What is Intellectual Property?

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What is Intellectual Property?

Table of Contents

Page

What is Intellectual Property? 2

What is a Patent? 5

What is a Trademark? 8

What is an Industrial Design? 12

What is a Geographical Indication? 15

What are Copyright 18

and Related Rights?

What is the World Intellectual 22

Property Organization?
 What is
Intellectual Property

Intellectual property refers to

creations of the mind: inventions;
literary and artistic works; and
symbols, names and images used
in commerce. Intellectual property
is divided into two categories:

Industrial Property includes

patents for inventions,
trademarks, industrial designs
and geographical indications.

Copyright covers literary

works (such as novels,
poems and plays), films,
music, artistic works
(e.g., drawings, paintings,
photographs and sculptures)
and architectural design.
Rights related to copyright
include those of performing
artists in their performances,
producers of phonograms
What is in their recordings, and
broadcasters in their radio
Intellectual and television programs.

Property?

2
What are intellectual Why promote and protect
property rights? intellectual property?

Intellectual property rights are There are several compelling

like any other property right. reasons. First, the progress and
They allow creators, or owners, of well-being of humanity rest on its
patents, trademarks or copyrighted capacity to create and invent new
works to benefit from their own works in the areas of technology
work or investment in a creation. and culture. Second, the legal
These rights are outlined in Article protection of new creations
27 of the Universal Declaration encourages the commitment of
of Human Rights, which provides additional resources for further
for the right to benefit from innovation. Third, the promotion
the protection of moral and and protection of intellectual
material interests resulting from property spurs economic growth,
authorship of scientific, literary creates new jobs and industries,
or artistic productions. and enhances the quality and
enjoyment of life.
The importance of intellectual
property was first recognized in An efficient and equitable
the Paris Convention for the intellectual property system can help
Protection of Industrial Property all countries to realize intellectual
(1883) and the Berne Convention property’s potential as a catalyst
for the Protection of Literary and for economic development and
Artistic Works (1886). Both social and cultural well-being.
treaties are administered by the The intellectual property system
World Intellectual Property helps strike a balance between
Organization (WIPO). the interests of innovators and
the public interest, providing an
environment in which creativity
and invention can flourish, for
the benefit of all.

3
 How does the average
person benefit?
What is
Intellectual property rights reward
a Patent?
creativity and human endeavor,
which fuel the progress of
humankind. Some examples:

The multibillion dollar film,

recording, publishing and
software industries – which
bring pleasure to millions of
people worldwide – would
not exist without copyright
protection.

Without the rewards provided

by the patent system,
researchers and inventors
would have little incentive to
continue producing better
and more efficient products
for consumers.

Consumers would have no

means to confidently buy
products or services without
reliable, international
trademark protection and
enforcement mechanisms
to discourage counterfeiting
and piracy.

4
What is a Patent? Why are patents necessary?

A patent is an exclusive right Patents provide incentives to

granted for an invention – individuals by recognizing their
a product or process that provides creativity and offering the possibility
a new way of doing something, of material reward for their
or that offers a new technical marketable inventions. These
solution to a problem. incentives encourage innovation,
which in turn enhances the quality
A patent provides patent owners of human life.
with protection for their inventions.
Protection is granted for a limited
period, generally 20 years. What kind of protection
do patents offer?

Patent protection means an

invention cannot be commercially
made, used, distributed or sold
without the patent owner’s
consent. Patent rights are usually
enforced in courts that, in most
systems, hold the authority to stop
patent infringement. Conversely,
a court can also declare a patent
invalid upon a successful challenge
by a third party.

What rights do patent

owners have?

A patent owner has the right to

decide who may – or may not –
use the patented invention for
the period during which it is
protected. Patent owners may give
5
 permission to, or license, other the total body of technical
parties to use their inventions on knowledge in the world. This ever-
mutually agreed terms. Owners increasing body of public
may also sell their invention rights knowledge promotes further
to someone else, who then creativity and innovation. Patents
becomes the new owner of the therefore provide not only
patent. Once a patent expires, protection for their owners but
protection ends and the invention also valuable information and
enters the public domain. This is inspiration for future generations
also known as becoming off of researchers and inventors.
patent, meaning the owner no
longer holds exclusive rights to
the invention, and it becomes How is a patent granted?
available for commercial
exploitation by others. The first step in securing a patent
is to file a patent application. The
application generally contains the
What role do patents play title of the invention, as well as an
in everyday life? indication of its technical field. It
must include the background and
Patented inventions have pervaded a description of the invention, in
every aspect of human life, from clear language and enough detail
electric lighting (patents held by that an individual with an average
Edison and Swan) and sewing understanding of the field could
machines (patents held by Howe use or reproduce the invention.
and Singer), to magnetic resonance Such descriptions are usually
imaging (MRI) (patents held by accompanied by visual materials –
Damadian) and the iPhone drawings, plans or diagrams – that
(patents held by Apple). describe the invention in greater
detail. The application also
In return for patent protection, contains various “claims”, that is,
all patent owners are obliged to information to help determine the
publicly disclose information on extent of protection to be granted
their inventions in order to enrich by the patent.

6
What kinds of inventions Who grants patents?
can be protected?
Patents are granted by national
An invention must, in general, patent offices or by regional
fulfill the following conditions to offices that carry out examination
be protected by a patent. It must work for a group of countries –
be of practical use; it must show for example, the European Patent
an element of “novelty”, meaning Office (EPO) and the African
some new characteristic that is Intellectual Property Organization
not part of the body of existing (OAPI). Under such regional
knowledge in its particular technical systems, an applicant requests
field. That body of existing protection for an invention in one
knowledge is called “prior art”. or more countries, and each
The invention must show an country decides whether to offer
“inventive step” that could not patent protection within its
be deduced by a person with borders. The WIPO-administered
average knowledge of the technical Patent Cooperation Treaty (PCT)
field. Its subject matter must provides for the filing of a single
be accepted as “patentable” international patent application
under law. In many countries, that has the same effect as national
scientific theories, mathematical applications filed in the designated
methods, plant or animal varieties, countries. An applicant seeking
discoveries of natural substances, protection may file one application
commercial methods or methods and request protection in as many
of medical treatment (as opposed signatory states as needed.
to medical products) are not
generally patentable.

7
 What is a trademark?

A trademark is a distinctive sign

that identifies certain goods or
services produced or provided by
an individual or a company. Its
origin dates back to ancient times
when craftsmen reproduced their
signatures, or “marks”, on their
artistic works or products of a
functional or practical nature.
Over the years, these marks have
evolved into today’s system of

AM
trademark registration and
protection. The system helps
consumers to identify and
purchase a product or service
based on whether its specific
characteristics and quality – as
indicated by its unique trademark
– meet their needs.

What is a
trademark?
What do trademarks do? What kinds of trademarks
can be registered?
Trademark protection ensures that
the owners of marks have the Trademarks may be one or a
exclusive right to use them to combination of words, letters and
identify goods or services, or to numerals. They may consist of
authorize others to use them in drawings, symbols or three-
return for payment. The period of dimensional signs, such as the
protection varies, but a trademark shape and packaging of goods.
can be renewed indefinitely upon In some countries, non-traditional
payment of the corresponding marks may be registered for
fees. Trademark protection is distinguishing features such as
legally enforced by courts that, in holograms, motion, color and
most systems, have the authority non-visible signs (sound, smell
to stop trademark infringement. or taste).

In a larger sense, trademarks In addition to identifying the

promote initiative and enterprise commercial source of goods or
worldwide by rewarding their services, several other trademark
owners with recognition and categories also exist. Collective
financial profit. Trademark marks are owned by an association
protection also hinders the efforts whose members use them to
of unfair competitors, such as indicate products with a certain
counterfeiters, to use similar level of quality and who agree
distinctive signs to market inferior to adhere to specific requirements
or different products or services. set by the association. Such
The system enables people with associations might represent, for
skill and enterprise to produce and example, accountants, engineers
market goods and services in the or architects. Certification marks
fairest possible conditions, thereby are given for compliance with
facilitating international trade. defined standards but are not
confined to any membership.

9
 They may be granted to anyone of the goods or services to which
who can certify that their products the sign would apply. The sign
meet certain established standards. must fulfill certain conditions in
Some examples of recognized order to be protected as a
certification are the internationally trademark or other type of mark.
accepted “ISO 9000” quality It must be distinctive, so that
standards and Ecolabels consumers can distinguish it from
for products with reduced trademarks identifying other
environmental impact. products, as well as identify a
particular product with it. It must
neither mislead nor deceive
How is a trademark customers nor violate public order
registered? or morality.

First, an application for registration Finally, the rights applied for

of a trademark must be filed with cannot be the same as, or similar
the appropriate national or to, rights already granted to
regional trademark office. The another trademark owner. This
application must contain a clear may be determined through search
reproduction of the sign filed for and examination by national
registration, including any colors, offices, or by the opposition of
forms or three-dimensional third parties who claim to have
features. It must also contain a list similar or identical rights.

10
 To avoid the need to register
How extensive is trademark separate applications with each
protection? national or regional office, WIPO
administers an international
Almost all countries in the world registration system for trademarks.
register and protect trademarks. The system is governed by two
Each national or regional office treaties: the Madrid Agreement
maintains a Register of Concerning the International
Trademarks containing full Registration of Marks and the
application information on all Madrid Protocol. Persons with
registrations and renewals, which a link (be it through nationality,
facilitates examination, search and domicile or establishment) to a
potential opposition by third country party to one or both of
parties. The effects of the these treaties may, on the basis of
registration are, however, limited a registration or application with
to the country (or, in the case of the trademark office of that
regional registration, countries) country (or related region), obtain
concerned. an international registration having
effect in some or all of the other
countries of the Madrid Union.

11
 What is an Industrial
What is Design?

an An industrial design refers to the

ornamental or aesthetic aspects of
Industrial an article. A design may consist of
three-dimensional features, such as
Design? the shape or surface of an article,
or two-dimensional features, such
as patterns, lines or color.

Industrial designs are applied to a

wide variety of industrial products
and handicrafts: from technical
and medical instruments to
watches, jewelry and other luxury
items; from house wares and
electrical appliances to vehicles
and architectural structures; from
textile designs to leisure goods.

To be protected under most

national laws, an industrial design
must be new or original and non-
functional. This means that an
Swiss Army Knife: courtesy Victorinox Ltd

industrial design is primarily of an

aesthetic nature, and any technical
features of the article to which it
is applied are not protected by the
design registration. However,
those features could be protected
by a patent.
Watch: Courtesy Swatch AG
Why protect industrial Industrial designs can be relatively
designs? simple and inexpensive to
develop and protect. They are
Industrial designs are what make reasonably accessible to small
an article attractive and appealing; and medium-sized enterprises as
hence, they add to the commercial well as to individual artists and
value of a product and increase craftsmakers, in both developed
its marketability. and developing countries.

When an industrial design is

protected, the owner – the person How can industrial designs
or entity that has registered the be protected?
design – is assured an exclusive
right and protection against In most countries, an industrial
unauthorized copying or imitation design must be registered in order
of the design by third parties. to be protected under industrial
This helps to ensure a fair return design law. As a rule, to be
on investment. An effective registrable, the design must be
system of protection also benefits “new” or “original”. Countries
consumers and the public at large, have varying definitions of such
by promoting fair competition and terms, as well as variations in the
honest trade practices, encouraging registration process itself.
creativity and promoting more Generally, “new” means that no
aesthetically pleasing products. identical or very similar design is
known to have previously existed.
Protecting industrial designs helps Once a design is registered, a
to promote economic development registration certificate is issued.
by encouraging creativity in the Following that, the term of
industrial and manufacturing protection granted is generally
sectors, as well as in traditional five years, with the possibility of
arts and crafts. Designs contribute further renewal, in most cases
to the expansion of commercial for a period of up to 15 years.
activity and the export of
national products.

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 Hardly any other subject matter How extensive is industrial
within the realm of intellectual design protection?
property is as difficult to categorize
as industrial designs. And this has Generally, industrial design
significant implications for the protection is limited to the country
means and terms of its protection. in which protection is granted.
Depending on the particular The Hague Agreement Concerning
national law and the kind of the International Registration
design, an industrial design may of Industrial Designs, a WIPO-
also be protected as a work of administered treaty, offers a
applied art under copyright law, procedure for international
with a much longer term of registration of designs. Applicants
protection than the standard 10 or can file a single international
15 years under registered design application either with WIPO
law. In some countries, industrial or the national or regional office
design and copyright protection of a country party to the treaty.
can exist concurrently. In other The design will then be protected in
countries, they are mutually as many member countries of the
exclusive: once owners choose one treaty as the applicant designates.
kind of protection, they can no
longer invoke the other.

Under certain circumstances

an industrial design may also
be protectable under unfair
competition law, although the
conditions of protection and
the rights and remedies available
can differ significantly.

14
 What is a
Geographical
Indication?

A geographical indication is a sign

used on goods that have a specific
geographical origin and possess
qualities or a reputation due
to that place of origin. Most
commonly, a geographical
indication consists of the name
of the place of origin of the
goods. Agricultural products
typically have qualities that derive
from their place of production and
are influenced by specific local
geographical factors, such as
climate and soil. Whether a sign
functions as a geographical
indication is a matter of national
law and consumer perception.
Geographical indications may
be used for a wide variety of
agricultural products, such as, for
example, “Tuscany” for olive oil
produced in a specific area of Italy,
or “Roquefort” for cheese
produced in that region of France.

The use of geographical indications

What is a is not limited to agricultural
products. They may also highlight

Geographical specific qualities of a product that

are due to human factors found in

Indication? the product’s place of origin, such

as specific manufacturing skills
15
 and traditions. The place of origin Why do geographical
may be a village or town, a region indications need protection?
or a country. An example of the
latter is “Switzerland” or “Swiss”, Geographical indications are
perceived as a geographical understood by consumers to
indication in many countries for denote the origin and quality of
products made in Switzerland and, products. Many of them have
in particular, for watches. acquired valuable reputations
which, if not adequately
protected, may be misrepresented
What is an appellation by commercial operators. False
of origin? use of geographical indications by
unauthorized parties, for example
An appellation of origin is a “Darjeeling” for tea that was not
special kind of geographical grown in the tea gardens of
indication used on products that Darjeeling, is detrimental to
have a specific quality exclusively consumers and legitimate
or essentially due to the producers. The former are
geographical environment in deceived into believing they are
which the products are produced. buying a genuine product with
The term geographical indication specific qualities and characteristics,
encompasses appellations of and the latter are deprived of
origin. Examples of appellations valuable business and suffer
of origin that are protected in damage to the established
states party to the Lisbon reputation of their products.
Agreement for the Protection of
Appellations of Origin and their
International Registration are What is the difference
“Bordeaux” for wine produced in between a geographical
the Bordeaux region of France, indication and a trademark?
“Prosciutto di Parma” – or Parma
ham – for ham produced in the A trademark is a sign used by a
Parma province of Italy or company to distinguish its goods
“Habana” for tobacco grown in and services from those produced
the Havana region of Cuba. by others. It gives its owner the
right to prevent others from using
16
the trademark. A geographical national laws and under a wide
indication guarantees to consumers range of concepts, such as laws
that a product was produced in against unfair competition,
a certain place and has certain consumer protection laws, laws for
characteristics that are due to that the protection of certification
place of production. It may be marks or special laws for the
used by all producers who make protection of geographical
products that share certain qualities indications or appellations of
in the place designated by a origin. In essence, unauthorized
geographical indication. parties may not use geographical
indications if such use is likely to
mislead the public as to the true
What is a “generic” origin of the product. Applicable
geographical indication? sanctions range from court
injunctions preventing
If the name of a place is used unauthorized use to the payment
to designate a particular type of of damages and fines or, in serious
product, rather than to indicate its cases, imprisonment.
place of origin, the term no longer
functions as a geographical
indication. For example, “Dijon What is WIPO’s role in the
mustard”, a kind of mustard that protection of geographical
originated many years ago in the indications?
French town of Dijon, has, over
time, come to denote mustard of WIPO administers a number of
that kind made in many places. international agreements that
Hence, “Dijon mustard” is now a deal partly or entirely with the
generic indication and refers to a protection of geographical
type of product, rather than a place. indications (in particular, the
Paris Convention and the Lisbon
Agreement). WIPO meetings
How are geographical offer Member States and other
indications protected? interested parties the opportunity
to explore new ways of enhancing
Geographical indications are the international protection of
protected in accordance with geographical indications.
17
 What are Copyright
What are and Related Rights?

Copyright and Copyright laws grant authors,

artists and other creators protection

Related Rights? for their literary and artistic

creations, generally referred to as
“works”. A closely associated field
is “related rights” or rights related
to copyright that encompass
rights similar or identical to those
of copyright, although sometimes
more limited and of shorter
duration. The beneficiaries of
related rights are:

performers (such as actors

and musicians) in their
performances;
producers of phonograms (for
example, compact discs) in
their sound recordings; and
broadcasting organizations
in their radio and television
programs.

Works covered by copyright

include, but are not limited to:
novels, poems, plays, reference
works, newspapers,
advertisements, computer
programs, databases, films, musical
compositions, choreography,
paintings, drawings, photographs,
sculpture, architecture, maps and
technical drawings.
What rights do copyright and successful dissemination (for
related rights provide? example, publications, sound
recordings and films). Hence,
The creators of works protected creators often transfer these rights
by copyright, and their heirs and to companies better able to
successors (generally referred to as develop and market the works,
“right holders”), have certain basic in return for compensation in the
rights under copyright law. They form of payments and/or royalties
hold the exclusive right to use or (compensation based on a
authorize others to use the work percentage of revenues generated
on agreed terms. The right by the work).
holder(s) of a work can authorize
or prohibit: The economic rights relating to
copyright are of limited duration –
its reproduction in all forms, as provided for in the relevant
including print form and WIPO treaties – beginning with
sound recording; the creation and fixation of the
its public performance and work, and lasting for not less than
communication to the public; 50 years after the creator’s death.
its broadcasting; National laws may establish longer
its translation into other terms of protection. This term of
languages; and protection enables both creators
its adaptation, such as from and their heirs and successors to
a novel to a screenplay for benefit financially for a reasonable
a film. period of time. Related rights
enjoy shorter terms, normally
Similar rights of, among others, 50 years after the performance,
fixation (recording) and reproduction recording or broadcast has taken
are granted under related rights. place. Copyright and the
protection of performers also
include moral rights, meaning the
Many types of works protected right to claim authorship of a
under the laws of copyright and work, and the right to oppose
related rights require mass changes to the work that could
distribution, communication and harm the creator’s reputation.
financial investment for their
19
 Rights provided for under and also stimulates economic and
copyright and related rights laws social development.
can be enforced by right holders
through a variety of methods and
fora, including civil action suits, How have copyright and
administrative remedies and related rights kept up with
criminal prosecution. Injunctions, advances in technology?
orders requiring destruction of
infringing items, inspection orders, The field of copyright and related
among others, are used to enforce rights has expanded enormously
these rights. during the last several decades
with the spectacular progress of
technological development that
What are the benefits of has, in turn, yielded new ways of
protecting copyright and disseminating creations by such
related rights? forms of communication as satellite
broadcasting, compact discs and
Copyright and related rights DVDs. Widespread dissemination of
protection is an essential component works via the Internet raises
in fostering human creativity and difficult questions concerning
innovation. Giving authors, artists copyright and related rights in
and creators incentives in the form this global medium. WIPO is
of recognition and fair economic fully involved in the ongoing
reward increases their activity and international debate to shape new
output and can also enhance the standards for copyright protection
results. By ensuring the existence in cyberspace. In that regard,
and enforceability of rights, the Organization administers the
individuals and companies can WIPO Copyright Treaty (WCT)
more easily invest in the creation, and the WIPO Performances and
development and global Phonograms Treaty (WPPT), known
dissemination of their works. as the “Internet Treaties”. These
This, in turn, helps to increase treaties clarify international norms
access to and enhance the aimed at preventing unauthorized
enjoyment of culture, knowledge access to and use of creative works
and entertainment the world over, on the Internet.

20
How are copyright and royalties gained from the national
related rights regulated? and international use of a work or
performance. Certain rights of
Copyright and related rights producers of sound recordings and
protection is obtained automatically broadcasting organizations are
without the need for registration sometimes managed collectively
or other formalities. However, many as well.
countries provide for a national
system of optional registration and
deposit of works. These systems
facilitate, for example, questions
involving disputes over ownership
or creation, financial transactions,
sales, assignments and transfer
of rights.

Many authors and performers do

not have the ability or means to
pursue the legal and administrative
enforcement of their copyright
and related rights, especially given
the increasingly global use of
literary, music and performance
rights. As a result, the establishment
and enhancement of collective
management organizations
(CMOs), or “societies”, is a
growing and necessary trend in
many countries. These societies
can provide their members with
efficient administrative support
and legal expertise in, for example,
collecting, managing and disbursing

21
 Watch: Courtesy Swatch AG

What is
the World Intellectual
Property Organization?

Established in 1970, the World

Intellectual Property Organization
(WIPO) is an international
organization dedicated to helping
ensure that the rights of creators
and owners of intellectual property

What is are protected worldwide, and

that inventors and authors are

the World therefore recognized and

rewarded for their ingenuity.

Intellectual This international protection acts

as a spur to human creativity,
Property pushing back the limits of science
and technology and enriching the
Organization? world of literature and the arts.
By providing a stable environment
for marketing products protected
by intellectual property, it also oils
the wheels of international trade.
WIPO works closely with its
Member States and other
constituents to ensure the
intellectual property system
remains a supple and adaptable
tool for prosperity and well-being,
crafted to help realize the full
potential of created works for
present and future generations.
How does WIPO promote in helping these systems to evolve
the protection of intellectual through treaty negotiation; legal
property? and technical assistance; and
training in various forms, including
As part of the United Nations in the area of enforcement.
system of specialized agencies,
WIPO serves as a forum for its WIPO works with its Member States
Member States to establish and to make available information on
harmonize rules and practices intellectual property and outreach
for the protection of intellectual tools for a range of audiences –
property rights. WIPO also services from the grassroots level through
global registration systems for to the business sector and
trademarks, industrial designs and policymakers – to ensure its
appellations of origin, and a global benefits are well recognized,
filing system for patents. These properly understood and
systems are under regular review accessible to all.
by WIPO’s Member States and
other stakeholders to determine
how they can be improved to How is WIPO funded?
better serve the needs of users
and potential users. WIPO is a largely self-financed
organization, generating more
Many industrialized nations have than 90 percent of its annual
intellectual property protection budget through its widely used
systems that are centuries old. international registration and
Among newer or developing filing systems, as well as through
countries, however, many are in its publications and arbitration
the process of building up their and mediation services. The
patent, trademark and copyright remaining funds come from
legal frameworks and intellectual contributions by Member States.
property systems. With the
increasing globalization of trade
and rapid changes in technological
innovation, WIPO plays a key role

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For more information contact the
World Intellectual Property Organization
Address:
34, chemin des Colombettes
P.O. Box 18
CH-1211 Geneva 20
Switzerland
Telephone:
41 22 338 91 11
Fax:
41 22 733 54 28
e-mail:
[email protected]

WIPO Publication No. 450(E) ISBN 978-92-805-1555-0