SBTDC Intellectual Property Guide: Patents, Trademarks & Copyrights

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SBTDC Intellectual Property Guide: Patents, Trademarks & Copyrights INTELLECTUAL PROPERTY GUIDE PATENTS, TRADEMARKS & COPYRIGHTS A Resource Tool for NC’s Businesses and Inventors Published by the University of North Carolina’s Small Business and Technology Development Center Get your free download of this publication at www.sbtdc.org/pdf/ipguide.pdf INTELLECTUAL PROPERTY GUIDE INTELLECTUAL PROPERTY GUIDE PATENTS, TRADEMARKS & COPYRIGHTS This publication is published by the North Carolina Small Business and Technology Development Center. It is intended for the independent inventor or small company with little knowledge of how to develop new ideas into licensable patents or commercial products. In this guide, we try to answer the most common questions and provide guidance on commercializing an invention. In addition, this guide includes information about trademarks and copyrights. Author The North Carolina Small Business and Technology Development Center (SBTDC) 5 West Hargett Street, Suite 600 Raleigh, North Carolina 27601 (919) 715-7272 | www.sbtdc.org Editor Elliott Deaderick SBTDC Fall Law Extern (2012) The University of North Carolina School of Law Edited by Scott Daugherty, J.D. Kim Mayer, Ph.D. Darlene Dozier, J.D. Published by Copyright 2013, The North Carolina Small Business and Technology Development Center, All Rights Reserved THIS BOOKLET IS DESIGNED TO PROVIDE USEFUL INFORMATION AND IS PROVIDED TO THE READER WITH THE UNDERSTANDING THAT NEITHER THE AUTHOR, EDITORS, NOR THE PUBLISHER IS ENGAGED IN RENDERING PAID LEGAL, FINANCIAL, OR PROFESSIONAL ADVICE IN THIS REGARD. IF SUCH EXPERT ASSISTANCE IS REQUIRED, THE SERVICES OF A COMPETENT PROFESSIONAL SHOULD BE SOUGHT. THE INFORMATION PROVIDED DOES NOT CONSTITUTE SPECIFIC RECOMMENDATIONS TO BE USED FOR DECISION-MAKING PURPOSES BY THE INDIVIDUAL READER. UNLESS OTHERWISE AUTHORIZED IN WRITING BY THE NORTH CAROLINA SMALL BUSINESS AND TECHNOLOGY DEVELOPMENT CENTER, THIS PUBLICATION SHALL NOT BE COPIED, DISTRIBUTED, OR DUPLICATED IN ANY FORMAT. THIS PUBLICATION IS FOR THE PERSONAL USE AND BENEFIT OF AN INDIVIDUAL OR BUSINESS, AND IS NOT INTENDED FOR COMMERCAIL SALE. IN THE EVENT OF AUTHORIZED USE, COPYING OR DUPLICATION, NO FEE SHALL BE CHARGED. This work was partially supported by the U.S. Small Business Administration through Cooperative Agreement #SB-2M-00110- 28. Any opinions, findings, conclusions, or recommendations expressed in this publication are those of the author or editors, and do not necessarily reflect the views of the U.S. Small Business Administration. The North Carolina Small Business and Technology Development Center (SBTDC), a multi-campus center of The University of North Carolina System which operates in partnership with the U.S. Small Business Administration (SBA). INTELLECTUAL PROPERTY GUIDE INTELLECTUAL PROPERTY GUIDE Table of Contents INTRODUCTION .............................................................................................................. 8 GENERAL PATENT INFORMATION ................................................................................ 9 What Is A Patent? ................................................................................................................................ 9 Patent Contents ................................................................................................................................. 10 Obtaining a Patent ............................................................................................................................. 10 Conditions for a Patent ...................................................................................................................... 10 Who May Obtain a Patent .................................................................................................................. 11 When a Patent May Be Obtained ....................................................................................................... 11 Ownership and Sale of Patent Rights ................................................................................................. 12 DETERMINING WHETHER TO PATENT ......................................................................... 13 Performing a Patent Search................................................................................................................ 13 United States Patent and Trademark Office (USPTO) ..................................................................... 13 D.H. Hill Library, North Carolina State University ........................................................................... 14 MicroPatent ................................................................................................................................... 14 NCLive ........................................................................................................................................... 14 Google Patents .............................................................................................................................. 14 Will Your Invention Sell? .................................................................................................................... 15 Evaluate Marketability ....................................................................................................................... 15 Confidentiality Agreements ................................................................................................................ 16 Protecting the Invention by Filing as soon as Possible ....................................................................... 16 PURSUING A PATENT ................................................................................................... 18 Retaining a Patent Agent / Attorney .................................................................................................. 18 Drawings ............................................................................................................................................ 18 Artist’s concept drawing ................................................................................................................ 18 Engineering drawing ...................................................................................................................... 18 Patent drawing .............................................................................................................................. 18 Reduce the Idea to Practice: Prototypes ............................................................................................. 19 Rough prototype ............................................................................................................................ 19 Working model prototype .............................................................................................................. 19 Product Testing .................................................................................................................................. 20 Filing the Patent Application .............................................................................................................. 20 Process at the Patent and Trademark Office ...................................................................................... 20 Funding a Patent ................................................................................................................................ 22 Enforcing Patent Rights ...................................................................................................................... 22 What to do After Getting a Patent ..................................................................................................... 22 MANUFACTURING AGREEMENTS: PATENT ASSIGNMENTS & LICENSING ............... 23 What is a Patent Assignment? ........................................................................................................... 23 What is a License? ............................................................................................................................. 23 Pros and Cons of Licensing ................................................................................................................ 23 Selecting the Right Licensee ............................................................................................................... 24 Contacting Companies ....................................................................................................................... 24 Initial Presentation ............................................................................................................................. 24 Negotiating the License Agreement ................................................................................................... 25 What to Expect After Signing ............................................................................................................. 26 STARTING YOUR OWN BUSINESS ............................................................................... 27 INTELLECTUAL PROPERTY GUIDE Startup Capital ................................................................................................................................... 27 Marketing Issues ................................................................................................................................ 27 The Internet ....................................................................................................................................... 28 Registration and Licensing ................................................................................................................
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