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Intellectual Property

28 June 2010

Dr Maureen Kinsler

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Types of Intellectual Property

Unregistered Rights copyright and unregistered design right

Registered Rights patents, trade marks and registered designs

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Types of Intellectual Property

Products may be covered by several different types of intellectual property

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Copyright

Copyright - the right to prevent copying

Automatic on creation of an original work

Copyright may subsist in original artistic works, musical works,literature, computer programs etc

Copyright subsists in the expression of an idea, but cannot be used toprotect an idea in itself

Duration life of the author plus 70 years

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Copyright

Advantagedont have to pay to register copyright and has effect inmany different countries, including all of Europe and the USA

Disadvantage to enforce copyright against a third party have to provethey copied an original work

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Unregistered Design Right

Design right resides in original, non-commonplace designs of theshape or configuration of products

No design right in 2-D designs, such as patterns on wallpaper ortextiles

No design right in must-fit or must match features

Duration - 10 years after first marketing products made to the design,subject to an overall limit of 15 years from creation of the design

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Unregistered Design Right

Advantagedont have to pay to register design, and effective in mostEuropean countries (but NOT in the USA)

Disadvantage to enforce design right against a third party have toprove they copied an original work (i.e. same as for copyright)

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Registered Designs

Protection for the appearance of an article in particular, the shapeand/or configuration and/or pattern

Design must be new and have individual character

Registered system have to file a design application in the country inwhich you want protection

Duration maximum of 25 years, subject to payment of renewal feesevery 5 years

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Registered Design

Design RegistrationNo 3001664

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Registered Designs

Advantages

strong protectiondont have to prove copying to enforce rights

relatively cheap and simple to gain registration in the UK

Disadvantage

territorial (i.e. UK registered design only has effect in UK etc)

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Trade Marks

A badge of origin, so that customers can recognise the product of aparticular trader

Must be distinctive for the goods or services which you are applying toregister it for, and not similar or identical to any earlier marks for thesame or similar goods or services

Registered system have to file a trade mark application in the countryin which you want protection

Duration unlimited, provided mark is used and renewal fees are paid

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Trade Marks

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Trade Marks

Advantages

- dont have to prove copying to enforce rights

- can be relatively simple to gain registration in the UK

- potentially unlimited duration

Disadvantage

territorial: UK registered trade mark only has effect in UK etc

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How much is a brand worth?

1. Google $100bn2. Microsoft $76bn

3. Coca-Cola $67bn4. IBM $66bn5. McDonalds $66bn6. Apple $63bn7. China Mobile $61bn8. GE $59bn

9. Vodaphone $53bn10.Marlboro $49bn

21. Tesco $23bn54. Ebay $13bn95. Ikea 7bn

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Patents

Protection for technical innovations, i.e. inventions

No definition of invention but exclusions to patentability includemethods of medical treatment, methods for playing games andcomputer programs

To be patentable, an invention must be new and inventive, i.e. not

obvious

Registered system have to file a patent application in the country inwhich you want protection

Duration - max of 20 years, subject to payment of annual renewal fees

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Patents

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Patents

Advantages

dont have to prove copying to enforce rights

Disadvantages

can be expensive

examination procedure generally slow

protection territorial (i.e. UK patent only has effect in UK etc)

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Patents some figures

Patent Revenue:

Qualcomm = $2B/year licensing CDMA patents (89% margins)

IBM = $1.5-2B/year

Philips Electronics = $570M/Year (100% of earnings for ConsumerElectronics Business)

Thomson = $390M/year (75% of total earnings)

Source - Deliotte & Touche

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How to use IP

Assignment

Spin-out companies

Licences

- Royalty

- One off payment

- Milestone payments

- Combination of the above

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Links/further information

www.marks-clerk.com

www.patent.gov.uk

http://gb.espacenet.com

www.uspto.gov

www.european-patent-office.org

www.cipa.org.uk

www.itma.org.uk

www.insidecareers.co.uk

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Dr Maureen Kinsler

Marks & Clerk LLP

Atholl Exchange,

6 Canning Street,Edinburgh EH3 8EG

T: 0131 221 7000

E: mkinsler@marks-clerk.com

www.marks-clerk.com

LLP