Intellectual Property Ethics

It was not ethical for Normandale to sell the alleged knock-off products for a lower price. The founder, and all contributing members of Mathis, Inc put in a lot of time, money and creativity. To take someone's product and adapt it to increase your profit is not only unfair, but unethical. Just as they have a Code of Ethics for their, employees, prevent fraud or theft, the same should apply to them as well. Intellectual property is defined as any product of the human intellect that law protects from unauthorized use by others, according to Cornell University Law School. Under Intellectual Law, we have patents, trademarks, copyrights, and trade secrets. This law provides assurance for authors and inventors they will receive proper compensation for their work. In the U.S. Constitution, Article I, Section 8, it addresses Congress's ability to regulate copyrights and patents. The Commerce Clause gives them their power to regulate trademarks. There is an Intellectual Property Enforcement Team within the USPTO. Because patents are only valid in the United States, the inventor must apply for a patent in each country. The Enforcement Team helps to improve this in our country and in others. The team is called, The United States Patent and Trademark Office Overseas Intellectual Property Attache Program. It works
to makes systems benefit the U.S stakeholders. Patents must meet five requirements under the U.S. Patent Act. The items are, patentable , suitable to be patented, subject manner, utility, novelty, nonobviouness, and enablement. A patent is a right granted by the government of the United States of America to an inventor “to exclude others from making, using, offering for sale, or selling the invention throughout the United States or importing the invention into the United States” for a limited time in exchange for public disclosure of the invention when the patent is granted, according to the United States Patent and Trademark Office (USPO). The USPO has designated a library, the Patent and Trademark Depository Library to receive copies of

patents. Patent infringement is the unauthorized making, using, offering to sell, selling or importing in the United States any patented invention. Then we have Trademarks, defined as a name brand, that includes a word, symbol, device, etc., that distinguishes the good or service from another. A trademark does not have to be registered, but it is beneficial to the owner to do so. Someone can use a trademark under “fair use”. This is used in good faith, and not to confuse the consumer. Then we have prodigies of the trademark. Prodigies which are close similarities (which are usually words or phrases) can be used if it is not so close it confused the owner's commercial use. Often, the First Amendment is used to defend this process. The First Amendment states, it does not abridge the freedom of speech, which means you have the freedom to express. Counterfeit is a fraudulent duplication of something else, the verb means to imitate fraudulently. These are sold without authorization of the brand's owner. The U.S. Code-Title 18 Chapter 25 Section 471 Obligations or securities of United States, says Whoever, with intent to defraud, falsely makes, forges, counterfeits, or alters any obligation or other security of the United States, shall be fined under this title or imprisoned not more than 20 years, or both. Section 472 Uttering counterfeit obligations or securities of United States says, Whoever with intent to defraud, passes, utters, publishes, or sells, or attempts to pass, utter, publish, or sell with like intent brings into the United States or keeps in possession or conceals any falsely made, forged, counterfeited, or altered obligation or other security of the United States, shall be fined under this title and imprisoned not more than 20 years, or both. Section 473 Dealing in counterfeit obligations or securities states, Whoever buys, sells, exchange, transfers, receives, or delivers any false, for counterfeited, or alter obligation or other security in the United States, with the intent that the same be passed, published, or use as true and genuine, shall be fined under this title or imprisoned not more than 20 years or both. The

Prioritizing Resource and Organization for Intellectual Property Act of 2008 increased maximum penalties to $30,000.00 for compilations and increases the penalty for repeat offenders, along with other modifications. Mathis, Inc were legal owners of the women clothing design.
Once Countess Lori-Ann (CLA) participated in producing fake Mathis, Inc designs, both Normandale and CLA are not guilty of felonies crimes. Under section 471, the intent is there. Under section 472, sells or attempts to pass is there. Section 473 address buying, selling, delivers to be used as a true genuine is evident. Both companies are in danger of being fined or imprisoned. CLA was guilty of violating the Lanham Act. The Laham Act states that any marking, symbol et cetera that is identified with a particular brand, is a trademark. CLA violated this by copying distinctive
designs.
. Mathis is able to collect liability under Commercial Tort. With Injurious Falsehood and Defamation, it states if your competition infringes on your trademark, patent, or copyright, they could be held liable. Readdressing the Laham Act, the tort form for passing off or palming off deals with goods you pass off as the original, misleading someone else to think is another brand. Something CLA and Normandale was guilty of. Now, Mathis suffers financially. According to U.S Dept of Justice, U.S companies loose hundreds of billions dollars a year due to counterfeit activity. The revenue that would have been earned to pay employees and suppliers are now lost. The suppliers of the material will feel the impact as well. As a result, Mathis must pay legal fees to stop Normandale from selling the counterfeit clothing Discussing the differing views on corporations such as Normandale social responsibility, there is a recent rise in organizations creating Employee Resource Groups (ERG). These groups promote diversity in the workplace, providing a place to connect with people of similar interest or culture or a place to learn of other cultures. The ERGs may be based on race, sexual preference, or disabilities. As online subscriber to www.diversityinc.com, I have become more conscious of my interactions with others. My favorite column is, What Not to Say. It addresses what not to say to people of various groups. I would suggest this for every corporation. Also, larger corporations are expected to give back to their communities. These could be in the form of back to school drives, or adopting families for the holiday season. Society loves to see corporation walking for a cause, such as Alzheimer or diabetes. Adopting a highway would be an option and a wonderful way to promote public relations, as feeding the community with non-profit organizations. Consumer are more likely to support when they feel you care. Normandale could first develop a Code of Ethics that they must follow, prior to implementing with the other employees. Every employee should be introduce to Intellectual Property laws. Once that is complete, the follow up session should address the impact when the Code of Ethics are not followed. This would include the economic, public perception, and social impact of unethical behavior. Session would be followed by a handbook, that every employee must sign and acknowledge. Keeping in my mind with the social responsibility, the company could implement e-signatures. Intellectual property infringement is a criminal crime, not civil. It is usually handled by the federal government. In a civil case, officers of Normandale could be held personally liable if it is determined they knowingly and willfully participated in the infringement. The officers can be held personally liable, even if the they were working in the interest of the corporation. They are being held responsible for their actions.