New startup? Emerging artist? Make sure IP is in your business plan.

Every business needs a business plan, you are doing yourself a huge disservice if you don't have one. Even artists, designers and musical performers that would like to see profits from their work should have a business plan in place.

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It can be as simple as a one page list of goals and ways to achieve them or extremely advanced with pages and pages of detailed financials. For most startups I would recommend something in the middle of the road, like here on the SBA website: https://www.sba.gov/writing-business-plan  Most importantly it should be prepared yourself (or with founding partners) because naturally, this is your baby you brought into this world, nobody cares for it or knows it quite like you. 

A Google search will yield thousands of business plans ideas and outlines. One thing I noticed is that many of these business plans leave out a very important part of most businesses, a plan for intellectual property. 

Just to rehash:

What is intellectual property?

Intellectual property (IP) is generally composed of copyrights, trademarks, and patents. Anything falling into these categories have value. If you are the creator you would really want to be able to protect others from basically copying your idea and profiting of of it, taking away your customer base, undercutting you etc. IP rights are also considered assets when valuing a company, to be used if you are interested in selling your company, obtaining financing etc.

How to put IP into a business plan

First, you would want to make a list of exactly what IP rights you have (copyrights, trademarks, trade names, service marks, trade secrets, utility models, source code, drawings, blueprints, inventions, songs, sheet music, music videos, etc. etc.) A.K.A. build your "IP portfolio" 

Second, you should officially register your work that is copyrightable/patentable/trademarkable. Officially registering your IP gives you a huge advantage to take action against any unauthorized use of your IP rights.

Third, create a system of protection of your work. When working with distributors, employees, collaborators, or any other services that come into contact with your work products, you should have in place agreements that address confidently, use and ownership of your rights.

Fourth, address how much your business depends on your IP rights. This is a big one. Question yourself whether your business can even function without intellectual property and to what extent. If you are an artist, performer, inventor or in the tech industry, you don't even exist without IP rights. In some industries IP is really straightforward and others such as fashion IP is wishy washy, so it would be a good idea to really think this one out. Be sure to also include any current or projected licenses, franchises, consent agreements, non-compete agreements, databases, etc. 

Fifth, monitor your competition, outline what methods you will use to seek and destroy those mean infringers. Also create a list potential IP liabilities you may have. 

Sixth, plan out how you will monetize your IP, I am assuming you are running a business for a profit and not as a hobby, if so your IP rights can work for you (or you can sell them). Create plans and agreements on how you will get license fees and royalties (and/or pay license and royalty fees to use the IP of others). If you haven't got your lawyer involved yet, here is where you should to avoid catastrophic disaster. Well written agreements are necessary. (such as licensing agreements where one party agrees to "rent" IP from another)

IP planning is really important and an often neglected piece of a proper business plan. This is where you take inventory and create systems for your IP, plan what you want to do with your IP, and have agreements in place on how you will deal with involvement of others with your IP. Don't make the common mistake of leaving out this crucial aspect of your business and happy planning!

YouTube's copyright restrictions too restrictive?

The most recent breaking news surrounding the 2016 Presidential run is when YouTube pulled the plug on Rand Paul's presidential announcement this week.  

I always wondered about the people that uploaded Disney Sofia the First episodes in dubbed chipmunk voices that my daughter would watch on YouTube, who would even bother to do such a thing? After a little investigation I found out their chipmunk voice dubbing was done to avoid the highly criticized ContentID robot copyright police employed by YouTube.  

ContentID was responsible for automatically blocking Rand Paul's video because it played a song in the background "Shuttin' Detroit Down" by John Rich, the rights of which are owned by Warner Music Group. The way ContentID works is first the copyright holder submits to YouTube their copyrighted audio, video, or gaming material. ContentID scans the database of YouTube videos to find matching audio or video and the copyright owner can create settings whether they want the video automatically blocked, muted, or to leave the video and monetize it. In this situation Warner chose to block the video. 

The problem with ContentID is that it's not perfect and has been known to indiscriminately take down videos that have no infringing content whatsoever such as videos uploaded by licensees, through fair use, or public domain. Many YouTube account holders had their videos taken down that don't even sound similar to the material it supposedly infringes.  The claim dispute process can take a month or more to resolve, which is especially harmful to the many people that depend on their videos for their livelihood. To deepen the wound, not only are the videos blocked but funds from the monetized videos are taken away from the content holder and diverted to the claim holder. This guilty until proven innocent method means huge headaches for account holders that did nothing wrong in reality. 

Licensees who have the right to public performance of copyrighted works also see their videos automatically taken down by the ravenous ContentID monster. Could this be the case with Rand Paul?...... I mean I am hoping a hopeful future president would license the copyrighted music he planned on using in his public performance. 

Let's face it YouTube has a monopoly on the infinitely massive video hosting realm and shows no signs of slowing down, more the reason to employ fair and just procedures to deal with copyright infringement.  The freedom loving Google/YouTube conglomerate has unleashed this ContentID beast which shoots first and asks questions last. The use of ContentID is all in all contrary to the aims of copyright law which was formed to foster the growth of the arts, not trample all over it.     

3D Printing, dawn of a new era in intellectual property.

It's been 15 years since the Napster's peer-to-peer music sharing software rocked the music industry (no pun intended). The war waged, Napster was defeated, and the music industry suffered a huge blow by losing almost half of it's revenues. After the dust settled Napster was no more and iTunes became the leader in legal media downloads. But, brace yourselves patent and copyright holders, a new era is upon us, the era of 3D printing and a new era of file sharing infringement issues.

3D printing is an old technology which emerged in the 1980s (that's ancient in tech years!). As opposed to CNC machining which takes a large object and whittles it down to the desired design, 3D printers creates an object by building outwards, layers upon layers. The design for the object is created digitally through a program such as CAD and sent off to the printer to print the object in a plastic resin. 3D printers have been used to create aerospace and medical parts and products, candy, even copies of fossils. A simple Google search will reveal the millions of things a 3D printer can produce. (This is why I love IP law, I am exposed to some really amazing and cutting edge innovations.)

Of course with it's vast capabilities of copying and printing basically anything, comes copyright and patent issues associated with 3D printers. 

This technology has been around for quite some time but recently there has been an explosion of interest in 3D printing in the IP field of law. The main reason 3D printing has been a focus of IP law is because printers are now cheap and easily accessible to the average person. One can easily purchase a 3D printer for around $1,000 and have it up and running on their tabletop in their home. As a creative artsy person I would love to have one and use it to let out some of my creative energy, the possibilities are really endless. But, as with anything there are those that use it for good and those that use it for bad, and those that think they are using it for good but are really infringing on somebody's patent or copyright (think- your 12 year old self flagrantly downloading thousands of free songs on Napster, committing federal offenses left and right) 

3D objects are copyrightable the same way music, pictures, and sculpture are. With a 3D printer you can easily scan any object and have the printer print it in 3D.... you all can see where this is heading right? The at-home 3D printer user can easily make an exact replica of a Mickey Mouse action figure or a 3D Olaf, acts that clearly infringe on Disney's copyrights. Patents are infringed in the same way.  Also reminiscent of Napster is the widespread sharing of these files that instruct the printer to create these infringing works. DACA (The Digital Millennium Copyright Act) allows copyright holders to send takedown notices to the sites hosting the infringing files. Most of the time the sites have been cooperating and taking down the infringing 3D printing files.  

All in all the 3D printer is a great technology that is used to create many useful and awesome things.  And I will leave you with a little tip for when you are using a 3D printer: don't print anything that is copyrighted or patented, without consulting with your trusted IP law attorney. 

Why should you care about IP Law?

How do you feel when you wake up in the morning and as you head out to work you find your car sitting on cinderblocks? For most people, this is not a good feeling. This is the same way "the creators" feel when somebody is using (and making profits on) their intellectual property that of which they poured their blood, sweat, tears, and bags of money into. It can also get infringers sued or thrown in jail.

Infringement is not a victimless crime. I know what many people think, these artists and record companies have millions and billions of dollars, a few bootlegs aren't going to hurt them. This is both illegal and bad precedent. First off billion dollar companies such as Samsung and Apple duke it out over infringement disputes, it is not only the local bootleg guy. Second of all, emerging artists and companies are severely injured when their work is infringed. Lastly, the guy selling bootlegs on the corner isn't as insignificant as he may seem.

These individual bootleg distributors are not working alone, they are simply cogs in large world-wide organized crime rings. Sadly the fake designer bags and bootleg DVDs you see are just some of the wares these criminals are peddling, sex slavery and human trafficking are the other industries that are connected to the counterfeiting market.

Supporting counterfeiters and infringers also take away from US jobs and the economy, especially since the counterfeit business has been estimated to rake in $600 billion annually.

There is a very good reason the fight against infringement and counterfeiting is a good fight, and should be continued.

If you are a creator no matter how big or small you should also take the time to think about your intellectual property rights and how to secure them. I understand the startups or emerging artists have a lot on their plate, creating their works, marketing, booking shows, websites, social media, the list goes on and on. One thing that should not be left off the list is to see what intellectual property rights you have, how to protect them, and in the future how to sell them or license them.

Welcome to I Heart IP Law

This is my first blog posting! With this blog I want to to share with everyone the various happenings in IP law.

What is IP Law?
"IP" stands for intellectual property. Here in the United States and in many other countries we have the right of ownership to the products of our mind. I think that is pretty awesome you can own the rights to your creations, and sell them if you wish! As with many things legal it's much more complex than that, and IP law is constantly evolving every day.

IP law is one of the foundations this country stands on. It's in the Constitution, known as the Copyright Clause which empowers the United States Congress: "To promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries." Thanks to our Founding Fathers, this country has been able to lead the world in sciences and the arts, in large part because their creators are able to protect their interests through intellectual property law.

Who benefits from IP Law?
There are three main parts to intellectual property law and they are copyrights, trademarks, and patents. I will go into each into more detail in the future, and there are a lot of details! Another great thing about IP law, the future is exciting! Who knows what tomorrow my bring? A new lifesaving drug? A heartfelt video that makes you tear? A song you will dance to at your wedding? A TV that reads your mind so you don't have to keep looking for the remote?

There is not one area of our daily lives that intellectual property law does not touch. Somebody's intellectual efforts was required to create everything around you at some point in time. I have always appreciated the creators and innovators: the artists, the musicians, the scientists, the writers, the inventors, the designers.

As you can see intellectual property law is infinitely vast, and pretty damn interesting and awesome that's why I [HEART] IP LAW.