Chapter 08

 Describes property that is developed through an intellectual and creative process  Inventions, writings, trademarks that are a business’s most valuable asset Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-2

 A formula, design, customer list, or other secret that sets a business apart from competitors  Uniform Trade Secrets Act  Owner of a secret must take reasonable precaution to protect it  Defendant must have acquired a trade secret through unlawful means Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-3

 Reverse engineering  Misappropriation of a trade secret  Economic Espionage Act: A federal statute that 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 Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-4

 Federal Patent Statute: Establishes the requirements for obtaining a patent and protects patented inventions from infringement  Patent: A grant by the federal government upon the inventor of an invention for the exclusive right to use, sell, or license the invention for a limited amount of time Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-5

 U.S. Court of Appeals for the Federal Circuit: A special federal appeals court that hears appeals from the Board of Patent Appeals and Interferences and federal court concerning patent issues  Utility patent: Protects the functionality of an invention Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-6

 Categories of innovation that can be patented include:  Machines  Processes  Improvements to existing machines, processes, or compositions of matter  Designs for an article of manufacture  Living material invented by a person Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-7

 To be patented, the invention must be:  Novel  Useful  Nonobvious Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-8

 One-year “on sale” doctrine: A patent may not be granted if the invention was used by the public for more than one year prior to the filing of the patent application  Provisional application: An inventor may file with the PTO to obtain three months to prepare a final patent application Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-9

 Patent infringement: Unauthorized use of another’s patent  Design patent: A patent that may be obtained for the ornamental nonfunctional design of an item Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-10

 A legal right that gives the author of qualifying subject matter, and who meets other requirements established by copyright law, the exclusive right to publish, produce, sell, license, and distribute the work  Copyright Revision Act:  Establishes the requirements for obtaining a copyright  Protects copyrighted works from infringement Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-11

 Tangible writing  Registration of copyrights  Copyright Infringement: Occurs when a party copies a substantial part of the plaintiff’s copyrighted work without permission Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-12

 Fair Use Doctrine: Permits certain limited use of a copyright by someone other than the copyright holder without the permission of the copyright holder  Examples of fair use include:  Quote for review  Parody or satire  Academic  Brief quote in news report Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-13

 No electronic theft act: A federal statute that makes it a crime for a person to willfully infringe on a copyright  Digital Millennium Copyright Act: A federal statute that prohibits unauthorized access to copyrighted digital works by circumventing encryption technology or the manufacture and distribution of technologies designed for the purpose of circumventing encryption protection of digital works Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-14

 Any trade name, symbol, word, logo, design, or device used to identify and distinguish goods of a manufacturer or seller or services of a provider from those of other manufacturers, sellers, or providers  Lanham (Trademark) Act: A federal statute that  Establishes the requirements for obtaining a federal mark  Protects marks from infringement Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-15

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-16

 Types of marks:  Trademark  Service mark  Certification mark  Collective membership mark  To qualify for federal protection  Distinctive mark: being unique and fabricated  Secondary meaning: a brand name that has evolved from an ordinary term Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-17

 Trademark infringement: Unauthorized use of another’s mark  The holder may recover damages and other remedies from the infringer  Generic name: A term for a mark that has become a common term for a product line or type of service and therefore has lost its trademark protection Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-18

 Diluting, Blurring, or Tarnishing Trademarks  Federal Trademark Dilution Act: A federal statute that protects famous marks from dilution, erosion, blurring, or tarnishing Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-19

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall. 8-20