The rationale behind the concept of intellectual property. What are the underlying premises of the global IP regime?

Discuss the rationale behind the concept of intellectual property. What are the underlying premises of the global IP regime?

Introduction :

The concept of intellectual property (IP) will be understood better if we understand what is meant by the term property. To a lay mind, property means some material object belonging to a particular person. The concept of ownership is critical to the concept of property. Ownership means the right to possess, use and dispose of the property and at the desire of the owner, to exclude the others.

The rationale behind the concept of intellectual property.

Discuss the rationale behind the concept of intellectual property. What are the underlying premises of the global IP regime?.  However, a material object under one’s possession may not amount to much as property if it does not become a resource to satisfy some human want or need. By exertion of his intellect, either in the form of ideas or technology, man converts a natural resource into something of utility, making it an item of property. Two factors significantly influence the value of an object as property.

The first is scarcity, which refers to its availability in relation to the need. The scarcer is a thing in relation to the demand for it, the higher is its value. The second important factor influencing the value of an object is the knowledge of its use or uses. The higher the value of an object, the more zealously it is guarded as a property.

The property can relate to a tangible thing e.g. land or buildings, or to an intangible thing e.g. a copyright. In the former case they are referred to as corporeal property, in the latter case they are known as incorporeal property.

IP is a dynamic area. As science and technology make rapid advances, and as competition for markets becomes ever more fierce, human ingenuity is throwing up ever new ideas and newer products. Different types of IP rights like patent, copyright, trade mark, design etc can protect these ideas and products.

Discuss the rationale behind the concept of intellectual property. What are the underlying premises of the global IP regime?.

The global IP regime

IP has been generally divided into two main categories viz., (a) Industrial Property, (b) Copyright. Industrial property consists of rights relating to inventions, trade marks, industrial designs and appellation of origin. Copyright protects rights related to creation of human mind in the fields of literature, music, art and audio-visual works.

The owner of copyright has rights not only in the original work, but also in creative work that is derived from the original work, e.g. its translation or adaptation or the enactment or production of a film based on the original work. Such rights relating to a copyright are called related rights. There are neighbouring rights on copyright, which protect performances of performing artists, phonograms and broadcasts. Related rights and neighbouring rights are terms used interchangeably.

The TRIPS Agreement of the WTO recognises seven types of intellectual property rights (IPRs):

i) Copyright and Related Rights;

ii) Trade marks, Trade names and Service marks;

iii) Geographical Indications;

iv) Industrial Designs;

v) Patents;

vi) Layout Designs of Integrated Circuits; and

vii) Undisclosed Information

Discuss the rationale behind the concept of intellectual property. What are the underlying premises of the global IP regime?.

Copyright is granted in respect of original literary, musical, artistic or audio-visual works – the creations of authors, playwrights, composers, artists and filmmakers. The rights under copyright include: rights of reproduction, communication to the public, adaptation and translation of work. Copyright is now spoken together with the related or neighbouring rights as one category.

Any other person can come up with a differently written story on the same idea and have a valid claim for a copyright over it. If a painter has a copyright in a painting, which depicts sunrise, no one else can legally copy that painting without his permission. However, there is no copyright in the idea of sunrise and anybody is free to paint sunrise as per his or her own imagination, and everyone will be entitled to copyright in one’s own creation.

Trade marks and service marks are distinctive symbols that help the consumer to distinguish between competing goods or services and are a major part of the goodwill a company enjoys in the trade. A trade name is the name of an enterprise, which also individualises the enterprise in the minds of the customers. They are therefore protected as IP.

 Thus a trade mark is a sign that individualises the goods of a given enterprise and distinguishes them from the goods of its competitors. You may be quite familiar with the distinctive marks of Pepsi-Cola and Coca-Cola Companies. Similarly in passenger cars a characteristic star enclosed in a circle, or a characteristic treelike T, enclosed in an ellipse, displayed in the front and the rear of a vehicle immediately proclaims that the first vehicle is from the Mercedes and the second one is from the Tatas stable.

A trade mark is required to be distinctive and not deceptive. If you market goods of fake leather under the trade mark ‘Realeather’ you will be taken in by a deceptive trademark.

Conclusion :

The IPRs, as their exercise has evolved in practice, can secure for the owner a broad range of advantages depending on the national law. For example, IPRs can effectively block imports or exports of relevant goods, or they can be used to divide markets, or restrict movement of goods produced by an enterprise from one territory to another.

To fully comprehend the consequences of a national legislation in matters of IPR, it is important to grasp the rationale behind the law. The chain of production to distribution of goods involves the following major steps: manufacture; first sale by the manufacturer; subsequent sales; exports/imports; use; and other dealings. The State has to decide where it should intervene to grant exclusive rights to the owner to ensure just reward for creative activity and best techno-economic returns for the state and the society.

Discuss the rationale behind the concept of intellectual property. What are the underlying premises of the global IP regime?

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