The Basics of Intellectual Property
Trade Secrets
Trade secrets are perhaps the most straightforward: they cover information used in trade that provide a commercial advantage and are not known to the general public. They include things like a manufacturing process, the formula for making a product or compound (Coca-Cola®, for instance), or a business' customer lists. A court decides whether a piece of information qualifies for trade secret protection by examining a variety of factors, most of which deal with how well-known the information is to the general public and what steps were taken to protect its disclosure. Assuming that the material is found to be a trade secret by the court, it will be entitled to protection with no specific time limit - Coca-Cola has been protected for nearly 100 years. Disclosure of the trade secret to the public at any time will likely destroy any previously enjoyed protection.
Copyrights
Copyrights protect the tangible expression of ideas. Common uses include protecting the contents of books, movie plots, paintings and sound recordings. Copyright protection attaches when the creator puts pen to paper and creates a tangible expression of the idea. This basic protection may be registered by filing an application for federal copyright registration, which requires a simple form, a modest fee, and a copy of the work you want to protect. Federal copyrights for works created and registered after 1978 generally last for seventy years after the author's death. If someone infringes your federally registered copyright, the statute provides for substantial damages as well as attorneys' fees. Not all use of copyrighted material is unlawful; the public is allowed to make "fair use" - loosely defined as selective use or quotation for educational and literary purposes.
Trademarks
Trademarks protect the product identifiers - the names, logos and general visual attributes that distinguish a business from its competitors. The primary purpose of trademarking is to prevent consumer confusion over the origin of the products. If someone put up some golden arches and started peddling burgers, for instance, McDonald's® could sue for unlawful use (infringement). Registration of generic names, like "orange juice" for juice, typically isn't allowed, as that would prevent competitors from referring to their product by its proper name. Federal trademark registration affords the strongest protection, but each state has trademark protections that should be considered as well.
Patents
Patents are by far the most technically demanding branch of intellectual property. In basic terms, a patent is given to an inventor of some novel machine, process, or product that has utility to the public. In exchange for disclosing this new invention to the public, the federal government gives back to the inventor an exclusionary right (the patent) to prevent anyone else from making, using or selling the invented device or process in the United States. The term of the patent has changed recently and patents issuing today have a life of approximately twenty years from the date the application is filed. To get a patent, the inventor must file a formal application with the Patent and Trademark Office, disclosing the substance of the invention, providing a sufficient written description to allow the public to make the invention, and suggesting the best mode of the invention contemplated by the inventor. Since the process can take several years, it's important to apply as soon as possible. Once the patent is granted, you can use it to preclude others who seek to copy or otherwise use your invention and license the technology for fees.
One particular area of patents that has received much attention lately is the so-called business method patent. Based on recent federal court decisions, patents are now obtainable for a way of doing business - provided it has a tangible expression. Amazon.com, for example, has patented the "one-click" method of ordering merchandise with one click of your mouse button. Such patents can be very valuable to businesses and comprise a significant portion of the business' assets.
The Basics of Intellectual Property
Trade Secrets
Trade secrets are perhaps the most straightforward: they cover information used in trade that provide a commercial advantage and are not known to the general public. They include things like a manufacturing process, the formula for making a product or compound (Coca-Cola®, for instance), or a business' customer lists. A court decides whether a piece of information qualifies for trade secret protection by examining a variety of factors, most of which deal with how well-known the information is to the general public and what steps were taken to protect its disclosure. Assuming that the material is found to be a trade secret by the court, it will be entitled to protection with no specific time limit - Coca-Cola has been protected for nearly 100 years. Disclosure of the trade secret to the public at any time will likely destroy any previously enjoyed protection.
Copyrights
Copyrights protect the tangible expression of ideas. Common uses include protecting the contents of books, movie plots, paintings and sound recordings. Copyright protection attaches when the creator puts pen to paper and creates a tangible expression of the idea. This basic protection may be registered by filing an application for federal copyright registration, which requires a simple form, a modest fee, and a copy of the work you want to protect. Federal copyrights for works created and registered after 1978 generally last for seventy years after the author's death. If someone infringes your federally registered copyright, the statute provides for substantial damages as well as attorneys' fees. Not all use of copyrighted material is unlawful; the public is allowed to make "fair use" - loosely defined as selective use or quotation for educational and literary purposes.
Trademarks
Trademarks protect the product identifiers - the names, logos and general visual attributes that distinguish a business from its competitors. The primary purpose of trademarking is to prevent consumer confusion over the origin of the products. If someone put up some golden arches and started peddling burgers, for instance, McDonald's® could sue for unlawful use (infringement). Registration of generic names, like "orange juice" for juice, typically isn't allowed, as that would prevent competitors from referring to their product by its proper name. Federal trademark registration affords the strongest protection, but each state has trademark protections that should be considered as well.
Patents
Patents are by far the most technically demanding branch of intellectual property. In basic terms, a patent is given to an inventor of some novel machine, process, or product that has utility to the public. In exchange for disclosing this new invention to the public, the federal government gives back to the inventor an exclusionary right (the patent) to prevent anyone else from making, using or selling the invented device or process in the United States. The term of the patent has changed recently and patents issuing today have a life of approximately twenty years from the date the application is filed. To get a patent, the inventor must file a formal application with the Patent and Trademark Office, disclosing the substance of the invention, providing a sufficient written description to allow the public to make the invention, and suggesting the best mode of the invention contemplated by the inventor. Since the process can take several years, it's important to apply as soon as possible. Once the patent is granted, you can use it to preclude others who seek to copy or otherwise use your invention and license the technology for fees.
One particular area of patents that has received much attention lately is the so-called business method patent. Based on recent federal court decisions, patents are now obtainable for a way of doing business - provided it has a tangible expression. Amazon.com, for example, has patented the "one-click" method of ordering merchandise with one click of your mouse button. Such patents can be very valuable to businesses and comprise a significant portion of the business' assets.