Measuring Business Interruption Losses and Other Commercial Damages, 3rd Edition

CHAPTER 9Intellectual Property

The volume of intellectual property litigation has grown significantly over the past couple of decades. This has led to increased demand for the computation of damages for violation of intellectual property claims. Intellectual property issues revolve around four main types of intellectual assets. They are:

1. Patents
2. Copyrights
3. Trademarks
4. Trade Secrets

Patents

A patent is a grant of a property right that is, in the United Sates, extended by the United States Patent and Trademarks Office (USPTO) of the U.S. Department of Commerce. The right bestows upon the owner of the patent the right to exclude others from using it without permission from the holder of the patent.

Internationally, intellectual property is afforded protections pursuant to the Paris Convention, which features agreements related to 192 member states. The administration of this agreement is controlled by the World Intellectual Property Organization, which was formed in 1967 and is located in Geneva, Switzerland. The World Trade Organization supposedly gives emphasis to the enforcement of intellectual property right, although many would question the vigor of these efforts.

There are two main components to a patent: its specification and its claims. The specification features a description of the invention and includes supporting documentation such as drawings, a description of the way the invention is used, and indications of prior art. The claims set forth what the inventor asserts ...