The value of a successful company far exceeds the value of its tangible assets. Intellectual property (IP) comprises forty to ninety percent of the value of the top companies operating today. What steps have you taken to protect your intellectual property?

What is a trademark? What is a trade name? A trade name is the name of your business. It may or may not also be your trademark. The names that identify your company’s products or services are your company’s trademarks. Trademarks can also be phrases, logos, colors, sounds, and smells. For example, the color brown is a trademark of UPS.

What is the proper way to use IP symbols? The use of © represents that you claim a copyright on the work. The use of ^TM represents that you claim trademark ownership in the mark preceding it. Use the symbols © or ^TM for protection, regardless of whether they are registered. SM is used for trademarks that describe services. The use of ® represents that the trademark is registered with the U.S. Patent & Trademark Office.

How do I protect my trademarks? Your trademark is entitled to common law protection based on your first use. Check the U.S. Patent & Trademark Office database for an existing trademark registration before beginning to use a trademark. When you register your own trademark with the Patent & Trademark Office, your trademark is protected throughout the United States.

What is a copyright? Copyright is the protection of the expression of an idea. Copyrights protect artistic works, such as songs, poems, and paintings, but they also protect your website and any written or graphic works that you might create for your business. Although copyright protection automatically attaches as soon as the work is created, the maximum protection is gained by registering the copyright with the Copyright Office. Works created by your company and distributed to the public should include © followed by the year of first publication and the owner’s name.

Who owns the copyright on items created for my business? If the item is created by an employee in the course of his or her job, the company is presumed to own it. If it is created by an independent contractor, the independent contractor owns the work unless there is a written agreement transferring ownership. Copyrights cannot be transferred by oral agreement.

When should I seek patent protection? Patents are protected only when they are issued by the U.S. Patent & Trademark Office. If your company creates a product or method whose purpose is “function” as opposed to the expression of an idea, the functionality of that product or the portions of that product that are for the purpose of functionality will not be protected by copyright. Your company should consider filing a patent to protect those inventions.

How do I protect proprietary information and trade secrets? Most companies have confidential documents that are not meant for public viewing. It is best to enter into written agreements, commonly called confidentiality agreements, with employees and consultants who have access to that type of information. If your company does not treat information as confidential, you may be unable to prevent outside interests from using the information.