RMI Module5
RMI Module5
Module -5
                                     Intellectual Property Rights
        Topics Covered
        Intellectual Property (IP) Acts: Introduction to IP: Introduction to Intellectual Property (IP),
        different types of IPs and its importance in the present scenario, Patent Acts: Indian patent
        acts 1970.Design Act: Industrial Design act 2000. Copy right acts: Copyright Act 1957. Trade
        Mark Act, 1999.
   •    A trademark is a word, name, symbol, or device used to identify and distinguish one’s
        goods or services and to indicate their source.
   •    A patent is a grant from the government that permits its owner to exclude others from
        making, selling, using, or importing an invention.
   • There are three distinct types of property that individuals and companies can own:
   — real property refers to land or real estate;
   — personal property refers to specific items and things that can be identified, such as
     jewelry, cars, and artwork;
   — intellectual property refers to the fruits or product of human creativity, including
     literature, advertising slogans, songs, or new inventions.
     Thus, property that is the result of thought, namely, intellectual activity, is called
     intellectual property (IP). In some foreign countries, intellectual property (especially
     patents and trademarks) is referred to as industrial property. Intellectual property can
     be bought, sold, and licensed. Similarly, it can be protected against theft or infringement
     by others.
   •    Intellectual property is a field of law that aims at protecting the knowledge created
        through human effort in order to stimulate and promote further creativity.
   •    Authors who write books and musicians who compose songs would be unlikely to
        engage in further creative effort unless they could realize profit from their endeavors.
The term intellectual property is usually thought of as comprising four separate, but often
overlapping, legal fields: trademarks, copyrights, patents, and trade secrets.
   •   A trademark or service mark is a word, name, symbol, or device used to indicate the
       source, quality, and ownership of a product or service.
   •   A trademark is used in the marketing of a product (such as REEBOK® for shoes), while
       a service mark typically identifies a service.
   •   In addition to words, trademarks can also consist of slogans(I’m lovin’ it’ for Mc
       Donald’s), designs (such as the familiar “swoosh” that identifies Nike products), or
       sounds (such as the distinctive giggle of the Pillsbury Doughboy).
   •   Trademarks provide guarantees of quality and consistency of the product or service they
       identify.
   •   A trademark registration is valid for 10 years and may be renewed for additional 10-year
       periods thereafter as long as the mark is in use in interstate commerce.
   Copyrights
     Copyright is a form of protection governed exclusively by federal law granted to the
     authors of original works of authorship, including literary, dramatic, musical, artistic,
     and certain other works. Thus, books, songs, plays, jewelry, movies, sculptures,
     paintings, and choreographic works are all protectable. Computer software is also
     protectable by copyright.
 •    Copyright protection is available for more than merely serious works of fiction or art.
      Marketing materials, advertising copy, and cartoons are also protectable.
 •    Copyright is available for original works; no judgment is made about their literary or
      artistic quality.
 •    Nevertheless, certain works are not protectable by copyright, such as titles, names, short
      phrases, or lists of ingredients. Similarly, ideas, methods, and processes are not
      protectable by copyright, although the expression of those ideas is.
 •    The owner of a copyright has the right to reproduce the work, prepare derivative works
      based on the original work (such as a sequel to the original), distribute copies of the work,
      and to perform and display the work.
 •    Generally, copyrighted works are automatically protected from the moment of their
      creation for a term generally enduring for the author’s life plus an additional 70 years
      after the author’s death. After that time, the work will fall into the public domain and may
      be reproduced, distributed, or performed by anyone.
Patents
 • A patent is a grant from the government that permits its owner to prevent others from
    making, using, importing, or selling an invention.
 •    Patent protection is available only for useful, novel, and nonobvious inventions.
      Generally, patent law prohibits the patenting of an invention that is merely an
      insignificant addition to or minor alteration of something already known. Moreover, some
      items cannot be protected by patent, such as pure scientific principles.
 •    Patent protection exists for 20 years from the date of filing of an application for utility
      patents (assuming that certain fees are paid to maintain the patent in force) and plant
      patents and 14 years from the date of grant for design patents. After this period of time,
      the invention falls into the public domain and may be used by any person without
      permission.
      Example:
      Patent Name: "Navigation system using satellites and passive ranging techniques".
      GPS satellites were invented by the Navy, and they are operated today by the Air Force.
      Roger L. Easton was the mastermind behind the Global Positioning System, developing
      technologies in the 1950s for the Naval Research Laboratory (NRL) to track U.S. satellites
      in orbit.
Patent protection exists for 20 years from the date of filing of an application for utility patents
(assuming that certain fees are paid to maintain the patent in force) and plant patents and 14
years from the date of grant for design patents. After this period of time, the invention falls into
the public domain and may be used by any person without permission.
Trade Secrets
•       There is no limit to the type of information that can be protected as trade secrets; recipes,
        marketing plans, financial projections, and methods of conducting business can all
        constitute trade secrets.
•       Even something as simple and nontechnical as a list of customers can qualify as a trade
        secret as long as it affords its owner a competitive advantage and is not common
        knowledge.
•       If trade secrets were not protectable, companies would have no incentive to invest time,
        money, and effort in research and development that ultimately benefits the public.
•       Trade secrets are generally protectable under various state statutes and cases and by
        contractual agreements between parties.
•        Although people have always realized the importance of protecting intellectual property
         rights, the rapidly developing pace of technology has led to increased awareness of the
         importance of intellectual property assets.
•        Some individuals and companies offer only knowledge. Thus, computer consultants,
         advertising agencies, Internet companies, and software implementers sell only
         brainpower. Similarly, some forms of intellectual property, such as domain names and
         moving images shown on a company’s Web page, did not even exist until relatively
         recently.
•        Internet domain names such as “www.ibm.com” are valuable assets that must be
         protected against infringement.
    •    Nearly $126 billion of U.S. exports now depend on some form of intellectual property
         protection, including pharmaceuticals, motor vehicles, and aircraft and associated
         equipment.
 •     Moreover, the rapidity with which information can be communicated through the Internet
       has led to increasing challenges in the field of intellectual property. Books, movies, and
       songs can now be copied, infringed, and sold illegally with the touch of a keystroke.
 •     The Office of the United States Trade Representative has estimated that U.S. industries
       lose between $200 billion and $250 billion annually from piracy, counterfeiting of goods,
       and other intellectual property infringements.
  •    The Patents Act, 1970 was again amended by the Patents (Amendment) Act, 2005,
       wherein product patent was extended to all fields of technology including food, drugs,
       chemicals and micro-organisms. After the amendment, the provisions relating to
       Exclusive Marketing Rights (EMRs) have been cancelled, and a provision for enabling
       grant of compulsory license has been introduced. The provisions relating to pre-grant
       and post-grant opposition have been also introduced.
  •    After the first examination report is issued, the applicant is given an opportunity to meet
       the objections raised in the report. The applicant has to comply with the requirements
       within 6 months from the issuance of the first examination report which may be
       extended for further 3 months on the request of the applicant. If the requirements of the
       first examination report are not complied with within the prescribed period of 9 months,
       then the application is treated to have been abandoned by the applicant.
     •       After the removal of objections and compliance of requirements, the patent is granted
             and notified in the Patent Office Journal.
 Salient features
 The Indian Patent Act of 1970 has several salient features, including:
         •   Product and Process Patents: The Act provides for the grant of both product and
             process patents, allowing inventors to protect both the final product and the specific
             method or process of production.
         •   Term of Patent: The term of a patent in India is generally 20 years from the date of
             filing the patent application.
         •   Examination: The Act allows for examination of patent applications upon request. This
             ensures that the invention meets the criteria of novelty, non-obviousness, and industrial
             applicability.
         •   Pre-Grant and Post-Grant Opposition: The Act includes provisions for both pre-grant
             and post-grant opposition, allowing interested parties to challenge the grant or validity
             of a patent.
         •   Fast Track Mechanism: There is a fast track mechanism in place for the expedited
             disposal of patent-related appeals, reducing the time taken for resolving disputes.
         •   Protection of Biodiversity and Traditional Knowledge: The Act includes provisions
       for the protection of biodiversity and traditional knowledge, ensuring that the rights of
       indigenous communities and their traditional knowledge are safeguarded.
   •   Publication of Applications: Patent applications are published after 18 months from
       the filing date or priority date, whichever is earlier. There is also an option for early
       publication.
   •   Compulsory Licensing: The Act provides for compulsory licensing in certain
       circumstances, such as when a patented invention is not being worked in India or when
       it is deemed necessary in the interest of the public.
   •   Exclusive Marketing Rights: The Act allows for the grant of exclusive marketing rights
       to pharmaceutical and agrochemical products for a limited period, which serves as an
       incentive for the development of new drugs.
 Pre-grant Opposition
 A representation for pre-grant opposition can be filed by any person of the Patents Act, 1970
 within six months from the date of publication of the application, as amended (the "Patents
 Act") or before the grant of patent. There is no fee for filing representation for pre-grant
 opposition. Representation for pre-grant opposition can be filed even though no request for
 examination has been filed. However, the representation will be considered only when a
 request for examination is received within the prescribed period.
 Post-grant Opposition
 Any interested person can file post-grant opposition within twelve months from the date of
 publication of the grant of patent in the official journal of the patent office.
 Some of the grounds for filing pre-and post-grant opposition are as under:
  a) Patent wrongfully obtained;
  b) Prior publication;
  c) The invention was publicly known or publicly used in India before the priority date of
     that claim;
  d) The invention is obvious and does not involve any inventive step;
  e) That the subject of any claim is not an invention within the meaning of this Act, or is not
     patentable under this Act;
  f) Insufficient disclosure of the invention or the method by which it is to be performed;
  g) That in the case of a patent granted on convention application, the application for patent
     was not made within twelve months from the date of the first application for protection
     for the invention made in a convention country or in India;
  h) That the complete specification does not disclose or wrongly mentions the source and
     geographical origin of biological material used for the invention; and
  (i) That the invention was anticipated having regard to the knowledge, oral or otherwise,
      available within any local or indigenous community in India or elsewhere.
  Before filing an application for grant of patent in India, it is important to note "What is
  not Patentable in India?" Any invention which is
   1.  Frivolous
   2.  obvious
   3.  contrary to well established natural laws
   4.  contrary to law
   5.  Morality
   6.  injurious to public health
   7.  a mere discovery of a scientific principle
   8.  the formulation of an abstract theory
   9.  a mere discovery of any new property or new use for a known substance or process,
       machine or apparatus
   10. a substance obtained by a mere admixture resulting only in the aggregation of the
       properties of the components thereof or a process for producing such substance
   11. a mere arrangement or rearrangement or duplication of known devices
   12. a method of agriculture or horticulture and inventions relating to atomic energy, are not
       patentable in India.
Compulsory Licensing
• One of the most important aspects of Indian Patents Act, 1970, is compulsory licensing of
  the patent subject to the fulfillment of certain conditions.
• At any time after the expiration of three years from the date of the sealing of a patent, any
  person interested may make an application to the Controller of Patents for grant of
  compulsory license of the patent, subject to the fulfillment of following conditions:
   — the reasonable requirements of the public with respect to the patented invention have not been
     satisfied;
   — that the patented invention is not available to the public at a reasonable price; or
   — that the patented invention is not worked in the territory of India.
• It is further important to note that an application for compulsory licensing may be made by
  any person notwithstanding that he is already the holder of a license under the patent.
• For the purpose of compulsory licensing, no person can be stopped from alleging that the
  reasonable requirements of the public with respect to the patented invention are not
  satisfied or that the patented invention is not available to the public at a reasonable price
  by reason of any admission made by him, whether in such a license or by reason of his
  having accepted such a license.
•        The Controller, if satisfied that the reasonable requirements of the public with respect to
         the patented invention have not been satisfied or that the patented invention is not
         available to the public at a reasonable price, may order the patentee to grant a licence upon
         such terms as he may deem fit.
•        However, before the grant of a compulsory license, the Controller of Patents shall take
         into account following factors:
         1. The nature of invention;
         2. The time elapsed, since the sealing of the patent;
         3. The measures already taken by the patentee or the licensee to make full use of the invention;
         4. The ability of the applicant to work the invention to the public advantage;
         5. The capacity of the applicant to undertake the risk in providing capital and working the
             invention, if the application for compulsory license is granted;
         6. As to the fact whether the applicant has made efforts to obtain a license from the patentee on
             reasonable terms and conditions;
         7. National emergency or other circumstances of extreme urgency;
         8. Public non-commercial use; and
         9. Establishment of a ground of anti-competitive practices adopted by the patentee.
•      Its main objective is to protect new or original designs from getting copied which causes
      loss to the proprietor.
•     The important purpose of design registration is to see that the creator, originator or
      artisan of any design is not deprived of his reward for creating that design by others
      copying it to their goods or products.
•     An industrial design helps in drawing a customer’s attention and helps in increasing the
      commercial value of an article. Therefore, helps in expanding its market.
•     There are many competitors who adopt evil ways to reduce the competition in the rival
      groups by exploiting the designs to their advantage. Thus, it is necessary to have laws to
      safeguard the interests of the owners of these designs. In order to fulfill this objective, the
      Design Act of 2002 came into existence.
    As per the provisions of Design Act, 2000 any proprietor who is seeking registration of a
    design which is original and unpublished previously in any country which does not seems to
    be contrary to any law and order of that country can file an application for registration. A
    proprietor as per Section 2(j) includes that person who
    In case there is more than one author than the design must be applied by the joint authors
    only.
   •   The controller registers a design under this Act after verifying that the design of any
       person, claiming to be the proprietor, is the new or original design not previously
       published anywhere and is not against any public policy or morality. Provided that such
       a design should be capable of being registered under this Act.
   •   The applications under the Act shall be filed in the Patent Office in the prescribed
       manner along with the prescribed fee for filling the form.
   •   The design should be registered in a specific class and not in more than one class. In
       case of any doubt regarding the class in which the design should be registered, the
       Controller will decide the matter.
   •   The controller may even reject any design and not register it. In such a case, the person
       aggrieved may file an appeal before the High Court.
   •   If any application is not complete within the prescribed time limit owing to the fault of
       the applicant, then it shall be abandoned.
   •   A design when registered shall be registered as of the date of the application for
       registration.
 •       Copyright deals with the rights of intellectual creators in their creation. The copyright law
         deals with the particular forms of creativity, concerned primarily with mass
         communication.
 •       The Copyright Act, 1957 protects original literary, dramatic, musical and artistic works
         and cinematograph films and sound recordings from unauthorized uses. There is no
         copyright protection for ideas, procedures, methods of operation or mathematical
         concepts as such.
 Why Copyright?
     •     Copyright ensures certain minimum safeguards of the rights of authors over their
           creations, thereby protecting and rewarding creativity. Creativity being the keystone of
           progress, no civilized society can afford to ignore the basic requirements of encouraging
           the same.
 Meaning of Copyright
 Section 14 of the act defines copyright as:
 1. In case of literary, dramatic or musical work:
         a) Reproducing the work in any material form which includes storing of it in any medium           by
            electronic means,
         b) Issuing copies of the work to the public which are not already in circulation,
         c) Performing the work in public or communicating it to the public,
         d) Making any cinematograph film or sound recording in the respect of work,
         e) Making any translation or adaptation of the work.
Term of Copyright:
•   Literary, dramatic, musical or artistic works enjoy protection for the life time of the author
    plus 60 years beyond i.e. 60 years after his death. In case of joint authorship which
    implies collaboration of two or more authors in the production of work, the term of
    copyright is to be construed as a reference to the author who dies at last.
•   The act has given broadcasting reproduction right to every broadcaster which is valid for
    25 years from the beginning of the calendar year next following the year in the broadcast
    has been done.
Copyright Board:
 • Section 11 of the act provides for the establishment of the Copyright Board and empowers
   Central Government to constitute the same consisting of Chairman and 2 other members.
 A trademark is a word, phrase, symbol, or design that helps distinguish the source of the
 goods of one party/organization from that of others.
1. Introduction
 Trademark rights in India are statutorily protected by the Trademark Act, 1999and also
 under the common law remedy of passing off. The administration of such protection under
 the Act is done by the Controller General of Patents, Designs and Trademarks. The
 Trademark Act, 1999 deals with the protection, registration and prevention of fraudulent use
 of trademarks. It also deals with the rights of the holder of the trademark, penalties for
 infringement, remedies for the damaged as well as modes of transference of the trademark.
 Trademark is defined in the Trademark Act, 1999 as, “trademark means a mark capable of
 being represented graphically and which is capable of distinguishing the goods or services of
 one person from those of others and may include the shape of goods, their packaging and
 combination of colours.” Such a mark may include numerous things such as signatures,
 names, labels, headings etc.
2. Registration of Trademark
 To apply for a trademark a person must adhere to the provisions enlisted under Section 18 of
 the Act. The Section requires any persons applying for a trademark to apply in writing in the
 manner that is prescribed for the registration. The application has to contain the name of the
 mark, goods and services, the class under which goods and services fall, the period of the use
 of the mark and the personal details of the applicant such as name and address.
3. Infringement of Trademark
 The term infringement means the violation of someone’s rights. Therefore infringement of
 trademark means the violation of trademark rights. A trademark is said to be infringed when
 there is an unauthorised use of a trademark or a substantially similar mark on goods or
 services of a similar nature. In such a case, the court will look at whether such use of the
 trademark will cause any confusion to the consumer as to the actual brand they are
 purchasing. Therefore, according to the Act a trademark is infringed if:-
 4. If the mark used is so similar to a registered mark that it is likely to confuse or deceive a
    consumer when selecting a category of product.
In case of infringement of a registered trademark, the person may file a suit for damages. For
filing such a suit the following conditions must be met:
   1. The person filing the suit (plaintiff) must be the registered owner of the trademark.
 2. The person who is infringing (defendant) must be using a mark that is similar to that of
    the plaintiff such that it can easily be confused as one another.
 4. The use of the mark by the defendant must be in the course or similar goods or services
    to that which the trademark is registered to.
4. Classification of Trademarks
Section 7 of the Trademark Act, 1999 requires the classification of trademark according to the
international classification of goods and services. There are a total of 45 classes goods and
services may fall under in such a classification. The international classification system used is
called the Nice Classification (NCL), it was established in 1957 during the Nice Agreement.
According to the NCL, there are 45 classes under which goods and services fall. Classes 1 – 34
are for goods and the classes 35 – 45 are for services.
 The members of the public are given the opportunity to oppose the registration of a
 Trademark during its registration process. The person filing the opposition of registration
 maybe anyone, it could be a customer, competitor or any member of the public. In the
 process of registration of a trademark, the mark will be advertised in the Trade Mark
 Journal, upon this advertisement anyone can file an opposition to it during a period of three
 months. This period of three months may be extended by no more than one month in special
 cases. The filing of the opposition has to be done at the Trademark Registrars Office and not
 at the Intellectual Property Appellate Board (IPAB). While filing an opposition, one must
 include the following:
  2. Details of the earlier mark that the registering mark is infringing upon. It could be an
     already registered mark or a mark that is still undergoing its registration.