protection of knowledge in the shipbuilding industry workshop on intellectual property rights 26...

Protection of Knowledge in the Shipbuilding IndustryWorkshop on Intellectual Property Rights

26 March 2010

General Aspects of IP in the Shipbuilding Industry

Dr. Wiebke Baars, LL.M., Taylor Wessing Hamburg

Fachanwältin für gewerblichen Rechtsschutz

I. Overview

IPR

Registered Rights Unregistered Rights

Patents

Utility Model

Design(registered)

Trademarks

Copyright

Unregistered Design Rights

Know-How

Unfair Competition

II. Registered Rights

Patents

Inventions = solution of a technical problem Of products or methods New (=not state of the art) Inventive step Capable of industrial application

Most patents in shipbuilding industry are related to Propulsion Power generation Loading and unloading systems

II. Registered Rights

Patents

Exclusive right Territorial right Application requires disclosure and publication of invention Application process monitored by public (competitors) Granted after examination by Patent Office

National PTOs European PTO

One application Conversion into national patents

No Community Patent

II. Registered Rights

Patents Proprietor has the right to stop others from

Making, offering, putting a product on the market, Using, importing, stocking a product Using a method subject to the patent

Lifetime: 20 years from filing Can be attacked during lifetime

II. Registered Rights

Utility Model, „little Patent“ Not available in all countries (e.g. not UK, Sweden, Luxemburg) Invention of a product, in some countries also for methods Novelty Inventive step (less strict than patent)

Exclusive right Territorial right Application requires disclosure and publication of invention Granted by Patent Office, no examination

II. Registered Rights

Utility Model, „little Patent“

Proprietor has the right to stop others from Making, offering, putting a product on the market, Using, importing, stocking a product

Lifetime: between 7 and 10 years Can be attacked during lifetime

II. Registered Rights

Trademarks Words, designs, numerals, three dimensional configurations incl.

shape or packaging of a product, colours Purpose of indicating the origin of goods and services Allowing the consumer to distinguish the products and services of one

company from that of another No protection if lack of distinctive character No protection if descriptive No protection if shape results from nature of goods No protection if shape is necessary to obtain technical result

II. Registered Rights

Trademarks Exclusive right Territorial right Granted after examination by Patent Office

National PTOs OHIM: Community Trademark WIPO: International Registration (Madrid Agreement and Protocol)

II. Registered Rights

Trademarks Proprietor has the right to stop others from

Affixing the sign to goods or packaging Offering goods with the sign, putting goods on the market, Importing or exporting goods with the sign

Scope of protection: identical and confusingly similar signs

Lifetime: 10 years, can be renewed for further 10 years without limitation

Can be attacked during lifetime

II. Registered Rights

Registered Design Appearance of the whole or a part of a product Resulting from the features of the lines, contours, colours, shape,

texture and/or materials of the product itself and/or its ornamentation Novelty Individual character

No protection for technical aspects of design No protection for component parts not visible once incorporated into

complex products Exemptions for spare parts

II. Registered Rights

Registered Design Exclusive right Territorial right Granted by Patent Office without detailed examination

National PTOs Office of Harmonisation in the Internal Market: Community Design WIPO: International Registration (Hague Agreement)

Design can be related to e.g. Hull shape, shape of devices

II. Registered Rights

Registered Design Proprietor has the right to stop others from

Making, offering, putting a product using the design on the market, using, importing, exporting a product

Scope of protection: similar overall impression

Lifetime: 25 years Can be attacked during lifetime

III. Unregistered Rights

Copyright Personal intellectual creations Protected literary, scientific and artistic works:

works of language, such as writings, computer programs works of fine art, including works of architecture and of applied art and

plans for such works illustrations of a scientific or technical nature, such as drawings, plans,

maps, sketches, tables and three-dimensional representations

III. Unregistered Rights

Copyright Exclusive Right

Reproduction; Distribution Making available to the public

Moral Rights Right to object against

Distortion Mutilation Modification

III. Unregistered Rights

Copyright: Illustrations of a scientific or technical nature drawings, construction plans, maps, sketches, tables and three-

dimensional representations Protection only covers the presentation as such Not the scientific or technical content Therefore building s.th. based on drawings or construction plans is no

copyright infringement

III. Unregistered Rights

Copyright: Works of Architecture and plans for such works E.g. buildings, bridges, accessible parts of ships (e.g. bridge, mess,

cabins, passenger‘s areas) Plans for architectural works include protection of the work itself Creating a building or a ship based on the plans would be an

infringement But: creation must be artistical, not just mere building standard

Unlikely for fright ships, container ships More likely for individually designed yachts, cruise ships

III. Unregistered Rights

Copyright Exclusive right Territorial right International Conventions (e.g. Berne Convention, TRIPS) grant

protection almost wordwide, but no identical standards)

Lifetime 70 years after death of author

III. Unregistered Rights

Unregistered Design Appearance of the whole or a part of a product Resulting from the features of the lines, contours, colours, shape,

texture and/or materials Novelty Individual character Made available to the public in the EU Protected agains direct copying Protected for three years after publication

III. Unregistered Rights

Know How (Protection of Trade Secrets)

package of non-patented practical information, resulting from experience and testing, secret (not generally know or easily accessible), substantial (significant and useful for the production of the contract

products) identified

III. Unregistered Rights

Know-How Examples: construction plans, technical drawings, organisation charts,

calculations, marketing plans, customer data, recipes, reseach results

Statutory provisions (Germany) Betrayal of trade or industrial secrets, sec. 17 German Act against

Unfair Competition (UWG), Betrayal of documents or instructions of a technical nature, sec. 18

German Act against Unfair Competition (UWG) Criminal offence Civil law sanctions

III. Unregistered Rights

Know How

Contractual Protection E.g. with employees, customers, designers, business partners… Confidentiality obligations Valid only between parties Penalty clauses

III. Unregistered Rights

Unfair Competition Available in many countries to different extent Act of competition contrary to honest industrial or commercial

chartacter Exploitation or misrepresentation of a competitor‘s work or reputation Misleading consumers about origin of a product

IV. Layers of Protection

IPR

Registered Rights Unregistered Rights

Patents

Utility Model

Design(registered)

Trademarks

Copyright

Unregistered Design Rights

Know-How

Unfair Competition

IV. Layers of protection

Example: Functional features of new steering mechnism ->

patent protection, utility model Brand name of new product ->

trademark protection Method of manufacture->

trade secret, contractual protection Shape of new device->

design protection

V. Threats to IPR

Counterfeiting / Piracy Leakage of secret Know How

Suppliers Yards Customers/Owners Reserach Centers Employees

VI. Advantages of IPR

Patents, Utility Models, Designs, Trademarks and Copyrights are EXCLUSIVE rights:

Exclusive right to stop third parties from using the rights Inventive advantage Economic exploitation: licenses

VI. Advantages of IPR

Patents, Utility Models, Designs, Trademarks and Copyrights are EXCLUSIVE rights

Remedies have been harmonised by European Enforcement Directive: Right to apply for evidence regarding an infringement that lies in the hands

of the other party to be presented Requirement: “reasonably available evidence sufficient to support its claim” Provisional and precautional measures Right to obtain information on suppliers and customers Right to claim damages Right to reasonable compensation of legal costs

VII. Difficulties

Spotting infringement

Territorial rights High costs of international protection, especially for patents High administrative effort Patents require publication of invention High costs of international litigation

Investigation, collection of evidence, lawyers

Burden of proof

VII. Difficulties

Article 5ter Paris Convention

„Patents: Patented Devices forming part of Vessels, Aircrafts or Land Vehicles

In any country of the Union the following shall not be considered as infringement of the rights of a patentee:

The use on board of vessels of other countries of the union of devices forming the subject of his patent in the body of the vessel, in the machinerey, tackle, gear and other accesories, when such vessels temporarily or accidentally enter the waters of the said country, provided that such devices are used there exclusively for the needs of the vessel“

VII. Difficulties

Article 5ter Paris Convention

Limits the right of patent owners in the event that a ship enters a country temporarily under the flag of a foreign nation

Stena vs Irish Ferries Reason: free trade

VII. Difficulties

Specific burdens in the Far East Especially China, Korea Low commitment of enforcing and respecting IP laws Lack of technical training and experience Lack of enforcement tools High litigation costs Low amount of damages and fines Outlook: Awareness is rising!

VIII. Contractual Clauses: The Solution?

Advantage of contractual protection of Know How Can be obtained immediately Low costs Trade secrets have broader scope, all useful information covered, no

level of invention required Low litigation costs

VIII. Contractual Clauses: The Solution?

Disadvantage of contractual protection of Know How Valid only between parties of the contract No protection against third parties‘ independent discovery or legal

aquisition of information Often not enforced for fear of harming business relations

IX. What to do to get the most out of your IPR

Awareness of protectability Awareness of infringements Analysis: which IPR suits your company best? Definitions of key markets Consider layers of protection Choose your battles

General Aspects of IP in the Shipbuilding Industry

Dr. Wiebke Baars Taylor Wessing

Am Sandtorkai 4120457 Hamburg

Tel.: 040/36 80 3 0Fax : 040/36 80 3 280

Email: w.baars@taylorwessing.com

Berlin Brüssel Cambridge Dubai Düsseldorf

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