Scribd
Upload
25 views4 pages

1.3. Nature and Concept of Intellectual Property

Uploaded by

swetha1998s
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
25 views4 pages

1.3. Nature and Concept of Intellectual Property

Uploaded by

swetha1998s
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 4

NATURE AND CONCEPT OF INTELLECTUAL PROPERTY

I. NATURE OF INTELLECTUAL PROPERTY

1. Intangible Asset: IP is not a physical object but an intangible asset—it exists in the
form of ideas, expressions, and innovation. Unlike tangible assets (like property), its
value lies in the intellectual creativity and effort behind it.

Theories Perspective:

o Natural Rights Theory (Lockean): Views IP as an extension of personal


property because an individual has a natural right to the product of their
labor, even if it is intangible. Just as a farmer owns the crops they grow, an
inventor should own their invention.

o Utilitarian Theory: Focuses on the societal benefit derived from


recognizing IP as property. By protecting intangible assets, society
encourages the creation of new ideas, leading to technological progress and
cultural enrichment.

2. Exclusive Rights: IP grants creators exclusive control over their work. They can
decide who can use, reproduce, or distribute their creation. This exclusivity serves as a
safeguard to ensure that creators benefit financially from their intellectual efforts.

Theories Perspective:

o Incentive Theory: Exclusive rights create a financial incentive for


creators to innovate, knowing they can monetize their work without
immediate competition. Without this protection, the risk of copying
would reduce motivation to invest in creativity.

o Utilitarian Theory: Protecting exclusivity benefits society as it promotes


the production of intellectual works, which in turn enhances overall
welfare. Once the period of exclusivity ends, the public benefits from
access to the knowledge or art that was created.
3. Limited Duration: IP rights are temporary and vary depending on the type of
intellectual property (e.g., patents last 20 years). After this period, the creation enters
the public domain, meaning anyone can use it freely.

Theories Perspective:

o Utilitarian Theory: Balancing public and private interests is key here.


Limited duration prevents the monopolization of knowledge and ensures
that the benefits of innovation are eventually shared with the public.

o Natural Rights Theory: From a natural rights standpoint, limited duration


may seem contradictory. However, it can be justified by the idea that one's
natural right to intellectual labour can reasonably expire in the interest of
societal progress.

4. Territorial: IP rights are generally territorial, meaning they are enforced within the
jurisdiction of the country where the rights are granted. An invention patented in India
might not automatically be protected in another country unless the inventor files for
protection there as well.

Theories Perspective:

o Incentive Theory: The territorial nature of IP reflects a country’s legal


capacity to incentivize creators within its borders. Since laws differ across
nations, incentives and enforcement vary by jurisdiction.

5. Negative Right: IP rights are generally negative rights, giving creators the power to
exclude others from using their creation without permission. For example, a patent
holder can stop others from producing a patented product, but the patent doesn't
necessarily grant the right to make or sell the product if other regulations apply.

Theories Perspective:

o Natural Rights Theory: As a negative right, IP aligns with the concept of


ownership—an individual has the right to control who can access and use
their intellectual property.

o Utilitarian Theory: The exclusionary power serves a utilitarian purpose by


promoting the creation of useful works. However, these negative rights must
be limited in scope and time to ensure public access eventually.
II. CONCEPT OF INTELLECTUAL PROPERTY

1. Product of Human Intellect: Intellectual property emerges from the unique creative
and cognitive abilities of individuals. Whether it's an invention, a book, or a brand, IP
is the product of human thought, imagination, and labor.

Theories Perspective:

o Natural Rights Theory: This aligns with John Locke’s idea that property
originates in labour. The intellect, like physical labour, generates value, and
individuals have a natural right to claim ownership over the results of their
intellectual effort.

o Incentive Theory: Human intellect requires nurturing, and the IP system


offers the incentives to encourage individuals to engage in creative or
inventive activities.

2. Incentivizing Innovation: The primary justification for granting IP rights is to


incentivize innovation. By providing creators with a limited period of exclusivity, IP
laws ensure that creators can profit from their work, thus encouraging more innovation
and creativity.

Theories Perspective:

o Incentive Theory: This is the core rationale of the Incentive Theory. Without
a legal framework granting exclusive rights, creators would lack the
financial and competitive motivation to invest in long-term innovation.

o Utilitarian Theory: Society benefits when individuals and companies are


motivated to develop new ideas. The temporary monopoly fosters innovation
that benefits both the individual and the larger public once the IP enters the
public domain.

3. Balancing Interests: Intellectual property seeks to strike a balance between the rights
of creators and the public. While creators deserve to benefit from their work, society
should also have access to innovations and cultural products, especially after a
reasonable period of exclusive rights.

Theories Perspective:
o Utilitarian Theory: Utilitarianism sees this balance as crucial. Exclusive
rights promote creativity, but excessive restrictions can stifle further
innovation or public welfare. Thus, the law must ensure that after the
exclusivity period, society can freely benefit from the creation.

o Incentive Theory: While the creator's interests are important, the incentive
must also include provisions for public good by allowing creations to
eventually enrich the common pool of knowledge.

4. Economic and Social Benefits: IP drives economic growth by fostering competition,


encouraging investment, and creating jobs. Sectors like pharmaceuticals, technology,
and entertainment rely heavily on intellectual property to generate revenue and promote
innovation.

Theories Perspective:

o Utilitarian Theory: Protecting IP yields social and economic benefits


because it encourages the production of goods and services that improve the
standard of living, healthcare, communication, and culture.

o Incentive Theory: For creators, the opportunity to gain financial rewards


encourages them to develop new technologies, write books, or create art.
This contributes to job creation, industry growth, and ultimately economic
progress.

***************

You might also like