Business activities
A business can infringe the Intellectual Property (IP) rights of others by not having the correct licence to support the certain activities, for example:
- not enough Information Technology (IT) software licences to cover all your computers;
- playing music and/or a sound recording, such as having a TV, radio or CD playing. This includes in staff rooms, on the shop floor etc;
- showing a film that is protected by copyright, unless one of the exceptions set out in statute applies;
- photocopying articles without the correct licence.
Other situations which might give rise to IP rights infringements include:
- using your premises to manufacture, distribute or sell counterfeit goods such as clothing and footwear;
- relying on pirated or fake copies of key requirements like computer software rather than purchasing legitimate products.
Purchase/use of unlicensed software or other materials
Genuine software is only supplied under a licence issued by the IP rights holder (such as Microsoft) which will, for example cover the number of terminals in use. Businesses should take care not to buy illegal copies instead of the legitimate products. Not only will this give rise to liability, the effect on business processes could be devastating should the fake products fail.
A range of guides have been produced by Businesslink
to help you understand how to use other people's IP. Wider guidance is also available on our website.
Right licence for the right product
Businesses must ensure that they have the right licences in place to cover their use of products and items which are protected by IP rights. In particular their use of work protected by copyright, such as photocopying of books, use of graphics, photos, images etc.
Problems can also arise when businesses fail to keep within the boundaries of any licences - such as the volume of copies, types of use etc. So regular audits and tracking are key.
Understanding software
When you purchase content like software, you do not become the owner of the copyright. You are the owner of a copy of the product and you are given a licence to use it in certain ways and under certain conditions. The licence is a legal document which defines the terms of use and if a business breaks those terms this infringes the copyright. Examples include, copying, distributing or installing software in ways prohibited by the licence (whether intentionally or not).
Mislicensed products - Software publishers have a variety of solutions for both consumer and business use. The reason for variation in price is to reflect the functionality or intended use. Purchasing software not intended for business use may render you non compliant if audited. It may also fail and damage your business operations.
Beta /Trial Software - This is a good way to experience new offerings by publishers. Remember, these are licensed products with a limitation in time and continued use outside the prescribed terms and conditions may lead to your company being non complaint.Guidance and tools are available explaining what is the law in relation to IP rights infringement, potential risks posed, and the actions a business can take to deal with IP rights infringements. It is important to consult you legal advisors for advice and assistance in establishing suitable policies and guidance for staff.
The only legitimate way to exempt yourself from obtaining licences for such activities is to ensure that you can rely on a legal exception or permission. You can also exempt yourself if you are not using products or items which are protected by IP rights. In relation to software some IP right owners provide open source software that give more freedom, or by only playing music or showing films which are no longer covered by copyright protection.