Intellectual Property Rights (IPR)
Intellectual Property Rights (IPR)
Intellectual Property Rights (IPR) are legal rights granted to creators or owners of intellectual property (creations of the mind) for a certain period. These rights give the creator or owner exclusive control over the use of their creations.
Just as physical property rights allow owners to control their tangible assets, intellectual property rights allow creators to control their intangible creations. IPR encourages innovation and creativity by providing legal protection and enabling creators to benefit from their work.
IPR is governed by national laws and international treaties. In India, various specific Acts govern different types of IPR, such as The Copyright Act, 1957, The Trademarks Act, 1999, The Patents Act, 1970, etc.
Why Is Ipr Important For Entrepreneurs?
IPR is particularly important for entrepreneurs and MSMEs for several reasons:
- Protection of Innovation: IPR protects the unique ideas, inventions, brands, and creative works of entrepreneurs from being copied or used by others without permission. This encourages entrepreneurs to invest time, effort, and money in developing new things.
- Competitive Advantage: Owning IPR (like patents or trademarks) can give an entrepreneur a unique selling proposition and a competitive edge in the market.
- Monetisation and Revenue Generation: Entrepreneurs can earn revenue by licensing their IPR to others, selling their IPR, or using it exclusively in their business. This can provide a return on their investment in innovation.
- Raising Finance: IPR can be considered as an asset, which can be valuable when seeking investment or loans. Investors and lenders may view companies with strong IPR portfolios as more valuable and less risky.
- Brand Building and Reputation: Trademarks help build and protect the brand identity and reputation of an entrepreneur's business.
- Preventing Infringement: IPR provides legal recourse against others who misuse their intellectual property, allowing them to take legal action to stop infringement and claim damages.
For entrepreneurs, particularly in innovative or creative fields, understanding and protecting their IPR is crucial for business success and sustainability.
Types Of Ips
Intellectual Property (IP) is categorised into various types, each protected by specific legal rights. The main types of IP are:
- Copyright
- Trademark
- Geographical Indication
- Patent
- Design
- Plant Variety
- Semiconductor Integrated Circuits Layout Design
- Trade Secrets (though not a formal registration-based right in the same way)
Each type protects a different kind of creation.
Copyright
Copyright protects original works of authorship, such as literary, dramatic, musical, and certain artistic works. It grants the creator exclusive rights to reproduce, distribute, perform, display, or license their work.
Copyright protection is automatic upon creation of the work, though registration is recommended for better legal standing in case of disputes.
Protected Works: Books, articles, music, films, paintings, sculptures, computer software, databases, architectural works, etc.
Duration: Generally, the lifetime of the author plus 60 years after their death. For cinematic films, sound recordings, photographs, post-humous works, anonymous/pseudonymous works, and works of government/public undertakings, it's 60 years from the year of publication.
Governing Act in India: The Copyright Act, 1957.
Trademark
A Trademark is a sign (like a word, name, symbol, logo, colour, sound, or a combination of these) used to identify and distinguish the goods or services of one party from those of others. It helps consumers recognise the source of a product or service.
Registration of a trademark provides exclusive rights to use the mark for the goods/services for which it is registered and prevents others from using a similar mark that is likely to cause confusion.
Duration: Initially registered for 10 years, renewable indefinitely for subsequent periods of 10 years.
Governing Act in India: The Trademarks Act, 1999.
Example: The 'Tata' logo for Tata Group, the 'Mahindra' name for Mahindra & Mahindra vehicles, the 'SBI' logo for State Bank of India.
Geographical Indication (GI)
A Geographical Indication (GI) is a sign used on products that have a specific geographical origin and possess qualities or a reputation that are due to that origin.
GI protection ensures that only products coming from the specific geographical region are allowed to use the GI tag, preventing others from misrepresenting their products. It is a collective right, benefiting producers in the designated region.
Protected Products: Agricultural products, natural products, manufactured goods, or handicrafts known for originating from a particular area.
Duration: Initially for 10 years, renewable indefinitely for subsequent periods of 10 years.
Governing Act in India: The Geographical Indications of Goods (Registration and Protection) Act, 1999.
Examples in India: Darjeeling Tea, Basmati Rice, Kanchipuram Silk Saree, Alphonso Mango, Nagpur Orange, Kolhapuri Chappal, Mysore Sandalwood.
Patent
A Patent is an exclusive right granted for an invention. It provides the patent owner with the right to decide how - or whether - the invention can be used by others. In exchange for this right, the patent owner makes technical information about the invention publicly available in the published patent document.
To be patentable, an invention generally must be new (novelty), non-obvious (inventive step), and capable of industrial application (utility).
Protected Inventions: Products or processes that offer a new technical solution to a problem.
Duration: 20 years from the date of filing the patent application, non-renewable.
Governing Act in India: The Patents Act, 1970.
Example: A new drug formulation, a new manufacturing process for cement, a new type of engine.
Design
A Design refers to the aesthetic or ornamental aspect of an article. It relates to the features of shape, configuration, pattern, ornamentation, or composition of lines or colours applied to any article.
Design registration protects the visual appearance of a product, not its functional features.
Protected Designs: The unique appearance of an article, such as the shape of a bottle, the pattern on a textile, or the design of a piece of furniture.
Duration: Initially for 10 years, renewable for a further 5 years.
Governing Act in India: The Designs Act, 2000.
Example: The distinctive shape of a Coca-Cola bottle, the pattern of a specific wallpaper, the design of a mobile phone casing.
Plant Variety
Protection of Plant Varieties and Farmers' Rights (PPV&FR) is a unique form of IPR in agriculture. It grants exclusive rights to breeders of new plant varieties, similar to patents for inventions, while also recognising the rights of farmers who develop, conserve, and breed new varieties.
Protected: New, distinct, uniform, and stable plant varieties. Farmers' varieties are also protected under the Act.
Duration: Varies depending on the plant type (15-18 years), renewable.
Governing Act in India: The Protection of Plant Varieties and Farmers' Rights Act, 2001.
Example: A newly developed disease-resistant variety of wheat, a high-yield variety of cotton.
Semiconductor Integrated Circuits Layout Design (SICLD)
This type of IPR protects the layout-design (topography) of semiconductor integrated circuits. It protects the specific arrangement of circuits in a microchip.
Protected: The original layout-design of a semiconductor integrated circuit.
Duration: 10 years from the date of filing the application or from the date of first commercial exploitation anywhere in India or any country, whichever is earlier.
Governing Act in India: The Semiconductor Integrated Circuits Layout-Design Act, 2000.
Example: The unique layout of transistors and other components on a specific computer chip.
Understanding these different types of IPR helps entrepreneurs identify which of their creations can be protected and take steps to secure those rights, safeguarding their innovations and enhancing their business value.