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Corporate Law and Intellectual Property: What Every Business Needs to Know


Corporate Law and Intellectual Property: What Every Business Needs to Know

Intellectual property sometimes becomes more important than tangible property. Ideas, inventions, and innovation are the fountains of wealth in today’s world.  

The uniqueness of creation and ideas is a marvel of the human mind and a distinguishing feature of human beings. In the business world, drawing a protective halo around unique creations becomes ever more crucial so that competitiveness and equity may prevail in intellectual pursuits. 

This blog looks at the various aspects of intellectual property law that a small business owner, entrepreneur, or large corporation should know to grow without infringing on anyone’s intellectual property rights and without getting their own infringed. 

In order to understand your rights as a business owner and your obligations regarding intellectual property, there are some concepts that you have to make sense of to ascertain what you should and should not do.  

The following are some dimensions of intellectual property that you may or may not have encountered previously. But you need to know them to understand intellectual property laws better.  

Defining Intellectual Property

Intellectual property law concerns the legal principles that prevent and regulate the exploitation of ideas, creations, or information.

What does Intellectual Property Relate to

Intellectual property is often limited to its best-known forms, which include patents, copyrights, trademarks, trade secrets, and industrial designs.  

However, lesser-known forms of intellectual property exist, including plant breeders’ rights and semiconductor chip designs, etc. So intellectual property regime can be as vast as it be.  

The Domain of Intellectual Property

In theory, Intellectual property rights are as broad as human intellect itself is. 

In practice, intellectual property rights are more functionally limited. 

Mainly because, conceptually, some barriers have traditionally excluded intellectual property from the general property domain.  

The Most Common Types of Intellectual Property

There are four most common types of intellectual property, which are explained as follows:

Trademark Law  

Trademark law protects the exclusive use of a mark by its owner to identify itself as the source of the goods.  

It has two further categories: 

Trademark: A trademark is the term we use for a mark the owner uses as the source of goods.
Service marks : A service Mark is a mark that an owner uses to identify themselves as the source of some particular services.
The Need for a Personal Directive:

How Long is a Trademark Valid?

A trademark is valid as long as the law recognizes it, the owner protects it, and the owner uses it regularly.

This type of intellectual property has to do with branding the business and its services and products.  

Copyright Law

Copyright law protects the exclusive use of original works of authorship fixed in a tangible medium. Such medium can be audio or visual work. This law protects the work from being copied by others for years.  

Patent Law

Patent law protects the exclusive right to use an invention and confers a legal monopoly on the patent holder for a period of years.

Trade Secret Law

Trade secret Law protects the confidential information related to a business. Such information usually has a commercial value.
Protectable Secrets can include:
  • Inventions, whether patentable or not  
  • Sensitive competitive information, such as customer lists  
  • Methods of doing business  
  • A secret formula, such as the secret formula for Coca-Cola  
  • Financial information, etc.  

Making Sense of Property Rights in the Right Manner

People commonly conceive of property as a thing. However, property is better described as the legal relation between a person and a thing.  

Once the focus shifts from the thing to the right, it is easier to understand the right to a trade secret or an industrial design, for example, and other more incorporeal things.  

The right itself is always intangible, regardless of whether the object of the property right is tangible or intangible. 

In the fast-paced world of business, innovation and ideas are the harbingers of success.  

However, even the most groundbreaking ideas can fall victim to exploitation, theft, or legal disputes without appropriate legal protections. 

Corporate law and intellectual property (IP) are vital pillars that every business, regardless of size or industry, must understand to safeguard its operations, assets, and creative outputs. 

Corporate Law is the Foundation of Business Operations

Risk Mitigation

Contracts and agreements are vital for business operations. However, they can lose their value in the absence of corporate law. Corporate Law must be present with full force to make the pledges sound and binding and prevent disputes and breaches.

Historical Evolution of Intellectual Property Law

As we know it today, intellectual property law has its roots in the Renaissance. In 1474, the Venetian Council enacted legislation with a recognizable, if vaguely stated, intention to protect new ideas.  

This right to inventions resembles the modern notion of a patent.  

Similarly, in 1529, Henry VIII of England issued an act allowing the printing of books. In this act, he made it a privilege of the crown to allow the printing of books.  

Moreover, in 1709, the British Parliament promulgated the Copyright Act, which secured book printing rights. 

A patent is usually a pact between an inventor and the state. In such an agreement, the inventor is bound to disclose their invention fully to the state. In return, he acquires an absolute monopoly over the invention for a limited term.  

Subsequently, since the industrial Age, the juxtaposition of ideas, creations, and information with technology has increased. This has ushered in a renewed importance for ideas as sources of wealth, and modern forms of intellectual property law have expanded the frontiers of human knowledge.  

Registering a Name and a Trademark for Your Corporation

New business operators should remember that just because you have a name clearance does not mean you have a trademark clearance. In other words, if no other company has the same name as yours, it does not necessarily mean that your chosen name does not infringe upon someone else’s trademark.  

Therefore, only after registering your trademark, without any objections arising, can you consider a name or trademark your own.  

Creating Copyrightable Material

New business owners who create copyrightable material should be keenly aware of who originally owned the material.  

For example, if you are acquiring some material from someone else and you are the face presenting that material for sale in the market, you should make it clear that you are not the owner.  

Sometimes, a copyrighted subject matter is a work for hire. To illustrate, often, the author and not the business owner may be the actual owner of the copyright.  

Is There a Timeline for Protecting Trade Secrets?

It is never too late for a business owner to begin securing the rights to his trade secrets. In this regard, the sooner, the better.  

Concluding Words

Intellectual property law regime is as vast as human beings themselves. In the world of business, ideas make money. Therefore, protecting ideas is protecting money. To be a successful entrepreneur, one has to understand the need to protect his ideas and creations and to restrain himself from infringing upon the rights of any other entity.

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