Intellectual property can be of extraordinary value to businesses, especially those within the technology and media sector. However, most businesses have intellectual property and do not realise it, or do not know how to exploit it for commercial gain.
What is intellectual property?
There are a variety of intellectual property rights, some are obvious and some are less so.
The following are examples of intellectual property:
- Trade Marks – these are perhaps the most frequently recognised form of intellectual property. A trade mark is a mark applied to goods or services and distinguishes them from other goods and services available. A good example being the Apple logo that appears on iPhones or Macs.
- Copyright – Perhaps less obvious, copyright is an automatic right that applies to literary works (including computer coding), sound recordings, publications, films, dramatic works and much more.
- Design Rights – These can be registered or unregistered and protect the visual appearance of a product and the overall impression that a product creates.
- Patents – A patent protects an invention. The invention must be novel and a patent has to be applied for. Patents protect the functionality of a product.
- Passing Off – This is not so commonly heard of but is a powerful tool in protecting unregistered intellectual property rights. Passing off can protect the reputation and can assist in preventing other businesses from ‘piggy backing’ off the reputation of another business.
The value of Intellectual Property
The rights set out above can be utilised as tools for monetising intellectual property rights. When exploited effectively, intellectual property, can protect investment, allow a business to obtain a competitive advantage and protect revenue streams.
As an example, Mercedes-Benz are known for manufacturing cars. The company owns a number of trade marks which are applied to the cars so, we as consumers, can identify the origin of that car being Mercedes-Benz. However, Mercedes-Benz have applied the trade mark to products such as T-shirts, hats, suitcases and even camp chairs. The brand has been exploited and commercialised to create new revenue streams and give Mercedes-Benz a presence in new markets. An effective way of doing this is through licensing. A brand will often license its trade mark rights to another business that will produce goods or services that the business would not normally offer; this has the effect of increasing brand awareness but also creating additional revenue for a business by way of license fees and, potentially, royalties.
To successfully exploit intellectual property, it must be protected. The above rights offer protection to right holders and the enforcement of those rights is crucial in maintaining a successful portfolio of intellectual property that is not hindered by infringement.
To discuss protecting or exploiting your intellectual property please contact us for an initial discussion. We offer a full range of services from intellectual property dispute resolution to the drafting of agreements to carrying out intellectual property ‘health checks’.
For more information regarding IP and commercial law, please contact our specialist legal team today at: lawyers@bennettoakley.co.uk
