LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. CHAPTER 16 Property and Its Acquisition Types of Property How Property Is Acquired and Held

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE Types of Property GOALS Define property Identify the classifications of property

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 3 PROPERTY AND ITS CLASSIFICATION What is property? The rights and interests in tangible and intangible things Classifications of property Real property – rights and interests in land, buildings, & those things permanently affixed to them Land, minerals, water, airspace Personal property - – rights and interest s in anything that is not real property (tangible or intangible)

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 4 PROPERTY AND ITS CLASSIFICATION Personal property Intellectual property – property created by intellect and includes the following: Copyrights Trademarks and service marks Patents Trade secrets

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. UNT in partnership with TEA, Copyright © All rights reserved. 5 Section 106 of 1976 Copyright Act - Gives the holder 6 exclusive rights: 1.Right to make copies of the work 2.Edited versions of the work 3.Right to sell, lease, or rent copies 4.Right to perform publicly 5.Right to display work publicly 6.Right to perform sound recording COPYRIGHT ACT OF 1976

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 6 FEATURES OF INTELLECTUAL PROPERTY COPYRIGHT What is protected?Fixed expressions of creativity Registration required?Yes, before generally publicized, for federal protection Duration?70 years past the death of the creator ExamplesNovels, poems, songs, photographs

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. UNT in partnership with TEA, Copyright © All rights reserved. 7 Copyright protects: 1. Literary works 2. Dramatic works 3. Musical works 4. Artistic works* * Artistic works –poetry, novels, movies, songs, computer software, and architecture. Copyright DOES NOT protect: 1. Ideas 2. Facts 3. Systems 4. Methods of operation

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. UNT in partnership with TEA, Copyright © All rights reserved. 88 The moment it is created and fixed in a tangible form. It is visible either directly or with the aid of a machine or device.

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. UNT in partnership with TEA, Copyright © All rights reserved. 9 Rights of registration 1. Registration is voluntary. 2. Copyright exists from the moment the work is created. 3. To file a lawsuit for infringement (unauthorized copying, sale, display, or performance of a protected work), you will have to register.

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 10 FEATURES OF INTELLECTUAL PROPERTY PATENT What is protected?Designs, or processes that are novel, non-obvious, and useful Registration required?Yes Duration?20 years ExamplesIndustrial chemical manufacturing processes, prescription drugs

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 11 FEATURES OF INTELLECTUAL PROPERTY TRADEMARK What is protected?Distinctive mark, word, or symbol associated with a particular product Registration required?No, but recommended Duration?Indefinite with consistent use, and then only if term does not lose distinctiveness ExamplesLogos, emblems, catch phrases

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 12 FEATURES OF INTELLECTUAL PROPERTY TRADE SECRET What is protected?Any secret formula or process Registration required?No, none available Duration?Indefinite if they remain secret ExamplesKFC chicken recipe

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. UNT in partnership with TEA, Copyright © All rights reserved. 13 Fair Use Doctrine Is a guideline that determines how much a copyrighted item can be used legally without permission. Section 107 of Title 17 U.S. code contains exceptions for reproduction of a particular work. Permission: consent to use a work by reproducing it in some other work. Exceptions are: Criticism, comment, news reporting, teaching, scholarship, and research. Public Domain Items/Works.

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Copyright Rights Copy Distribute Derivative works (book to a movie) Use of copyrighted works Read a book See a movie Borrow a book Fair Use Commentary Parody Limited educational use

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 15 CHECKPOINT What are the two main classifications of property?     

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Ch Key Terms Property Real property Personal property Intellectual property Copyright Infringement Fair use Trademark Service mark Patent Trade secret Permission

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE How Property Is Acquired and Held GOALS State the different ways of acquiring property Differentiate the various ways of holding ownership to property

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 18 WAYS OF ACQUIRING PROPERTY Acquiring ownership by contract Acquiring ownership by gift Acquiring ownership by intellectual labor Acquiring ownership by inheritance Acquiring ownership by accession Acquiring ownership by finding Acquiring ownership by occupancy

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 19 CHECKPOINT Name the three most common means of acquiring property.     

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 20 HOW IS OWNERSHIP OF PROPERTY HELD? Ownership in severalty Co-ownership Joint tenancy Tenancy in common Tenancy by the entireties Community property Limitations on ownership

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 21 TENANCY IN COMMON May any number co-own?Yes Must interests be equal?No Is consent of co-owners required for sale?No Is there a right of survivorship?No Must co-owners be married?No Can a will replace survivorship?N/A

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 22 JOINT TENANCY May any number co-own?Yes Must interests be equal?Yes Is consent of co-owners required for sale?No Is there a right of survivorship?Yes Must co-owners be married?No Can a will replace survivorship?No

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 23 TENANCY BY THE ENTIRETIES May any number co-own?No, just 2 Must interests be equal?Yes Is consent of co-owners required for sale?Yes Is there a right of survivorship?Yes Must co-owners be married?Yes Can a will replace survivorship?No

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 24 COMMUNITY PROPERTY May any number co-own?No, just 2 Must interests be equal?Yes Is consent of co-owners required for sale?Yes Is there a right of survivorship?Yes* Must co-owners be married?Yes Can a will replace survivorship?In some states *In some states a deceased spouse’s one-half interest in community property passes automatically to the surviving spouse. In other states it can pass via a will to someone other than the surviving spouse; however, if there is no will, it then passes to the surviving spouse.

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 25 CHECKPOINT What are the two basic ways to hold property?     

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 26 PREVENT LEGAL DIFFICULTIES Manage and use property wisely... Do not misuse your property in a way that injures others. Use public property with care. Vandalism, destruction, and theft deprive innocent persons of the benefits of use and also cause higher taxes. Do not infringe upon the copyright, trademark, or patent of another. Continued on the next slide

LAW for Business and Personal Use © 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Chapter 16 SLIDE 27 PREVENT LEGAL DIFFICULTIES If you become a co-owner, be sure to take title appropriately. Use tenancy in common with strangers, associates, and friends. Use joint tenancy with a spouse or other person whom you want to have full ownership by right of survivorship when you die. In community property states, keep separate property separate with clear records if you do not want it to become community property.