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‹date/time›Alan Clements 2 March 2005
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1
Intellectual Property
Alan Clements
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Alan Clements 2 March 2005
Intellectual property
2
Introd= uction to Intellectual Property
nThis lecture looks at the nature of intellectual = property and the various form= s of protection afforded to intellectual property (e.g., patents).
n
nIn particular, we introduce= the problems of intellectual property in the information age. Today, the Internet allows unlimited copying and distribution of books, images, music and software.
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Alan Clements 2 March 2005
Intellectual property
3
Property Rights
= nBefore looking at intellectual property, let’s look at where property rights come from. Herman Tavani (in= Ethics and Technology) states that there are three= philosophical basis for the concept of property. <= /span>
=
=
Theory Result
Labor Property is a natural right that is justified in te= rms of the labor invested in creating property. =
Utilitarian Property is not a natural right, but an artificial right created by the state. Property rights are granted by the state because they result in greater overall benefit to society.
Personality Property is a moral right and is justified because = a creative work expresses the personality of its creator.
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Alan Clements 2 March 2005
Intellectual property
4
Two types of Property
nPhysical property – land, money, houses, clothes, food. nIntell= ectual property – ideas (expressed as designs, music, art, writ= ing, dance, software). Intellectual property is intangible. = 3;
n
n
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Alan Clements 2 March 2005
Intellectual property
5
Difference between p= hysical and intellectual property
nPhysical property is expensive to create and to reproduce; for example, houses, automobiles, diamonds.
nIntellectual prope= rty may take a lot of effort to create (e.g., a book) but is easy to reproduce at minimal cost.
nHistorically, soc= ieties have attempted to protect intellectual property by giving designers special privileges.
n
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Alan Clements 2 March 2005
Intellectual property
6
Types of Intellectual Property
nPaten= t
<= span class=3DB1B style=3D'position:absolute;left:-4.23%;top:.3em'>nProte= cts inventions
nTrade= mark
<= span class=3DB1B style=3D'position:absolute;left:-4.04%;top:.3em'>nProte= cts traders: those who sell products
nTrade secret
nA tra= de secret is a critical piece of information that an organization wishe= s to keep secret
nCopyr= ight
<= span class=3DB1B style=3D'position:absolute;left:-4.23%;top:.3em'>nProte= cts writers and artists
n
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Alan Clements 2 March 2005
Intellectual property
7
Patents
= nPatents grant an inventor the right to exclude others from producing or using his = or her discovery for a limited period of time.
n
= nSociety grants a patent in return for the inventor revealing (“teaching̶= 1;) details of the invent= ion.
n
nThe invention must satisfy three criteria:
nusefulness
nnovelty
nnon-obviousness
n
= nA patent is granted to someone who can demonstrate that their invention would not be obvious to some= one “or= dinarily skilled in the art” (non-obviousness)
n
nAfter 20 years, a patent expires and anyone can freely exploit the invention. &#= 13;
n
= nAfter 20 years a patented drug can be made by any manufacturer and becomes known as a generic drug.
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Alan Clements 2 March 2005
Intellectual property
8
The First Patents
nFrom the UK patent office website
n
nBritain has a very long patent tradition in the world. Its origins can be traced back to the 15th century, when the Crown started making specif= ic grants of privilege to manufacturers and traders. Patents were signified by Letters Patent, open letters marked with the King's Great Seal.
n
nThe earliest known English patent for invention was granted by <= span style=3D'position:absolute;top:63.5%;left:11.04%;width:99.25%;height:4.5%'= >Henry VI to Flemish-born John of Utynam in 1449. T= he patent gave John a 20-year mono= poly for a method of making stained glass, required for the windows of Eton College.
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Alan Clements 2 March 2005
Intellectual property
9
Trademark
nA trademark is a distinctive symbol that traders use = to identify their products.
n
nTwo of the most famous trademarks in the world are the Coca-Cola and McDonald symbols.
n
nA trademark is very valuable to a manufacturer because it is a shorthand for their products and <= /span>= their assumed reliability and quality. =
n
nThe nature of a trademark may vary; it may be a symbol, word or picture. Trademarks may even extend to distinctive styles and color in packaging.
n
nAOL attempted to trademark the expression “You’ve got mail” and failed.
n
n
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file:///C:/653456F9/IntellectualProperty_files/slide0012.htm Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset="us-ascii" Intellectual Property
Alan Clements 2 March 2005
Intellectual property
10
Trade Secrets
nA trade secret is a piece of information that = provides an organization with a competitive advantage over other companies; for example, formulae, plans, manufacturing processes.
= nA good example is the formula for Cola Cola.
nA company’s projected sales figures may constitute a trade secret because that information is valuable to a competitor.
= nIt is illegal to reveal a trade secr= et.
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Alan Clements 2 March 2005
Intellectual property
11
Non-disclosure Agreement
nA non-disclosure agreement, NDA,  is commonly used to protect a trade secret when one of the parties is not = part of the company owning the trade secret.
= nFor example, an author may = be provided with details about a company’s future product <= /span>because the book will appear at the same time as the product hits the market. The author will be asked to sign an NDA to ensure th= at details of the product (trade secret) will not be prematurely disclosed.
n
n
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Alan Clements 2 March 2005
Intellectual property
12
Copyright
nCopyright originally applie= d to the written word and was designed to protect the copyright = owner by giving him or her “the exclusive right to reproduce, distribute, perform, display, or license their work”. Copyright lasts for the lifetime of the owner plus 50 years = (70 years in the UK but 50 for sound recordings and broadcasts). Note – the fine details of copyright duration are rather more complex.
n
nCopyright can now be applie= d to graphic art, sound recording, and motion pictures.
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Alan Clements 2 March 2005
Intellectual property
13
Copyright extends to:
nLiterary works
nComputer software
nMusical work
nSound recordings
nDrama
nMotion pictures
nVisual works: statues, paintings, graphic works
nChoreographic works
nExclusions (not copyrightable):
nNon= -tangible works
nIde= as
nFac= ts
nNam= es, slogans, formulae, equations
n
n
n
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Alan Clements 2 March 2005
Intellectual property
14
Copyright and Digital Technology
nUntil the arrival of digital technology in the 196= 0s and its expansion into the domestic world in the 1990s, most electronic technologies were analog. That is, signals could have an infinite number of values within a range. =
nAnalog signals are difficult to process faithfully= and to store. Successive copying degrades analog signals.
nDigital signals have fixed values and can be copie= d and stored an infinite number of times with no loss of quality.
n= The unauthorized copying of analog signals posed a= modest threat to copyright owners because <= span style=3D'font-size:79%'>copies-of-copies-of-copies… degrade rapidly. The ability to copy digital material perfectly means that a copy is as= good as an original.
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Copyright and Plagiarism
nCopyright is a system designed to protect those who create original works.
nPlagiarism is the act of passing off the work of others as your own. In the academic world, plagiarism is = regarded as the number one sin. =
nYou can commit plagiarism without breaking = copyright (e.g., copying something that is in the = public domain).
nYou can infringe copyright without committing plagiarism (e.g., you can acknowledge the work you= copy as belonging to someone else but that does no= t give you the right to do it).
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History of Copyright
1557 Queen Mary I gives control of all printing and bookselling to a single gui= ld, the Stationer's Company.
1662 The Licensing Act establishes a register of licen= sed books.
1710<= /span> The first copyright law grants exclusiv= e rights to authors, rather than publishers. Rights were limited to 28 years before they passed= into the public domain .
1787 the US Constitution states "the Congress sha= ll have power . . . to promote the progress of science and useful arts, by securing for limited times to authors and inventors the exclusive rig= ht to their respective writings and discoveries”
1886 The Berne Convention provides a scheme to allow t= he mutual recognition of copyr= ight between nations. This provides a universal law and removed the need for separate registration in every country. The United States became a Berne signatory in 1988.
1928 The Rome Act&nbs= p; recognizes the moral rights of authors and artist= s, giving them the right= to object to modifications of a work in a way that might prejudice or decrease the artists' reputati= ons.
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History of Copyright
1990 The Circulation of Computer Software Act (USA) prohibits commercial lending of computer softw= are by libraries etc.
1996 the World Intellectual Property Organization (WIPO) allows the fair use of material in a digital environment and provides a  balance between the rights of authors and education and research.
1998 The Digital Millennium Copyrig= ht Act launched in the USA. This  implemented the WIPO Internet Treaties and permitted temporary copies of programs during computer maintenance.
DMCA "prohibits gaining unauthorized access to a work by circumventing a technological protection measure put in place by the copyright owner …”.
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Annæ Reginæ.
An Act for the Encouragement of Learning, by Vesti= ng the Copies of Printed Books in the Authors or Purchasers of such Copies, during the Times thereinmen= tioned.
Whereas Print= ers, Booksellers, and other Persons, have of late frequently taken the Liberty = of Printing, Reprinting, and Publishing, or causing to be Printed, Reprinted, and Published Books, and other Writings, = without the C= onsent of the Authors or Proprietors of such Books and Writings, to their very gr= eat Detriment, an= d too often to the Ruin of them and their Families For Preventing therefore such Practices for the future, and for the Encouragement of Lear= ned Men to Compose and Write useful Books; May it please Your Majesty, that it may be Enacted, and be it Enacted by the Queens= most Excellent Majesty, by and with the Advice and Consent of the Lords Spiritu= al and Temporal, and Commons in this present Parliament Assembled,= and by the Authority of the same, That from and after the Tenth Day of April, One thousand seven hundred and ten, the Author of any Book or Books already Printed, who hath not Transferred to any other the Copy or Copies of such = Book or Books, Share or Shares thereof, or the Bookseller or Booksellers, Printer or Printers, or other Person or Persons, who hath or h= ave Purchased or Acquired the Copy or Copies of any Book or Books, in order to Print or Reprint the same, shall have the sole Right and Liberty of Printing such Book and Books for the Term of One and twenty Years….
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Copyright and Fair Use
nCopyright protects the creator of an original work by stopping unauthorized <= /span>duplication.
n
nSociety suffers if people are denied access to material that they need for researc= h <= span style=3D'font-size:57%'>or education.
n
<= span style=3D'mso-special-format:nobullet;display:none;color:#B2B2B2;mso-color-= index: 7;font-family:Wingdings;font-size:90%'>nFair use= has been defined to allow people to bypass the copyright law under certain circumstances; for example, criticism, comment, ne= ws reporting, teaching, scholarsh= ip and research.
n
nWhether copying is fa= ir use depends on:
n
n the = purpose of the use – for commercial or nonprofit educational purposes;
n the = nature of the copyrighted work;
n the = amount of material copied in relation to the work as a whole.
n
nThe notion of fair use is poorly defined and indiv= idual cases can be challenged in court.
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Myths about Copyright
•<= /span>If it doesn't have a © symbol, it's not copyrighted
•<= /span>If I give it away, I’m not infringing copyr= ight
•<= /span>Putting it on the web is fair use
•<= /span>If I modify someone’s article slightly, I&#= 8217;m ok
•<= /span>I’m really doing then a favor by giving the= m free advertising
•<= /span>
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Copyright or wrong?
nMy friend has a program. Why shouldn’t I copy = it? It will save me a lot of money and no one will suffer; it’s a vic= timless crime.
n
nIt is true that no one is w= orse off following the copying of a program. But the situation is rat= her = more complex.
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Cost of Copying
= nA company exists to make a profit for its <= /span>= shareholders.
nA company invests in the creation of a new product= . It is expected that the product will sell and generat= e more income than it cost to manufacturer.
nIf the product is copied (pirated) the company may = not generate the expected income. Indeed, the company may make a loss and go out of business.= 3;
nThe dangers of copying may force a company to drop= out of a specific market and society looses by not= getting new products that might have been valuable= .
n
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Consequence of Copying
<= span style=3D'font-size:71%'>nCompanies clai= m they loose a lot of money because people copy their books, software, music, CDs, DVDs etc.
nSuppose 100 st= udents copy a piece of sophisticated software costing $500 per copy. The company will argue that= they have lost $50,000. Such large sums of money make it worthwhile for companies to prosecute copyright violators.
nAlthough compa= nies loose less per music CD than per software package, CDs are sold by the million and the lost revenue can be vas= t. Some companies sue individuals who copy music as a means of frightening others.
<= span style=3D'font-size:71%'>nApart from bei= ng unethical and illegal, unauthorized copying can lead to a fine and, more importantly for a profess= ional, a criminal record.
n
<= span style=3D'font-size:71%'>nPeer-to-peer f= ile sharing (Napster) has made it easy to copy software on an immense scale.
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A Comment from the Internet
<= span style=3D'font-size:71%'>n“The gre= atest reward musicians should have is their own music and nothing else. … Alfie Kohn reports on a psychological study showi= ng that creativity diminishes if it's done for gain. He writes: ‘If a reward - money, awards, praise, or win= ning a contest - comes to be seen= as the reason one is engaging in an activity, that activity will be viewed as less enjoyable in = its own right’.
n
n… It fol= lows then that the best music I've heard … is from artists, who are struggling to make ends meet working two j= obs, who are doing their = music with an inherent passion and a desire to share it with people, and not because they have a contract ...”
So why pay the heart surgeon? He or she should be grateful that they are = ;
lucky enough to save lives!
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A Personal Example
<= span style=3D'font-size:71%'>nI wrote an 800= -page textbook on computers. It  to= ok me more than three years= .
n
= nIt is a specia= lized text and does not sell in tens of thousands. The income generated is modest and below the amoun= t I would have received had= I spend the same amount of time doing consultancy.
n
nI was asked to= give a lecture to students taking a course based = on my book. When I arrived, I found that all stude= nts had a large documen= t that was a photocopy of parts of my book. The lecturer had done this to save the students the co= st of a book.
n
<= span style=3D'font-size:71%'>nHad the studen= ts bought the book instead of using the copied version, I would have been $100 better off.=
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“Self-copying” and competition
<= span style=3D'font-size:71%'>nAn interesting aspect of copying is demonstrated by self-copying where a company copies and freely distributes its = own product.
n
<= span style=3D'font-size:71%'>nConsider Inter= net Explorer. Microsoft copies<= /b> it and gives it free with Windows (this is called bundling).
n
<= span style=3D'font-size:71%'>nThe effect of = this self-copying is to make it difficult for competitors to compete with a product that is being given away.
n
= <= span style=3D'font-size:71%'>nSelf-copying l= ocks out competitors and stifles innovation.
n
= <= span style=3D'font-size:71%'>nSuch practices= may be illegal because they break laws designed to prevent anti-competitive practices.
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Argume= nts for not having Copyright/IP
nIP adversely a= ffects the poor, disadvantaged, developing world etc.
nNot all can afford to access IP that is protected = and, therefore, their development or progress is curtailed.
n&= #13;
nIP restricts progress and development because the = free flow of information is restricted.
n
nIP is strongly supported by the mass media because= they gain most from restricting the flow of information (they have an effective monopoly).
n
nLaws designed to protect physical property should = not be extended to intellectual property.
nYou can have only one copy of a specific house or = car and its owner can suffer from its loss.
nYou can have multiple copies of a painting and the= owner does not suffer its loss if someone else  looks at the painting.&= #13;
nSociety gains by the free exchange of idea, artwor= k, films, books etc.
n
nPatent law can be used to stifle invention and progress.
nIf an energy-efficient automobile engine were inve= nted, the patent could be bought by gasoline companies to prevent its introduction and consequent effect on their profi= ts.
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Argume= nts for not having Copyright/IP
<= span style=3D'font-size:71%'>nPatent law can= be used to steal information from traditional societies.
nKnowledge developed over hundreds of years in deve= loping countries can be patented and= the fruits of this knowledge denied the very people who originated it.
n&= #13;
nCopyright law can be used to suppress information&= #13;
nA government involved in a war was later embarrass= ed when official documentation was released. This documentation was used in a book revealing the government’s complicity. The government clai= med copyright on the documents = to prevent their publication.
n
nPatent law can be applied to areas unforeseen by t= hose who wrote the law= 3;
nGenetic patents
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Ethics= and Professional Organizations
nBritish Computer Society Code of Ethics is clearly incompatible with activities that breach the laws concerning IP. = ;
n&= #13;
nMembers shall have due regard to the legitimate rights of t= hird parties. 
n&= #13;
nMembers shall = ensure that within their chosen fields they have knowledge and understanding of relevant legislation, regulations and standards and that they comply with such requirements. 
n&= #13;
nMembers shall = uphold the reputation = of the Profession and shall seek to <= /span>improve professional standard…   and shall avoid any action = which will adversely affect t= he good standing of the Profession. 
n&= #13;
nMembers shall = act with integrity towards fellow members and to members of other professions with whom they are concerned = in a professional capaci= ty and shall avo= id engaging in any activity which is incompatible with professional status
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Special Rules for Computer Chips
n(from the web) The Semiconductor Chip Protection Act 1984 (USA) is  an extension of the Copyright Act that creates a hybrid between patent and copyright protection. = ;
= n
nThe Act was written because&= nbsp; copyright protection does not extend to programs embodied in integrated circuits.
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Softwa= re as Intellectual Property
nThe production and distribution of computer software is a lucrative industry as a glance at Microsoft will reveal. <= /div>
nSoftware, like the printed word, sound, and music, is expensive to cre= ate but can be reproduced at minimal cost.
nBecause software can be immensely expensive to create, the ability to create copies of software is a considerable threat to <= /span>the profitability of software companies.
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Softwa= re and the Law
<= span style=3D'font-size:64%'>nThe law concer= ning software is not clear and is still being formulated.
nIn the USA the Copyright Act was amended in 1980 to include software as a literary work.
nSoftware has s= ome of the characteristics of literary works and some of = the characteristics of engineered systems.
nConsequently, software can be protected by both copyright and patent. Softwa= re can also be protected by trade secret legislation.
nThe very natur= e of software challenges all previous notions of = intellectual property.
nThe source code of software exists in text form an= d can be thought of as a literary work. However, the value of the software is in its function and not its form
n= The purpose of software is to perform a useful fun= ction which makes it more l= ike an invention.
nBecause softwa= re can be represented as a mathematical algorithm, it is not patentable (algorithms can’t be patented).
nThe software y= ou “buy” is often obtained under license and you do not = own it.
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Softwa= re and the Law
nSoftware manufacturers developed the concept of look and feel.
nIn 1986 Whelan v. Jaslow in New Jersey established that copyright protection extended to its non-text= ual aspects (That is, its so-called look and feel).= 3;
nIn 1992 Computer Associate= s v. Altai partially reversed the earlier decision and allowed copying = via reverse engineering. This judgment was echoed by <= /span>the Sega v. Accolade case in 1992.
nIn 1992 the US passed the Software Copyright protection act making it illegal to copy software. Prison terms up to 5 years can be awarded to anyon= e copying any combination of programs worth more than $2,500.
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Softwa= re and DMCA
nThe Digital Millenni= um Copyright Act has important implications for software copying as <= /span>well as more conventional copying.
nThe DMCA makes it illegal to circumvent any mechanism designed to prevent copying.
nIn 2000 Universal City Studios v. Reimer= des established that selling software on the WWW designed to allow you to copy encrypted DVDs was illegal.
n&= #13;
n<= span style=3D'mso-special-format:lastCR;display:none'>
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Softwa= re Piracy
nSoftware vendo= rs distinguish between two classes of software piracy.
nCommercial piracy is the large-scale copying of programs performed by illegal organizations. <= /span>
nCasual copying is small-scale piracy that takes place when someone gives a copy of a program to a friend= .
nSoftware vendo= rs have different strategies for dealing with these two classes of software pirates.
nA software ven= dor once sent out a form to people inviting them to apply for free software. This software searched machines for illegal copies of their soft= ware and subtly encoded the results in the “appli= cation for free softwareR= 21;. Some people were surprised to get visits from men in expensive suits.
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Limiti= ng Software Piracy
= nSoftware vendo= rs have attempted to deal with casual pirates in several ways.
nSome use speci= al recording techniques on their media that introduce  errors and prevent a computer performing the copyi= ng. Only a special boot pr= ogram can load the software.
nSome vendors u= se codes that have to be entered at installation. The software checks whether the code is legal. Of cour= se, there’s noting to stop you copying the code.
nSome vendors s= upply the required product code via the phone which forces people to explicitly lie in order to copy software illegally.
nMicrosoft uses= product activation. A key with the software is combines with a key that is a unique function of your compu= ter to create an new key. T= his key is sent to Microsoft to generate a third key that is unique to both the software and your computer. This third= key enables the software. You cann= ot reuse the software without going back to Microsoft and personally explaining what you are doing.
nSpyware can be introduced to seek illegal software and report back to the software vendor anyone who installs software w= ithout a license.
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What’s Possible in the Future= ?
nCopyright holders, primarily large commercial organizations such as Sony and Hollywood want copying made more difficult.
nYou cannot copy commercial DVDs because the copying device manufacturers (sometimes the same <= /span>people) install mechanisms that will not record copyrighted material.
nIt has been suggested that future hard disk drives= include mechanisms that refuse to store copyrighte= d data.
nIt has been suggested that VCRs and recordable DVD players be designed to make it impossible to <= /span>fast-forward through the advertising in a TV progr= am.
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IP, Plagiarism and Universities
nIn a university, students may engage in a number of activities that are fall under the heading of academic misconduct.
<= span class=3DB1B style=3D'position:absolute;left:-4.0%;top:.3em'>nCollus= ion – two or more students working together on a piece of w= ork intended to be carried out by a single student. <= /div>
nCopyi= ng – taking the work of another person and passing it off as your own.
<= span class=3DB1B style=3D'position:absolute;left:-4.11%;top:.3em'>nPlagi= arism – using someone else’s work without acknowledging it.
n
n
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Why do Students Cheat?
•<= /span>because the task they have been set it too difficu= lt for them
•<= /span>because they are not capable of doing the task set=
•<= /span>because they are capable but not sufficiently organized
•<= /span>because they are capable but want a better mark= 3;
•<= /span>because their families want them to get a better m= ark
•<= /span>because they are not prepared to devote the amount= of time the task requires
•<= /span>because they have devoted the time and feel they d= eserve the mark  =
•<= /span>because the number of assessment tasks set is unreasonable
•<= /span>because everyone else is cheating
•<= /span>because cheating has become a habit
•<= /span>because they do not agree that they are cheating &= #13;
•<= /span>because the tutor connives with the cheating =
•<= /span>because the resources required are not available&#= 13;
•<= /span>
(From Fintan Culwin, LSBU)
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What is Plagiarism ?
<= span style=3D'font-size:71%'>nFrom the Centr= e for the Study of Higher Education (Australia)
n
nCheating in an exam either by copying from other students or using unautho= rized other aids.
nSubmitting, as one’s own, an assignment that another person has compl= eted.
nDownloading information, text, computer code, artw= ork, graphics or other internet and presenting it as one’s own without acknowledgment.
nQuoting or paraphrasing material from a source wit= hout acknowledgment.
nPreparing a correctly cited and referenced assignm= ent from individual handin= g part or all of that work in twice for separate subjects/marks.
n
n
n
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IP, Plagiarism and Universities
<= span style=3D'font-size:86%'>nThe objection universities have to “the use of non-original material” does not normally stem fr= om the usual reasons for protecting = IP. The use of non-origi= nal material is counter to
na universities code of ethics – academics are expected= to be honest and not present the work of others as= your own.
<= span style=3D'mso-special-format:bullet;color:#CCCC99;mso-color-index:4;positio= n: absolute;left:-3.6%;top:.3em;font-family:Wingdings;font-size:75%'>n= the education process<= /span> – if a student copies material or colludes with another, he or she is failing to car= ry out the learning/discovery proces= ses upon which education is based.