BL-Chapter 7 - CHAPTER 7 : INTELLECTUAL PROPERTY AND CYBER...

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Unformatted text preview: CHAPTER 7 : INTELLECTUAL PROPERTY AND CYBER PIRACY Basis for Intellectual Property Protection in Constitution Congress shall have the power to promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries. State law imposes civil damages and criminal penalties against persons who misappropriate trade secrets Certain federal statutes provide for either civil damages or criminal penalties, or both, to be assessed against infringers of patents, copyrights, and trademarks Trade Secrets Trade Secrets- product formula, pattern, design, compilation of data, customer list, or other business secret-Many trade secrets dont qualify to be or are not patented, copyrighted, or trademarked Many states have adopted the Uniform Trade Secrets Act to give statutory protection to trade secrets. State unfair competition laws allow owner of trade secret to bring lawsuit for misappropriation against anyone who steals a trade secret. Defendant must have obtained the trade secret through unlawful means. E.g., theft or bribery or industrial espionage No tort has occurred if there is no misappropriation: Example: reverse engineering not unlawful 1 Owner is obliged to take all reasonable precautions to prevent those secrets from being discovered by others. E.g., locking doors, hiring security guards If owner fails to take precautions, the secret is no longer subject to protection. Successful civil plaintiff can: Recover profits made by offender Recover damages Obtain injunction prohibiting offender from divulging trade secret Economic Espionage Act of 1996 Federal crime for any person: To convert a trade secret to his or her benefit or for the benefit of others, Knowing or intending that the act would cause injury to the owner of the trade secret. Includes computer espionage Severe criminal penalties Patents-Article I of the constitution provides for the protection of inventors and writers Federal Patent Statute Intended to provide incentive for inventors to make their inventions public. Protects patented inventions from infringement. 2 Federal patent law is exclusive; no state patent laws. U.S. Court of Appeals for the Federal District was created to hear patent appeals and promote uniformity in patent law Patent Period Patents for inventions are valid for 20 years Design patents are valid for 14 years Patent term runs from date application filed-After the patent period runs out, the invention/design enters the public domain which means anyone can produce and sell the invention without paying the prior patent holder U.S. follows first-to-invent rule rather than the first to file rules which means the first person o invent an item or process is given patent protection over another party who was first to file a patent application Patenting an Invention- To be patented an invention must be novel, useful, and nonobvious. To be patented an invention must be novel, useful, and nonobvious....
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BL-Chapter 7 - CHAPTER 7 : INTELLECTUAL PROPERTY AND CYBER...

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