Proprietary rights means all the acquired, owned, arisen or created by the borrower: works subject to copyright, copyrights, licenses, franchises, trademarks, permits, trade styles, service marks, patent rights, as well as licenses and all rights related to the above. and all rights related to the above and all re-editions, divisions, legal claims and continuation of parts and the right to sue concerning past, future and current violations of the above (Amendment NO. 6 To Loan Agreement, 2017, p. 23).
Proprietary rights are a community creation. Each community regulates by a combination of the official legislature, applicable and custom law. Regulation is about solving problems with the relationship between more than one private persons by the country concerned and how the country might interfere in property of private person what is frequent topic of political debates because it has alike impact on economic and society (Needham D. B., 2001, p. 12205).
Proprietary rights and initial allocations
Initial allocations of proprietary rights are the most important because a person who obtains the rights is determined as a person who holds it. The person who first invented the technology is the person who, according to patent law, holds the rights to the technology. Despite that fact, people who first patented given information are rarely final users of this technology it is caused by law regulations or profitability. An extremely effective method would be to sell property rights and patents so that downstream innovators can obtain them from the owners, subsequently, initial allocations would not mean so much. The transfer of property rights is very expensive which means that the top use of rights is rarely achieved. Not only high costs constitute a barrier in transactions, there is always a chance that patented research results will not be able to be turned into commercially viable products. Due to the high uncertainty to the subject of the transaction the power of attorney most often determines the value of a given patent (Emory L., 2000, p. 49).
Types of proprietary rights
There are plenty of types of proprietary rights. The main classification of proprietary rights is between Personal and Real Property:
- Personal Property is “Any assets except Real estates”. They are movable, in contrast to real property. For example: computer, phone, car.
- Real Property are mainly lands, buildings, underground below land and air rights above the land. They are not movable (Amadeo K., Webster C., 2019).
- Emory L. J., (2000), Proprietary Rights and Why Initial Allocations Matter , Heinonline, USA
- Financial Nicholas inc., (2017), Amendment NO. 6 To Loan Agreement, Second Amended And Restated Loan And Security Agreement
- Needham D. B., (2001), Property Rights, International Encyclopedia Of The Social & Behavioral Sciences, USA
- Rotherman C., (2003), Property and properiaty remedies, Properiaty Remedies In Context, England
- Webster C., (2019), Property Rights, Classification Of Property Rights, USA
- Yale L. J., (1988), Proprietary Rights And The Norms Of Science In Biotechnology Research, The Yale Law Journal, Vol. 97, Number 2, Sweden
Author: Rafal Maslyk