Chapter 5 intellectual property and internet law

*McQ:
1. Intellectual property is defined as:

a. property such as land, that one thinks about purchasing

and then does purchase.

b. property that results from an intellectual, creative process

and so is the product of one's mind.

c. property that necessarily requires the user's mind to be

engaged.

d. property that is used only by intellectuals.

2. Which section of the U.S. Constitution deals with the need to protect
intellectual property rights?

a. Article I, Section 1.

b. Article II.

c. Article I, Section 8.

d. Article III, Section 2.

3. The famous "swoosh" design on the side of Nike sneakers is an
example of:

a. a copyright.

b. a patent.

c. a trademark

d. a trade secret.
4. A central objective of the Lanham Trade-Mark Act of 1946 was to:

a. Reduce the likelihood that consumers will be confused by

similar trademarks.

b. Increase the likelihood that consumers will be confused by

similar products, thus preventing brand-name competition in the
 marketplace.

c. Ensure that trademarked products are made available to

consumers.

d. Ensure that only generic terms can be used as

trademarks.

5. The case of Coca Cola Co. v. The Koke Co. of America involved a
claim of:

a. a Clean Air Act violation.

b. patent infringement.

c. copyright infringement of Coca-Cola's secret formula.

d. trademark infringement.
6. The federal law that protects trademarks and related property is
known as:

a. the Lanham Trade-Mark Act.

b. the Smith-Barney Act.

c. the Berne Convention.

d. the Copyright Act.

7. Trademark dilution laws protect against:

a. the unauthorized use of a mark by a competitor only.

b. the unauthorized use of mark regardless of whether the

user is a competitor.

c. the unauthorized use a patent.

d. the authorized use of trade dress, in some cases.

8. If you create a trademark and want to register this great new mark
with the federal government, you should:
 a. file your mark in your local town hall.

b. register the mark with the Patent and Trademark Office in

Washington, D.C.

c. register the mark with the United Nations headquarters in

New York.

d. file only after a two-year waiting period.

9. If a company that makes laundry detergent calls its product
Pommo, the name "Pommo" would be considered:

a. a trade secret.

b. a secondary meaning.

c. trade dress.

d. a strong mark.

10. When you see on a box of low-fat granola that the cereal has the
"Good Housekeeping Seal of Approval," you are looking at:

a. a certification mark.

b. a strong mark.

c. a patent.

d. a licensee.
11. When you enter an "On the Border" Mexican restaurant, you see a
distinctive interior, a distinctive menu, and the wait staff wearing
distinctive attire. This combination of things creates a unique
ambience, known in legal terms as:

a. a trade name.

b. trade dress.
 c. a trademark.

d. a trade secret.
12. A patent for a new invention will last for:

a. ten years.

b. fifteen years.

c. twenty years.

d. fifty years.
13. Jami invents a new machine that automatically weeds small
gardens. He obtains a patent for his invention from the U.S.
government. Louisa buys one of Jami's machines, pulls it apart, copies
his work, and starts producing and selling her own version of the
amazing weedeater. Louisa:

a. has done nothing wrong—competition is a part of our

market economy.

b. has infringed on Jami's patent rights.

c. has committed a wrongful appropriation.

d. has violated Jami's trade dress.

14. Now suppose that Jami invents and patents his new weeding
machine, but never sells it. Louisa borrows the machine from Jami,
pulls it apart, copies it, then sells it. Louisa:

a. has done nothing wrong—competition is a part of our

market economy.

b. has not infringed a patent because the product was not

"in commerce."
 c. has infringed on Jami's patent rights.

d. has behaved immorally, but not illegally.

15. Which of the following could NOT be copyrighted?

a. A novel.

b. A photograph.

c. An idea.

d. A painting.
16. Although courts disagree on this issue, the tendency in court cases
has been NOT to extend copyright protection to which of the following?

a. Computer software.

b. The "look and feel" of a computer program.

c. Computer source code.

d. Object code.
17. Ordinarily, you may not reproduce a copyrighted object without
the owner's permission. The exception to this general rule is contained
in:

a. the Lanham Act.

b. the appropriation doctrine.

c. the fair-use doctrine.

d. the fair-copy doctrine.

18. A trade secret might include which of the following?

a. A product name.

b. A distinctive company logo.

 c. A customer list.

d. The appearance of a clothing store.

19. International protection for intellectual property comes from which

treaty?

a. The Geneva Accords.

b. The TRIPS agreement.

c. The TRIMS agreement.

d. The Lugano Convention.

20. When you cybersquat, you:

a. steal someone's meta tags.

b. register your own unique name as a domain name.

c. register someone else's mark as a domain name,

then offer to forfeit the name for a price.

d. develop a highly prized exercise video that is available for

sale only online.
21. As determined in America Online, Inc. v. AT&T Corp., the phrase
"You Have Mail" is:

a. a generic expression.

b. a secondary mark.

c. a strong mark.

d. an example of a trade dress.

22. If a person registers for and uses a domain name, or Internet
address, that contains the name of another's service or product, the
use of the name may constitute:
 a. cyber market infringement.

b. trademark infringement.

c. copyright infringement.

d. a violation of the law governing trade secrets

23. One of the ways to make use of another's trademark, copyright,
patent, or trade secret, while avoiding litigation, is to obtain to do so.

a. a cyber mark.

b. a business process patent.

c. an easement.

d. a license.

24. Among other things, the landmark 1998 case of State Street Bank
& Trust Co. v. Signature Financial Group meant that:

a. business processes were patentable.

b. the "fair use" doctrine does not apply to domain names.

c. business processes were not patentable.

d. only abstract ideas were patentable.

25. The case of New York Times Co. v. Tasini involved which copyright
issue?

a. Rights relating to the revision of "collective works," such

as magazines.

b. Rights relating to the use of meta tags.

 c. The validity of a business process patent.

d. Cybersquatting.

26.The question before the court in the case of Ed Nowogroski

Insurance, Inc. v. Rucker was whether:

a. a trade secret loses its protection under the Uniform Trade

Secrets Act when an employee commits it to memory rather
than taking it in written form.

b. the defendant's actions fell under the Economic Espionage

Act.

c. a cyber mark could qualify as a trade secret under the

Uniform Trade Secrets Act.

d. the disclosure or use of another's trade secrets was a civil

or criminal offense.

27. The widespread use of the Internet has made the protection of
trade secrets:

a. easier, because most employers monitor their employees'

online communications and thus can know when a company
trade secret is being disclosed or used without authorization.

b. more difficult, because an employee can easily transfer to

competitors or others his or her employer's trade secrets via e-
mail or a disk.
 c. impossible, and the laws governing trade secrets are
being repealed.

d. undesirable, so companies now readily share their trade

secrets with competitors

28. One of the ways to make use of another's trademark, copyright,

patent, or trade secret, while avoiding litigation, is to obtain
_________________ to do so.

a. a cyber mark.

b. a business process patent.

c. an easement.

d. a license.

Answers:
1.b 2.c 3.c 4.a 5.d 6.a 7.b 8.b 9.d 10.a
11.b 12.c 13.b 14.c 15.c 16.b 17.c 18.c
19.b 20.c 21.a 22.b 23.d 24.a 25.a 26.a
27.b 28.d

T/F
 A trademark can be a motto.
1.

Correct True
Answer:

Trademarks can be mottos, symbols, names, distinctive marks, etc.

The Digital Millennium Copyright Act has raised the level of protection of
2. digitally copyrighted works above that of nondigital copyrighted works.

Correct True
Answer:

Protection is increased for digital copyrighted works.

A trademark that becomes a common term for the product line retains its
3. protection under the federal trademark law.

Correct False
Answer:

Loss of federal trademark protection occurs when a mark becomes descriptive

instead of distinctive and hence it is then a common term.

A service mark is used to differentiate the services of the holder from its
4. competitors.

Correct True
Answer:
 In a cause of action for willful copyright infringement, the court may not award
5. damages up to one hundred thousand dollars in lieu of actual damages.

Correct False
Answer:

The court has discretionary power to award damages ranging from $200 for
innocent copyright infringement up to $100,000 for willful infringement in lieu of
actual damages.

In addition to the Federal Patent Statute, each state has its own individual
6. patent laws.

Correct False
Answer:

There are no state patent laws

A certification mark is a mark that is used to set apart the services of the holder
7. from the corporation.

Correct False
Answer:
Used to certify the region, materials, mode of manufacture, quality or other
characterizes of goods and services by one person or more other than the
owner.

A mark must acquire secondary meaning and be distinctive in order to qualify

8. for protection.
 Correct True
Answer:

The Public Use Doctrine is also known as the one-year on sale doctrine.
9.

Correct True
Answer:

The NET act allows performers and producers the exclusive right to broadcast,
10 reproduce, and distribute copies of their performances by any means, including
. video recording, digital sound, or encryption signal.

Correct False
Answer:

Key terms:
certification A mark used by one or more persons, other than the owner, to certify the region,
mark materials, mode of manufacture, quality, or other characteristic of specific goods or
services.
collective A mark used by members of a cooperative, association, union, or other organization to
mark certify the region, materials, mode of manufacture, quality, or other characteristic of
specific goods or services.
copyright The exclusive right of an author or originator of a literary or artistic production to publish,
print, or sell that production for a statutory period of time. A copyright has the same
monopolistic nature as a patent or trademark, but it differs in that it applies exclusively to
works of art, literature, and other works of authorship (including computer programs).
cyber mark A trademark in cyberspace.
cybersquattin The act of registering a domain name that is the same as, or confusingly similar to, the
g trademark of another and then offering to sell that domain name back to the trademark
owner.
distributed A network that can be used by persons located (distributed) around the country or the
network globe to share computer files.
domain name The last part of an Internet address, such as "westlaw.edu." The top level (the part of the
name to the right of the period) indicates the type of entity that operates the site ("edu" is
an abbreviation for "educational"). The second level (the part of the name to the left of the
period) is chosen by the entity.
intellectual
Property resulting from intellectual, creative processes.
property
license In the context of intellectual property law, an agreement permitting the use of a
trademark, copyright, patent, or trade secret for certain limited purposes.
networking The sharing of resources (such as files, hard drives, and processing styles) among
multiple computers without necessarily requiring a central network server.
patent A government grant that gives an inventor the exclusive right or privilege to make, use, or
sell his or her invention for a limited time period.
peer-to-peer The sharing of resources (such as files, hard drives, and processing styles) among
(P2P) multiple computers without necessarily requiring a central network server.
service mark A mark used in the sale or the advertising of services to distinguish the services of one
person from those of others. Titles, character names, and other distinctive features of
radio and television programs may be registered as service marks.
trade dress The image and overall appearance of a product-for example, the distinctive decor, menu,
layout, and style of service of a particular restaurant. Basically, trade dress is subject to
the same protection as trademarks.
trade name A term that is used to indicate part or all of a business's name and that is directly related
to the business's reputation and goodwill. Trade names are protected under the common
law (and under trademark law, if the name is the same as the firm's trademarked
product).
trade secret Information or processes that give a business an advantage over competitors that do not
know the information or processes.
trademark A distinctive mark, motto, device, or emblem that a manufacturer stamps, prints, or
otherwise affixes to the goods it produces so that they may be identified on the market
and their origins made known. Once a trademark is established (under the common law
or through registration), the owner is entitled to its exclusive use.

Essay questions:
1. Why are trademarks and patents protected by the law?

As stated in Article I, Section 8, of the Constitution, Congress is authorized “[t]o

promote the Progress of Science and useful Arts, by securing for limited Times to
Authors and Inventors the exclusive Right to their respective Writings and
Discoveries.” Laws protecting patents and trademarks, as well copyrights, are
designed to protect and reward inventive and artistic creativity.

2. What are trade secrets, and what laws offer protection for this form of
intellectual property?
Trade secrets are business processes and information that are not or cannot be
patented, copyrighted, or trademarked. Trade secrets consist of generally
anything that makes an individual company unique and that would have value to
a competitor. The Uniform Trade Secrets Act, the Economic Espionage Act, and
the common law offer trade secrets protection.

3. In which of the following situations would a court likely hold

Maruta liable for copyright infringement?
1 Maruta owns a video store. She purchases one copy of several popular movie DVDs
from various distributors. Then, using blank DVDs, she burns copies of the movies to
rent or sell to her customers.

2 Maruta teaches Latin American history at a small university. She has a DVR (digital
video recorder) and frequently records television programs relating to Latin America.
She then takes the DVDs to her classroom so that her students can watch them.

Sample Answer:

1 This is the most likely example of copyright infringement. Generally,

determining whether the reproduction of copyrighted material
constitutes copyright infringement is made on a case-by-case basis
under the “fair use” doctrine, as expressed in Section 107 of the
Copyright Act. Courts look at such factors as the “purpose and
character” of a use, such as whether it is “of a commercial nature;”
“the amount and substantiality of the portion used in relation to the
copyrighted work as a whole;” and “the effect of the use on the
potential market” for the copied work. In this question, the DVD
storeowner is copying copyright-protected works in their entirety for
commercial purposes, thereby affecting the market for the works.

2 Recording a television program “for purposes such as * * *

teaching * * * is not an infringement of copyright” under Section 107
of the Copyright Ac
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