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Moving fast: IP meets IT Intellectual property and the digital business environment Alasdair Poore Michael Ahyow

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Page 1: Moving fast: IP meets IT - Cambridge Wireless

Moving fast: IP meets ITIntellectual property and the digital business environment

Alasdair Poore

Michael Ahyow

Page 2: Moving fast: IP meets IT - Cambridge Wireless

Introduction

o A bit about us…

o “Hot Topics” relevant to digital business

… and a fly past on IP rights

Page 3: Moving fast: IP meets IT - Cambridge Wireless

1) Dodgy marks

2) Copyright infringement – blurred lines?

3) PERLs of wisdom - what’s the latest on

software patents?

4)Intelligent design – the importance of

being cool

5) The price of enforcement

6) Intermediaries?

7) The pitfalls of digital marketing

8) Big news for big data

9) Consuming digital content

Our 9 Hot Topics

Page 4: Moving fast: IP meets IT - Cambridge Wireless

Hot Topic 1 – Dodgy marks

o A trade mark is a sign which can distinguish the goods and services of a particular person or organisation from those of its competitors

o Trade marks can be registered

o Need to specify goods and services

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Requirements of a trade marko A sign

o Capable of being represented graphically

o Capable of distinguishing goods and services of one undertaking from those of another

o Must have distinctive character

o Must not be purely descriptive

o Must not be a sign which has become customary in the current language or established practices of the trade

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What’s hot

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Apple’s trade mark for the design and layout of its Apple

stores – granted by USPTO – and in Europe

Page 8: Moving fast: IP meets IT - Cambridge Wireless

What’s hot?

o Candy : have some Kit Kat

o more “Candy” too

Guardian, 8 Dec 2014

Page 9: Moving fast: IP meets IT - Cambridge Wireless

What’s hot?

o Not so straightforward on the internet

– How touching: a story of flowers?

Interflora v Marks & Spencer

o …. and not

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So …

o Well chosen trade marks are very valuable

o The internet is making “local” or “narrow” trade marks a thing of the past

o The digital world will have to find an accommodation for burgeoning conflicts

o Being strong now is better

Page 11: Moving fast: IP meets IT - Cambridge Wireless

Hot Topic 2 - Copyright infringement

– blurred lines?

o What is copyright?

– Copyright protects certain ways in which ideas are expressed, but not the

ideas themselves.

– Originality is required, but artistic merit is not (on the whole)!

– The work must be recorded in some form.

o Permitted acts

– Fair dealing defences

– Personal copies for private use

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What’s hot?

o Blurred lines – does it really reach this far

o Quotation

o Parody, caricature and pastiche

o Private use – media shifting

Guardian, 11 March 2015Guardian, 19 March 2015

a work (a) evokes an existing work

while being noticeably different from it,

and (b) constitutes an expression of

humour or mockery

Page 13: Moving fast: IP meets IT - Cambridge Wireless

What’s hot?

o No IP

– Maybe you’re better off

Ryanair v PR Aviation:

CJEU finds that contractual terms can be effective where

there is no database right

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And so …

o Copyright can be a very powerful tool

o With sometimes murky boundaries

o The media moguls are still out there: don’t think they are less powerful

o Treading carefully there are real opportunities

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Hot topic 3 - PERLs of wisdom – what’s the latest on software patents?

o Patent protect “inventions”

o It gives the owner the right to prevent others from making, using

importing or selling the invention without permission

o In order to be patentable the invention must:

– be new

– have an inventive step that is not obvious to someone with knowledge and experience in the subject area, and

– be capable of being made or used in some kind of industry

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o Computer programs not patentable “as such”

– Certain exceptions for computer programs which have

“technical character”

– ABS brakes on a car

o Differs from “anything under the sun” approach historically adopted in the US

Patenting computer programs

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What’s hot?

o The UK – another rejection: Lantana

o … the EPO

o … and the USA

o and what happens with the UPC

– Paris?

A method of exchanging obligations as between parties,

each party holding a credit record and a debit record with

an exchange institution, the credit records and debit

records for exchange of predetermined obligations, the

method comprising the steps of:

(a) creating a shadow credit record and a shadow debit

record for each stakeholder party to be held

independently by a supervisory institution from the

exchange institutions;

(b) obtaining from each exchange institution a start-of-

day balance for each shadow credit record and shadow

debit record; …..

A data processing system to enable the exchange of an

obligation between parties, the system comprising:

a first party device,

a data storage unit having stored therein

(a) information about a first account for a first party,

independent from a second account maintained by a

first exchange institution, and

(b) information about a third account for a second party,

independent from a fourth account maintained by a

second exchange institution;

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… what …

o After 38 years the problems still don’t die down

o New IT technologies play havoc with old (and new) paradigms

o The US system is currently having a nervous breakdown

o But protection is still out there – even for software (implemented) inventions

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o Protects “the appearance of the whole or part of a product resulting from the features of, in particular, the lines, contours, colours, shapes, texture or materials of the product or ornamentation”

o A registered design can be 2D or 3D

o The design must be new and have individual character

o The right can be renewed every 5 years up to a total of 25 years from the date of grant

Hot Topic 4 – Intelligent design –

the importance of being cool

Page 20: Moving fast: IP meets IT - Cambridge Wireless

What’s hot?Wellies with instantly recognisable Cath Kidstondesign

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What’s hot?

“ Apple’s “fat but cool” look left a different impression from Samsung's “thin but uncool” look”

or Birss’ comment:

“they do not have the same understated or extreme simplicity which is possessed by the Apple design. They are not as cool”.

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… (still) makes for good IP

o Designs are very powerful

o Brilliant designs have greater protection

o Apple may use them …

o … but many people miss a trick

Page 25: Moving fast: IP meets IT - Cambridge Wireless

10 minute break!“In which areas of technology are we likely

to see the most significant IP developments

over the next 10 years?”

Page 26: Moving fast: IP meets IT - Cambridge Wireless

Hot Topic 5 – The price of enforcement

o Intellectual Property Enterprise Court

– Simpler, less costly alternative to litigation in the High

Court

– Handles all types of intellectual property claims

– Cap on damages of £500,000

– More attractive option for SMEs

– Cap on costs: £50,000 + £25,000

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What’s hot?

o Small claims – a changing paradigm

– Copyright

– Trade marks

– Unregistered designs

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What’s hot?

o Suitable for 2 days cases

– Streamlined procedure

– Active case management

– Focus on the key issues only

o Unilever v S C Johnson & Sons

The action was commenced in the Patents County Court on 27th

July 2011 and has been conducted under the PCC rules. One might ask whether a case between two multinational

corporations is suitable for the PCC. Since neither side

suggested the matter should be transferred, the question did not

arise. I can say this much. In terms of the issues to be decided,

the case is clearly suitable for the PCC. There has been no

disclosure and the evidence consists only of reports from in-

house experts on both sides. The legal representation consisted

of junior intellectual property counsel (Andrew Norris and Simon

Malynicz) instructed by firms of patent attorneys (Potter Clarkson

and Carpmaels & Ransford) for Unilever and SC Johnson

respectively. The trial took 1 ½ days. As far as I can tell it has been run expeditiously and without major cost.

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But it is still too expensive

o IPEC is a culture change

o And it is changing culture

– of lawyers

– of those who thought they could get away with it

o It’s not the cost that matters, it’s the perception that an injunction is a realistic possibility even for the small player

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o Intermediaries

– Includes providers of hosting services, digital content

platforms, social media, e-commerce websites

o Who to sue?

Hot Topic 6 – Intermediaries?

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Hot Topic 6 – Intermediaries?o Electronic Commerce (EC Directive) Regulations 2002 (SI 2002/2013)

(the “E-Commerce Regs”)

– Provide “information society service providers” with a defence to liability for copyright infringement resulting from certain acts by their users (for example, an infringing videos on YouTube) provided that:

o the service provider is a mere conduit, cache or host; and

o complies with certain requirements, including acting expeditiously to remove or disable access to the infringing material as soon as it becomes aware of it

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What’s hot?o Case: Joined cases C-236/08 to

C238/08 Google France SARL v Louis Vuitton Malletier SA and others

o Interflora v Marks & Spencer

o Twentieth Century Fox v BT Telecommunications

o MediaCat v Adams

Page 33: Moving fast: IP meets IT - Cambridge Wireless

New business models

o The digital environment is changing business models

o … and the Courts are following, not even very slowly

o The balance between freedom of intermediaries and intermediaries being an enforcement route is drifting towards the enforcement route

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Hot topic 7 - the pitfalls of digital

marketing

o Advertising and marketing communications

– Online adverts

– Electronic kiosks and billboards

– Price comparison websites

– In-game advertisements and advergames

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Digital marketing – what’s the law?

o CAP Code (advertising standards agency)

o E-commerce Regs

o Privacy and Electronic Communications (EC Directive) Regulations 2003 (SI 2003/2426) (as amended) (the “Privacy Regs”)

o The Consumer Protection from Unfair Trading Regulations (SI 2008/1277) (the “CPUT Regs”)

Page 36: Moving fast: IP meets IT - Cambridge Wireless

Digital marketing techniques

o Online behavioural advertising

o Affiliate marketing

o Viral marketing

o Native advertising

o Social media advertising

o “Blackhat”marketing

Page 37: Moving fast: IP meets IT - Cambridge Wireless

What’s hot?

Katie Price / Jordan @MissKatiePrice

OMG!! Eurozone debt problems can only be solved by true fiscal union

#comeonguys

Katie Price/Jordan @MissKatiePrice

Chinese leaders now likely to loosen moetary policy to stimulate growth.

Yay!!

Katie Price/Jordan @MissKatiePrice

Great news about China’s latest GDP figures!!

Katie Price/Jordan @MissKatiePrice

You’re not you when you’re hungry @snickersUk #hungry

#spon lockerz.com/s/176796815

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… but

o is also threatening consumers

o And the authorities are fighting back

o So

– More bureaucracy?

– More opportunity �

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Hot Topic 8 – Big news for big data

o Big data is changing the way we do business

– Collection of data via:

o Mobile

o Social media

o IoT

o Smart cities

o wearables

o What does the law say?

– Data Protection Act – 1998 (i.e. Pre Hadoop, pre Map-reduce, pre

parallel processing)

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What’s hot?

o A right to be forgotten

o The General Data Protection Regulation

– increased fines … 2% of turnover?

– protection by design

– territorial reach

– consent

– compliance officer

As of June 2014, Google has established a form

where people can request removals, as our story

explains: How Google’s New “Right To Be Forgotten”

Form Works.Searchengineland.com

Page 41: Moving fast: IP meets IT - Cambridge Wireless

Big data

o Is an unsolved problem not just for the technicians

o … but for the bureaucrats as well

o Watch this space

Page 42: Moving fast: IP meets IT - Cambridge Wireless

Hot Topic 9 – Consuming digital content

o What rights intellectual property rights are there in digital content?

– Copyright

– Trade marks and database rights

Page 43: Moving fast: IP meets IT - Cambridge Wireless

How is digital content protected by

copyright?

o Software, e-books, apps, games, music, video

o “Click-to-agree” terms for digital content are

essentially a licence of copyright

Page 44: Moving fast: IP meets IT - Cambridge Wireless

What’s hot?

o Consumer Rights Act 2015

o It’s due to come into force in October

– Satisfactory quality � Repair or Replacement

– Fit for purpose � R or R

– Meet description � R or R

– Not cause damage � compensation

Page 45: Moving fast: IP meets IT - Cambridge Wireless

What’s hot?

o Digital Single Market

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Digital marketing techniques

o are still threatening consumers

o and the European Commission is fighting back:

– To try and ensure a level playing field

– (and a corollary is more uniform consumer rights)

o So

– More bureaucracy?

– More opportunity �

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Conclusion

o We live in interesting times

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