Intellectual Property Management

Copyright, patent, and trademark

What is intellectual property?

Intangible property – ie ideas that you cannot see and touch – a creation of the mind. Used for human innovations and creativity that are capable of being protected under law (both nationally and internationally).

Why do we need intellectual property

• A business is able to continually improve, enhance, develop and manage its products and services and become more competitive

• Helps prevent competitors from copying/closely imitating products/ services

• Helps avoid wasteful investment in research and development (R&D) and in marketing

• Helps to create a corporate identity through a branding strategy

• Can increase the market value of the business

• Can help to acquire venture capital and enhance access to finance

• Assist in obtaining access to new markets

Trademarks

• A trade mark is a unique identifier, often referred to as a “brand” or “logo”

• Businesses can register their trade marks and then use the ® symbol (means Registered Trade Mark)  which then limits how other companies can use that same trade mark

• Trade marks can include words, logos, colours, shapes, sounds, smells – or any combination of these. Some generic trademarks are
  hard to register

• Trade marks can be valuable assets for the businesses that
  register them

Patents

• A patent is a monopoly right giving exclusive use of an invention for up to 20 years to an individual or company

• It can become a valuable business asset that can be bought, sold, transferred or licensed like any other property

• The scope of inventions that can be patented is extensive, but includes:

  • New product or service

  • A new manufacturing process

  • An improvement to an existing product or process

Copyright

• The term “copyright” refers to a bundle of exclusive rights given to owners of original works like prototype drawings, films and sound recordings

• In New Zealand, copyright is an automatic unregistered right that comes into existence every time an original work is created, published and performed

• To qualify, the work has to be original and fall into one of many  categories, including:

  • literary works including text like emails, training manuals, novels and song lyrics; tables and compilations including multimedia works, and computer programs

  • dramatic works including dance, mime and film scenarios or scripts

  • musical works including the score and sheet music

  • artistic works including paintings, drawings, diagrams, maps, models, photographs and sculptures

  • Sound recording, films

• The person or company who takes out the copyright then has the benefit of exclusively being able to use that item

Benefits of protecting Intellectual Property

• Protecting assets of business (ideas)

• Can impact on profitability – protects your business growth

• Creates an image for your business (brand) – sets you apart from others

• Competitive advantage – (eg recipe for Coke is a trade secret) – can protect technological innovations so that competitors cannot copy your ideas, products etc

• Allows your business to use its assets to raise finance

• Enhances the export opportunities for your business

Risks of not protecting Intellectual Property

• Someone else may patent your idea – and then your business can be excluded from the market

• Competitor firms can sell the same product, use the same technology – larger organisations may be able to make the same product much cheaper (and will therefore potentially take clients)

• Possibilities to sell, transfer or licence will be severely hindered (loss of income)

Patent Case Study - Sanford

Term: 20 years

Cost: $250 NZZD + GST

Time to acquire: Minimum 6 months to acquire

Example for Sanford: PSH

Benefits: An asset that can be used to raise capital + a competitive advantage over other fishing companies through a more efficient, sustainable fishing process, which results in higher-quality seafood and a marketing advantage.

Copyright Case Study - Sanford

Term: Lifetime plus 50 years

Cost: Free

International protection: Automatic

Examples for Sanford: Website and videos on YouTube are automatically covered

Benefits: All marketing materials, videos, and websites are automatically covered.

Trademark Case Study - Sanford

Term: 10 years before renewal

Cost: $100 per class, excluding GST (in NZ)

Time to acquire: 6 months minimum

International protection: Apply via the Madrid System and WIPO; basic fee: $653 Swiss Francs

Examples for Sanford: Brands and packaging

Benefits: Strong brand development, product recognition. Branding adds value to the business and becomes a leverage commodity for the business.

Patent Case Study - Moana

Term: 20 years

Cost: $250 NZZD + GST

Time to acquire: Minimum 6 months to acquire

Example for Sanford: PSH

Copyright Case Study - Moana

Term: Lifetime plus 50 years

Cost: Free

International protection: Automatic

Examples for Sanford: Website and videos on YouTube etc, marketing information

Trademark Case Study - Moana

Term: 10 years before renewal

Cost: $100 per class, excluding GST (in NZ)

Time to acquire: 6 months minimum

International protection: Apply via the Madrid System and WIPO; basic fee: $653 Swiss Francs

Examples for Sanford: Brands and packaging