INTELLECTUAL

PROPERTY
Intellectual Property (IP)
•According to the World Intellectual
Property Organization (WIPO),
intellectual property refers to creations
of the mind such as inventions, literary
and artistic works, symbols and images,
and designs used in commerce.
•This is a property that arises from the
human intellect.
➢It is a product of human creation.
•Intellectual property rights are one of
the foundations of modern society.
Without these rights, the movie, music,
software, publishing, pharmaceutical
and biotech industries would collapse.
•Intellectual property comprises two
distinct forms:
➢Literary and Artistic works
➢Industrial property
Literary and Artistic works
•These are books, paintings, musical
composition, plays, movies, radio/ TV
programs, software, performances and
other artistic works.
Note:
•These are protected by “COPYRIGHT”
Industrial Property
•This describes physical matter that is the
product of an idea or concept for
commercial purposes
Note:
•These are protected by
➢Patented objects,
➢Trademarks,
➢Industrial designs,
➢Trade Secretes etc
What is an IP licence?

•An IP licence is a permission to do

something that, without the licence,
would be an infringement of IP.
•The person granting the licence is
usually called the licensor, and the
person receiving the licence is usually
called the licensee. (There may be more
than one licensor or more than one
licensee in a licence agreement).
•A common example of an IP licence is
the one you receive whenever you buy a
copy of software to use in your business.
What is a licensing agreement?
•A licensing agreement is a partnership
between an intellectual property rights
owner (licensor) and another who is
authorized to use such rights (licensee)
in exchange for an agreed payment (fee
or royalty).
•A variety of such licensing agreements
are available, which may include the
following:
✓Copyright agreement
✓Trademark agreement
✓Patent agreement
Types of licences
Exclusive Licence
•The broadest scope of licence that can be
granted is an exclusive licence.
➢An exclusive licence excludes the use of the
intellectual property right licensed to
everyone but the licensee.
➢After granting an exclusive licence, the
licensor is not usually permitted to continue
using the intellectual property within the
territory of exclusivity.
Sole Licence
•A sole licence is a type of exclusive licence
with an exception.
➢The licensor is entitled to continue using
the licensed subject within the territory of
exclusivity.
➢Unlike with a typical exclusive licence, the
licensor generally retains the right to use
the intellectual property.
Non-Exclusive Licence
•A non-exclusive licence can be granted
by the licensor to as many licensees as
desired within a specified territory.
➢Most commercial software licensed
today is licensed on a non-exclusive
basis.
 Why should the creator/
inventor care about Intellectual
property?
OR
Why should the creator/
inventor license his/ Intellectual
property?
Sharing Risk
•Where a licensor licenses the right to
manufacture and sell products, the
licensor receives revenues from that
licensing but does not take the risk of
manufacturing, promoting and selling
those products.
Revenue Generation
•An owner of IP may commercialise the
IP itself and may obtain additional
income by licensing the IP.
Increasing Market Penetration
•An owner of IP may license another
business to sell in territories that the
owner cannot cover.
Why should the licensee take
Intellectual property?
Sharing Risk
•The licensee has the right to use the IP
without the expense and risk of the
research and the costs of developing the
product.
Saving Time
•A business may get its products or
services to market more quickly by
acquiring a licence to use existing IP,
instead of re-inventing the wheel
(sometimes referred to as an
“engineering workaround”).
Reducing Costs
•A business may ‘buy-in’ innovation to
reduce its research and development
costs. The licensee is expected to pay
less for the licence compared to what
the licensor invested in its research and
development.
Accessing Expertise
•By taking a licence, a business may tap
into expertise that it does not have in-
house.
Obtaining Competitive Advantage

•By acquiring a licence to use IP, a

business may obtain an advantage over
its competitors.
 Industrial Design
•An industrial design renders an object
attractive or appealing, thus increasing
its marketability and adding to its
commercial value.
•The design may be three-dimensional
based on the shape or surface of the
object, or two-dimensional based on the
object’s patterns, lines or colours.
•Industrial designs are applied to a wide
variety of products of industry and
handicraft items: from packages and
containers to furnishing and household
goods, from lighting equipment to
jewelry, and from electronic devices to
textiles.
•Industrial designs may also be relevant
to graphic symbols, graphical user
interfaces (GUI), and logos.
Industrial Design Protection

•Legally, “industrial design” is the title

granted by an official authority,
generally the Patent Office, to protect
the aesthetic (pleasing in appearance) or
ornamental (serving as a decoration and
having no practical use) aspect of an
object.
•In most countries, an industrial design
needs to be registered in order to be
protected under industrial design law as
a “registered design”.
•In principle, the owner of a registered
industrial design has the right to prevent
third parties from making, selling or
importing articles bearing or embodying
a design which is a copy, of the
protected design, when such acts are
undertaken for commercial purposes
What Qualifies Industrial Design Protection
Novelty

•Novelty (the quality of being new,

original, and different) and visual appeal
are essential if an industrial design for it
to be protected, although these criteria
can differ from one country to another.
•It cannot be the same as any design
already available and must have
individual characters.
Aesthetic Features

•Its aesthetic features should not be

imposed by the technical functions of
the product.
Non-Technical features

•An industrial design protects solely the

non-functional features of an industrial
product and does not protect any
technical features of the object to which
it is applied.
Characteristics of Industrial Design Protection
•Industrial design rights are granted to
the creator of designs to reward them
for their effort and investment in
manufacturing the product.
•These rights enable the owner to make
articles to which the design is applied or
in which the design is embodied.
•The holder of this legal title has the
exclusive right to make, import or sell
any objects to which the design is
applied.
•They can authorise others to exploit the
design and bring a legal action against
anyone using the design without
authorisation.
•In general, the period of protection
granted is from 10 to 25 years. This is
often divided into terms and an
extension of the term requires renewal
of the registration.
•Industrial design protection could be
combined with other forms of
protection such as copyright protection
Advantages
•Protects genuine design innovation for
up to 25 year.
•Rewards the creator of designs for their
effort and investment in manufacturing
the product.
•It gives monopoly rights to the creator
of designs for their effort and
investment in manufacturing the
product.
•An industrial design gives the legal right
to stop others using your design.
•Industrial designs increase the beauty
and appeal of any product. They
increase commercial value of the
product and raise its potential in the
market.
•The registration of design helps in
safeguarding the aesthetic value of the
article. Whenever an industrial design is
being registered, exclusive rights are
granted to the owner against illegal use
like imitation by third party without
his/her consent.
Disadvantages
•Cannot be applied to designs that
concern how a product works or which
are not visible in normal use
•The creator of designs has to pay a fee
to the patents office to have the design
protected
•All designs have to be ‘researched’ to
ensure there are no existing design of a
similar nature–involves legal fees
END OF PRESENTATION