AOF Entrepreneurship Unit 3 Lesson 10 Intellectual Property

AOF Entrepreneurship Unit 3, Lesson 10 Intellectual Property Protections Copyright © 2009– 2012 National Academy Foundation. All rights reserved.

Intellectual property (IP) is creative work that can be used commercially and protected under law What are the characteristics of intellectual property? • Reproducible—Intellectual property includes creative works of intellect that could be copied, reproduced, and plagiarized. • Intangible—Intellectual property refers to intangible property such as phrases, ideas, processes, or designs. • Unique or creative—Entrepreneurs who create, develop, or construct something new can prevent others from stealing their ideas and creating products just like theirs. • Protected—Intellectual property can be protected using patents, copyrights, trademarks, and other legal agreements.

Copyright protects works of writing, art, music, images or videos, and other works of authorship • Written: fiction, textbooks, articles, scripts, poems • Artistic: sculptures, photographs, paintings, models, maps How to write your copyright: Copyright © 2009 – 2011 Your Name, All Rights Reserved. • Software: programs, parts of program code • Music: songs, parts of songs, ads, and jingles • Other: blueprints, board game materials, etc. What items do you own that are copyrighted?

Trademarks are words, designs, or slogans that identify a company or a product • Trademarks are identifying names for products, services, or companies. • Trademarks are registered with the government. • They last for 10 years and renew every 10 years while in use. Unregistered trademark Registered trademark symbol Service mark, representing a service company name What trademarks can you think of that businesses use in common commercials, advertising, or in their logos in print?

Patents protect new inventions or processes by preventing anyone else from using them • Patent applications are filed with the government. • They protect inventions or new processes for creating products. • Patents grant businesses the exclusive right to the invention. • They last for a specified time, before the patent goes into the public domain.

Trade secrets are ideas protected by confidentiality agreements between companies and employees • Employers who are developing new ideas could ask their workers to sign a nondisclosure agreement (NDA). • The NDA prevents the worker from sharing information with anyone outside the company. • This protects the company from potential competitors. If you had to sign an NDA for work, do you think it would be difficult to avoid talking to friends and family about the trade secret?

Entrepreneurs can use others’ creative works by licensing them and paying for the use • A license is an agreement between the rights holder (copyright, patent, or trademark holder) and someone who wishes to use the work. • The license specifies how, where, and in what way the work can be used. • The license also specifies how the rights holder will be compensated for use of the intellectual property. • In some cases, entrepreneurs can also purchase the full rights to a work, or commission a work for hire.

Intellectual property lawyers can help entrepreneurs protect their rights and steer clear of infringement • Intellectual property rights can be complicated to understand protect. • Businesses should consult with a lawyer if they want to file for rights. • A lawyer can also help guide a business on how to draft contracts and agreements, and determine what constitutes fair use in copyright.