INSITUTE OF BUSINESS AND INFORMATION TECHNOLOGYTHE UNIVERSITY OF THE PUNJAB

Business Law AssignmentTopic: Discuss Types of Intellectual Property Rights while elaborating existing related laws of Pakistan also discuss how IP laws can contribute in boosting the business and economy.

Submitted to: Mam Hafiza AminaSection: Morning-A

Group Members:Faiza IdreesF11BA042Maheen ChaudhryF11BA043Shumaila ArshadF11BA062Aiman KhalidF11BA026Aqsa MansoorF11BA020

Intellectual Property:Intellectual property is the area of law that deals with protecting the rights of those who create original works. It covers everything from original plays and novels to inventions and company identification marks. The purpose of intellectual property laws is to encourage new technologies, artistic expressions and inventions while promoting economic growth. When individuals know that their creative work will be protected and that they can benefit from their labor, they are more likely to continue to produce things that create jobs, develop new technology, make processes more efficient, and create beauty in the world around us. Intellectual property rights are like any other property right. They allow creators, or owners, of patents, trademarks or copyrighted works to benefit from their own work or investment in a creation. These rights are outlined in Article 27 of the Universal Declaration of Human Rights, which provides for the right to benefit from the protection of moral and material interests resulting from authorship of scientific, literary or artistic productionsTypes of Intellectual Property rights for Businesses:Entrepreneurs and business owners need to understand the basics of intellectual property law to best protect their hard-earned creations and ideas from unfair competition. 1. CopyrightsCopyrightsprotect original works of authorship, such as literature, music, artistic works, and computer software. As the holder of a copyright, you have the exclusive right to reproduce, adapt, and distribute the work. A copyright exists from the moment the work is created, so registration is voluntary.2. PatentsApatentgrants property rights on inventions, allowing the patent holder to exclude others from making, selling or using the invention. There are 3 types of patents: utility, design and plant. A utility patent is the most common type, and it covers any process, machine, article of manufacture, or composition of matter, or any new and useful improvements thereof.To qualify for a utility patent, the invention must be novel, non-obvious, and have some usefulness.A design patent covers any new, original, and ornamental design for an article of manufacture, while a plant patent covers any new variety of asexually-produced plant. A design patent lasts 14 years, and a utility or plant patent lasts 20 years.

3. TrademarksAtrademarkis a word, phrase, symbol, or design that distinguishes the source of the goods of one business from its competitors. For example, the Nike "swoosh" design identifies shoes that are made by Nike.Before registering your trademark, you should conduct a search of federal and state databases to ensure a similar trademark doesn't already exist. To apply, you must have a clear representation of the mark, as well as an identification of the class of goods or services to which the mark will apply. 4. Trade SecretsA trade secret is a formula, process, device, or other business information that companies keep secret to give them an advantage over their competitors.Examples of trade secrets are: soda formulas, customer lists, survey results, and computer algorithms. Unlike the other types of intellectual property, you can't obtain protection by registering your trade secret. Instead, protection lasts only as long as you take the necessary steps to control disclosure and use of the information.Businesses use non-disclosure agreements, restricted access to confidential information, post-employment restrictive covenants, and other security practices to maintain trade secrets.5. Industrial designsAn industrial design constitutes the ornamental or aesthetic aspect of an article. A design may consist of three-dimensional features, such as the shape or surface of an article, or of two-dimensional features, such as patterns, lines or color.6. Geographical indicationsGeographical indications and appellations of origin are signs used on goods that have a specific geographical origin and possess qualities, a reputation or characteristics that are essentially attributable to that place of origin. Most commonly, a geographical indication includes the name of the place of origin of the goods.7. Data BaseDatabase right prevents copying of substantial parts of a database. The protection is not over the form of expression of information but of the information itself, but in many other aspects database right is similar to copyright.

IP LAWS IN PAKISTAN:TRADEMARK LAW:1. TRADE MARK LAWS IN PROTECTION OF INTELLECTUAL PROPERTY RIGHTS1. Trade Marks Ordinance 2001Trade Marks Ordinance 2001 deals with the remedies regarding protection of Intellectual Property Rights in case of violation of any registered trade mark.1. Infringement of Trade Marks:Section 39 and 40 of the Trade Marks Ordinance 2001 deal with the situations where an infringement of a registered trademark has been occurred. Section 39 says that a registered trademark deems to be a personal property of the proprietor. If any person other than the proprietor uses that mark for the trade which is similar to the goods or services for which that mark has been registered, it shall be deemed to be the infringement of the registered trademark under Section 40. If the words registered goods have been displayed on their packaging or on their container, it is a notice to prohibition of certain acts relating to those goods under Section 41.1. No infringement in certain cases:Section 42 of the Trade Marks Ordinance 2001 describes certain conditions in which trade mark has not been infringed:1. Where the persons name or persons place of business, so long as such use doesnt result in a likelihood of confusion or otherwise interfere with an existing trade mark or other property right;1. The name of the predecessor in business of the person or the name of the predecessors place of business;1. The person uses the mark in a good faith to indicate the kind, quality, quantity, intended purpose, value, geographical origin, or some other characteristics of goods or service; or1. The person uses the mark for the purposes of comparative advertising.

1. Action for Infringement:Section 46 says that the action for infringement of the trade mark can be taken by the proprietor of the trade mark.

1. Remedies for Infringement

1. Damages;1. Injunctions;1. Accounts1. Any other remedies which are available to the person having some other property rights.1. Place where the suit has to be instituted:According to Section 117 of the Trade Marks Ordinance 2001, any suit for the infringement of any trade mark shall be instituted before District Court.PENALTIES IN PAKSITAN PENAL CODE DESIGNED AGAINST INFRINGEMENT OF TRADE, PROPERTY AND OTHER MARKS:Trademark has been defined in Section 478 of the Pakistan Penal Code and Property Mark has been explained in Section 779 ibid. Section 480 defines the false trademark and 481 deals with the using of false property mark.The text of Section 478 to 489 of the Pakistan Penal Code 1860, provide penalties against infringement of Trade, Property and other Marks which is given below:1. Punishment for using a false Trademark or Property MarkSection 482 says that whoever uses any false trademark or any false property mark shall be punished with:1. imprisonment of for a term which may extend to one year; or1. with fine1. With both.

1. Punishment for counterfeiting a Trademark or Property MarkAccording to Section 483 the punishment for counterfeiting any trademark or property mark is two years with fine or confinement only or fine only.1. Punishment for counterfeiting a mark used by a public servantThe offence under Section 484 is an aggravated form of the offence described in the preceding one. An enhanced punishment is, therefore, given where a mark used by a public servant is counterfeited. A three years punishment has been described for counterfeiting a property mark or any other mark used by a public servant.1. Punishment for making or possessing any instrument for counterfeiting a Trademark or Property MarkAccording to Section 485 whoever makes or has in his possession any die, plate or other instrument for the purpose of counterfeiting a trademark or property mark shall be punished with imprisonment for three years with or without fine or fine only.1. Making a false mark upon any receptacle containing goodsSection 487 furnished the false marking of case, package, or receptacle containing goods in a manner reasonable calculated to deceive a public servant or any other person. It is not required that the mark should be a trade mark or property mark. A person making a false mark upon any receptacle containing goods can escape punishment under this section only if he proves that he acted without intent to defraud.1. Punishment for making use of any such false markAccording to Section 488 whoever makes use of any such false mark in any manner prohibited by Section 487 be punished as if he has committed an offence against Section 487 unless he proves that he acted in good faith.1. Punishment for tempering with Property MarkSection 489 says whoever removes, destroys, defaces or adds to any property mark with intention to cause injury to any person shall be punished with one year imprisonment with fine or without fine or fine only.PROTECTION UNDER CUSTOMS ACT 1969:Section 15 specified certain goods which are not allowed to brought into Pakistan, whether by air, or by sea or by land. It includes:1. goods having applied a counterfeit trade mark;1. goods having applied a false trade description;1. goods made or produced outside Pakistan and having applied any name or trade mark of any proprietor, dealer or trader in Pakistan unless:0. the name or trade mark is as to every application, accompanied by a definite indication of the goods that these are made or produced in a place outside Pakistan;0. The country in which that place is situated is in that indication shown in letters as large and conspicuous as any letter in the name or trade mark.1. Goods made or produced outside Pakistan and intended for sale and having applied a design in which copy right exists under the Patents and Designs Act.

PATENT & DESIGN LAW:PROTECTION OF INTELLECTUAL PROPERTY UNDER PATENTS ORDINANCE 2000:1. Suit for infringement of a patentA patentee may institute a suit under section 60 in the District Court which have the jurisdiction to try the suit against any person who during the continuance of the patent acquired by him under this law, in respect of an invention, makes, sells or uses the invention without his license, or counterfeits it, or imitates it.1. Reliefs in suits for infringementIf a patent is infringed by infringer and a suit for infringement has been field against him then the remedies can be availed by the patentee. The Court can order to:1. desist form infringement1. infringer to pay the right holder damages adequate to compensate for the injury he has suffered because of infringement;1. pay the right holder expenses which may include appropriate attorneys fee;1. the recovery of profits, damages and pre-established damages;1. dispose off the goods (which found to be the infringing) outside the channels of commerce without giving any compensation to the infringer;1. dispose off the material, implements and predominant, use of which has been in infringing goods, outside the channels of commerce to minimize the risk of more infringement without giving any compensation to the infringer;1. infringer to inform the right holder of the identity of third parties involved in production and distribution of the infringing goods and their channel of commerce in case of serious infringement;1. adequate compensation to the party who has been wrongfully restrained by the party on whose request measures has been taken;1. The applicant to pay the defendants expenses including attorneys fee.1. prevent an infringement, if there are imported goods the court can order to prevent its customs clearance;1. preserve its relevant evidence in the alleged infringement; and1. Provisional measures to prevent the delay which cause harm to the right holder or where there is a demonstrable risk of evidence being destroyed.PROTECTION UNDER REGISTERED DESIGNS ORDINANCE 20001. Remedies under Section 8If any person infringes a registered proprietors right, the proprietor may:1. Bring a suit against him for the recovery of damages; and1. Bring a suit for an injunction for the continuance of the infringement.COPYRIGHT LAW:COPYRIGHT PROTECTION UNDER COPYRIGHT ORDINANCE 19621. Duration of CopyrightThe period of copyright of a literary, dramatic, musical or artistic work (other than a photograph) is the life of the author and 50 years thereafter. In the case of a cinematographic work and a photograph, copyright subsists until 50 years from the beginning of the calendar year from publication of the work.1. Infringement of CopyrightThe act of copying of work, which is entitled to copyright protection, by any method, either directly or with the aid of a machine or device constitutes an infringement of the copyright in the work. Section 56 of the Ordinance provides that copyright in a work shall be deemed to be infringed in the following cases:when any person without the consent of the owner of the copyright or without a license granted by such owner or the Registrar under the Ordinance or in contravention of the conditions of a license so granted or of any condition imposed by a competent authority under the Ordinance:1. does anything the exclusive right to do which is by this Ordinance conferred upon the owner of the copyright; or1. permits for profit any place to be used for the performance of the work in public where such performance constitutes an infringement of the copyright in the work unless he was not aware and had no reasonable ground for suspecting, that such performance would be an infringement of the copyright, orWhen any person:1. makes for sale or hire or sells or lets for hire, or by way of trade displays or offers for sale or hire, or1. distributes either for the purpose of trade to such as extent as to affect prejudicially the owner of the copyright, or1. by way of trade exhibits in public, or1. Imports into Pakistan, any infringing copies of the work.

1. Infringement of Computer Program:Pursuant to the restrictions imposed under Section 56 of the Ordinance, even the purchasers of computer program may not copy, adapt or make copies of adaption of the program in connection with their use by themselves or their employees. The unauthorized use of a computer program in a computer is also infringement of the copyright. Accordingly, if a duplicate of a computer program is acquired by someone who has no license to use it, the copyright owner has the right to prevent him using it. Section 56 also restricts rental of computer program to un-authorized users. Intention to copy computer program is not an essential ingredient of infringement; nor is it essential that the copying be in the same medium. Thus, a computer program stored on diskettes (or any other magnetic media) can be infringed by copying the same on paper, or taking a print-out of the same.1. Liability for InfringementIn the event of infringement, liability of infringement falls upon the person who, without the consent of the owner of the computer program does any of the restricted acts; or authorizes any other person to do any such acts; or commits any acts of infringement.1. Remedies for InfringementThere are two remedies for breach of copyright in Pakistan; civil proceedings and criminal proceedings. Accordingly, a person whose copyright has been infringed is able to sue for damages, claim an injunction, an account of the profits gained by the defendants as a result of the infringement, delivery up of infringing articles etc. Recently added section 74(3) of the Ordinance provides that all offences under the Ordinance are cognizable and non-bail able. Section 59 of the Ordinance provides that an action may be brought by the original owner of the copyright, which, inter alia, include the person to whom an exclusive license has been granted. Amended Section 65 of the Ordinance provides that every suit or other civil proceedings regarding infringement, at the discretion of the applicant, should be instituted and tried in the Court of the District Judge.Section 66 of the Ordinance, as amended by the Amendment Act, provides that any person who knowingly infringes or abets the infringement of the copyright in a work (defined to include computer program), or any other right conferred by the Ordinance shall be punishable with imprisonment which may extend to 3 years, or with fine which may extent to one hundred thousand rupees (one US dollars nearly equals twenty five rupees), or with both. Additionally, Section 70B of the Ordinance provides that where any person convicted for an offence punishable under, inter alia, Section 66 is again convicted for the same offence, he shall in such event be imposed with a fine (beside the imprisonment which may extent to 3 years) upto rupees two hundred thousand.Recently amended Section 74(1) of the Ordinance now gives additional powers to police to seize infringing copies of the work. The section empowers any police officer, if he is satisfied that an offence in respect of infringement in any work has been, is being, or is likely to be committed, to seize without warrant all copies of the work and all plates and recording equipments used for the purposes of making infringed copies of the work, wherever found, and all copies, plates and recording equipments so seized shall, as soon as possible, be produced before a Magistrate.1. Offences by CompaniesSection 71 of the Ordinance provides that where an offence under the Ordinance is committed by a company, every person who at the time was in charge of, and was responsible to the company for the conduct of the business of the company as well as the company is deemed to be guilty of such offence and is liable to be proceeded against and punished accordingly. Except in the circumstances, the accused proves that the offence was committed without his knowledge or that he exercised due diligence to prevent the commission of such offence, he is deemed guilty.INTELLECTUAL PROPERT CONTRIBUTING IN BUSINESS AND ECONOMY:A Power Tool for Economic Growth seeks to demystify intellectual property (IP) and to explain the why and the how of the subject unlike many other IP texts that concentrate on the what. Its message is that intellectual property is a power tool for economic development and wealth creation that is not yet being used to optimal effect in all countries, particularly in the developing world. It is a practical guide to using those intangible assets such as knowledge, information, creativity and inventiveness that are rapidly replacing traditional and tangible assets such as land, labor and capital as the driving forces of economic health and social well-beingCreativity and innovation Imagination is more important than knowledge Albert Einstein Albert Einsteins preference for imagination over knowledge is a starting point, because IP laws are based on the power of imagination. Einstein understood that it is the ability to stand on an existing foundation of accepted knowledge, and see beyond to the next frontier of discovery that is the source of personal, cultural and economic advancement. This is how IP laws contribute in economic development.1. Intellectual property a power tool for economic growth.2. The World Intellectual Property Organization (WIPO) believes that IP is native to all nations and relevant in all cultures, and that it has contributed to the progress of societies. He understood that the power of creativity and innovation applied to artistic expression or the solving of practical problems is not the exclusive province of any country or people, but is a resource of limitless potential available to everyone. Amassed in the form of IP, it is a force that can be used to enrich the lives of individuals and the future of nations materially, culturally and socially.ECONOMICS AND INTELLECTUAL PROPERTY: For many years, economists have tried to provide an explanation as to why some economies grow fast while others do not; in other words, why some countries are rich and others are not. It is generally agreed that knowledge and innovation have played an important role in recent economic growth.One of the consequences of the emerging importance of IP and the new pattern of global trade that started at the beginning of the 1990s was the forging of a deliberate connection between the two. Some developed countries began to use trade measures to curb piracy of intellectual property abroad. Among other things, this led to the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS), one of the World Trade Organization (WTO) agreements resulting from the multilateral trade negotiations under the Uruguay Round.The Purposes and Mechanisms of Intellectual Property Rights in Business

There are two central economic objectives of any system of intellectual property protection.

First: The first is to promote investments in knowledge creation and business innovation by establishing exclusive rights to use and sell newly developed technologies, goods, and services. Absent such rights, economically valuable information could be appropriated without compensation by competitive rivals. Firms would be less willing to incur the costs of investing in research and commercialization activities. In economic terms, weak IPRS create a negative dynamic externality. They fail to overcome the problems of uncertainty in R&D and risks in competitive appropriation that are inherent in private markets for information.

Second goal: The second goal is to promote widespread dissemination of new knowledge by encouraging (or requiring) rights holders to place their inventions and ideas on the market. Information is a form of public good in that it is inherently non-rival and, moreover, developers may find it difficult to exclude others from using it. In economic terms it is socially efficient to provide wide access to new technologies and products, once they are developed, at marginal production costs. Such costs could be quite low for they may entail simply copying a blueprint or making another copy of a compact disk or video.

There is a fundamental tradeoff between these objectives. An overly protective system of IPRS could limit the social gains from invention by reducing incentives to disseminate its fruits. However, an excessively weak system could reduce innovation by failing to provide an adequate return on investment. Thus, a policy balance needs to be found that is appropriate to market conditions and conducive to growth.Intellectual Property, the American Economy and Economic Growth Intellectual property: Played an important role in the growth of the American economy from a primarily agrarian society through an industrial economy to the current information age. One researcher notes that even in the early part of the nineteenth century, the American patent system granted effective intellectual property rights that led to the development and diffusion of new technologies that fueled economic growth and prosperity. Today intellectual property protection plays an important role in many industries in which the United States has a comparative advantage and contributes to the size, growth, and exports of the American economyBenefiting from Intellectual Property Rights in Business Perspective.The adoption of stronger IPRS in developing countries is often defended by claims that this reform will attract significant new inward flows of technology, a blossoming of local innovation and cultural industries, and a faster closing of the technology gap between themselves and developed countries. It must be recognized, however, that improved IPRS by themselves are highly unlikely to produce such benefits

Positive Impacts of IPRS on Economic DevelopmentIntellectual property rights could play a significant role in encouraging innovation, product development, and technical change. Developing countries tend to have IPRS systems that favor information diffusion through low-cost imitation of foreign products and technologies. This policy stance suggests that prospects for domestic invention and innovation are insufficiently developed to warrant protection. However, inadequate IPRS could stifle technical change even at low levels of economic development. This is because much invention and product innovation are aimed at local markets and could benefit from domestic protection of patents, utility models, and trade secrets. In the vast majority of cases, invention involves minor adaptations of existing technologies and products. The cumulative impacts of these small inventions can be critical for growth in knowledge and productive activity. To become competitive, enterprises in developing countries typically must adopt new management and organizational systems and techniques for quality control, which can markedly raise productivity.

Implementing Pro-competitive IPRS Standards

Developing nations are overwhelmingly importers of technology, suggesting that they should establish standards that encourage learning and follow-on innovation within their IPRS system. For example, patent examiners could follow the highest reasonable standards for non-obviousness in invention patents, require early disclosure of technological information, limit protection to narrow patent claims, and establish a narrow doctrine of equivalents. The last approach, exemplified by an effective system of utility models, could be significant for encouraging the development of local capacity to invent legitimately around patents. An effective system of opposition to patent grants is important for interested parties to make available information about prior art.

Enhance Capacities to Develop and Use IPRS

The dynamic benefits countries accrue from IPRS depend on their abilities to develop and absorb technologies and new products. In this context, three issues are critical for development purposes. First, it is clear that the ability to adapt new technologies to local industrial uses is improved by strong levels of educational attainment and sizeable endowments of human capital. Thus, there are important payoffs to providing access to technical training and secondary or university education. Promote Competitive Markets

Ultimately, perhaps the most important determinant of the success of an IPRS regime is the competitive nature of the markets within which it operates. Put briefly, the dynamic gains from IPRS are larger, and the costs of abuse are smaller, in economies with competitive market structures.

Develop Competition Policies

Because intellectual property rights create market power, their use is potentially subject to anticompetitive abuses. Such concerns are often overstated. Intellectual property rights define the boundaries within which an inventor or creator has exclusive use rights. Such rights rarely create strong monopoly positions unless they are combined with restrictions on competitive entry by other firms. Indeed, IPRS are critical for promoting R&D that generates dynamic competition.

References:http://www.dmu.ac.uk/research/research-support/intellectual-property/types-of-intellectual-property-rights.aspxhttp://www.ipos.gov.sg/AboutIP/TypesofIPWhatisIntellectualProperty.aspxhttps://www.upcounsel.com/intellectual-property-protectionhttp://law.zafcointl.com/area_ip_law.htmlhttp://www.ippakistan.net/iprlaws.phphttp://usa.usembassy.de/etexts/econ/eop/2006/2006-10.pdfhttp://www.alllaw.com/topics/intellectual_propertyhttp://www.wipo.int/edocs/pubdocs/en/intproperty/888/wipo_pub_888_1.pdfwww.colorado.edu/economics/mcguire/workingpapers/cwrurev.doc