1. INTELLECTUAL PROPERTY Chapter 6

2. WHAT IS INTELLECTUAL PROPERTY? Intellectual Property is a term used to describe works of the mind (art, books, films, formulas, inventions, music and processes) that are distinct, and owned or created by a single or group. - It is protected by copyright, patent, and trade secret laws Copyright law protects authored works, such as books, film and music Patent law protects inventions Trade secret law helps safeguard information that is critical to an organization’s success

3. COPYRIGHT Copyright and Patent protection was established through the U.S. Constitution, Article I, section 8, clause 8, which specifies that the Congress have the power “ to promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Rights to their respective Writings and Discoveries.”

4. Copyright is the exclusive right to distribute, display, perform, or reproduce an original work in copies or to prepare derivative work based on the work. Copyright infringement is a violation of the rights secured by the owner of a copyright. - occurs when someone copies a substantial and material part of another’s copyrighted work without permission. - Penalty $200 - $100,0o0

5. COPYRIGHT TERM Copyright Term In 1960, the term of copyright has been extended 11 times the original limit of 28 years. Copyright Term Extension Act also known as Sonny Bono Copyright Term Extension Act, signed into law in 1998. The Sonny Bono Copyright Term extension Act was legally challenged by Eric Eldred, a bibliophile who wanted to put digitized editions of old books online.

6. ELIGIBLE WORKS Types of work that can be copyrighted - architecture, art, audiovisual works, choreography, drama, graphics, literature, motion pictures, music, pantomimes, pictures, sculptures, sound recordings, and other intellectual works. To be eligible for a copyright - A work must fall within one of the preceding categories - It must be original Not eligible for a copyright - Those that have not been fixed in a tangible form of expression - And those that consist entirely of common information that contain no original authorship

7. FAIR USE DOCTRINE The Fair use doctrine allows portions of copyrighted materials to be used without permission under certain circumstances. Four Factors for a particular use of copyrighted property is fair and can be allowed without penalty: The purpose and character of the use ( commercial use or non profit, educational purposes) The nature of the copyrighted work The portion of the copyrighted work used in relation to the work as a whole The effect of the use on the value of the copyrighted work

8. SOFTWARE COPYRIGHT PROTECTION The Prioritizing Resources and Organization for intellectual Property (PRO-IP) Act of 2008 - increased trademark and copyright enforcement; it also substantially increased penalties for infringement. The WTO and the WTO TRIPS Agreement 1994 - The WTO deals with rules in international based trade based on WTO agreements that are negotiated and signed by members of the world’s trading nations. Its goal is to help producers of goods and services, exporters, and importers conduct their business.

9. The World Intellectual Property Organization Copyright Treaty 1996 - It is dedicated to developing “ a balanced and accessible international intellectual property system, which rewards creativity, stimulates innovation and contributes to economic development while safeguarding the public interest” The Digital Millennium Copyright Act 1998 - Written in compliance with the global copyright protection treaty from WIPO and added new provision: * circumvent a technical protection; develop and [provide tools that allow others to access a technologically protected work

10. PATENTS A patent is a grant of a property right issued by the U.S. Patent and Trademark Office (USPTO) to an inventor. A patent permits its owner to exclude the public from making, using or selling a protected invention, and it allows for legal action against violators. Patent infringement a violation of the rights secured by the owner of a patent. It occurs when someone makes unauthorized us of another’s patent.

11. SOFTWARE CROSS-LICENSING AGREEMENT A software patent claims as its invention some feature or process embodied in instructions executed by a computer. Many large companies have cross-licensing in which each party agrees not to sue the other over patent infringement. Ex. Microsoft – agreement with IBM, Sun Microsystems, S.A.P, HP, Brother and Nikon by 2010. - to obtain right to technologies that might us in its products without risk of expensive litigation.

12. DEFENSIVE PUBLISHING AND PATENT TROLLS Defensive Publishing - is an alternative to filling for patents. - a company publishes a description of the invention in a bulletin, conference paper, or trade journal or on a Web site. - Competitors cannot patent the idea or charge licensing fees to others users of the technology or technique A patent troll is a firm that acquires patents with no intention of manufacturing anything instead licensing of patents to others.

13. SUBMARINE PATENT AND PATENT FARMING Submarine patent is a patented process or invention that is hidden within a standard and which is not made public until after the standard is broadly adopted. Patent farming is an unethical strategy of influencing a standards organization to make use of a patented item without revealing the existence of a patent; the patent holder might demand royalties from all implementers of the standard.

14. TRADE SECRETS TRADE SECRET - information, generally unknown to the public, that a company has taken strong measures to keep confidential. - it represents something of economic value that has required effort or cost to develop and that has some degree of uniqueness or novelty.

15. KEY INTELLECTUAL PROPERTY ISSUES PLAGIARISM - the act of stealing someone’s ideas or words and passing them off as one’s own. REVERSE ENGINEERING - the process of taking something apart in order to understand it, build a copy of it, or improve it. OPEN SOURCE CODE - Any program whose source code is made available for use or modification, as users or other developers see fit

16. COMPETITIVE INTELLIGENCE - Legally obtained information gathered to help a company gain an advantage over its rivals. CYBERSQUATTING - A person or company that registers domain names for famous trademarks or company names to which they have no connection, with the hope that the trademark’s owner will buy the domain name for a large sum of money.