ip law_term paper by rmpiyadasa

Upload: pratnayake

Post on 30-May-2018

215 views

Category:

Documents


0 download

TRANSCRIPT

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    1/32

    1. Introduction

    Intellectual property is commonly regarded as an esoteric branch of the law. It is

    characterized by being complex and until recently it was a little understood and somewhat

    discrete area of the law. Its complexity stems from the fact that it has as its subject intangible

    items such as ideas, concepts, goodwill, cultural expressions and the like. This must be

    contrasted with tangible goods such as vehicles, ships, equipment, household goods, and

    immovable items such as portions of land, all of which have a physical existence. The

    application of the law to tangible, physical items is in principle less complicated than when

    the law is applied to intangible, immaterial items which are cast in the form of property.

    Intellectual Property (IP) is an example of intangible personal property. It cannot be

    touched. It is a collection of ideas and information in a broadly commercial context that the

    law recognizes as having a value by providing protection. In other words, it is property

    defined by various legally enforceable rights.

    A patentee (a patent holder / an owner of a patent) owns the right to prevent others

    from making, using, or selling the patented invention. An invention contains not only the

    product alone. For example, the invention itself may be composed of a new pharmaceutical

    drug, the process for making the drug, or the machines that make the drug. Each is patentable

    (the chemical composition of the drug, the process for making it, and the machine that makes

    it) and, yet, the patentee may have no physical facilities to produce the patented product.

    Instead the patentee may decide to licence the right to make its patented product to a more

    established pharmaceutical firm and collect its reward in the form of royalties from drug

    sales made by the licensee. When pills containing the patented drugs are made, the patentee

    does not own those pills but, rather, just owns the right to exclude others from making those

    pills except by agreement.

    From the above example it is clear that it is not necessary that the patentee himself

    produce or manufacture the patented product, instead he can license his patent right in

    consideration for a royalty or sell his patent right to a firm which has the capability to

    produce or manufacture the patented product. The most prominent forms of IP are patent,

    trade secret, copyright, and trademarks.

    1

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    2/32

    Man creates and hence he is said to be creative. Intellectual capacity of man (i.e.

    human being) is superior among all other known creatures on the earth. Intellectual Property

    is the result of human creativity. As Sony co-founder Masaru Ibuka remarked upon being

    rewarded the Japanese Order of Culture, Inventions are the fount of culture. They are

    essential to any cultures development. There have been many significant inventions

    throughout the course of history, among them the ancient inventions of the water clock and

    paper-making, the invention of the printing press in the Middle Ages and, more recently,

    Edisons phonograph and the steam engine, which powered the Industrial Revolution. All of

    these inventions have had a profound impact on the course of human civilization and sparked

    great cultural development. Sakichi Toyoda, widely acknowledged as one of Japans top

    ten inventors of all time for his invention of the worlds best automatic looms, believed that

    inventing useful technologies and obtaining good patents contributed to the advance of

    civilization- and that patents are thus the foundation of civilization.

    Minimum rules have been agreed upon through the TRIPS (Trade-Related Aspects of

    Intellectual Property Rights) Agreement for the protection of patents and other intellectual

    property rights. People have to be made more patent-minded in the 21st Century. Access to

    foreign technology can be had only if patent rights are respected. For example, China has

    now understood the vitality of developing a better understanding of Intellectual Property

    Rights, including the need not to infringe on foreign firms patents. The case in point is

    Chinese Environmental Business sector including measures which need to be taken to

    prevent air pollution and to provide for the safe disposal of urban waste. Now China

    welcomes foreign firms as active participants in those business sectors, among others.

    Today, managers in companies of all sizes must be cognizant of the basics of IP Law

    in their daily decision making. Mistakes in the management of IP are legendary and the

    frequent focus of articles in newspapers and other periodicals, of the courts, and increasingly

    in the training of future managers. The modern tale of Nigerian Wax-Resist Textiles

    published in the WIPO MAGAZINE No.4 of August 2009 is a classic case for the need to be

    vigilant in protecting trademarks. This case highlights the vitality of protecting IP and the

    consequences of not being able to be patent-minded as a country at large and protect ones IP

    Rights from being infringed. A recent book by Stephanie Ngo Mbem (WIPO Magazine

    1/2009), discusses the protection of industrial designs as key to development in Africa.

    2

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    3/32

    Recognition of IP issues is essential for managers who want to manage effectively.

    Decisions to apply for patents, to rely on trade secrets, or to apply combination strategies to

    IP protection are management decisions. Lawyers can be useful for pointing out the costs and

    benefits of alternative choices, but ultimately, IP decisions are management decisions. The

    success of managers is increasingly tied to their success at managing IP. Therefore,

    knowledge of the basics of IP law should be part of the skill set that modern managers

    possess. Having a well crafted IP strategy is a competitive advantage in the stiff competition

    prevailing in the global market.

    2. Intellectual Property

    Writers, inventors and artists transform ideas into tangible property. When this property

    qualifies under law for protection its known as Intellectual Property or (IP). A photographer

    is wondering why an advertising agency can copy her photographs without permission. An

    inventor is wondering why he cannot stop a foreign manufacturer from making his patented

    invention. A man named McDonald is wondering why he cannot open a restaurant called

    McDonalds. And a woman who spends US$ Rs.600 on a software program is wondering

    why its illegal to share copies with her friends. So the world of Intellectual Property is

    wonderful and interesting to explore.

    But not all products of the mind can achieve protection under Intellectual Property

    Law. Determining what can be protected and why used to be the exclusive domain of patent,

    copyright, and trademark lawyers.

    However, Intellectual Property is not an inscrutable discipline. Anybody can

    understand the basics.

    Copyright legislation is part of the wider body of law known as intellectual property.

    The term intellectual property refers broadly to the creations of the human mind. Intellectual

    property rights protect the interests of creators by giving them property rights over their

    creations.

    3

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    4/32

    The Convention Establishing the World Intellectual Property Organization (1967)

    gives the following list of subject matter protected by intellectual property rights:

    literary, artistic and scientific works;

    performances of performing artists, phonograms, and broadcasts;

    inventions in all fields of human endeavor;

    scientific discoveries;

    industrial designs;

    trademarks, service marks, and commercial names and designations;

    protection against unfair competition; and

    all other rights resulting from intellectual activity in the industrial, scientific, literary

    or artistic fields.

    Intellectual property relates to items of information or knowledge, which can be

    incorporated in tangible objects at the same time in an unlimited number of copies at

    different locations anywhere in the world. The property is not in those copies but in the

    information or knowledge reflected in them. Intellectual property rights are also

    characterized by certain limitations, such as limited duration in the case of copyright and

    patents.

    The importance of protecting intellectual property was first recognized in the Paris

    Convention for the Protection of Industrial Property in 1883 and the Berne Convention for

    the Protection of Literary and Artistic Works in 1886. Both treaties are administered by the

    World Intellectual Property Organization (WIPO).

    Countries generally have laws to protect intellectual property for two main reasons.

    One is to give statutory expression to the moral and economic rights of creators in their

    creations and to the rights of the public in accessing those creations. The second is to

    promote creativity, and the dissemination and application of its results, and to encourage fair

    trade, which would contribute to economic and social development.

    4

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    5/32

    The Two Branches of Intellectual Property: Industrial Property and Copyright

    Intellectual property is usually divided into two branches, namely industrial property, which

    broadly speaking protects inventions, and copyright, which protects literary and artistic

    works.

    Industrial property takes a range of forms. These include patents to protect inventions,

    and industrial designs, which are aesthetic creations determining the appearance of industrial

    products. Industrial property also covers trademarks, service marks, layout-designs of

    integrated circuits, commercial names and designations, as well as geographical indications,

    and protection against unfair competition.

    Copyright relates to artistic creations, such as books, music, paintings and sculptures,

    films and technology-based works such as computer programs and electronic databases. In

    most European languages other than English, copyright is known as authors rights. The

    expression copyright refers to the main act which, in respect of literary and artistic creations,

    may be made only by the author or with his authorization. That act is the making of copies of

    the work. The expression authors rights refer to the creator of the artistic work, its author. It

    thus underlines the fact, recognized in most laws, that the author has certain specific rights in

    his creation which only he can exercise (such as the right to prevent a distorted reproduction).

    Other rights (such as the right to make copies) can be exercised by other persons, for

    example, a publisher who has obtained a license from the author.

    While other types of intellectual property also exist, it is helpful for present purposes

    to explore the distinction between industrial property and copyright in terms of the basic

    difference between inventions and literary and artistic works.

    Inventions may be defined in a non-legal sense as new solutions to technical

    problems. These new solutions are ideas, and are protected as such; protection of inventions

    under patent law does not require that the invention be represented in a physical embodiment.

    The protection accorded to inventors is, therefore, protection against any use of the invention

    5

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    6/32

    without the authorization of the owner. Even a person, who later makes the same invention

    independently, without copying or even being aware of the first inventors work, must obtain

    authorization before he can exploit it.

    Unlike protection of inventions, copyright law protects only the form of expression of

    ideas, not the ideas themselves. The creativity protected by copyright law is creativity in the

    choice and arrangement of words, musical notes, colours and shapes. So copyright law

    protects the owner of property rights against those who copy or otherwise take and use the

    form in which the original work was expressed by the author.

    From this basic difference between inventions and literary and artistic works, it

    follows that the legal protection provided to each also differs. Since protection for inventions

    gives a monopoly right to exploit an idea, such protection is short in duration- usually about

    20 years. The fact that the invention is protected must also be made known to the public.

    There must be an official notification that a specific, fully described invention is the property

    of a specific owner for a fixed number of years; in other words, the protected invention must

    be disclosed publicly in an official register.

    Since the legal protection of literary and artistic works under copyright, by contrast,

    prevents only unauthorized use of the expressions of ideas, the duration of protection can be

    much longer than in the case of the protection of ideas themselves, without damage to the

    public interest. Also, the law can be - and in most countries is - simply declaratory, i.e., the

    law may state that the author of an original work has the right to prevent other persons from

    copying or otherwise using his work. So a created work is considered protected as soon as it

    exists, and a public register of copyright protected works is not necessary.

    1. The Importance of Intellectual Property

    Intellectual Property is a matter of great importance to many businesses, and individuals too.

    It is significant to the national economy too.

    6

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    7/32

    The Chief Scientific Advisor to the cabinet in England, Dr. Robin Nicholson, was

    commissioned to produce a report in 1983 to report on the treatment of Intellectual property

    and the encouragement of its exploitation. The result was a Green Paper, Intellectual

    Property Rights and Innovation (cmnd 9117). Publication of the Nicholson Report, as it was

    known, marked perhaps the high point of government and industrial interest in IP.

    The opening remarks of that Green Paper named Nicholson Report are worth studying as a

    statement of what the intellectual property system is all about. Therefore, those opening

    remarks are included in this Term Paper in view of my personal opinion and the

    consideration that the importance of this term paper will enhance as a future reference

    material on IP Law.

    The context of intellectual property rights:

    1.6 The interests of all parties, and therefore of the nation as a whole, would appear to be

    served by encouraging the bringing of new products and manufacturing processes to

    the market. However, interests can diverge over how this should happen and in the

    legal rights and monopolies involved. For example, the inventor, in so far as he is not

    the producer:

    Wants the highest price possible for his invention and the credit for it, even if he

    may not be aware of its ultimate commercial potential.

    The producer

    Wants ready access to new inventions which he can incorporate in his products in

    order to gain market advantage.

    Wants to hold on to this advantage as long as possible against competitors

    capable of using the same invention

    May want to delay exploitation of an invention until a moment of his own

    choosing (or even indefinitely)

    The consumer on the other hand:

    Wants a continuing flow of improved products at the lowest possible prices;

    7

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    8/32

    To that end wants a wide dissemination of the state of the art on existing products

    and the potential for future ones so that continues product development is

    stimulated and consumer choice guaranteed;

    May not mind if the products derive from copying others work.

    1.6 The following are the main ways in which all developed countries create a legal

    regime or take other action in an attempt to strike a balance between the interests

    described above:

    (1) A product is brought to the market only because the producer has been able to

    keep the know-how behind it secret and thus hidden from potential competitors

    and copiers. Employees can be bound by the law of confidence.

    (2) The parties involved establish their respective rights and obligations by a formal

    contract. Examples are know-how and confidence arrangements which place

    obligations on customers, and licensing arrangements all enforceable by law, by

    which an innovator allows others to manufacture a product for a fee.

    (3) The public authorities may intervene:

    (a) By the granting of monopolistic legal protection to the innovative idea.

    The protection is usually limited for a period of time, protected from abuse

    and subject to disclosure so that incentives are given to innovators but

    consumer protection from long-term monopoly profits is also established.

    This is the essence of intellectual property rights.

    (b) By a subsidy to the producers of innovation so that the chances of the new

    products-wide public availability are enhanced.

    The case for intellectual property rights

    1.6 A system of intellectual property rights should encourage new products and processes

    to reach the market and bolster the trade in ideas. That a system based on principles

    in 1.7.3.a. should meet these objectives sounds plausible in theory. It should provide

    adequate benefits and production for all the parties as follows:

    1. Where R&D costs are high the inventor and producer (whose combined role

    we call that of the innovator) would not make the original investment if an

    imitator could immediately scoop the market with cheap copies.

    8

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    9/32

    2. Even if R&D costs are not particularly high, innovative small businesses,

    which do not have the legal resources, manufacturing power and dominant

    marketing capability of the large firm, need protection. They would be hit

    particularly hard if their only asset, production innovation, could immediately

    be copied and sold at a punitive low price, cross-subsidised from other

    products.

    3. The consumers interest is served by disclosure. Without IPRs there would be

    both a clear disincentive to invest in the more expensive forms of innovative

    research and more reliance on commercial secrecy. The latter would

    contribute towards the duplication of research effort. By requiring disclosure,

    the IP system facilitates the exchange of information and encourages further

    invention.

    4. Wider use of new ideas is encouraged by legally protected IP which allows

    trade to develop on the basis of licences. Even large firms may balk at the

    difficulty of exploiting fully a new market: Bell Labs did not attempt to

    monopolise the applications of the transistor. For small firms or private

    individuals, without the will or resources to produce and market their

    innovation themselves, the Return on Investment (ROI) will often be

    dependent on licensing the IP for use. Trade is likely to be encouraged most if

    the license provide for royalty income (based on the incidence of use, on the

    profits, on sales, or some combination) rather than a once-for-all fee that has

    to be settled before the market is established.

    5. The consumer and competitor are shielded from the abuse of monopoly power

    both because monopoly rights are circumscribed and because IP is not exempt

    from the application of the Restrictive Trade Practices Act or the Competition

    Act and the investigation by the MMC.

    6. For a nation which produces proportionately more good ideas than most

    countries, but has a relatively small home market and has been less successful

    in the application of technology, the public good lies in trading products and

    ideas. It is therefore, in the overall national interest that a strong worldwide

    system of protecting IP should exist.

    9

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    10/32

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    11/32

    exclusive right to authorize reproduction, issue of copies to the public, making adaptations,

    public performance, recording, broadcasting, and including in a cable programme service.

    Different people can be granted licenses to do each of these acts, and they can even be

    subdivided; an author may give the rights to publish a hardback edition to one publisher and

    the paperback right to another.

    Volatility: Intellectual Property Law is an organic growth. Before printing was invented,

    literary works required no protection: they resided in the memories of their owners, and were

    recited to order. Trademarks only became important when society moved from one in which

    individuals traded their own products.

    Technological and other developments create a demand for intellectual property protection;

    though as we have seen not all such demands will be met. Most recently, our notions aboutIP are being challenged by the growth of internet. Copyright in particular is put in need of

    reform. John Perry Barlow in A Framework for Rethinking patents and Copyright in the

    Digital Age says that everything you know about IP is wrong, and this is being proved

    day by day in all new developments in the internet such as blog writing, tweeters, etc.

    The problem of digitised property: If our property can be infinitely reproduced and

    instantaneously distributed all over the planet without cost, without our knowledge, without

    its even leaving our possession, how can we protect it? How are we going to get paid for thework we do with our minds? And, if we cant get paid, what will assure the continued

    creation and distribution of such work? These are the questions which we need to find

    answers sooner or later.

    5. How intellectual Property Law works

    IP laws, along with court decisions and regulations, establish rules for the following

    activities:

    Selling or licensing of intellectual property

    Resolving disputes between companies making or selling similar intellectual property

    products and services, and

    The registration and administration of intellectual property.

    11

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    12/32

    IP laws dont prevent someone from stepping on the owners right. But the laws do give an

    owner the ammunition to take a trespasser to court. This is the most well known benefit of

    owning Intellectual Property. The owner acquires exclusive rights and can file a lawsuit to

    stop others who use the property without authorization.

    5. Determining what rights apply to our work

    If we are concerned with a creation of our own, we will first need to know what form (or

    forms) of Intellectual Property applies to it.

    The following basic rules will help get started:

    Utility patents are awarded for new processes, machines, manufactures, or

    compositions of matter, or new uses of any of the above.

    Design patents are awarded to non-functional, ornamental, or aesthetic design

    elements of an invention or product.

    Plant patents are granted for a sexually or sexually reproducible plants (such as

    flowers).

    Copyright law protects expressions of creative ideas such as songs, artwork, writing,

    films, software, architecture, and video games.

    Trademark law protects marketing signifiers such as the name of a product or

    service, or the symbols, logos, shapes, designs, sounds, or smells used to identify it.

    Trade secret law commonly protects confidential designs, devices, processes,

    compositions, techniques, formulas, information or recipes.

    6. 21st Century An age of Intellectual Creation and the Importance ofIntellectual Property for the Economic Development

    21st Century will be an era of great intellectual creations. People all over the world use their

    creative energies to come up with new goods and services. There is no limit for human

    creativity. We are what we are today because of creativity and intellectual capacity of our

    forefathers. Man never ceased to be creative, nor will he tomorrow. Most importantly, 21 st

    Century will be an unprecedented age of human civilization in which the patent system is

    12

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    13/32

    used to ensure that the inventors share in these advances and that the concepts involved are

    made available to society at large.

    People world-wide are experiencing a major global credit crunch and immense economic

    hardships due to recession caused by subprime meltdown in the U.S.A. and it is clearly anoutcome of resorting to short-termist get-rich approaches without finding ways to turn out

    better products at lower cost.

    Some countries are learning better and faster than others and Japan is one of such leading

    countries obsessed with creativity and innovation in science and technology. For example,

    Japan saw that it faced an urgent need to restructure its economy and as part of that process, a

    Science and Technology Basic Law was enacted in 1995 as one step on the way to making

    Japan a powerhouse of science and technology. It was hoped that that law would foster an

    intellectual creation cycle in which, when someone develops a new technology, patent

    protection is established for the inventors right, these rights are used to make and sell a

    better product, and the resultant profits help fund research on the next new technology. If that

    cycle could be established, it would have a snowball effect. Patents are the key to this

    process.

    Sri Lanka too is taking some constructive steps in the realm of Intellectual Property and it is

    seen in a law named A Legal Framework for the Protection of Traditional Knowledge in

    Sri Lanka, proposed to provide for the protection and management of traditional knowledge

    in Sri Lanka. The Statement of Policy on the new law states that Whereas the Govt. of

    Sri Lanka recognizes: The importance and value of traditional knowledge in all the fields of

    human endeavour including scientific, technological, industrial, economic, cultural,

    educational, social and spiritual; and the necessity to promote the protection, development,

    conservation and preservation of traditional knowledge; meet the legitimate needs and

    expectations of the holders of traditional knowledge; secure the respect and recognition for

    the traditional knowledge and the holders thereof for their contribution to the knowledge anddevelopment; ensure fair and reasonable benefits to the holders of traditional knowledge for

    the use of traditional knowledge outside the traditional context; regulate use, disclosure,

    acquisition, preservation and conservation, management, development and application of

    traditional knowledge; discourage, control, counter and stop misuse of, misappropriation of

    13

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    14/32

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    15/32

    Figure-1 Intellectual Creation = New Industries

    Intellectual Creation Cycle

    7. Popularizing Intellectual Property and the Importance of Education

    and Training in Intellectual Property Law

    The starting point of popularizing intellectual property law commences with education and

    training. It is essential that instruction in intellectual property law should have a far broader

    base and the subject should become a standard component of general legal education. An

    intellectual property course at a reasonably advanced level should become a compulsory

    component of any law degree or diploma in the same way as areas such as the Law of

    Things, the Law of Property and Contract Law are such components. If all law students are

    introduced to intellectual property law as part of their basic training, this will go a long way

    towards making knowledge of intellectual property law more widespread. By introducing

    students to it at an early stage, a major stride will be taken in demystifying and popularizing

    intellectual property law. In order to achieve the objective of incorporating intellectual

    property law into basic legal training, it may be necessary for legislation to be passed to this

    end, or universities and other training colleges must be incentivized or persuaded to make

    intellectual property law an essential component of legal courses.

    One of the ways of incentivizing universities and other training institutions to give due

    recognition to intellectual property law would be to induce bar councils which regulate the

    practice of law to require a reasonable degree of proficiency in intellectual property law as a

    basic qualification for a licence to practice. If this could be achieved, it would follow that the

    15

    EconomicRestructuring

    Becoming ascience andtechnology power

    Creation of new industries

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    16/32

    universities and other educational institutions would be under a measure of compulsion to

    include intellectual property law as a basic component of legal curricular.

    As far as the existing legal fraternity is concerned, it would be desirable for all legal

    practitioners as well as members of the judiciary, criminal law enforcement agencies and thelike to undergo training or instruction in intellectual property law. In the modern world there

    is a strong emphasis on continuing legal education in order to ensure that the legal fraternity

    stays up to date with developments in the law. Intellectual property should become a

    standing item in continuing legal education.

    It would assist with the education and training of lawyers in regard to intellectual

    property law if the laws themselves could be simplified and be made less technical. One of

    the impediments to a more broadly based understanding and knowledge of intellectual

    property law in the past has been the perhaps excessively technical nature of the law which

    has made it conducive to a high degree of specialization. Popularization of intellectual

    property law necessarily entails the law becoming more user-friendly and thus more easily

    understood and more widely practiced.

    8. The strategic use of intellectual property (IP) for national prosperity

    and development

    Bridging the technology gap between the developed countries and developing countries like

    ours is a need of the hour, and integrating intellectual property into national development

    policy is vital. Access to technological information should be facilitated at all levels

    beginning at school level. Training and developing the human capital necessary to use the

    emerging new technologies and inventions is the key to realizing the creative potential of our

    literate population, and speeding Sri Lankas integration into the global knowledge economy

    must be given priority in the National Economic Development Agenda.

    Sri Lankans should be educated and encouraged to use the databases such as

    WIPOsPATENTSCOPE which offers free access to the accumulated knowledge

    containing some 1.6 million patent documents, and a nation-wide awareness program

    16

    http://www.wipo.int/patentscope/en/http://www.wipo.int/patentscope/en/http://www.wipo.int/patentscope/en/
  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    17/32

    including open competitions on new inventions and discoveries should be organized and

    conducted to popularize IP in the country. Sri Lanka has a literacy rate of 90.7% and this

    high rate of literacy is a leverage we have and we should make use of it to our own advantage

    and benefit in the emerging world interest in IP creation and legally enforceable rights

    attached thereto. Already having a highly literate population which is a competitive edge,

    what we need is only the political leadership capable of guiding the countrys highly literate

    population in the same manner and in the same direction the developed countries are charting

    and taking their nations, and a vibrating public administrative system which appreciate the

    pressing needs of the nation which is struggling to come out of the vicious cycle of poverty.

    Scientific and technical journals published in developed countries can be had and

    made use to educate Sri Lankan children on new technologies and inventions and the system

    of education should be upgraded and updated with the latest knowledge in all subject areas

    revising curricula and syllabuses. Capacity building, enhancing our ability to leverage such

    technical information in line with our national requirements, and making effective use of

    international funds which are made available and granted through international institutional

    mechanisms created under the UN agencies to developing countries, are absolute

    requirements which we could ill-afford to ignore or underestimate.

    Therefore, instead of keeping our mouths open till imported goods are unloaded at

    our ports and airports to feed the nation at ever increasing expenditure which has adverse

    impact on our Balance of Payments, we should make our peoples eyes and ears open to what

    is happening outside our shores so that they will always be on the forefront of science and

    technology and the only way forward to eradicate poverty lies in that direction.

    What people tend to do most of the time is to do the easiest and thus capture only

    what is obvious to the naked eye on the surface of things and do not bother that much to

    research, discover, innovate and invent. This inertia should be replaced with creativity,

    innovation and invention by reward and protection through the intervention of law so that

    Intellectual Property of our people can be effectively utilized to create comparative

    advantage for the country.

    17

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    18/32

    As a country, all possible attempts must be made to become a net intellectual asset

    exporter rather than staying as a net intellectual asset importer. Historically net intellectual

    asset importers saw little reason to protect intellectual goods coming from abroad. For Sri

    Lanka to give patent protection to a foreign producer of shrimps processes would require her

    nationals to pay higher prices for this equipment than they otherwise would, with the great

    proportion of the increment leaving the country in the form of royalty payments to the

    foreign owner. Economic view point of intellectual asset exporting countries such as U.S.A

    should be well understood by intellectual asset importing developing countries such as Sri

    Lanka. Majority of intellectual asset exporting countries are developed countries and those

    countries use a variety of tricks including legal measures to stay ahead of developing

    countries and profit from their intellectual assets. For example, instead of challenging the

    territoriality principle, a country that is a net intellectual asset exporter could enter into a

    treaty with a net importer obligating it to extend strong protection to foreign intellectual

    assets. Why would a net intellectual importing developing country agree to a treaty that

    would result in higher prices for its citizens? The answer depends on the context of each

    country. What is observed, in general is that intellectual asset importing countries on the

    other hand are lagging behind due to a variety of reasons. The position of Sri Lanka is no

    better.

    In face of strong fight and opposition of newly independent developing countries in

    Asia, Africa and Latin America in 1960s to free themselves from Berne and Paris

    conventions to which their colonial masters had committed them, the industrialized countries

    responded with a carrot and stick. The carrot came wrapped in the argument that only if the

    developing countries adopted strong intellectual property protection could they hope to

    attract the Foreign Direct Investment (FDI) essential to their economic development.

    Protection foreign intellectual assets might increase domestic prices, but or so the argument

    went-the social benefit of rapid industrialization would more than offset the social cost of

    these increases. And although trade economists disagree on whether the overall benefits of

    strong intellectual property enforcement outweigh their costs for developing economies-there

    is evidence that the trade-off is less costly for copyright industries than for patent industries-

    effective intellectual property enforcement does appear to attract FDI in plants and in

    research and development if for no other reason than that it signals a business friendly

    18

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    19/32

    environment. This equally true for Sri Lanka too. A second widely held view, disputes this

    conclusion, maintaining that, at the extreme, IPR amounts to economic colonialism.

    However, this is not to say that we should not respect intellectual property rights of foreign

    counties. Now, we cannot do that because we are a member and signatory to many

    international conventions on intellectual property rights including the latest, TRIPS

    Agreement which came into existence in 1994, which expressly incorporates the minimum

    standards of the Berne and Paris conventions and adds substantial minimum standards of its

    own, including standards for enforcement. Intellectual Property Act No.36 of 2003 of Sri

    Lanka is TRIPS compliant.

    Implementation of IPR legislation requires a complex and sophisticated infrastructure

    and it will take time for Sri Lanka to establish effective functional protection (that is reaching

    a point where the private sector develops sufficient confidence to increase investments in

    science and technology in Sri Lanka, which is true for other developing countries too, as well

    as to transfer key technologies here).

    We being primarily an agricultural country, attention should be drawn to IPRs in

    agricultural technology too, which is, of course, a very complicated and complex process.

    The issues of IPRs in agriculture are complex, more than in any other sector, particularly

    pertaining to developing countries such as Sri Lanka. But, somehow, we must try our best to

    tap the innovativeness and creativity of our people and protect their inventions in agricultural

    sector too as we should do in all other sectors. A large number of poor households in Sri

    Lanka derive their lively hood from resource poor areas such as Moneragala, Polonnaruwa,

    Anuradhapura, etc. with difficult agroclimatic conditions. Ensuring their access to

    technologies is therefore crucial for poverty alleviation.

    9. Conclusion

    According to results of research by Mazzoleni and Nelson (1997) regarding the roles and

    functions of Intellectual Property Rights, IPRs may achieve a number of objectives. They can

    serve as:

    19

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    20/32

    A fundamental right of individuals to protect their intellectual property in much the

    same way as laws would protect other forms of property

    A way of ensuring incentives for innovation

    A way to induce the needed investments to develop and commercialized the invention

    An incentive to disclose information

    A mechanism for protecting the disclosure of partially-developed inventions,

    particularly during licensing talks

    An aid to technology transfer

    A way to enable the orderly development of broad prospects

    Sri Lanka as a developing nation will benefit mostly in IPRs by adopting a positive attitude

    towards protection of IPRs of its own people as well as those of foreign nationals. Having

    enacted a TRIPS compliant Intellectual Act is a good start. Facing the emerging realities with

    foresight and restraint would solve many problems. Intellectual Property Rights should be

    used as a strategy in gaining a competitive edge.

    20

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    21/32

    References:

    http://books.google.co.uk/books?

    id=EuRTF6G4PG4C&pg=PA1&dq=Intellectual+Property+Law&lr=#v=onepage&q=&f=false

    http://books.google.co.uk/books?id=22SOw7NcKeUC&pg=PT15&dq=Intellectual+Property+Law&lr=#v=onepage&q=Intellectual%20Property%20Law&f=false

    http://books.google.com/books?id=siJ_GOVH3RoC&pg=PA216&dq=ip+law+and+business#v=onepage&q=ip%20law%20and%20business&f=false

    http://books.google.com/books?id=OwRtAtxIuUkC&pg=PA26&dq=ip+law+and+business&lr=&as_brr=1#v=onepage&q=&f=false

    http://books.google.co.uk/books?id=967501rHmt0C&pg=PP1&dq=Intellectual+Property+Law&lr=#v=onepage&q=&f=false

    Annexes

    21

    http://books.google.com/books?id=OwRtAtxIuUkC&pg=PA26&dq=ip+law+and+business&lr=&as_brr=1#v=onepage&q=&f=falsehttp://books.google.com/books?id=OwRtAtxIuUkC&pg=PA26&dq=ip+law+and+business&lr=&as_brr=1#v=onepage&q=&f=falsehttp://books.google.com/books?id=OwRtAtxIuUkC&pg=PA26&dq=ip+law+and+business&lr=&as_brr=1#v=onepage&q=&f=falsehttp://books.google.com/books?id=OwRtAtxIuUkC&pg=PA26&dq=ip+law+and+business&lr=&as_brr=1#v=onepage&q=&f=false
  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    22/32

    Annexure-I

    SOME IMPORTANT INTERNATIONAL TREATIES ON IPORGANIZING TREATY : WORLD INTELLECTUAL PROPERTY ORGANIZATION

    YEAR NAME DESCRIPTION WEBSITE

    1967 WIPO Convention establishing

    the World Intellectual

    Property Organization

    http://www.wipo.int.clea/docs/en/wo/wo029en.htm

    Treaties providing for the protection of Industrial Property : Paris Convention

    YEAR NAME DESCRIPTION WEBSITE

    1883

    amende

    d 1967

    and1979

    Paris

    Convention

    Paris Convention for the

    Protection of Industrial

    Property

    http://www.wipo.int.clea/docs/en/wo/wo020en.htm

    MADRID AGREEMENT FOR THE REPRESSION OF FALSE OR DECEPTIVE INDICATION OF

    SOURCE ON GOODS

    YEAR NAME DESCRIPTION WEBSITE

    1891 as revised at

    Brussels 1900 at

    Washington 1911 at

    the Hague 1925 at

    London 1934 at

    Nice 1957, and at

    Stockholm on July

    14, 1967 and as

    amended on

    September 28, 1979

    Madrid

    Agreement

    Madrid Agreement

    for the Repression

    of False or

    Deceptive

    Indication of

    Source on Goods

    http://www.wipo.int.clea/docs/en/wo/wo032en.htm

    NAIROBI TREATY ON THE PROTECTION OF THE OLYMPIC SYMBOL

    YEAR NAME DESCRIPTION WEBSITE

    1981 Nairobi

    Treaty

    Nairobi Treaty on

    the Protection of the

    Olympic Symbol

    http://www.wipo.int.clea/docs/en/wo/wo018en.htm

    TRADEMARK LAW TREATY (TLT)

    YEAR NAME DESCRIPTION WEBSITE

    1994 Trademark Trademark Law http://www.wipo.int.clea/docs/en/wo/wo027en.htm

    22

    http://www.wipo.int.clea/docs/en/wo/wo029en.htmhttp://www.wipo.int.clea/docs/en/wo/wo020en.htmhttp://www.wipo.int.clea/docs/en/wo/wo032en.htmhttp://www.wipo.int.clea/docs/en/wo/wo018en.htmhttp://www.wipo.int.clea/docs/en/wo/wo027en.htmhttp://www.wipo.int.clea/docs/en/wo/wo029en.htmhttp://www.wipo.int.clea/docs/en/wo/wo020en.htmhttp://www.wipo.int.clea/docs/en/wo/wo032en.htmhttp://www.wipo.int.clea/docs/en/wo/wo018en.htmhttp://www.wipo.int.clea/docs/en/wo/wo027en.htm
  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    23/32

    Law

    Treaty

    Treaty

    TREATIES FACILITATING THE INTERNATIONAL REGISTRATION OF INDUSTRIAL

    PROPERTY : MADRID AGREEMENT CONCERNING THE INTERNATIONAL REGISTRATION

    OF MARKS

    YEAR NAME DESCRIPTION WEBSITE

    1891

    Brussels 1900

    Washington

    1911

    the Hague

    1925 London

    1934 Nice

    1957

    Stockholm

    1967 as

    amended 1979

    Madrid

    Agreement

    Madrid Agreement

    Concerning the

    International

    Registration of

    Marks

    http://www.wipo.int.clea/docs/en/wo/wo015en.htm

    HAGUE AGREEMENT

    YEAR NAME DESCRIPTION WEBSITE

    1925

    Amended

    1934, 1960,

    1961, 1967,

    1979

    Hague

    Agreement

    Hague Agreement

    Concerning the

    International

    Deposit of Industrial

    Designs

    http://www.wipo.int/treaties/registration/hague/index.htm

    LISBON AGREEMENT FOR THE PROTECTION OF APPELLATIONS OF ORIGIN AND THEIR

    INTERNATIONAL REGISTRATION

    YEAR NAME DESCRIPTION WEBSITE

    October 31,

    1958

    Revised at

    Stockholm

    July 14, 1967,

    amended Sept.

    28, 1979

    Lisbon

    Agreement

    Lisbon Agreement

    for the Protection of

    Appellations of

    Origin and their

    International

    Registration

    http://www.wipo.int.clea/docs/en/wo/wo012en.htm

    PROTOCOL RELATING TO THE MADRID AGREEMENT CONCERNING THE

    23

    http://www.wipo.int.clea/docs/en/wo/wo015en.htmhttp://www.wipo.int.clea/docs/en/wo/wo012en.htmhttp://www.wipo.int.clea/docs/en/wo/wo015en.htmhttp://www.wipo.int.clea/docs/en/wo/wo012en.htm
  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    24/32

    INTERNATIONAL REGISTRATION OF MARKS

    YEAR NAME DESCRIPTION WEBSITE

    1989 Madrid

    Protocol

    Protocol Relating to

    the Madrid

    Agreement

    Concerning the

    International

    Registration of

    Marks

    http://www.wipo.int.clea/docs/en/wo/wo016en.htm

    TREATIES ESTABLISHING INTERNATIONAL CLASSIFICATIONS

    NICE AGREEMENT CONCERNING THE INTERNATIONAL CLASSIFICATION OF GOODS AND

    SERVICES FOR THE PURPOSES OF THE REGISTRATION OF MARKS

    YEAR NAME DESCRIPTION WEBSITE

    1957 Nice

    Agreement

    Nice Agreement

    Concerning the

    International

    Classification of

    Goods and Services

    for the Purposes of

    the Registration of

    Marks

    http://www.wipo.int.clea/docs/en/wo/wo019en.htm

    LOCARNO AGREEMENT ESTABLISHING AN INTERNATIONAL CLASSIFICATION FORINDUSTRIAL DESIGNS

    YEAR NAME DESCRIPTION WEBSITE

    1968 Locarno

    Agreement

    Locarno Agreement

    Establishing an

    International

    Classification for

    Industrial Designs

    http://www.wipo.int.clea/docs/en/wo/wo014en.htm

    VIENNA AGREEMENT ESTABLISHING THE INTERNATIONAL CLASSIFICATION OF

    FIGURATIVE ELEMENTS OF MARKS

    YEAR NAME DESCRIPTION WEBSITE

    1973 Vienna

    Agreement

    Vienna Agreement

    Establishing the

    International

    Classification of

    http://www.wipo.int.clea/docs/en/wo/wo031en.htm

    24

    http://www.wipo.int.clea/docs/en/wo/wo016en.htmhttp://www.wipo.int.clea/docs/en/wo/wo019en.htmhttp://www.wipo.int.clea/docs/en/wo/wo014en.htmhttp://www.wipo.int.clea/docs/en/wo/wo031en.htmhttp://www.wipo.int.clea/docs/en/wo/wo016en.htmhttp://www.wipo.int.clea/docs/en/wo/wo019en.htmhttp://www.wipo.int.clea/docs/en/wo/wo014en.htmhttp://www.wipo.int.clea/docs/en/wo/wo031en.htm
  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    25/32

    Figurative Elements

    of Marks

    TRADE-RELATED ASPECTS OF INTELLECTUAL PROPERTY RIGHTS (TRIPS) AGREEMENT

    YEAR NAME DESCRIPTION WEBSITE

    1994 Agreement on

    Trade-Related

    Aspects of

    Intellectual Property

    Rights (TRIPS)

    (WTO)

    The GATT Final Act

    Embodying the

    Results of the

    Uruguay Round

    contains several

    other relevant items:

    the Trade Related

    Aspects of

    Intellectual Property

    Rights

    http://www.wto.org/english/tratop_e/trips_e/t_agm0_e

    .htm

    http://usinfo.state.gov/usa/infousa/law/gatt/iia1e.htm

    Summary of TRIPS :

    http://www.wto.org/english/docs_e/legal_e/ursum_e.h

    tm/mAgreement

    CAFTA: INTELLECTUAL PROPERTY UNDERSTANDING REGARDING CERTAIN PUBLIC

    HEALTH MEASURES

    YEAR NAME DESCRIPTION WEBSITE

    August

    5, 2004

    Intellectual

    Property

    Understanding

    Regarding Certain

    Public HealthMeasures

    (CAFTA)

    INTELLECTUAL

    PROPERTY

    UNDERSTANDING

    REGARDING

    CERTAIN PUBLICHEALTH

    MEASURES

    http://www.ustr.gov/Trade_Agreements/Bilateral/CAF

    TA/CAFTADR_Final_Texts/Section_Index.html

    25

    http://www.wto.org/english/tratop_e/trips_e/t_agm0_e.htmhttp://www.wto.org/english/tratop_e/trips_e/t_agm0_e.htmhttp://usinfo.state.gov/usa/infousa/law/gatt/iia1e.htmhttp://www.wto.org/english/docs_e/legal_e/ursum_e.htm/mAgreementhttp://www.wto.org/english/docs_e/legal_e/ursum_e.htm/mAgreementhttp://www.ustr.gov/Trade_Agreements/Bilateral/CAFTA/CAFTADR_Final_Texts/Section_Index.htmlhttp://www.ustr.gov/Trade_Agreements/Bilateral/CAFTA/CAFTADR_Final_Texts/Section_Index.htmlhttp://www.wto.org/english/tratop_e/trips_e/t_agm0_e.htmhttp://www.wto.org/english/tratop_e/trips_e/t_agm0_e.htmhttp://usinfo.state.gov/usa/infousa/law/gatt/iia1e.htmhttp://www.wto.org/english/docs_e/legal_e/ursum_e.htm/mAgreementhttp://www.wto.org/english/docs_e/legal_e/ursum_e.htm/mAgreementhttp://www.ustr.gov/Trade_Agreements/Bilateral/CAFTA/CAFTADR_Final_Texts/Section_Index.htmlhttp://www.ustr.gov/Trade_Agreements/Bilateral/CAFTA/CAFTADR_Final_Texts/Section_Index.html
  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    26/32

    Annexure-IIGuide to use of intellectual property protections

    Creative work

    Applicable legalrights

    T

    r

    a

    d

    e

    s

    e

    c

    r

    e

    t

    C

    o

    p

    y

    ri

    g

    h

    t

    P

    a

    t

    e

    n

    t

    T

    r

    a

    d

    e

    m

    a

    r

    k

    U

    n

    f

    ai

    r

    c

    o

    m

    p

    e

    ti

    ti

    o

    n

    N

    o

    r

    i

    g

    h

    t

    s

    Advertisement (Billboard, card, flyer, sign)

    Advertising copy

    Architectural drawings, renderings

    Arrangements of facts

    Artwork (see specific entries)

    26

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    27/32

    Biography

    Biological inventions

    Blue prints

    Book design

    Book titles

    Carpet design

    Cartoons

    Characters - animated

    Characters - Books

    Characters comic strips

    Characters TV or movies

    Charts

    Chemical inventions

    Choreograph works

    Clothing accessories and designs (belts, hats, scarves,

    suspenders)

    Comic strips

    Commercial names

    Computers

    Containers

    Cosmetics

    Databases

    Decorative hardware

    Design (see specific entries)

    Drawings

    Electrical Inventions

    Electronic Inventions

    Engineering Plans

    Etchings

    Fabric

    27

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    28/32

    Fabric design

    Facts

    Floor charts

    Food inventions

    Forms

    Formulas chemicals

    Formulas - cosmetic

    Formulas - food

    Creative work

    Applicable legal

    rights

    T

    r

    a

    d

    e

    s

    e

    c

    r

    e

    t

    C

    o

    p

    y

    ri

    g

    h

    t

    P

    a

    t

    e

    n

    t

    T

    r

    a

    d

    e

    m

    a

    r

    k

    U

    n

    f

    ai

    r

    c

    o

    m

    p

    e

    ti

    ti

    o

    n

    N

    o

    r

    i

    g

    h

    t

    s

    Furniture design

    Games (board, box and instruction)

    hardware

    housewares

    Ideas by themselves

    28

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    29/32

    Interior design

    Internet domain names

    Jewellery

    Labels

    Landscape designs

    Laser light show

    Law of nature

    Lectures

    Lithographs

    Logos

    Machines

    Machines internal parts

    Magazines

    Magic tricks or techniques

    Manufacturing process

    maps

    Mathematical algorithms

    Mechanical inventions

    Medical accessories, devices (splints, braces,

    supports)

    Method of doing business

    Movie film or video

    Movie - plot (not written)

    Movie - script

    murals

    Musical composition

    Musical instrument

    Names business

    Names entertainer/celebrity

    Names famous animals

    29

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    30/32

    Names product or service

    Odors new use/process

    Odors used in marketing

    Packaging

    Paintings

    Pamphlets

    Periodicals

    Photographic processes

    Photographs

    Plants and plant inventions

    Plays - written or performances

    Creative work

    Applicable legal

    rights

    T

    r

    ad

    e

    s

    e

    c

    r

    e

    t

    C

    o

    py

    ri

    g

    h

    t

    P

    a

    te

    n

    t

    T

    r

    ad

    e

    m

    a

    r

    k

    U

    n

    fai

    r

    c

    o

    m

    p

    e

    ti

    ti

    o

    n

    N

    o

    r

    i

    g

    h

    t

    s

    Pottery

    Prints

    30

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    31/32

    Project designs

    Radio programmes

    Record books

    Recreational gear

    Reproductions

    Schedules

    Scientific treatises

    Sculpture

    Shapes

    Shoes

    Signs

    Slogans

    Software

    Software titles

    Songs jingles for marketing

    Songs not written or recorded

    Songs recorded or written

    Sounds new ways to make

    Sounds original sequence

    Sounds used in marketing

    Sporting goods designs

    Sporting goods - equipment

    Stained glass

    Structural plans

    Symbols

    Titles books, plays

    Titles magazines

    Toys

    Translations

    Videotape

    31

  • 8/14/2019 IP Law_Term Paper by RMPiyadasa

    32/32