UNIT 3

Intellectual Property Rights And

Information Technology Law
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 Intellectual Property Rights
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MEANING
Intellectual property rights are the rights given to persons over the creations of their minds. They
usually give the creator an exclusive right over the use of his/her creation for a certain period of
time.
IPR is the body of law developed to protect the creative people who have disclosed their
invention for the benefit of mankind. This protects their invention from being copied or imitated
without their consent.

The term Intellectual property includes the following classes of Properties:

1. Patents
2. Industrial Designs
3. Copyrights
4. Trademarks
5. Trade Secret
[Link]-In case of Patents, the property consists of the exclusive right 4
to use the invention patented, to grant licences to others to exercise that
right or to sell that right to a third party.
2. Industrial Designs- Industrial Design protection is provided for a shape, configuration,
surface pattern, colour, or line (or a combination of these), which, when applied to a functional
article, produces or increases aesthetics, and improves the visual appearance of the design, be it a
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two-dimensional or a three-dimensional article.
3. Copyrights- Copyright is a legal term describing rights given to creators for their
original literary, musical or artistic works which allow them to control their subsequent
use. 6
4. Trademarks- A trademark is a word, phrase, symbol, or design that distinguishes the
source of products (trademarks) or services (service marks) of one business from its 7
competitors. In order to qualify for patent protection, the mark must be distinctive. For
example, the Nike "swoosh" design identifies athletic footwear made by Nike.
5. Trade Secrets- A trade secret is a formula, process, device, or 8
other business information that companies keep private to give them a
business advantage over their competitors.
Geographical Indications

A geographical indication (GI) is a sign used on products that have a specific geographical origin and 9
possess qualities or a reputation that are due to that origin. In order to function as a GI, a sign must
identify a product as originating in a given place
[Link]-In case of Patents, the property consists of the exclusive right to use the10invention
patented, to grant licences to others to exercise that right or to sell that right to a third party.
2. Industrial Designs- Industrial Design protection is provided for a shape, configuration,
surface pattern, colour, or line (or a combination of these), which, when applied to a functional
article, produces or increases aesthetics, and improves the visual appearance of the design, be it a
two-dimensional or a three-dimensional article.
3. Copyrights- Copyright is a legal term describing rights given to creators for their original
literary, musical or artistic works which allow them to control their subsequent use. These
include for example:
a. computer software
b. drawings, maps, charts or plans
c. photographs and films
 11

4. Trademarks- A trademark is a word, phrase, symbol, or design that distinguishes the source
of products (trademarks) or services (service marks) of one business from its competitors. In order
to qualify for patent protection, the mark must be distinctive. For example, the Nike "swoosh"
design identifies athletic footwear made by Nike.
5. Trade Secrets- A trade secret is a formula, process, device, or other business information
that companies keep private to give them a business advantage over their competitors.
Geographical Indications
A geographical indication (GI) is a sign used on products that have a specific geographical origin
and possess qualities or a reputation that are due to that origin. In order to function as a GI, a sign
must identify a product as originating in a given place. In addition, the qualities, characteristics or
reputation of the product should be essentially due to the place of origin. Since the qualities
depend on the geographical place of production, there is a clear link between the product and its
original place of production.
Advantages of obtaining a patent
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[Link] are exclusive legal rights given to an inventor that prevent other individuals or
businesses from profiting from their creation
2. Having a patent means that only the inventor can decide how their creation is used. They
can license the invention for use by third parties or manufacture and sell it themselves.
3. Filing a patent also gives the inventor a legal monopoly on selling, using, making,
distributing, importing, or exporting their creation for a specified time period.
[Link] helps the inventor to obtain an official record of his inventor ship from the government
5. The patentee can bring a suit for infringement of his patent and pay for injunction, damages or
an account of profits against the person.
6. It gives him the exclusive right to use his invention.

The term of every patent is 20 years and it maintain by paying the renewal fees at every
succeeding year
Meaning of New Invention
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Means any invention or technology which has not been anticipated by publication in any
document or used in the country or elsewhere in the world before the date of filing of patent
application with complete specification.
Inventions not patentable/ Non inventions
(Section 3 of the (Indian) Patents Act, 1970

. A method of agriculture or horticulture;

. Inventions relating to atomic energy.
9Any process for the medicinal, surgical, curative, prophylactic or other treatment of human
beings or animals.
Procedure For Patent registration in India
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Procedure For Patent registration in India
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STEP1: Patent Searches
Step by Step Procedure For Patent registration in India. Patent Registration in India searches are
conducted and worldwide to know the novelty of an invention. Generally, it is considered safe to
do patent searches before patent application filing. If an invention is found in prior arts or closes
to prior arts then the novelty of that invention can be challenged by the Indian Patent Office.
Therefore, it is important to perform prior art searches in order to save the money and time of an
applicant.
STEP2: Patent Drafting
Step by Step Procedure For Patent registration in India After conducting thorough searches
worldwide, the invention is written in a techno-legal language known as the specification which
can be with or without claims. Without claims is the provisional specification and with claims is
the complete specification. The specification specifies the field of invention, detailed description
of the invention with working examples and the best method to perform an invention so that a
person skilled in the art can perform the invention. The legal part comes with the claims of the
invention which define the legal protection sought by an inventor.
Procedure For Patent registration in India
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STEP3: Patent Application Filing
Step by Step Procedure For Patent registration in India A patent application filing is the first step
towards obtaining a patent. Procedure Patent Registration in India application filed as a
provisional application is generally filed to claim priority date over other applications. A patent
application consists of series of forms prepared according to the Indian Patent Act, 1970. The
drafted provisional or complete specification is filed in Form-2 of the Indian Patent Act,1970. If
a provisional patent application is filed then within 12 months of its filing complete specification
has to be filed.
STEP4: Publication of Patent Application
Once the Procedure Patent Registration in India has been filed, then after the expiry of 18
months from the date of filing or date of priority whichever is earlier, the application is published
in an official journal and is open to the public. This is a chance given to the public to raise an
objection if any.
 Procedure For Patent registration in India
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STEP5: Examination of Patent Application/Patent Prosecution
The patent application is examined only when a request for examination has been filed. The
request for examination has to be filed within 48 months of the application filing date or date of
the priority. The patent examiner examines a patent application and issues an examination report.
The examination report contains a series of objections raised by an examiner. The response to an
examination report has to be filed within 12 months of the issuance of the examination report. If
needed examiner calls applicant or his agent for hearing. This phase is called as patent
prosecution.
STEP6: Grant of a Patent
After all objections to the examination report have been compiled and the examiner is satisfied
with the reply of an applicant, the application is put in order for grant. On the other hand, if the
examiner is not satisfied with the reply and arguments of an applicant, then he/she can reject the
application.
 Restoration of lapsed patent 18
Applications for restoration of lapsed patents
The patentee or his legal representative, and where the patent was held by two or more persons
jointly, then with the leave of the Controller, one or more of them without joining the others,
may, within one year from the date on which the patent ceased to have effect, make an
application for the restoration of the patent.
An application for restoration of the patent shall contain a statement verified in the manner fully
setting out the circumstances which led to the failure to pay the prescribed fee. The Controller
may also require from the applicant such further evidence as he may think
The controller examines the information provided by the patent holder for the restoration of
patent. If the controller is convinced that the evidence supported that non payment was
unintentional and there has been no undue delay in making the application, the application
along with the patent will be published in the official gazette. necessary.
Rights of patentees of lapsed patents which have been restored-Same right as given to
original patentee.
Surrender and Revocation of patents
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Surrender of patents Sec 63
(1) A patentee may, at any time by giving notice in the prescribed manner to the
Controller, offer to surrender his patent.
(2) Where such an offer is made, the Controller shall publish the offer in the
prescribed manner, and also notify every person other than the patentee whose
name appears in the register as having an interest in the patent.
(3) Any person interested may, within the prescribed period after such publication,
give notice to the Controller of opposition to the surrender, and where any such
notice is given the Controller shall notify the patentee.
(4) If the Controller is satisfied after hearing the patentee and any opponent, if
desirous of being heard, that the patent may properly be surrendered, he may accept
the offer and, by order, revoke the patent.
Revocation of patents
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As per Section 64 of the Patent Act, 1970, the following persons can file the petition in the High
Court:
❖ Any person interested
❖ The Central Government
❖ The person making the counter-claim in a suit for the infringement of a patent
or to what was published in India or elsewhere in any of the documents referred to in Section 13;

Patent infringement
Patent infringement is the commission of a prohibited act with respect to a patented invention
without permission from the patent holder.
It occurs when someone violates the patent rights an inventor has in his invention by making,
using or selling the invention without the patent owner’s permission (or if the patent has been
licensed), in a way not permitted by the license.
Remedy for Infringement of Patent
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An action for infringement must be instituted by way of a suit in any District Court or a High
Court having jurisdiction to entertain the suit.
Damages
In assessing the damages the important question is what is the loss sustained by the patentee.
The loss must be the natural and direct consequence of the defendants acts. The object of
damages is to compensate for loss or injury.
Accounts of Profits
Where a patentee claims the profits made by the unauthorised use of his patent, it is important to
ascertain how much of his invention was appropriated, in order to determine what proportion of
the net profits realized by the infringer was attributable to its use.
 Information Technology ACT, 2000
The Information Technology Act, 2000 or ITA, 2000 or IT Act, was notified on
October 17, 2000. It is the law that deals with cyber crime and electronic
commerce in India. The Information Technology Act, 2000 provides legal
recognition to the transaction done via electronic exchange of data and other
electronic means of communication or electronic commerce transactions. This
also involves the use of alternatives to a paper-based method of communication
and information storage to facilitate the electronic filing of documents with the
Government agencies.
Objectives of the Information Technology ACT, 2000
► Grant legal recognition to all transactions done via electronic exchange of data or other
electronic means of communication or e -commerce, in place of the earlier paper-based
method of communication.
► Give legal recognition to digital signatures for the authentication of any information or
matters requiring legal authentication.
► Facilitate the electronic filing of documents with Government agencies and also
departments.
► Facilitate the electronic storage of data.
► Give legal sanction and also facilitate the electronic transfer of funds between
banks and financial institutions

Features of the Information Technology ACT, 2000

► All electronic contracts made through secure electronic channels are
legally valid.
► Legal recognition for digital signatures.
► Security measures for electronic records and also digital signatures are
in place.
► Provision for establishing a Cyber Regulatory Appellant Tribunal under the
Act. Further, this tribunal will handle all appeals made against the order24
of the
Controller or Adjudicating Officer.
► An appeal against the order of the Cyber Appellant Tribunal is possible only in
the High Court.
► The Act applies to offences or contraventions committed outside India.
► Senior police officers and other officers can enter any public place and search
and arrest without warrant.
► Provisions for the constitution of a Cyber Regulations Advisory Committee to
advise the Central Government and Controller.
Meaning of Computer Crime
Computer crime is also called as cyber-crime. It refers to the use of a computer as an instrument to further
illegal ends, such as committing fraud, trafficking in child pornography and intellectual property, stealing
identities, or violating privacy.
In other words, Computer Crime is defined as a crime where a computer is the object of the crime or is
used as a tool to commit an offense. A cyber-criminal may use a device to access a user's personal
information, confidential business information, government information, or disable a device. It is also a
cyber-crime to sell or elicit the above information online.
Types of Cyber Crime
DDoS Attacks: These are used to make an online service unavailable and take the network down by
overwhelming the site with traffic from a variety of sources.
Botnets: Botnets are networks from compromised computers that are controlled externally by remote
hackers. The remote hackers then send spam or attack other computers through these botnets. Botnets can
also be used to act as malware and perform malicious tasks.
Identity Theft: This cyber-crime occurs when a criminal gains access to a user's personal information to
steal funds, access confidential information, or participate in tax or health insurance fraud. They can also
open a phone/internet account in the name, use the name to plan a criminal activity and claim government
benefits in the name.
Cyber-stalking: This kind of cybercrime involves online harassment where the user is subjected to a
plethora of online messages and emails. Typically cyber stalkers use social media, websites and search
engines to intimidate a user and instil fear.
Social Engineering: Social engineering involves criminals making direct contact with you usually by
phone or email. They want to gain your confidence and usually pose as a customer service agent so you'll
give the necessary information needed.
PUPs: PUPs or Potentially Unwanted Programs are less threatening than othe cybercrimes, but are a type
of malware. They uninstall necessary software in th system including search engines and pre-downloaded
apps.
Phishing: This type of attack involves hackers sending malicious email attachment or URLS to users to
gain access to their accounts or computer. C
Prohibited/Illegal Content: This cyber crime involves criminals sharing and distributing inappropriate
content that can be considered highly distressing and offensive. Offensive content can include, but is not limited
to, sexual activity between adults, videos with intense violent and videos of criminal activity.
Online Scams: These are usually in the form of ads or spam emails that include promises of rewards or offers
of unrealistic amounts of money
Exploit Kits: Exploit kits need a vulnerability (bug in the code of a software) in order to gain control of a
user's computer. They are readymade tools criminals can buy online and use against anyone with a computer.
Prevention of Computer Crime
► Become vigilant when browsing websites.
► Flag and report suspicious emails.
► Never click on unfamiliar links or ads
► Use a VPN (Virtual Private Network) whenever possible.
► Ensure websites are safe before entering credentials
► Keep antivirus/application systems up to date.
► Use strong passwords with 14+ characters.
 Offences and penalties
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[Link]
[Link]
► Section66. Hacking with the computer system: Penalties: Punishment: Imprisoned up to
three years and Fine: which may extend up to two lakh rupees. Or with both.
► Section 67. Publishing of obscene information in electronic form: Penalties: Punishment:
(1) On first conviction --- imprisonment which may extend up to five years. Fine: up to on
first conviction which may extend to one lakh rupees.
► Section 68. Power of controller to give directions: Penalties: Punishment: imprisonment
up to a term not exceeding three years Fine: not exceeding two lakh rupees.
► Section 69. Directions of Controller to a subscriber to extend facilities to decrypt
information: Penalties: Punishment: imprisonment for a term which may extend to seven
years. The offence is cognizable and non- bailable.
► Section 70. Protected System: Only authorized person has the right to access to
protected system. Penalties: Punishment: the imprisonment which may extend to ten years
and fine.
Offences and penalties
► 29 which
Section 71. Penalty for misrepresentation: Penalties: Punishment: imprisonment
may extend to two years Fine: may extend to one lakh rupees or with both.
► Section 73. Penalty for publishing Digital Signature Certificate false in certain
particulars: Penalties: Punishment imprisonment of a term of which may extend to two
years. Fine: fine may extend to 1 lakh rupees or with both.
► Section 74 . Publication for fraudulent purpose: Penalties: Punishment imprisonment of a
term of which may extend to two years.. Fine: fine may extend to 1 lakh rupees or with both.
► Section 75. Act to apply for offence or contravention committed outside India: This
section has broader perspective including cyber crime, committed by cyber criminals, of any
nationality, any territoriality.
► Section 76. Confiscation:The section highlights that all devices whether computer, computer
system, floppies, compact disks, tape drives or any other storage, communication, input or
output device which helped in the contravention of any provision of this Act, rules, orders, or
regulations made under there under liable to be confiscated.
Cyberspace
Cyberspace mainly refers to the computer which is a virtual network and is30 a medium
electronically designed to help online communications to occur. This facilitates easy and
accessible communications to occur across the world. The whole Cyberspace is composed of
large computer networks which have many sub-networks. These follow the TCP or IP protocol.
Digital Signature
Digital signatures function similarly to digital “fingerprints.” The digital signature, which takes
the form of a coded message, securely links a signer with a document in a recorded transaction.
Digital signatures rely on a universally accepted format known as Public Key Infrastructure
(PKI) to ensure enhanced security.
Private Key
A private key is an alphanumeric code used in cryptography, similar to a password. In
cryptocurrency, private keys are used to authorize transactions and prove ownership of a
blockchain asset. A private key is an integral part of cryptocurrency, and its encrypted properties
help to protect a user from theft and unauthorized access to their funds.
Public Key
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A public key is created in public key encryption cryptography that uses asymmetric-key
encryption algorithms. Public keys are used to convert a message into an unreadable
format. Decryption is carried out using a different, but matching, private key. Public and
private keys are paired to enable secure communication.
Encryption
Encryption is a way of scrambling data so that only authorized parties can understand the
information. In technical terms, it is the process of converting human-readable plaintext to
incomprehensible text, also known as ciphertext. In simpler terms, encryption takes
readable data and alters it so that it appears random. Encryption requires the use of
a cryptographic key: a set of mathematical values that both the sender and the recipient of
an encrypted message agree on.
Digital Signature Certificate
Digital Signature Certificates (DSC) are the digital equivalent (that is electronic format)
of physical or paper certificates. Few Examples of physical certificates are drivers'
licenses, passports or membership cards.