1. Intellectual Property Rights TrademarksTrademarks: protects novel marks & designs used in marketing & advertising for an indefinite period as long as in use. CopyrightsCopyrights: protects the original expression of an idea; acquired when expression is created; lasts for a lifetime plus 70 years. PatentsPatents: protect novel inventions; Granted by Gov’t. to exclude others from making, using & selling invention; for a Limited period. “The ownership of ideas and control over the tangible or virtual representation of those ideas”

2. Indicates source of goods; Gives notice to others by distinguishing one company’s goods & services from the goods & services of others; Enhances ability to protect against trademark infringement; Stands for value and uniform quality; Trademarks are an advertising and marketing tool. Benefits of a Trademark:

3. Trademark Basics What is a Mark? “Word” - Windows; “Name” - Microsoft; “Symbol” - Flying grid; “Color” - IBM BLUE on computers; “Shape” - Coca-Cola Bottle; “Slogan” - “Intel Inside”

4. 1. Writing/Literacy Works 2. Works of Art 3. Software 4. Video Tapes 5. Music 6. Web Content 1. Writing/Literacy Works 2. Works of Art 3. Software 4. Video Tapes 5. Music 6. Web Content What Does a Copyright Protect? Protected For 50 Years “The Copyright Web Site”The Copyright Web Site “Harvard Law IP”Harvard Law IP

5. E-Commerce Copyrights Software, documentation, databases, web site information and other information are valuable works of authorship that may need protection. INFRINGEMENT The law prevents others from treating these materials as being their own by copying them, posting them on the internet and distributing to others, as in the Napster litigation.

6. © 2001 General Electric Company All Rights Reserved © 2001 General Electric Company All Rights Reserved Copyright, 2001 General Electric Company, All Rights Reserved Copyright, 2001 General Electric Company, All Rights Reserved or Copyright Notices: or Copyright © 1999, 2001 GE Financial Assurance Holdings, Inc. All rights reserved.

7. Patent Basics Patents: Exclusive Right to Exclude Others from Making, Using or Selling Products and/or Services covered by Patent Claims. “A patent is a government issued grant which confers on the inventor the right to exclude others from making, using, offering for sale, or selling the invention for what is now a period of 20 years.” Issued by U.S. Patent and Trademark office “Patents web site”Patents web site

10. SOFTWARE WAS HELD TO BE PATENTABLE Software features such as: Data processing Program algorithms Display arrangements Editing and control functions User interface features Spell checking routines Operating system techniques Encryption technology have ALL been patented.

11. ISSUED U.S. SOFTWARE PATENTS 1992 1999 1,600 Issued Software Patents 22,500+Issued Software Patents (estimated)

12. What is a Business Method or System? A series of steps for accomplishing a task; an algorithm. A process for delivering a service. A system or method for managing data, or measuring and improving quality. Analytical tools. Financial instruments. Methods of teaching. Computer software embodying any of the preceding.

13. Business Method Patents Example patents: Priceline.com – “Name your price” Sightsound.com – “Selling music through digital downloads” - Demanding 1% royalty from anyone selling music in digital form (CDNow) Amazon.com – “one click ordering”one click ordering Open Market – “Electronic shopping carts and secure internet payments”

14. Intellectual Property Threats The Internet presents a tempting target for intellectual property threats –Very easy to reproduce an exact copy of anything found on the Internet –People are unaware of copyright restrictions, and unwittingly infringe on them Fair use allows limited use of copyright material when certain conditions are met

15. Intellectual Property Threats Cybersquatting –The practice of registering a domain name that is the trademark of another person or company Cybersquatters hope that the owner of the trademark will pay huge dollar amounts to acquire the URL U.S. Anticybersquatting Consumer Protection Act – 11/29/1999 Protects trademarked names from being registered as domain names. Can be found liable for damages up to $300K.