The Business Use of Creative Expression by SMEs: Introduction to Copyright & Related Rights Guriqbal Singh Jaiya Director, SMEs Division World Intellectual Property Organization (WIPO)
This Presentation 1 – What is Copyright? 2 – Why is Copyright relevant? 3 – How to Protect? 4 – How to Generate Income? 5 – Using Works Owned by Others
PART 1 WHAT IS COPYRIGHT ?
What is Copyright Grants authors, composers, and other creators legal protection for their literary and artistic creations (‘works’) Gives ‘bundle’ of exclusive rights, which allow owners to control the use of their original works in number of ways and to be remunerated Also provides ‘moral rights’ which protect the author’s reputation and integrity.
Copyright Works Films Literary Dramatic Photographic Music Artistic
Copyright and Business • Computer programs • Content on websites + ‘look and feel’ • Product catalogs • Artwork and text on product literature
Copyright and Business • Artwork and text on labels and packaging • Marketing and advertising materials (on paper, billboards, websites, accounting forms)
Copyright and Business • Sales training program captured on videocassette • Newsletters • Instruction sheets, operating manuals for machines, maintenance manuals • Technical drawings, diagrams, maps • Some types of databases
A Bundle of Exclusive Rights Economic Rights – Reproduce or make copies – Distribute to public – Sell, rent*, lend* – Display or perform to public – Adapt and translate – Make available on the Internet Assignment or License Moral Rights – Right of paternity: acknowledgement – Right of integrity: object against mutilation and/or distortion Moral Rights cannot be transferred * Generally applies only to certain types of works: Cinematographic works, musical works, or computer programs.
What are Related Rights? Rights of performers • • • actors musicians singers dancers or generally people who perform Rights of producers of sound recordings (phonograms) Rights of broadcasting organizations in their recordings in their radio and (cassette recordings, television programs compact discs, etc. ) and in Internet broadcasts such as ‘podcasts’
Example, in the case of a song by Barry White … Copyright protects the music of the composer and the words of the writer, and. . . Related rights would apply to. . the performances of the musicians and singers who perform the song Can't Get Enough/Just Another Way to Say. . . (1973/75, IMS Records) the sound recording of the producer in which the song is included the broadcast program of the organization that produces the program containing the song
Copyright • Term of protection: Generally speaking: - Life author + 50 y Exceptions • Automatic • Copyright subsists worldwide: Berne Convention heirs So why register? But national law applies
What is not protected? • Ideas or concepts • E. g. , instruction manual that describes system for brewing beer • Facts or information • Historical, news, scientific, biographical • E. g. , biography • Government works • Statutes, judicial opinions, etc
What is not protected? • Names, titles, slogans, short phrases • But advertising slogan may be protected under TM or UC • Artistic logo may be protected under CR Nike World Police and Fire Games, Québec
What is not protected? • Works of applied art ? • Protection differs greatly from country to country • Overlap with industrial designs
• Sportman invents technology for better shockabsorption for running shoes. • Advertises on his website. Describes in text what the technology is about. • Competitor sees website and makes running shoes with the same absorption technology.
PART 2 Why is Copyright Relevant to Your Business?
1. Control of Commercial Exploitation Exclusivity over the use of copyright protected works helps business to gain and maintain competitive edge in the marketplace – computer programs – commercial databases – advertisements – technical drawings – instruction manuals – films – musical compositions – magazines – photographs – architectural works – catalogs – websites – video games – sound recordings – multimedia – TV and radio programs
2. Generate Income · Copyright is a tradeable asset that may be owned, bought and sold the same as other types of property - sell copies of the work - sell copyright in the work - permit others to use your copyrighted work · Can be an important long-term value for your business if the work is of quality or is a commercial success.
3. Raise Funds • Companies that own copyright assets may be able to borrow money from a financial institution by using such a bundle of copyrights as a collateral. E. g. , portfolio of distribution rights to movies
4. Take action against infringers Copyright law enables to take legal action against anyone encroaching on the exclusive rights Remedies/Sanctions: - Stop infringement - Obtain monetary relief - Destruction of infringing works - Criminal sanctions
5. Use Works Owned by Others May enhance the value or efficiency of your business - play music in restaurant, bar, retail shop - use computer software or databases created by others - illustrate your website or catalogs with photographs taken by others Requires, in most cases, prior permission from the copyright owner
6. Effective Marketing and Advertising Enticing marketing or advertising materials requires use of creative text, artwork, logos, etc. , which are all protected by copyright. In the digital environment, companies are turning to the Internet and use copyright protected works on their websites to get noticed, build loyalty and ultimately boost sales. · short movies · online music · interactive games · contests · other new marketing ploys
1961 Coca Cola original vintage advertisement. Features a Valentine's Day
Innovative branding - with a sense of humour • Mouse characters started to have themes • Bio 2002 in Toronto
Innovative branding - with a sense of humour • Bio 2003 Washington DC
Innovative branding - with a sense of humour • Bio 2004 San Francisco
Innovative branding - with a sense of humour • Transgenic Mouse Conference 2004 Nashville
Innovative branding - with a sense of humour • 2004 Marketing Tour Japan
Innovative branding - with a sense of humour • Bio 2005 - Philadelphia
Innovative branding - with a sense of humour • Bio 2006 Chicago
Innovative advertising in scientific publications • Promoting viral delivery technology
Innovative advertising in scientific publications • Spring special price promotion
PART 3 How to Maximize your Copyright Protection in Your Business’ Creations?
1. Prove ownership · Deposit or register your work with copyright office · Deposit copy with bank / lawyer · Send yourself copy in sealed envelope · Copyright notice · Standard Identification Numbering Systems -International Standard Book Number (ISBN) -International Standard Recording Code (ISRC) -Etc.
2. Protect works in electronic form · Mouse-click contract · Mark with rights management information - Label (copyright notice, warning label) - Digital Object Identifier - Time stamp - Digital watermark · Technological protection measures - Encryption - Access control or conditional access systems - Versions of lower quality
3. Ascertain ownership · Author ≠ owner - But moral rights. . . · Work created by your employee - Owner = employer, automatic transfer - Owner = employer, assignment needed - Different rules for computer programs · Commissioned work - Re-use of commissioned material for the same or different purposes CONTRACT
• Michal is employee in Thai restaurant “Sunset” • During lunch break: makes paintings • Who owns copyright?
• Owner of the restaurant asks Michal to create new logo for the restaurant. • Who owns copyright?
• Owner of the restaurant asks external designer to create new logo for the restaurant. • Who owns copyright?
PART 4 How to Get the Most out of Your Copyright in Your Business’ Creations?
Sell the work or sell copies of the work Do you lose copyright? Business’ activity Buyer’s interest Price License your economic rights Exclusive Non-exclusive Sell your copyright ‘assignment’
When should you consider licensing or selling your copyright over a work? The exclusive rights can be divided and subdivided and licensed or sold to others in just about any way you can imagine: — by territory — time — market segment — media — content, etc. You can grant different licenses, to different persons or companies, at the same time.
Why should a business consider licensing? • Income: Can generate lucrative fees and royalties • New markets: Allows business to enter into new product categories or in new geographical areas in a relatively risk-free and cost-effective way • Marketing tool: Increases the business’ exposure and recognition
Licensing Strategy Define scope of activities permitted under the license as precisely as possible Generally, better limited in scope - To specific needs and interests of licensee - Non-exclusive license allows further opportunities Exclusive license or assignment - If no alternative - If adequate price - Loss of all future income-earning potential
Licensing Strategy Handle all aspects yourself - standard terms and conditions - individually with every licensee Entrust administration of (some of) your rights to licensing agent/agency - book publisher, record producer Collective Management Organization
Example of photographer Owner of copyright: has great power to define how his photos are used Important to consider range of possibilities to commercialize the photographs. Possible to simultaneously grant various licenses for one photo: To different users For specific manners of exploitation For limited period of time In limited territory For specific purpose
CMOs ►Per type of work and per country - film, music, photography, reprography, television, visual arts ►Core activities • documentation of works of its members • licensing and collecting royalties • gathering reporting information on the use of the works • monitoring and auditing • distribution of royalties to its members
CMOs ►Advantages • • • intermediaries between users and owners one-stop shop collective bargaining blanket license of material in digital form cultural and social intiatives
PART 5 Using Works Owned by Others
When do you need permission? 1. Work is covered by copyright / related rights 2. Work is not in the public domain - Copyright protection period expired - Work cannot be protected (e. g. Title) - Owner has explicitly abandoned his rights 3. Planned exploitation implies use of rights granted by copyright / related rights 4. Intended use is not covered by ‘fair use’, ‘fair dealing’, limitation, exception
Free uses or limitations • • • personal use quotations parodies criticism use for teaching purposes news reporting scientific research libraries certain cases of reproduction
• Company that sells eggs. Buys painting for 10. 000 USD. • Can it. . . – Use the painting as a logo? Holisticforgeworks. com – Scan the painting and use it to illustrate its website? – Sell digital copies online with name of the company on it?
• You buy software for your office. Can you – – Make a back-up copy for office use? Make a copy for home use? Adapt the software to your business needs? Use the software on multiple workstations?
How reduce risk of infringement? 1. Educate employees 2. Obtain written licenses/assignments, where needed, and ensure that staff are familiar with their scope 3. Mark apparatus that could be used to infringe copyright with a notice - Photocopiers - CD and DVD burners - Computers 4. Prohibit staff from downloading copyright protected material from the Internet on office computers without authorization
Thank You! WIPO’s website for SMEs : www. wipo. int/sme Guriqbal. jaiya@wipo. int
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