What is Intellectual Property?

includes patents, trademarks, copyrights, and trade secrets represents important assets to the entrepreneur and should be understood even before engaging the services of an attorney.

Need for a Lawyer

All business is regulated by law, the entrepreneur needs to be aware of any regulations that may affect his or her venture.
At different stages of the start-up, the entrepreneur will need legal advice.

How to Select a Lawyer

A competent attorney is in a better position to understand all possible circumstances and outcomes related to any legal action.
Choosing a lawyers is like hiring an employee.

PATENT
A contract between the government and an inventor. In exchange for disclosure of the invention, the government grants the inventor exclusivity regarding the invention for a specified amount of time. At the end of this time, the government publishes the invention and it becomes part of the public domain.

PATENT
The patent gives the owners a negative right because it prevents anyone else from making, using, or selling the defined invention. Even if an invention has been granted a patent, in the process of producing or marketing the invention he or she may find that it infringes on the patent rights of others.

Utility
has a term of 17 years, beginning on the date the PTO issues it.

Design

Plant

grants the owner protection from anyone else making, using, and/or selling the identified invention and Grants the same rights as utility patents generally reflects protection.

Covering new, original, Issues for 17 years on ornamental and new varieties of plants. unobvious designs for articles of manufacture, a design patent reflects the appearance of an object.

DISCLOSURE DOCUMENT
It is recommended that the entrepreneur first file a disclosure document to establish a date of conception of the invention. This document can be important when two entrepreneur are filing for patents on similar inventions.

Entrepreneurs can show that he or she was the first one to conceive of the invention will be given the rights to patent.

THE PATENT APPLICATION

must contain a complete history and description of the invention as well as claims for its usefulness. Introduction background and advantages of the invention and nature of the problems that it overcomes. Clearly states how invention differs from exisiting offerings. Description of Invention contain a brief description of the drawings that accompany it. A detailed description of invention, w/c may include engineering specifications, materials, components, etc.

THE PATENT APPLICATION

Claims the criteria by which any infringements will be determined. Serves to specify what the entrepreneur is trying to patent.

essential parts of the invention should be described in broad terms so as to prevent others from getting around the patent.
claims must not be so general that they hide the inventions uniqueness and advantages.

TRADEMARKS
May be a word, symbol, design or some combination of such, or it could be a slogan or even a particular sound that identifies the source or sponsorship of certain goods or services. a trademark lasts indefinitely, as long as the mark continues to perform its indicated function.

TRADEMARKS: 4 CATEGORIES
I. Coined marks denote no relationship between the mark and the goods or services and afford the possibility of expansion to a wide range of products

II. An arbitrary mark is one that has another meaning in a language as is applied to a product or service.

TRADEMARKS: 4 CATEGORIES
III. A suggestive mark is used to suggest certain features, qualities, ingredients, or characteristics of a product or service. IV. A descriptive mark must have become distinctive over a significant period of time and gained consumer recognition before it can be registered.

BENEFITS OF A REGISTERED TRADEMARK

It provides notice to everyone that you have exclusive rights to the use of the mark throughout the territorial limits.

It entitles you to sue in federal court for trademark infringement, which can result in recovery of profits, damages, and costs.
It establishes incontestable rights regarding the commercial use of the mark.

BENEFITS OF A REGISTERED TRADEMARK

It establishes the right to deposit registration with customs to prevent importation of goods with a similar mark.

It entitles you to use the notice of registration.

It provides a basis for filing trademark application in foreign countries.

4 REQUIREMENTS IN REGISTERING TRADEMARK

1.
2.
COMPLETION OF THE WRITTEN FORM DRAWING OF THE MARK

3.
4.

FIVE SPECIMENS SHOWING ACTUAL USE OF THE MARK

FEE

COPYRIGHTS
Right given to prevent others from printing, copying, or publishing any original works of authorship

Protects original works of authorship. The protection in a copyright does not protect the idea itself, and thus it allows someone else to use the idea or concept in a different manner.

TRADE SECRETS
Selling or licensing an idea or process that is confidential. Protection against others revealing or disclosing information that could be damaging to business. The trade secret will have a life as long as the idea or process remains a secret.

LICENSING
An arrangement between two parties, were on party has proprietary rights over some information, process, or technology protected by a patent, trademark, or copyright. Its a contractual agreement giving rights to others to use intellectual property in return for a royalty or fee.

PRODUCT SAFETY & LIABILITY

The responsibility of the company to met any legal specifications regarding a new product covered by the Consumer Product Safety

Act

CATEGORIES UNDER PRODUCT LIABILITY

I. Negligence. Extends to all parts of the production and marketing process. It involves being negligent in the way a product is presented to a client, such as using deficient labels, false advertising, etc.

II. Warranty. Consumers may sue if advertising or information overstate the benefits of a product, or if the product does not perform as stated.

CATEGORIES UNDER PRODUCT LIABILITY

III. Strict Liability. In this action, a consumer is suing because the product in question was defective before its receipt.

IV. Misrepresentation. This occurs when advertising, labels, or other information misrepresent material facts concerning the character or quality of the product.

INSURANCE
It is in the best interests of the entrepreneur to purchase insurance in the event that problems occur. Insurance provides a means of managing risk in the new business.

TYPES OF INSURANCE
Types of Insurance and Possible Coverage Property Casualty Life Workers Compensation Cover losses from fire, explosion, vehicle damage, windstorm, etc. Burglary and robbery for stolen properties. Covers the cost of defense and judgments obtained against company Resulting from bodily injury or property damage. Protects the continuity of business. (eg. Partnership)

Provide financial protection for survivors of a sole proprietorship.

Provides benefits to employees in case of work-related injury.

Bonding

Protects company from employee theft of funds or protects contractor if subcontractor fails to complete a job within agreed-upon time.

CONTRACTS
A legally enforceable agreement between two or more parties as long as certain conditions are met.