Essay on Crimes Related to Intellectual Property (1984 Words)
Intellectual property consists of a bundle of rights which may be violated by committing software piracy copyright infringement, trade-mark and service-mark violations, theft of computer source code etc. Internet being the fastest telecommunication and information system, it has become a most convenient media to conduct business transactions.
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The explosion of digitalization and the internet have further facilitated the intellectual property right violators to copy and illegally distribute trade-secrets, trade-marks, logos theft of computer source code etc. Computer pirates steal away valuable intellectual property when they copy software music, graphics/pictures, books, and movies etc. which are available on the Internet.
Usually most material that the pirates or offenders want to copy is protected by the copyright which implies that a person cannot take out copies thereof unless permitted to do so by the copyright owner. It is a punishable offence under the Copyright Right. The various acts to which Copyright Act, 1957 extends are enumerated in Section 14 of the Act.
Trade-mark is also one of the intellectual property rights that protects the good-will and reputation of traders and businessmen. These marks are intended to differentiate goods of a trader from other traders who are in the same stream of trade or business. Passing-off actions are also covered under the Trademarks Act wherein a trader passes off his inferior quality goods in the name of some reputed trader who is selling the same commodity or article.
Thus, if a particular logo is generally associated with and used in relation to product ‘A’ its use by someone else in relation to product ‘B’ would be an infringement of Trademark right and an act of passing off these illegal activities are carried on through the use of computers or Internet, it will attract the provisions of the Information Technology Act, 2000.
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Thus, in Ridiff Communications Ltd. v. Cyberbooth and Rantesh Naliata, the High Court of Bombay held that “a domain name is more than an internet address and therefore, entitled to protection under the Trademarks Act, 1957. In M/s. Salty am Infoway Ltds. v. M/s. Sifynet Solutions (P.) Ltd., the Supreme Court ruled that with the increase of commercial activities on the internet, a domain name is also used as a business identifier. It not only serves as an address for internet communication but also identifies the specific internet site for a specific business or its goods or services. It, therefore, has all the characteristics of a trademark and a passing off action can be based for infringement of domain name right.
In the instant case, the appellants were incorporated in 1995 and trading with the domain name ‘Sifynet’ since June, 1999. They claimed wide reputation and goodwill in the domain name Sify which was registered with the Internet Corporation for Assigned Names and Numbers (ICANN) an international registering body for domain names.
The respondent started carrying on business of internet marketing under the domain name Siffynet from June, 2001. The appellants challenged the action of respondents, but their claim was rejected by the High Court, hence they went in appeal before the Supreme Court.
The Apex Court held that by adopting a similar and deceptive name ‘Siffy’ which was phonetically similar to that of the appellant’s they had tried to cash in on the appellant’s reputation as a provider of internet services, therefore the appellants were entitled to relief. Allowing the appeal, the Court set aside the decision of the High Court and affirmed the decision of the City Civil Court.
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Again, in Yahoo Inc. v. Akash Arora, the Delhi High Court granted relief to the petitioner Yahoo Inc. who sought injunction against the defendant for using domain name for internet related services. The defendants contended that the provisions of the Trademark Act were not attracted in this case. But the Court ruled in favour of the petitioner and held that though service marks are not recognised in India, the services rendered are to be recognised for ‘passing-off’ actions.
It may be stated that with a view to protecting the computer database under the intellectual property law in India, the Copyright Act, 1957, was amended twice, once in 1994 and again in 1999 which is effective from 13th January, 2000. By these amendments some new sub-sections to section 2 relating to interpretation clause were added.
Section 2(o) of the Act was amended to change the definition of the term ‘literary work’ which now includes computer program (source code as well as object code) and database which are protected under this Act. As a consequential change, Section 14 of the Act is also amended giving exclusive rights to the owners to do or authorise the doing among other things to reproduce or rent a computer database or a computer program.
Infringement of copyright is defined in Section 51 of the Copyright Act. It not only gives rise to civil action but also imposes criminal liability. Civil remedies are provided under Chapter XII of the Act whereas penal consequences of ‘infringement of copyright are contained in Chapter XIII of the Act.
Section 63 of the Act, provides that a person infringing or abetting the infringement is liable to imprisonment upto three years and fine, which may extend to two lakh rupees. There is enhanced penalty for second or subsequent conviction.
Section 63-B of the Act further provides that knowingly making use of an infringing copy of computer software on a computer is a separate offence punishable with imprisonment for not less than seven days and may extend to three years, and with fine which shall not be less than rupees fifty thousand and may extend to rupees two lakh.
Significantly, many areas where information technology has an impact have been rendered justiciable by the Information Technology Act, 2000. They include e-commerce, jurisdictional issues, security measures, evidence, e-banking etc.
It may be noted that just as the legitimate business organisations in the private or public sector rely upon information systems for communication or record Deeping, so also the cyber criminal organisations carry on their illegal activities using enhanced cyber space technology.
Commenting on this aspect, Eric Ellen, one of the officials of the International Chamber of Commerce (ICC) has predicted that information technology is not only reshaping the mode of corporate functioning and emerging new business strategies but it is dramatically increasing the number of potential cyber criminals. According to him, there is bound to be simultaneous increase in the incidence of cyber crimes with the new internet sites and users which currently totals around 40 million worldwide.