The need to protect the inventions and creative work of individuals has been recognized for centuries. The first modern patent was granted in 1421 to Filippo Bruneslleschi by the Republic of Florence for a barge with hoisting gear. Hundreds of years later, the United States Constitution affirmed the importance of protecting “writings and discoveries” in order to “promote the progress of science and the useful arts.”
Intellectual property serves as the foundation of innovation in our economy. Our government grants rights to incentivize discovery and creativity by providing creators with an opportunity to profit from the value of their innovative work. In exchange, the creative work is made public so that others may build on and benefit from the work of the original creator. Laws protecting intellectual property also reduce the transaction costs between inventors and industry by providing information about the quality of the invention without jeopardizing the ownership of the idea.
For the entrepreneur, intellectual property in the form of patents, trademarks, and copyrights can be especially valuable. Patents have been shown to increase firm productivity and a firm’s market value. Patent applications by young firms correlate with higher valuations by investors, provided the applications are not software-based.
I often have clients tell me they want to get a patent. I ask if they are willing to share all the details of their idea. Once they understand that making it public is required, many change their minds. Other clients want to protect their secret recipe, thinking it may be patentable. Repeating the highlighted area in the second paragraph…..the creative work is made public so that others may build on and benefit from the work of the original creator.
Yes, you have protection on your specific idea, but if people study your idea and make improvements, material improvements, on the design – they are free and clear to take their improved design to market. If you feel it is infringing on your patent, you have the right to file suit. The attorney that spoke to our Co.Starters group recently told us that would take at least $1,000,000 (yes, a million dollars) to mount a lawsuit against someone that you feel may be infringing on your patent rights.
A quick review:
Forms of Intellectual Property Protection
PATENT: A set of exclusive rights granted to an inventor by the government in exchange for a public disclosure of the invention. The invention must be useful, novel, and nonobvious.
Length of Protection: 15-20 years
COPYRIGHT: A set of legal rights designated by the government to the creator of an original work. Allows creator to use, reproduce, and display work and receive compensation.
Length of Protection: Life of creator + 70 years
TRADEMARK: A word, name, symbol, or device used with a good or brand to distinguish from other goods or brands.
Length of Protection: Indefinite as long as mark is still in use and owner renews mark every ten years.
Need help deciding if your idea is something you should patent or your work something to copyright or trademark? Watch the CBI newsletter and calendar for an upcoming “Ask The Expert” day when the same attorney will be holding Open Hours at the CBI. You’ll be able to book a quick appointment with him to determine the next steps. Call now to get on the waiting list so you’ll be the first to know when he books his CBI time! Call Bonnie at 931-456-4910 or email us at cbi@roanestate.edu.
