1 Definition of Compensation
1.1 Definition of Intellectual Property and Patents
Intellectual Property (IP) refers to creations of the mind, such as inventions, literary and artistic works, designs, and symbols, names, and images used in commerce. It’s a category of intangible assets that, unlike physical property, are protected by law to grant creators exclusive rights for a limited time. The main types of intellectual property include patents, copyrights, trademarks, and trade secrets.
Patents are a specific type of IP. A patent is an exclusive right granted by a government to an inventor for an invention. It allows the patent owner to prevent others from making, using, selling, or importing the invention for a set period, typically 20 years, in exchange for a public disclosure of the invention. To be granted, an invention must be novel, non-obvious, and have some industrial application. Patents can be for products, processes, or improvements on existing inventions.
1.2 History of Intellectual Property
The concept of protecting intellectual creations has roots that stretch back centuries.
Ancient Origins: Early forms of intellectual property can be found in ancient civilizations. For example, in ancient Greece, the city of Sybaris offered a one-year monopoly to chefs who created new dishes.
Renaissance and the First Modern Patents: The modern patent system is generally considered to have begun during the Renaissance. In 1421, Florence, Italy, granted the first known modern patent to Filippo Brunelleschi for a barge with a hoisting gear. A more formalized system emerged in 1474 in Venice, with the Venetian Patent Statute, which required new inventions to be communicated to the Republic to get legal protection.
The Statute of Monopolies (1624): In England, the Crown had a long history of granting monopolies to royal favorites, leading to widespread abuse. The Statute of Monopolies was enacted to curb this practice, but it made a crucial exception for patents for “projects of new invention” for a limited term of 14 years. This statute laid the groundwork for modern patent law in the common law world.
The Statute of Anne (1710): The first modern copyright law, the Statute of Anne, was passed in Britain. It granted authors, rather than just publishers, a 14-year copyright for their work, with the possibility of renewal. This was a landmark moment, as it shifted the focus of protection from the printing press to the author’s creative work.
International Conventions: The late 19th century saw the first major international agreements on IP. The Paris Convention for the Protection of Industrial Property (1883) established a framework for patents and trademarks, while the Berne Convention for the Protection of Literary and Artistic Works (1886) did the same for copyrights. These treaties were foundational to the modern global intellectual property system and led to the eventual creation of the World Intellectual Property Organization (WIPO).