“We will not be given the power to dream it unless

we are also being given the power to achieve it."

Intellectual
Property

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 Intellectual Property
 USConstitution, Article I, Section 8
(Powers of Congress): “The Congress
shall have Power To…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…”

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 Property

 meanspossession or
something to which the
owner has the rights

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 Intellectual Property
 refers to the right (legal field) relating to the following:
– literary, artistic works, and scientific works
– performances of performing artists, phonograms and
broadcasts
– inventions in all fields of human endeavor
– scientific discoveries
 encompasses creations of the human intellect/mind and
their protection usually by copyright
 the value of intellectual and artistic works comes from the
creativity, ideas, research, skills, labors, and other
nonmaterial efforts and attributes provided by their
creators
 The intangible creative work, not its particular physical
form
 Protected by copyright and patent law

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 World Intellectual Property
Organization ( WIPO )
 was founded in 1967 as one of the
specialized agencies of United
Nations organizations and
responsible for the protection of
the intellectual property

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 Intellectual Property

 threedifferent routes/ways for

protecting intellectual property:
–copyright
–patent
–trademark

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 Intellectual Property and
Changing Technology
 Copyrights are granted for a limited, but
long time ( historically a period of between
10 to 30 years depending on jurisdiction,
but more recently the life of the author plus
several decades)
 with some exceptions, copyright owners
have the exclusive right to:
 Make copies of the work,
 Produce derivative works (e.g. translation),
 Distribute copies,
 Perform the work in public(e.g. music, play),
 Display the work in public(e.g. art, computer
games)
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 Intellectual Property and
Changing Technology
 Problems from new technologies (>>) that
affect intellectual property owners
– High-quality copying.
– High-quantity distribution.
– Easier to use.
– Less expensive.

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 Copyright
 a form of protection provided by laws to
the authors of original works known as the
owner of intellectual property
 a copyright applies to the expression of an
idea, whether published or not.
 once an original work is created and fixed,
copyright exists.
 copyright may subsist in creative and
artistic works (books, articles, plays,
movies, music, paintings, photographs,
and software)

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 Copyright Law
 Section 106 of the 1976 Copyright Act
generally gives the owner of copyright the
exclusive right to do and to authorize others to
do the following:

– To reproduce/make copies the work

– To prepare derivative works based upon
the work 9 translation, etc.)
– To distribute copies of the work to the
public by sale or other transfer of ownership
– To perform & display the work publicly

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 Cont..

 A copyright owner has five exclusive

rights in the copyrighted work :
1) reproduction right - The reproduction
right is the right to copy, duplicate,
transcribe, or imitate the work in fixed
form.
2) modification right - The modification
right (also known as the derivative
works right) is the right to modify the
work to create a new work. A new work
that is based on a preexisting work is
known as a "derivative work.
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 Cont..
3) distribution right - the distribution right is the
right to distribute copies of the work to the
public by sale, rental, lease, or lending
4) public performance right - the public
performance right is the right to recite, play,
dance, act, or show the work at public place or
to transmit it to the public. In the case of a
motion picture or other audiovisual work,
showing the work's images in sequence is
considered "performance." Sound recordings:
- recorded versions of music or other sounds
- do not have a public performance right

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 Cont..

5) public display right - the public display

right is the right to show a copy of the
work directly or by means of a film, slide,
or television image at a public place or to
transmit it to the public. In the case of a
motion picture or other audiovisual work,
showing the work's images out of
sequence is considered display

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 Copyright Law (Cont.)

What is “Fair Use”

Fair is a concept in US copyright law

that allows for the usage of a
copyrighted work for the purposes
such as “criticism, comment, news
reporting, teaching (including
multiple copies for classroom use),
scholarship, or research.

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 Copyright Law (Cont.)
Fair Use Doctrine:
 Four factors considered
– The purpose and nature/char. of use including whether
such use is of a commercial nature or is for non-profit
educational purposes
– Nature of the copyrighted work: creative work (e.g.
novel, movies) protected more than factual work
– Amount of significance or portion used in relation to
the copyrighted work as a whole
– Effect of use on potential market or value of the
copyrighted work (will it reduce sales of work?)
 No single factor alone determines
 Not all factors given equal weight, varies by circumstance
 Court Case (Sharing music : The Napster case)
(Recording Industry of America (RIAA) vs Napster)
– Was the sharing of music via Napster fair use? (>>)
– Was Napster responsible for the actions of its users? (>>)
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 Sony and Universal Studios
 First private, non-commercial copying
case decided by Supreme Court (1984)
 Movie studios sued Sony for contributing
to copyright infringement because
customers used Betamax VCR machines to
record copyrighted movies on television
 Fair use? Recording a movie for viewing at
a later time, noncommercial copying of an
entire movie

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 Sega and Accolade
 Accolade made games for Sega machines
 Accolade copied Sega’s game-machine
software and reverse engineered it
 Accolade used understanding from reverse
engineering to make better games
 Fair use? Copying entire program for a
commercial use was fair because the
purpose was to create a new product not
to sell copies of another’s company’s
product
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 Who Can Claim Copyright
 the copyright in the work of authorship
immediately becomes the property of the
author (copyright holder) who created the work
 it is “the right to copy”, but gives the copyright
holder to be credited for the work, to determine
who may adapt the work to other forms, who
may perform the work, who may financially
benefit from it and other related right
 only the copyright holder or those deriving their
rights through the copyright holder can rightfully
claim copyright.

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 Copyrightable Works
 may include the following
categories:
– literary and artistic works
– musical works, including any accompanying
words
– dramatic and musical works
– motion pictures and other audiovisual works
– photographic works
– choreographic works
– sound recordings
– architectural works

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 Patent
 an intellectual property right relating to inventions
– i.e. to advances made in a technical field
 a patent may be granted by government for a
new, useful, and non-obvious invention
 it gives the patent holder the right to stop others
from practicing the invention (making, using or
selling) without the permission of the inventor for
a certain period of time (typically 20 years from
the filing date of a patent application)
 a patent allows you to prevent anyone from
producing, using or selling your invention unless
you are paid for the privilege
 Patents protect inventions of new things or
processes
 Like any other form of property, a patent can be
bought, sold, licensed or mortgaged
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 Patent
 Patents are territorial rights, so a US
patent will only give the owner rights
within the United States and rights to stop
others from importing products into the
United States.
 The term of the patent is 17 years from
the date the patent is granted, subject to
the payment of maintenance fees.

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 Things That Patents Cover
 cover products or processes that possess
or contain new functional or technical
aspects
– how things work,
– what they do,
– how they do it,
– what they are made of
– how they are made

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 Patent Protection
 176 countries in the world that grant
patents permit the patenting of
software-related inventions
 the adoption of the TRIPs ("Trade-
Related Aspects of Intellectual
Property") mandates member
countries to provide patent protection
for inventions in all fields of
technology.
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 Patent Protection

 patent protection for software-

related inventions is the "technical
effects" doctrine that was first
disseminated by the European
Patent Office ("EPO").
 Patent on Web Technologies (>>)

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 Trademark
 a distinctive sign which is used to distinguish the
products or services of different businesses
 a trademark is a word, name, phrase, logo, image,
symbol, design, slogan or a combination of these
elements, secured by legal registration that
identifies a manufacturer’s or trader’s product or
service from other products and services
 The owner of a registered trademark may
commence legal proceedings for trademark
infringement to prevent unauthorized use of that
trademark in a manner that might create a
likelihood of confusion in the marketplace
 a trademark is created through the use of the mark
in commerce
 represented by the symbols ™ and ®

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 Trademark (cont’d)
 trade mark is different from copyright and
patent
 a copyright provides protection for an artistic or
literary work
 a patent provides protection for an invention.
Unlike copyrights and patents, trademarks
rights can last indefinitely, if the trademark
continues to be used
 trademarks is being enforceable in state court
as well as federal court
 only the owner of the trademark can register
the trade mark. The owner can be an
individual, partnership or a company.

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 Trademark Protection
 The protection of trademarks via registration
has long been accepted internationally
 In most countries, rights are initially secured
by registration and maintained by later use in
the country
 use without registration does not provide
trademark protection

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LEGAL PROTECTION
OF CREATIVE WORK

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 Types of Creative Work
 Literary works - novels, nonfiction prose,
poetry, newspaper articles and
newspapers, magazine articles and
magazines, computer software, software
manuals, training manuals, manuals,
catalogs, brochures, advertisements
(text), and compilations such as business
directories
 Musical works - songs, advertising
jingles, and instrumentals.

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 Cont..

 Dramatic works - plays, operas, and skits.

 Pantomimes and choreographic works -
Ballets, modern dance, jazz dance, and
mime works.
 Pictorial, graphic, and sculptural works -
photographs, posters, maps, paintings,
drawings, graphic art, display ads,
cartoon strips and cartoon characters,
stuffed animals, statues, paintings, and
works of fine art.

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 Cont..

 Motion pictures and other audiovisual works -

movies, documentaries, travelogues, training
films and videos, television shows, television
ads, and interactive multimedia works.
 Sound recordings - recordings of music,
sounds, or words.

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 Scope of Protection

 Copyright protects against copying the

"expression" in a work, not against copying
the work's ideas.
 The difference between "idea" and"
expression" is one of the most difficult
concepts in copyright law.
 The most important point to understand is
that one can copy the protected expression
in a work without copying the literal words
(or the exact shape of a sculpture, or the
exact "look" of a stuffed animal)
 when a new work is created by copying an
existing copyrighted work, copyright
infringement exists if the new work is
"substantially similar" to the work that was
copied
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 Software Piracy
 Software considered as literary work. Three main
categories of copyright software piracy:
– produce and sell unauthorized copies of popular software
packages
– buy one or a few copies software package
and install on dozens or hundreds of computers.
download from Internet
 Number of approaches to reduce software
copyright piracy:
– Technical devices to prevent or deter copying  using
serial number
– Enforcement and revision of copyright law  through
government and enforce the law
– Education  from college students to big organization

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 Protecting Software Copyrights
 Digital Rights Management :
– Collection of techniques that control uses of intellectual
property in digital formats
– Includes hardware and software schemes using encryption
– The producer of a file has flexibility to specify what a user
may do with it
– Apple, Microsoft and Sony all use different schemes of DRM
 Microsoft Product Activation
– It is an anti-piracy technology designed to verify that the
product has been legitimately licensed. This technology is
aimed at reducing software piracy as well as ensuring that
Microsoft's customers are receiving the product quality that
they expect.

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THE END

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 Challenges of New Technology
 Digital technology and the internet has made
copyright infringement easier and cheaper
 New compression technologies have made
copying large files (e.g. graphics, video and audio
files) feasible
 New tools allow us to modify graphics, video and
audio files to make derivative works
 Scanners allow us to change the media of a
copyrighted work, converting printed text,
photos, and artwork to electronic form
BACK
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 Copyright Law & Significant
cases
 Napster's arguments for fair use
– The Sony decision allowed for entertainment use to be
considered fair use
– Did not hurt industry sales because users sampled the
music on Napster and bought the CD if they liked it

 RIAA's (Recording Industry Association of America)

arguments against fair use
– "Personal" meant very limited use, not trading with
thousands of strangers
– Songs and music are creative works and users were
copying whole songs
– Claimed Napster severely hurt sales

 Court ruled sharing music via copied MP3 files violated

copyright
BACK
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 Copyright Law & Significant
cases
 Napster's arguments
– It was the same as a search engine
– They did not store any of the MP3 files
– Their technology had substantial legitimate uses

 RIAA's arguments
– Companies are required to make an effort to prevent
copyright violations and Napster did not take
sufficient steps
– Napster was not a device or new technology and the
RIAA was not seeking to ban the technology

 Court ruled Napster liable because they had the right

and ability to supervise the system, including copyright
infringing activities
BACK
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 Patents on Web Technologies
 Amazon agreed to pay IBM who holds
patents for online catalogs and targeted
advertising
 Friendster applied for a patent on its
social-networking Web techniques. While
the patent was pending, sites such as
MySpace sprang up. Friendster's patent
was granted and it may now charge
licensing fees to businesses using the
technology. BACK
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 History
 Effect of technology developments
– Early 1990s modem technology and no
compression -> a day to download a
song
– Late 1990s modem technology and mp3
compression -> minutes to download a
song
– Availability of MP3 players
 Completelychanged the market for
music sharing
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 Napster I
 Not the first, but one of the biggest
 50M users, 98M mp3 files

 Offered following service to users:

– Register mp3 files that are on your machine to
a central directory service
– Title and artist information, not actual file
– Use directory to find files of interest and
pointer(s) to user(s) with file
– Download directly from user using Napster
peer-to-peer software

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 Napster II
 Record companies sued Napster for
copyright infringement
 Legal issue 1: Is this copyright
infringement according to fair use?
 Legal issue 2: If yes, is Napster
responsible for user behavior?
(remember that actual file exchange
occurred between users)

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 Fair Use Reminder
 Four factors to consider:
– Purpose and nature of use, including whether
for commercial purposes or nonprofit
educational uses (commercial less likely to be
fair use)
– Nature of copyrighted work (creative work
protected more than factual work)
– Amount and significance of portion used
– Effect of the use on potential market for or
value of copyrighted work (reduced sales less
likely to be fair)
 Most weight on last factor 43
 Napster Responsibility
 Court ruled that this was copyright
infringement under fair use principles
 Was Napster responsible for users?
– Remember Betamax case
– What differs?
– How was Napster like a search engine?
– What non-infringing uses did Napster
have?
 Napster
Brief (EFF) (read as
argument) 44
Napster Decision and Aftermath
 Decision
– Napster round liable for infringing copyright
use
– Attempted to restrict content to non-infringing
material, but quickly shut down
 Aftermath
– Fully distributed peer-to-peer sharing
(Gnutella, Morpheus, KaZaa, …)
– Entertainment industry threatened ISPs
– Group of P2P companies sued for providing
infrastructure and servcies to enable massive
copyright infringement
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 Recently: Viacom and Google
 Viacom Sues Google (msnbc)
 Two positions:
– Michael Fricklas - Our Case Against
YouTube - washingtonpost.com
– An End Run on Copyright Law -
washingtonpost.com
 EFF:Mossberg on DMCA from WSJ
video piece (what point is most
interesting to you)

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 Other Resources
 EFF: What Peer-to-Peer Developers
Need to Know about Copyright Law
 EFF: MGM v. Grokster

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