is the purpose of Intellectual Property Rights (IPR)?

Answer 2

to protect and incentivize the creation and use of intellectual and creative works by granting creators exclusive rights to their works for a certain period.

Question 3

What is Monopoly in this context?

Answer 3

Refers to the exclusive control or exclusive rights granted to an individual or entity over the production, use, and sale of a certain invention, creative work, or brand identifier. This exclusive control is legally enforceable, allowing the rights holder to prevent others from using, making, or selling the protected item without permission. While these monopolies provide exclusive rights for a certain period, they are not indefinite, ensuring that the knowledge and advancements eventually become part of the public domain.

Question 4

What os a Non-Disclosure Agreement (NDA)?

Answer 4

Also known as a confidentiality agreement, is a legally binding contract between two or more parties where the parties agree to not disclose information covered by the agreement. NDAs are commonly used when one or both parties have access to information that they wish to keep hidden from the general public or competitors.

Question 5

What are the types of Intellectual Property Rights (IPR)?

Answer 5

Copyright, Patents, Trademarks, Trade Secrets, etc

Question 6

What is Copyright?

Answer 6

Copyright is a legal right granting creators exclusive control over the use and distribution of their original works, such as books, music, and films, for a certain period.

The monopoly over the use of a creative work, but only the expression of the idea no the idea itself. (Ex. Cannot copyright the idea of a romance novel or the idea of a film about aliens but can copyright your romance novel or avatar.)

Question 7

What is a Trademark?

Answer 7

Is a recognizable sign, design, or expression which identifies products or services of a particular source from those’re of other

Question 8

What is a patent?

Answer 8

Is a form of intellectual property that gives its owner the legal right to exclude others from making, using, or selling an invention for a period of 20 years from date of application. Government granted monopoly.

It allows the creator to recover investment costs and profit from invention in exchange for the written description of how to make invention and avoid duplication of ideas, this is made after the 20 years of patent, after you already profit from your patent.

Question 9

What is a trade secret?

Answer 9

Is a type of IP that comprises formulas, practices, processes, designs, instruments, patterns, commercial methods es, or compilation of information which is not generally known or reasonably ascertainable by other, and by which a business can obtain an economic advantage over competitors or customers. It does not registration or public disclosure. The confidentiality of the trade secret is maintained through secrecy. (Ex. Coca-Cola Recipe).

The holder of the Trade Secret must make reasonable efforts to maintain its secrecy. This often includes (NDAs), security protocols, and employee training.

Question 10

What are Royalties?

Answer 10

Are payments that one party (the licensee) Amy’s to another party (the licensor) for the ongoing use of an asset, particularly IP or a unique product or service. They are a way for the creator or owner of IP to monetize their creations or inventions.

Question 11

What is a license in this context?

Answer 11

Is a permission granted by the owner of the IP (the licensor) to another party (the licensee), allowing the licensee to use the property under certain conditions without transferring ownership of the IP. Licensing agreements are legal contracts that specify the terms under which the licensee can use the licensor’s property.

Question 12

What is franchising?

Answer 12

Refers to a business model where a business owner (the franchiser) grants to an individual or entity (the franchisee) the rights to operate a business under the franchisor’s brand and systems. This typically involves the franchisee selling goods or services that are associated with the franchisor’s trademark and following a specific business format prescribed by the franchisor.

Question 13

What is a Tort?

Answer 13

A tort is a legal wrong committed by one person against another, resulting in harm, for which the injured party can seek compensation through civil litigation.

Question 14

What is an Intentional Tort?

Answer 14

Occur when a person has intentionally committed an act that harms another person. Ex. assault, false imprisonment, etc.

Question 15

What is unintentional (negligence) tort?

Answer 15

Occur when a person’s failure to act as a reasonable person causes harms. It involves a breach of duty of care that results in injury or loss to another person. Ex. Accidents due to careless driving, medical malpractice, etc.

Question 16

Do all forms of IP expire?

Answer 16

Most forms of intellectual property (IP) are subject to expiration dates, after which the protected material enter the public domain and can be used without permission.

Question 17

What is the purpose of Law on IP?

Answer 17

Law balances your right to benefit financially from your ideas and creations with the right of other to use the ideas to create new ideas and products and inventions

To foster an environment that encourages innovation and creativity. It provides creators and inventors with exclusive rights as an incentive for their effort, offering them the opportunity to benefit financially from their work. This legal protection is crucial for motivating investment in research and development, which is a driver of economic growth and competitiveness.

Question 18

3 main strategies of IP for idea entrepreneurship and business innovation?

Answer 18

Licensing, Selling patents and other forms of IP, Using your IP to make things and make profits.

Question 19

4 main ideas for protecting IP?

Answer 19

Creation, Mandatory Registration, Voluntary (or strategic) Registration, Confidentiality

Question 20

Is it enough with Creation to protect your ideas?

Answer 20

In some cases, the law will protect your ideas as soon as you create it. (Copyright)

Question 21

Is registration mandatory?

Answer 21

In some cases you are required to register your ideas (patents)

Question 22

Voluntary (or strategic registration)?

Answer 22

You may not be required to register but registration provides additional protection, particularly internationally (ex. Copyright and trademark).

Question 23

Confidentiality?

Answer 23

Sometimes the only way to protect your idea is by not sharing it (ex. Trade secrets) or by protecting it through contract (ex. NDA)

Question 24

How are copyrights created?

Answer 24

With the creation of the idea, no registration required and no publication required, and some international protections (Ex. Universal Copyright Convention, Bern Convention, Rome Convention, WTO).

Question 25

3 Criteria from Copyright Act?

Answer 25

Work must be original (derived from author’s skill and judgment),

needs to be fixed (written down or fixed somewhere not just in your head),

Connection (work created in Canada or by a Canadian living elsewhere, or a country that is a member of IP treaties such as Universal Copyright Convention.

Question 26

How long does copyright last?

Answer 26

The life of the author plus 70 years. If creator is a business max is 70 years. Then the work goes into the “public domain”.

Question 27

Who has the ownership of the Copyright?

Answer 27

The creator has ownership, or the employer for whom person is working (unless agreement otherwise), but the creator can assign or license these rights, yet the creator still retains the “moral rights” (cannot distort or harm to author’s image) unless these moral rights are waived (agree to give unusually for some price).

Question 28

When can you use copyright without permission?

Answer 28

Fair Dealing / fair use. (Private purpose like research or private study or critique, when there is no financial benefit use.)

Question 29

What are the rules outlined in Copyright?

Answer 29

Copyright Act (1985) and Copyright Modernization Act (2012).

Question 30

2 main ways of creating value from copyright?

Answer 30

Licensing: Allow people to use your intellectual property

Royalties: Monetary compensation given to the creator or owner of the intellectual property for the use of their copyrighted materials and usually done through licensing agreement. (Usually as a percentage id receipts or money). Charge each time they want to use your creation.

Question 31

When is something ineligible for trademark registration?

Answer 31

Cannot be obscene, or just a sound, symbols of royalty, or similar to existing trademark, no surnames unless “acquired distinctiveness”.

Question 32

Rights if Trademark registered?

Answer 32

Gives protection for 10 years and can be renewed indefinitely, but must give proof that is being used.

Question 33

How to deal with Trademark International Registration?

Answer 33

Proof of registration in Canada can be proof of registration in another country but must still register, and country must be part of international agreements.

Question 34

Trademark rights if unregistered?

Answer 34

Passing off (Tort Law). Meaning someone does a harm to you if they use your image, brand, trademark, and pretend that it is theirs.

Question 35

Trademark symbols?

Answer 35

R for registered and TM for unregistered.

Question 36

What is the trademark value?

Answer 36

Trademark adds value to your company and becomes a visible symbol for marketing and brand reputation.

Question 37

What is the key issue of trademark infringement?

Answer 37

The key issue in trademark infringement is whether there is a likelihood of confusion among consumers regarding the source or origin of goods or services. When a trademark is used without authorization in a way that is likely to confuse consumers about who has made or endorsed the product or service, this constitutes trademark infringement.

Question 38

Trademark Violation examples?

Answer 38

Knockoffs and counterfeiting. Using another company’s brandname or design to counterfeit or copy products is a trademark violation.

Question 39

4 Criteria from Patent Act?

Answer 39

1. Patentable subject matter: cannot patent scientific theory or medical treatment (but can patent drug used in medical treatment), can patent business methods (such as Amazon’s “one-click” ordering system), can patent computer programs.
2. Novelty: Must be “new” and not previously disclosed or known to the public. (Even if new invention the patentability can be a problem if disclosed to public ex. Through a presentation or trade show.)
3. Non-Obvious: Would someone be able to understand the invention without the help of the inventor?
4. Utility: Must serve some useful function (makes society better, or life or production of things easier.)

Question 40

Is patent mandatory?

Answer 40

Yes, it is mandatory

Question 41

Who gets the patent?

Answer 41

First person to file rather than first to invent.

Question 42

How does patent international registration work?

Answer 42

If you have a valid patent in Canada, then you can use that registration to register your patent in another country, usually within one year. And this applies if the country is part of international agreements.

Question 43

What happens if an employee creates something, who owns the patent?

Answer 43

Employers can patent inventions of employees but there is a presumption in favor of the employee/creator (unlike copyright) unless developing the patent was the purpose of employment, then the employer owns the patent.

Question 44

What is “evergreening”?

Answer 44

Making small changes to extend patent for another term (20 years). This is not how it is supposed to work.

Question 45

What is the value of (benefit) of patent?

Answer 45

Use patent to develop and market a new product.

License the patent: Either exclusive or non-exclusive licensing that provides you with royalties.

Sell the patent (some companies make a business of buying and selling patents)

Question 46

Remedies for when your IP has been infringed?

Answer 46

Injunction (interlocutors (temporary) or permanent): Court order that requires a party to do, or to refrain from doing, specific acts. It is a remedy in the form of a directive from the court that either prohibits a party from continuing illegals actions or compels them to undo the harm cause by illegal actions.

Seizure: Anton Piller Order, useful when business wants to confiscate imitations, counterfeit, so they prevent them to cause bad reputation or any other damage. Seizure is used to execute a judgment, to ensure that property is not removed or destroyed before court can make a decision regarding its ownership, or to prevent illegal activities.

Accounting: Disclose what improper profits were made.

Damages including punitive damages: Need to be able to quantify.

• Compensatory damages: Intended to cover the actual loss or injury suffered by the plaintiff
• Punitive damage: Designed to punish defendant for particularly malicious behavior, and to deter them and other from similar conduct in the future.

Criminal penalties:

Question 47

What is fiduciary duty?

Answer 47

Duty of loyalty to employer. Refers to a legal obligation of one party (the fiduciary) to act in the best interes of another (the principal or beneficiary).

Question 48

What do you need to prove if you claim there has been a breach off confidential information?

Answer 48

1. That the information was confidential
2. That the information was disclosed to the defendant in ways that created obligation of confidentiality
3. That there was a misuse or unauthorized use of the information

Question 49

Why do some businesses prefer trade secret rather than registration of ideas?

Answer 49

Because they don’t want to disclose information to the public and because trade secrets don’t expire like patents.

Question 50

What are some variations of IP in Canada and US?

Answer 50

Copyright protection is 70 years in the US and not 50, and it is easier to get patents in the US.

Question 51

Are there variations of IPR around the world?

Answer 51

Yes, there are significant variations around the world in approaches to protecting ideas and intellectual property.