I ntellectu a l Property

4
Rights (IP R) of a n
Orga nisation a n d
a Cu sto mer

Creating awareness and increasing the knowledge of

Intellectual Property Rights of the hospitality product is
essential for F&B working professionals. They need to
be aware of the reason for protecting their products in
the market from any infringement and violations. The
idea behind this unit is to create awareness among the
F&B staff of the IPR system in India.
The first session of this unit explains the importance
of IPR. These rights can be used for protecting different
aspects of an inventive work for multiple protections.
The F&B staff, especially the seniors, must be aware of
the various components of IPR like patents, copyright,
industrial design rights, plant varieties, trademarks
and trade dress.
The second session gives brief details of the history,
evolution and evidences of the IPR system in India. The
third session lists the various objectives of intellectual
property law and of the importance of understanding
infringement, misappropriation and enforcement.
The fourth session will enables one to know the
various needs of IPR in a hotel and the different
subjects that need IPR protection under hospitality.
The next session explains the procedure and awareness
for the registration of intellectual property. It will make
one aware of securing the company’s IPR according
to the national and international law of protection of

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 trademarks, patents, the Berne Convention for copyright NOTES
and other international IPR systems.
The sixth session lays emphasis on working with IPR
regulations and the importance of preventing new ideas.
This unit also explains how to report IPR violations. The
last session explains the importance of giving respect to
copyrights and copyrights in the Indian scenario.

SESSION 1: IMPORTANCE OF INTELLECTUAL

PROPERTY RIGHTS
Meaning of IPR
Intellectual Property Rights (IPR) refers to the monopoly
right given to the designated owners for creation of
the intellect by law. Intellectual Property refers to the
creation of mind i.e. inventions, industrial designs for
article, literary and artistic work, symbols, etc.
These rights can be used for protecting the different
aspects of an inventive work for multiple protections.
They are outlined in Article 27 of the Universal
Declaration of Human Rights. IPR are largely territorial
rights unlike copyright, which is global in nature.IPR
can be assigned, gifted, sold and licensed like any
other property.

Forms of IPR
Intellectual Property Rights comprises two distinct forms:
1. Industrial property: Trademarks, patents, etc.
These are protected by the concept of patenting,
trademarks, industrial designs, trade secrets,
layout-designs, and geographical indications.
2. Copyright: It covers artistic and literary works,
etc., and is protected by the concept of ‛Copyright’.
Literary & Artistic Works Industrial Property
Books, paintings, musical This is any physical matter
compositions, plays, movies, that is the outcome of an idea
radio and TV programs, or concept for commercial
performances and other purposes.
artistic works.

The idea behind IPR is that if a person discovers,

invents, creates, forms or develops any idea, thought,
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 NOTES skill, art form, machinery, literature, etc, in the world of
competition, they are worried about its being stolen or
used or copied by someone other and may be presented
to the world as their own creation, or may even be used
for earning money.
Intellectual right is given to a person or a company to
have exclusive rights to use its own plans, ideas, or other
intangible assets without worrying about competition,
at least for a specific period of time. This includes
copyrights, patents, trademarks, and trade secrets.
In simple words, if you come up with a new idea you
should file for IPR so that no one steals the idea from you.
IPR protection is a concept that has evolved through
the practical need of protecting ideas that are imitated
and used without the creator’s knowledge. In the era of
Information Technology, the creations of human intellect
have become valuable and are treated as property. They
need protection.

Components of IPR
The concept of IPR is not a single concept. It has emerged
from or is composed of the following components.
• Patents
• Copyright
• Industrial design rights
• Trademarks
• Plant variety rights
• Trade dress
• Geographical indications
• Trade secrets
There are also more specialised IPR, such as circuit
design rights and supplementary protection certificates
for pharmaceutical products and database rights but
these are not universal and adapted by a few countries
as per their requirements.
Patents
It is an exclusive right granted by a country to the owner
of an invention to make, use, manufacture and markets
the invention.

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 Copyright

INTELLECTUAL
Trademarks Patents
PROPERTY
RIGHTS (IPR)

Patents
Trade Secrets Industrial
Design Rights

Fig. 4.1: Components of IPR

It is a right given to an inventor. It gives the owner

the right to exclude other people from creating, using,
selling, giving sales offer, and importing an invention
for a limited period of time, in exchange for the public
disclosure of the invention. An invention may be a
product or a process but results in providing solution to
a specific problem. Any invention generally has to fulfill
three main requirements— it has to be new; it should
not be obvious and it should be industrially applicable.
The patent right is territorial in nature. Patents
provide incentives to individuals by recognising their
creativity. These incentives encourage innovation.
India is a member-state of the World Intellectual
Property Organisation (WIPO), Paris Convention, Patent
Cooperation Treaty and Budapest Treaty.
Patents in India
The history of Patent law in India starts from 1911 when
the Indian Patents and Designs Act, 1911 was enacted.
The present Patents Act, 1970 came into force in the
year 1972, amending and consolidating the existing
law relating to Patents in India. The Patents Act, 1970

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 NOTES was again amended by the Patents (Amendment) Act,
2005, wherein product patent was extended to all fields
of technology including food, drugs, chemicals and
microorganisms.
The patent offices function through the Department
of Promotion of Industry and Internal Trade under the
Ministry of Commerce & Industry.
Patent Offices are located at Kolkata, Mumbai,
Chennai and Delhi to deal with the applications for
patents. Patent Information System (PIS) & Intellectual
Property Training Institute (IPTI) located at Nagpur.
Copyright
It gives the creator exclusive rights for their original
work but for a stipulated time. Copyright applies to a
wide range of intellectual, artistic, or creative works or
forms. Copyright covers the form or manner which are
expressed and not ideas and information.
Copyright is a legal concept, enacted by most
governments, that grants the creator of an original work
exclusive right for its use and distribution. Copyright
is available for creating an original, literary, dramatic,
musical or artistic work.
In India, The Copyright Act, 1957 and amended
in 1983, 1984, 1992, 1994 and 1999 is available.
Registration can be done at the Office of the Registrar of
Copyrights in New Delhi. The Act provides protection for
the expression of an idea and not for the idea itself. The
owner may allow the copyright to any person.
It gives the owner incentives in the form of recognition
and fair economic reward increases their activity.
Industrial design rights
An industrial design right is also known as ‘design patent’
or ‘design right’. It protects the visual design of objects
that are not purely functional. A design patent may
be granted if the product has a distinct configuration,
distinct surface ornamentation or both. In other words,
a design patent provides protection for the ornamental
design of something that has a practical utility.
These include the ornamental or aesthetic aspects of
an article which may consist of 3D or 2D features, such

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 as shape or surface, patterns, lines or colour, thereby NOTES
making the article attractive and appealing which add
to the commercial value of the product and increase its
marketability. However, any technical features of the
article are not protected by it.
Plant varieties
Plant variety rights, also called plant breeders’ rights
are the rights to use a commercially new variety of a
plant. This variety must be novel and distinct amongst
other varieties and for registration, the evaluation of the
propagating material of the variety is examined.
Trademarks
A trademark is a sign or symbol that is recognisable.
A trademark is generally a word, phrase, sign, symbol
or design, or a combination thereof, that identifies
and distinguishes the source of the goods of one party
from those of others. A service mark is the same as a
trademark, except that it identifies and distinguishes
the source of a service rather than goods.
Trademark is therefore a distinctive sign that provides
to the owner of the mark an exclusive right to use it to
identify his goods or services. Well-known trademarks
are associated trademarks, service marks, certification
trademarks, collective marks etc.
To register a trademark: One needs to approach an
appropriate national or regional trademark office. WIPO
administers an international registration system for
trademarks.
Trade dress
It is a legal term for art forms related to visual and
aesthetic appearance of a design of a building or a
product or its packaging that conveys the origin of the
product to consumers.
Trade secrets
A formula, process, design, instrument, practice,
compilation of information or pattern, which is not
known to people other than the creator company or
business and by which a business can obtain an
economic advantage over competitors and customers.

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 NOTES There is no formal government protection granted. Each
business must take measures to guard its own trade
secrets.
Geographical Indication (GI)
A sign used on goods that have a specific geographical
origin and possess qualities or a reputation due to
that place of origin. Registration period of a GI is 10
years which is renewable. The Geographical Indication
of Goods (Registration and Protection) Act came into
being in 2000 with imprisonment for a term between six
months and three years and a fine between ` 50,000–
2,00,000.
The law related to this (applicable in India) is
Geographical Indication of Goods (Registration and
Protection) Act 1999.

History and Evolution of Intellectual

Property Law
Intellectual property law dates as far back as medieval
Europe. Intellectual property law, at that time, was
driven not by an interest in creation and innovation,
but rather by political and religious motivations.
Until the middle of the 20th century, copyright,
patent, trademark, and trade-secret law commonly
were understood to be analogous but distinct. In most
countries, they were governed by different statutes
and administered by disparate institutions, and
few controversies involved more than one of these
fields. During the second half of the 20th century,
however, the lines between these fields got blurred.
Increasingly they were considered to be closely related,
and eventually they became known collectively as
‛Intellectual Property Law’.
The first legislation in India relating to patents was
the Act VI of 1856. The objective was to encourage
inventions and to induce inventors to disclose the secret
of their inventions. Later, to grant exclusive privilege,
a fresh legislation was introduced as Act XV of 1859.
However, in 1872, the act was renamed as ‘The Patterns
and Designs Protection Act’. The act remained in force
for 30 years with only one amendment in the year 1883.

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 The Indian Patents and Design Act replaced all the NOTES
previous laws in India. In this act, provisions relating
to the grant of secret patents, patent of addition and
increase of term of patent from 14 years to 16 years were
made. Later, after independence, various committees
were made to examine the revisions in the law and thus
a bill was introduced in the Lok Sabha in 1965 which
however lapsed. Though it lapsed in 1965, in 1967,
an amended bill was introduced and then on the final
recommendation of the committee, the Patents Act,
1970 was passed, which is presently used in India.
The modern usage of the term intellectual property
gained momentum after the establishment of WIPO in
1967. India became a member of WIPO in 1975. But IPR
did not enter popular usage until the Bayh-Dole Act in
1980 which was passed with the intention of promoting
research in cancer and other diseases.

History of Indian Patent System

History of Indian Patent System
1856 Act VI of 1856 on protection of inventions based on
the British Patent Law of 1852. Certain exclusive
privileges granted to inventors of new manufacturers
for a period of 14 years.
1859 The act modified as Act XV; Patent Monopolies
called Exclusive Privileges (making, selling and using
inventions in India and authorising others to do so
for 14 years from date of filing specification).
1872 The Patterns & Designs Protection Act
1883 The Protection of Inventions Act.
1888 Consolidated as the Inventions & Designs Act.
1911 The Indian Patents & Designs Act.
1972 The Patents Act (Act 39 of 1970) came into force on
April 20, 1972.
1999 On March 26, 1999 Patents (Amendment) Act, (1999)
came into force from 01-01-1995.
2002 The Patents (Amendment) Act 2002 came into force
from May 20, 2003
2005 The Patents (Amendment) Act 2005 effective from
January 1, 2005

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 NOTES History of copyrights
The world’s first copyright law was the Statute of Anne,
enacted in England in 1710. This Act introduced for
the first time the concept of the author of a work being
the owner of its copyright, and laid out fixed terms of
protection.
Legislation based on the Statute of Anne gradually
appeared in other countries, such as the Copyright
Act of 1790 in the United States, but copyright
legislation remained uncoordinated at an international
level until the 19th century. In 1886, however, the
Berne Convention was introduced to provide mutual
recognition of copyright between nation states, and to
promote the development of international standards
for copyright protection. The Berne Convention does
away with the need to register works separately in each
individual country, and has been adopted by almost all
the nations of the world (over 140 of the approximately
190 nation states of the world). Following the United
States’ adoption of the treaty in 1988, the convention
now covers almost all the major countries. The Berne
Convention remains in force to this day, and continues
to provide the basis for international copyright law.
The first copyright act of India was enacted in 1847,
during the regime of East India Company. As per the
act, the term of copyright was either for the lifetime
of author plus 7 years, or 42 years. The government
had the power to grant the publishing license after
the death of the author if the owner of the copyright
refused permission. All suits and infringement related
to copyright came under the jurisdiction of the highest
local civil court. The act was replaced by the copyright
act of 1914.
The act of 1914 was the first ‛modern’ copyright law of
India. It was the first law to include all works of art and
literature under the ambit of copyright. It was a replica
of the English law of 1911. It was done by British to ease
the passage of literature over colonial subcontinent.
Post-independence Copyright Law in India
The Copyright Act of 1957 came into force on 21 January,
1958 replacing the 1911 act. The act besides amending

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 the copyright law also introduced milestone changes NOTES
such as provisions for setting up copyright office under
the control of Registrar of copyright for registration
of books and other works of art. It also established
a copyright board to deal with the disputes relating
to copyright.

WIPO
The World Intellectual Property Organisation (WIPO) is
the global forum for intellectual property (IP) services,
policy, information and cooperation. It is a self-funding
agency of the United Nations, with 193 member states.
WIPO was established in 1967 through the WIPO
Convention.
The two main objectives of WIPO are: (i) to promote
the protection of intellectual property worldwide; and
(ii) to ensure administrative cooperation among the
intellectual property Unions established by the treaties
that WIPO administers.
The headquarters of the organisation are in Geneva,
Switzerland. The organisation has Liaison Offices
in Brazil (Rio de Janeiro), Japan (Tokyo), Singapore
(Singapore) and the United States of America (at the
United Nations in New York).
India, the country with the world's second largest
population, became a member of WIPO in 1975 and is
currently a party to six treaties administered by WIPO,
namely, WIPO Convention (1975), Paris Convention
(1998), Berne Convention (1928), Patent Cooperation
Treaty (1998), Phonograms Convention (1975) and
Nairobi Treaty (1983).

Practical Exercise
Activity 1
Surf the Internet to find the IPR of various products and services
for a hospitality organisation.
Material required: Writing material, computer, Internet etc.
Procedure
• Access the Internet and collect information about the
IPR of various products and services for a hospitality
organisation.

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 NOTES • Note down the information about photographs and
articles that come under copyright and record the details
in a practical copy in the following format:

Serial No. Hospitality Type of IPR IPR Law

Product & provide
Articles protection
1
2
3
4
5

Activity 2
Visit the Patent Office and collect the procedure for the following:
Patents, copyright, industrial design rights, plant varieties,
trademarks, trade dress, trade secrets.
Material Required: Writing material
Procedure
• Visit the Patent Office in your city.
• Discuss with the authorised officers and ask queries
about the IPR procedures for the following:
(a) Patents, (b) Copyright, (c) Industrial design rights,
(d) Plant varieties, (e) Trademarks, (f) Trade dress,
(g) Trade secrets.
• Write the information in your notebook.
• Find out about the role and reason for maintaining IPR
for hotel property.
• Prepare a report after the visit and present it in the class.

Check Your Progress

A. Fill in the Blanks
1. _______________ is the monopoly right given to the
designated owners for the creation of the intellect by law.
2. ________________ is an exclusive right granted by a country
to the owner of an invention to make, use, manufacture
and markets the invention.
3. A ______________ is a sign or symbol that is recognisable.
4. ________________ is a legal term for art forms related to
visual and aesthetic appearance of a design of a building
or a product or its packaging that conveys the origin of
the product to consumers.
5. ________________ administers an international registration
system for trademarks.

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 6. WIPO stands for __________________. NOTES
7. The Patents and Designs Protection Act came into
existence in the year _____________.
8. The Patents (Amendment) Act 2005 became effective from
_______________.

B. Subjective Questions
1. What is IPR?
2. Write the different components of IPR.
3. Explain how the IPR concept was developed.
4. Explain the meaning of Trade Secret.
5. What are the objectives of IPR?
6. What are components of IPR?
7. Write a short note on:
(a) Patent (b) Copyright

SESSION 2: OBJECTIVES, NEED AND

RELATIONSHIP OF IPR WITH HOSPITALITY
The main purpose of intellectual property legislation is
to encourage innovation and provide absolute protection
of the same. Legal ownership of an innovation and
its protection from misuse, theft, etc., by others are
incentives which encourage innovation.

Objectives of IPR
The New IPR Policy 2016 is rather well thought and lays
down following objectives:
1. To create public awareness about the benefits
of intellectual property among all sections
of society.
2. To stimulate the creation and growth of intellectual
property by undertaking relevant measures.
3. To have strong and effective laws with regard to IP
rights, consistent with international obligations.
4. To modernise and strengthen IP administration.
5. To catalyse commercialisation of IP rights.
6. To strengthen the enforcement and adjudicatory
mechanisms for combating IP violations and to
promote awareness and respect for IP rights.

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 7. Capacity development by strengthening and
expanding human resources, institutions for
training, research and skill building in IP.

Meaning of Infringement, Misappropriation,

and Enforcement
Infringement refers to the violation or breaking of
laws, patents, copyright, agreements and trademarks.
Misappropriation generally means theft or embezzlement
or unlawful appropriation of funds.
Types of Infringement:
1. Patent
2. Copyright
3. Trademark
4. Trade secret misappropriation
Chart showing the difference between types of
infringement and misappropriation:
Patent infringement Copyright Trademark Trade secret
infringement infringement misappropriation
• Patent • Copyright • Trademark • Trade Secret
Infringement Infringement Infringement Misappropriation
refers to the refers to the refers to the refers to violations
violation that violation that violation that that are different
arises after selling arises when takes place when from those of
of a patented a party is one party copies other intellectual
invention without reproduces, the same or property laws.
taking permission distributes, similar trademark • Trade secrets
from the patent displays or to the trademark are secret
holder. performs any owned by another while patents
work, or creates party, in relation and registered
derivative works to the products copyrights and
without the or services, which trademarks are
copyright holder’s are identical or available publicly.
permission. similar to that of • It is not covered
• In this, the the other party. under the
copyright holder Copyright Act.
gets money for the
damages.
• Implementation
of copyright is
generally the
responsibility
of the copyright
holder.

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 Need of IPR in a Hotel Organisation NOTES
IPR plays a major role in the hospitality industry. The
hospitality sector deals with products and services
both. It includes hotels, motels, clubs, pubs, resorts,
restaurants, eating houses, catering organisations,
lodges, waiting halls and rooms, marriage halls,
conference rooms, auditoriums, etc. These places offer
hospitality services like lodging and boarding, lunch,
breakfast and dinner, function management, event
management, in-house and outdoor catering services, etc.
The company of these services and related products
needs to protect their specialties to create their own
brand. Such protection helps to secure the service
business from the competitors. In hospitality sector, a lot
of manipulation and misappropriation can happen. There
is a lot of scope for piracy and copy of other’s products.
Food is patentable as a composition
It must be new, useful, not obvious, and meet other
disclosure requirements for patentability. However, the
critical point remains the same.
The following two categories can be patented:
• Composition of matter
• Process or recipe of making the product
Drafting a patent application is very crucial for
making a strong recipe patent. Various parameters, such
as proportions, cooking or mixing times, ingredients,
should be kept as broad as possible. This will also help
reduce the potential of the competition.
Conducting a good patentability search is as
important in patenting food recipes as in chemical
or pharmaceutical inventions. If your recipe does not
meet the patentability criteria, there are always options
such as copyrights to get a certain level of protection,
which however, cannot be compared with the degree of
protection accorded through a patent.

Different Subjects need IPR Protection under

Hospitality
Hospitality industry is built on Intellectual Property.
For a hotel, it is important to lockdown essential
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 agreements like the hotel management agreement, the
franchise agreement and licensing agreement. All these
are critical to the success of a hotel. A hotel should
retain any/all title(s), right(s), profit(s) and interest(s)
of the website’s contents, including but not limited to
text, photographs, images, domains, sub-domains,
trademarks, logos, or any other intellectual property or
moral rights and similar benefits.
Following are the subjects or tools that provide IPR
protection under hospitality:

Trademark
Trademarks are an important means by which
manufacturers or service providers are able to
differentiate their firm and its goods and/or services
from the other similar products/services and providers
thereof. Trademarks distinguish the goods or services of
one enterprise from that of another. Trademark could be
a sign or logo composed of letters, numerals or figurative
elements specific to the product or service. Today, even
sound, shape or smell amount to a trademark provided
they function as trademarks in the marketplace.

Service Sound
Mark Mark

Certification Logo
Mark

3D
Collective Logo
Mark

World Smell
Mark Mark

Trademark

Fig.4.2: Types of trademarks

The Intellectual Property system protects such

marks, allowing the owner to have exclusive use of that

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 mark and providing them the right to prevent anyone
else from using that mark for the same or similar goods.
The marks deemed to be famous have more extensive
rights. Registered or unregistered marks have rights
in perpetuity, as long as renewal fees are paid in the
case of the former and as long as no one successfully
opposes the use of that mark in the case of the latter.

Brand and branding

In industry, and publicly also, one is more likely to hear
the term brand as opposed to mark. While these terms
may overlap, they are not the same. A brand is a name
given to a product and/or service such that it takes on
an identity by itself. A brand differentiates a product
from similar other products and enables it to charge a
higher premium, in return for a clear identity and greater
faith in its function. A brand is also likely to survive
longer than just an undifferentiated product. A brand
is, therefore a larger and more amorphous concept,
being essentially a communication tool. Branding is a
marketing practice in which a company creates a name,
symbol or design that is easily identifiable as belonging
to the company. Branding is a marketing term. It
embodies many different concepts with intellectual
property rights, principally trademarks, contributing
towards its development.

Trade secret
Broadly speaking, any Design of a Process
confidential business product involved
information, which
provides an enterprise TRADE
a competitive edge, can SECRET
qualify as a trade secret. INVOLVES
Trade secrets are TECHNICAL
MATTERS
intellectual property
rights on confidential Method of Recipe or
information which can Manufacture/ Formula
be sold or licensed. Development

Fig.4.3: Trade Secret

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 Copyrights
A copyright is a collection of rights that automatically
vest to someone who creates an original work of
authorship like a literary work, song, movie or software.
These rights include the right to reproduce the work,
to prepare derivative works, to distribute copies, and to
perform and display the work publicly. Rights closely
related to copyright are related rights, which provide
rights similar or identical to those of copyright, although
sometimes more limited and of shorter duration.

Actors and Producers

musicians of sound
recordings

Reference
works
Computer
programmes
BENEFICIARIES
OF
COPYRIGHTS

Technical
drawings
Databases

Photographs Advertisements
& newspapers

Fig. 4.4: Beneficiaries of copyright

Practical Exercise
Activity 1
Visit the patent office of your area and study the cases of
misappropriation and infringement related to any company or
organisation.
Material Required: Writing material

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 Procedure NOTES
• Visit a patent office in your city.
• Discuss with the authorised officials and ask the cases
reported on misappropriation and infringement under the
following parameters:
(a) Type of company,
(b) Name of product,
(c) Case of violation,
(d) Action taken by law.
• Note the information in your notebook.
• Note the reason for maintaining these infringements.
• Prepare a report and present it in the class.

Activity 2
Visit any hotel in your vicinity and prepare a report on the role of
IPR in that hotel.
Material Required: Writing material
Procedure
• Visit a luxury hotel in your city.
• Discuss with the managers and ask questions about the
registration of IPR of the hotel.
• Discuss its benefits.
• Note the role and reason for maintaining IPR of a hotel
property.
• Prepare a report after the visit and present it in
the class.

Check Your Progress

A. Fill in the Blanks
1. ______________________ refers to the violation that arises
after selling of a patented invention without taking
permission from the patent holder.
2. _______________ refers to the violation of patents, copyright
and trademarks, and misappropriation with respect to
trade secrets.
3. _______________________ refers to the violations different
from those of other intellectual property laws.
4. ________________ refers to the violation when someone
reproduces, distributes, displays or performs any work,
or creates derivative works without taking the permission
of the copyright holder.
5. __________________ is the body of laws that grants authors,
artists and other creators protection for their literary and
artistic creations.

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 NOTES
6. ___________________ are signs that distinguish the goods
or services of one enterprise from that of another.
7. Any confidential business information, which provides
an enterprise a competitive edge, qualifies as a
_____________.

B. Subjective Questions
1. What is infringement?
2. Define misappropriation.
3. Write the various objectives of IPR.
4. Explain the need of IPR in a hotel.
5. Write in short about the subjects or tools that provide IPR
protection under hospitality.
6. Write a short note on:
(a) Trademark (b) Branding

SESSION 3: IMPLEMENTATION PROCEDURE AND

WORKING WITH IPR
Importance of Registration of Intellectual
Property
Intellectual Property (IP) rights are possibly among the
most important and valuable assets for a business.
Importance of IP registration:
1. It makes one’s business different from competitors.
2. It provides an important revenue stream.
3. It offers customers something new and different.
4. It forms an essential part of one’s marketing or
branding.
5. It is accepted as security or collateral for obtaining
loans from financial institutions.
6. Protecting the name and logo, designs, inventions,
works of creative or intellectual effort or trademarks
that distinguish one’s business can all be types of IP.
7. Protect it against infringement by others and
ultimately defend in the courts one’s sole right to
use, make, sell or import it.
8. Stop others from using, making, selling or importing
it without one’s permission.

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 Flow chart for protection of intellectual property in India

PROTECTION OF INTELLECTUAL PROPERTY IN INDIA

(Patents, Designs, Trademarks and Copyrights)

Ministry of Commerce and Ministry of Human

Industry Resource Development

Dept. of Industrial Policy &

Dept. of Education
Promotion

Controller General of Patents,

Copyright Office
Designs & Trademarks

Register of Copyright
Patent Trademarks
GIR
Office Registry

Sr. Joint Controller Joint Register

of Patents & Designs of Trademarks

International Protection of Trademarks

Registration trademarks and domain names

Trademark law enables you to possess and protect the
unique marks that you develop to brand your products
and services and prohibit its use by others. However,
the first party to register the mark has the right to use
and own it. A company should be keen on registering
its trademarks and domain names. The information
under trademarks and domain names becomes private
property and gets legal protection.
International protection of trademarks is provided
under the Madrid System. The Madrid System is a
convenient and cost-effective solution for registering
and managing trademarks worldwide. Madrid System
greatly simplifies the procedures for registering a
trademark in multiple countries.
The Madrid Protocol, which came into operation
in 1996 and the Madrid Agreement, which dates to

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 NOTES 1891, govern the system of international trademark
registration. Administered centrally via the World
Intellectual Property Organisation (WIPO) in Switzerland
under the Madrid Protocol, a mark can be registered
in multiple countries by filing a single application
for international trademark registration through the
trademark office of the applicant (office of origin).
Any objection to registration of the trademark must
be made to the International Bureau in the prescribed
format.
If there are no refusals by any of the country, then
the protection of the mark in each country is the same
as had been registered by the office of that country.
Once an international trademark is registered under
the Madrid Protocol, it is valid for 10 years. International
trademark registrations can be renewed at the end of
the 10 year period directly through WIPO or through the
office of origin.

International Protection for Patents

There is no such thing as an international patent, as
patents are restricted to a specific territory and no
single patent confers protection for inventions globally.
Patent law is specific to each country; although regional
agreements exist, there is no global patent law.
However, an international patent application does
exist. Filed under the Patent Cooperation Treaty (PCT),
an international patent application aims to facilitate
the procedures for protecting inventions in multiple
countries in a cost-effective and insightful way.

The Patents Act, 1970 includes

• Product and process patent
• Patent term of 20 years
• Public health safeguards
• Protection of traditional knowledge

International Protection under the Berne

Convention for Copyright
Berne Convention for the Protection of Literary and
Artistic Works, also known as the Berne Convention, is

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 an international agreement governing copyright. It was NOTES
first accepted in Berne, Switzerland, in 1886.
Under the Berne Convention, each of the contracting
countries provide automatic protection for works first
published in other countries of the Berne Union and for
unpublished works whose authors are citizens of or a
resident in other such countries.
The Berne Convention formally mandated several
aspects of modern copyright law; it introduced the
concept that a copyright exists the moment a work is
‘fixed’, rather than requiring registration. It also enforces
that countries recognise copyrights held by the citizens
of all other parties to the convention.

International Filing through the Hague

Agreement on Industrial Designs
The Berne Convention authorises countries to allow
fair use of copyrighted works in other publications
or broadcasts international filing through the Hague
Agreement on Industrial Designs.
The Hague System for the International Registration
of Industrial Designs provides a practical business
solution for registering up to 100 designs in over 67
territories by filing one single international application.

International Protection through Lisbon

Agreement
The Lisbon Agreement was concluded in response to the
need for an international system that would facilitate
the protection of a special category of such geographical
indications, i.e. ‘appellations of origin’, in countries
other than the country of origin, by means of their
registration at the International Bureau of WIPO.
The Lisbon Agreement for the Protection of
Appellations of Origin and their International
Registration (Lisbon Agreement) was adopted in 1958
and revised at Stockholm in 1967. It entered into force
on September 25, 1966, and is administered by the
International Bureau of the World Intellectual Property
Organization (WIPO), which keeps the International
Register of Appellations of Origin and publishes a
bulletin entitled ‘Appellations of origin’.
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 NOTES The Lisbon Agreement provides for the protection
of appellations of origin, that is, the ‘geographical
denomination of a country, region, or locality, which
serves to designate a product originating therein, the
quality or characteristics of which are due exclusively
or essentially to the geographic environment, including
natural and human factors’.

Preventing the Leak of New Plans

Intellectual property is vital to the business process.
Knowing how to protect your idea, whether it’s an
invention or a brand name, can save a lot of time
and money.
The idea and new plans can be protected by:
1. Patents
2. Trademarks
3. Copyright
4. Registered designs

Company products
For a successful hospitality business, the hotel staff
must have the knowledge of hospitality products. The
F&B is responsible for providing service to customers
that involves a wide variety of food and beverages.
The hotel staff should have good knowledge about the
products and services that the establishment provides,
including the wide range of menus.
Product knowledge can be defined as an organised
body of information about products and services
offered to customers, which can be utilised to influence
customers’ buying decision, resulting in customer
satisfaction. A good and updated knowledge of the hotel/
organisation’s menu, ingredients of various dishes and
cookery methods, pricelists, wine lists and the ability to
recommend an appropriate dish to a customer is vital.
Trademarks are also an important aspect of the
branding of a restaurant. A trademark is a word, phrase,
logo, slogan or design that distinguishes the goods
and services of one business from those of another. To
protect the trademark of any brand, it must be registered
under IPR laws. Having a registration can also increase

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 the restaurant’s credibility and brand value, thereby NOTES
facilitating the licensing of the trademark. Registration
is essential for franchising.

IPR in a Restaurant
IPR in a restaurant includes the following:

Restaurant name
For the protection of trademark, it is important to
consider a distinct restaurant name. It is difficult for
the owner to protect the restaurant name as there are
chances of others having the same name. A law firm
can be hired to conduct searches and provide advice
regarding a proposed name which is not registered for
trademark already.

Logos and slogans

Logos and slogans should be displayed consistently, both
on-site and in printed and online material. Registration
® and trademark (TM) symbols help to strengthen
your claim. Logos and signages are often protected as
artistic works.

Dish names
Unique names of dishes may be treated as trademarks.
A restaurant menu should contain distinctive names
and offer signature dishes.

Layout and décor

The layout and décor of a restaurant also comes under
trademark protection. The layout and décor/trade dress
should be registered in print and digital media like an
advertisement or a website.

Copyright for restaurants

A restaurant should ensure that it owns the copyright in
any work prepared by any person or agency. Registration
of copyright is not required but can be very beneficial,
particularly if it is necessary for a restaurant to enforce
its exclusive rights.

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 NOTES (a) Protection of recipe
It is the responsibility of the restaurant to consider
notifying any recipient that their recipe is a trade secret,
requiring them to sign a non-disclosure and non-
competition agreement.
(b) Protection of food preparation process
This process can be protected under a patent.
(c) Protection for plating
Plating can be protected by copyright as an artistic work
or as a trade dress. The restaurant owner should ask a
legal consultant/counsel to assess their IP portfolios.

Reporting IPR Violations

Often, people don’t know how to seek reprieve
under the IPR Act when an IPR violation occurs in
their establishment. When there is a violation of an
intellectual property, it is the sole right of the owner
of the IP to obtain a solution for the theft of knowledge
that they have acquired with a lot of hard work and
tremendous efforts. The solution given by law is of three
types: criminal, civil and administrative.

Patent infringement remedies

A suit for infringement of a patent has to be filed before
the District Court or the High Court within the territorial
jurisdiction. But if a counter claim for revocation is filed
by the other party, then the High Court has the power
to entertain or reject the matter. The right to move to
the court of law to enforce a patent depends upon the
person who has a valid claim on the subject matter of
the patent.

Trademark infringement remedies

The owner of a trademark can initiate legal proceedings
against a party which infringes its registration. In this
case, statutory protection is available to both registered
as well as unregistered trademarks.
They are given both civil as well as criminal remedies
for infringement. A case against infringement can be
filed before the District Court or the High Court.

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 Proprietors of the trademark and licensed users have NOTES
the option to initiate criminal prosecution against the
infringers.

Copyright infringement remedies

In the same manner, a case against the infringement
of copyright can be filed in a District Court or High
Court within territorial jurisdiction in which the cause
of action has arisen.
Copyright infringement is a cognisable (non-bailable)
offence punishable with an imprisonment of six months,
which can be extended to three years or a fine ranging from
` 50,000–2,00,000. For the second offence, the minimum
term of imprisonment has been increased to one year,
which may extend to three years and the minimum fine
has increased to ` 1,00,000, which may be extended to
` 2,00,000. These criminal remedies are available to the
copyright holders for infringement.
The company should adopt the following best
practices to keep the intellectual property secured:
1. Employees and vendors must sign a code of conduct
and confidentiality, and non-disclosure agreement
before beginning work.
2. Confidential information that is stored electronically
should be compartmentalised. No one, except an
authorised person should be able to access it.
3. No employee should be able to access the proprietary
information.
4. When an employee leaves the organisation, they
should be examined through an exit interview
to assure that they are not taking any internal
information to the competitor.
5. If the employee leaving the organisation is involved
in malicious activities of information leakage, a full
scale investigation should be conducted. If guilty,
necessary action should be taken.
6. Access to facilities containing valuable proprietary
and confidential information should be carefully
controlled.
7. Network security should be well-maintained and
updated to prevent hacking.

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 NOTES 8. A control policy should be implemented for
classification and marking of proprietary
documents. Access to documents should also be
included in such a policy.
9. Training to promote compliance with the
programme’s policies and security audits should
be necessary for new and current employees.
10. Companies should continuously re-evaluate their
practices. Consultation with security and legal
experts in each country should be necessary.
11. During review, the company should emphasise
internal threats and the danger of foreign economic
espionage, especially if it is a high-tech company.

Importance of Giving Respect to Copyrights

Copyright law protects expression of ideas rather than
the ideas themselves. Under Section 13 of the Copyright
Act 1957, copyright protection is conferred on literary,
dramatic, musical and artistic works, cinematograph
films and sound recording. For example, books and
computer programmes are protected under the Act as
literary works.
Copyright refers to a bundle of exclusive rights vested
in the owner of copyright by virtue of Section 14 of the
Act. These rights can be exercised only by the owner of
the copyright or by any other person who is licensed by
the owner of the copyright. These rights include the right
of adaptation, reproduction, publication and the right to
make translations, communication to public, etc.

Indian Perspective on Copyright Protection

In India, the Copyright Act, 1957 confers copyright
protection in the following two forms:
(a) Economic rights of the author
(b) Moral rights of the author

(a) Economic rights

• These rights are mainly in respect of literature,
drama and music, other than a computer
programme, to reproduce the work in any
material form including storing it in any medium

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 by electronic means; to issue copies of the work to NOTES
the public; to perform the work or communicate
it to the public, to make any cinematograph film
or sound recording of the work, and to make any
translation or adaptation.
• In case of a computer programme, in addition to
these rights, the author enjoys the right to sell or
give on hire, or offer for sale or hire any copy of the
computer programme regardless of whether such
a copy has been sold or given on hire on earlier
occasions.
• In the case of an artistic work, the rights available
to an author include the right to reproduce the
work in any material form, including depiction in
three dimensions of a two dimensional work or in
two dimensions of a three dimensional work, to
communicate or issue copies of the work to the
public, to include the work in any cinematograph
work, and to make any adaptation of the work.
• In the case of a cinematograph film, the author
enjoys the right to make a copy including a
photograph of any image forming part thereof, to
sell or give on hire or offer for sale or hire, any
copy of the film, and to communicate the film to
the public.
• These rights are similarly available to the author of
sound recording. In addition to these, if the creator
of a painting, sculpture, drawing or a manuscript
of a literary, dramatic or musical work, is the first
owner of the copyright, then they shall be entitled
to have a right to share in the resale price of the
original copy provided the resale price exceeds
` 10,000.

(b) Moral rights

Section 57 of the Act defines the two basic moral rights
of an author. These are:
i) Right of paternity
ii) Right of integrity
The right of paternity refers to the right of an
author to claim authorship of the work and the right to
prevent others from claiming its authorship. The right
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 NOTES of integrity empowers the author to prevent distortion,
mutilation or other alterations of their work, or any
other action in relation to the work, which would be
prejudicial to their honour or reputation. Section 57(1)
provides that the author shall not have any right to
restrain or claim damages in respect of any adaptation
of a computer programme to which Section 52 (1)(aa)
applies (i.e. reverse engineering of the same). Failure to
display a work or to display it to the satisfaction of the
author is not deemed to be an infringement of the rights
conferred by this section. The legal representatives of
the author may exercise the rights conferred upon an
author of a work by Section 57(1), other than the right
to claim authorship of the work.

Practical Exercise
Activity 1
Visit a Five Star hotel, observe and prepare a report on the
benefits of registration of Intellectual Property in a hotel.
Material Required: Writing material
Procedure
• Visit a luxury hotel in your city.
• Discuss with the managers and ask questions about the
registration of IPR in the hotel.
• Discuss its benefits.
• Find out the reason for the copyrights of different things
of the property.
• Prepare a report after the visit and present it in the class.

Activity 2
Visit a standard hotel, observe and prepare a report on the
various products protected by IPR.
Material Required: Writing material
Procedure
• Visit a luxury hotel in your city.
• Discuss with the managers and ask questions about the
copyright of the property.
• Note and list all types of IPR of the property.
• Find out the reason for copyrights of different things in
the property.
• Prepare a report after the visit and present in the class.

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 Activity 3 NOTES
Organise a lecture by a legal advisor.
Material Required: Writing material
Procedure
• The school may invite a legal advisor of any hotel and
request them to deliver a lecture on IPR Acts and their
remedies.
• The students should note the important aspects covered
in the lecture.
• The information gathered should be discussed in
the class.

Check Your Progress

A. Fill in the Blanks
1. International protection of _________________________ is
provided under the Madrid System.
2. The Patents Act was introduced in the year _____________.
3. _______________ lets you protect the unique marks that
you develop to brand your products and services from use
by others.
4. ___________________ can be defined as an organised body
of information about products and services offered to
customers, which can be utilised to influence their buying
decision, resulting in customer satisfaction.
5. Logos and signages will often be protected as
_________________.
6. ___________________ laws protect certain kinds of original
works.
7. The Copyright Act came into existence in the year
_________________.
8. Copyright protection provides rights in two forms,
________________ and ________________.

B. Subjective Questions
1. Explain the importance of registration of Intellectual
Property.
2. Write short notes on:
(a) Berne Convention for copyright
(b) Hague Agreement on industrial designs
(c) Patent Infringement Remedies
(d) Copyright Infringement Remedies
3. What are the various hotel products protected under IPR?
4. Explain the importance of giving respect to copyrights.
5. Explain copyright act in Indian scenario.

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