The Four Types of IP
Intellectual property law protects creations of the mind—inventions, creative works, brand identities, and confidential business information. Understanding the different types of IP helps you identify what's protectable and how to protect it.
There are four main categories, each governed by different laws and offering different kinds of protection:
Trade Secrets
Confidential business information
What It Protects
Trade secrets protect confidential information that derives economic value from being secret. This can include formulas, processes, customer lists, pricing strategies, algorithms, or any information that gives your business a competitive advantage.
How Protection Works
Unlike patents or copyrights, trade secrets don't require registration. Protection arises automatically—as long as you take reasonable steps to keep the information secret. If you don't actively protect it, you can lose protection.
- Use confidentiality agreements with employees and contractors
- Limit access to sensitive information on a need-to-know basis
- Mark confidential documents appropriately
- Implement technical safeguards (access controls, encryption)
Duration
Potentially forever—as long as the information remains secret and you continue protecting it.
Limitations
- If someone independently discovers or reverse-engineers your secret, you have no recourse
- Once disclosed (intentionally or accidentally), protection is lost
- Requires ongoing effort to maintain secrecy
Examples
Coca-Cola's formula • Google's search algorithm • Customer lists with pricing history • Manufacturing processes • Source code (when not published)
Patents
Inventions and innovations
What It Protects
Patents protect inventions—new and useful processes, machines, manufactured items, or compositions of matter. They also cover improvements to existing inventions. In exchange for public disclosure of how your invention works, you get exclusive rights to make, use, and sell it.
Requirements
To be patentable, an invention must be:
- Novel — not previously known or used
- Non-obvious — not an obvious improvement to someone skilled in the field
- Useful — has a practical application
How Protection Works
Patents require formal application with the U.S. Patent and Trademark Office (USPTO). The process typically takes 2–3 years and costs $10,000–$30,000+ including attorney fees. Once granted, you can prevent others from making, using, or selling your invention—even if they independently invented the same thing.
Duration
20 years from the filing date for utility patents; 15 years for design patents.
Limitations
- Expensive and time-consuming to obtain
- Requires full public disclosure of how the invention works
- Abstract ideas, laws of nature, and natural phenomena aren't patentable
- Software patents face heightened scrutiny post-Alice
Examples
Pharmaceutical compounds • Mechanical devices • Manufacturing processes • Some software implementations • Design patents for product appearance
Copyrights
Creative and expressive works
What It Protects
Copyright protects original works of authorship—the specific way ideas are expressed. This includes written content, software code, images, music, videos, and architectural designs. Copyright protects expression, not the underlying ideas or facts.
How Protection Works
Copyright arises automatically when you create an original work and fix it in tangible form (write it down, save the file, etc.). Registration with the U.S. Copyright Office isn't required for protection, but it provides significant benefits:
- Required before filing an infringement lawsuit
- Statutory damages and attorney's fees available if registered before infringement
- Creates public record of ownership
Duration
For works created today: the author's life plus 70 years. For works made for hire: 95 years from publication or 120 years from creation, whichever is shorter.
Limitations
- Protects expression only—not ideas, facts, or functionality
- Fair use allows limited use without permission
- Independent creation is a complete defense (unlike patents)
- Doesn't prevent someone from expressing the same idea differently
Examples
Software source code • Website content • Marketing materials • Training videos • Photographs • Documentation • Blog posts • Product descriptions
Trademarks
Brand identifiers
What It Protects
Trademarks protect brand identifiers—words, phrases, logos, sounds, or other elements that identify the source of goods or services and distinguish them from competitors. The core purpose is preventing consumer confusion.
How Protection Works
Trademark rights arise through use in commerce. You establish "common law" rights simply by using a mark to sell goods or services. Federal registration with the USPTO provides additional benefits:
- Nationwide priority (not just where you're operating)
- Ability to use ® symbol
- Presumption of validity and ownership
- Enhanced damages for willful infringement
Duration
Potentially forever—as long as you continue using the mark and maintain your registration (renewal filings required every 10 years).
Limitations
- Descriptive terms are difficult to protect (need "secondary meaning")
- Generic terms can't be trademarked
- Protection limited to related goods/services and geographic areas
- Must actively police and enforce to maintain rights
Examples
Company names • Product names • Logos • Slogans • Color schemes (in some cases) • Sounds (NBC chimes, Intel bong) • Product packaging (trade dress)
Quick Comparison
| Aspect | Trade Secret | Patent | Copyright | Trademark |
|---|---|---|---|---|
| Protects | Confidential info | Inventions | Expression | Brand identity |
| Registration | Not required | Required | Recommended | Recommended |
| Duration | While secret | 20 years | Life + 70 years | While in use |
| Independent creation | Allowed | Not allowed | Allowed | Not allowed |
| Public disclosure | Destroys rights | Required | May help | May help |
| Cost to obtain | Low | High | Low–Medium | Medium |
Common Misconceptions
"My idea is protected by intellectual property law."
Ideas alone aren't protected. Copyright protects expression—how you describe or implement an idea. Patents protect specific inventions. You need more than an idea; you need execution.
"If I mail myself a copy, it's copyrighted."
The "poor man's copyright" is a myth. Copyright exists from the moment you create and fix a work. Mailing yourself a copy doesn't add protection and isn't a substitute for federal registration.
"My software algorithm is patentable."
Maybe, but it's complicated. After the Alice decision, abstract ideas implemented on a computer are generally not patentable. Some software is still patentable, but the bar is higher than it once was. Trade secrets and copyright may be more practical protection for many software innovations.
"I can trademark my product's name without registering."
You do get "common law" trademark rights through use. But these rights are limited to the geographic area where you're actually operating. Federal registration gives nationwide priority and significantly stronger protection.
"An NDA protects my trade secrets."
An NDA is one piece of the puzzle, but not sufficient alone. Trade secret protection requires "reasonable measures" to maintain secrecy—NDAs, access controls, security practices, and ongoing vigilance. An NDA you don't enforce, or information you don't actually keep confidential, won't be protected.
Washington-Specific Considerations
Washington has adopted the Uniform Trade Secrets Act (RCW 19.108), which provides a framework for trade secret protection and remedies. This includes injunctive relief to stop misappropriation, damages for actual loss, and in some cases attorney's fees for willful and malicious misappropriation.
Work Made for Hire
When employees create copyrightable works within the scope of their employment, the employer owns the copyright automatically—it's a "work made for hire." But for independent contractors, the default rule is the opposite: the contractor owns what they create unless you have a written agreement assigning the rights to you.
This is critical for technology companies working with freelance developers, designers, or content creators. Without a proper assignment agreement, you may not own the code or designs you paid for.
Invention Assignment
Washington law (RCW 49.44.140) limits what employers can require in invention assignment agreements. Employers cannot require assignment of inventions that employees develop entirely on their own time without using employer resources, unless the invention relates to the employer's business or anticipated R&D.
Practical Takeaways
For most businesses, a practical IP strategy includes:
- Robust confidentiality practices — NDAs with employees, contractors, and business partners; access controls; clear policies
- Copyright registration for key works, especially software, before any disputes arise
- Trademark registration for your company name, product names, and logo
- Patent evaluation for truly novel inventions, with realistic cost-benefit analysis
- Assignment agreements ensuring you own what contractors create for you
Questions about protecting your IP?
Every business has different IP considerations. Schedule a consultation to discuss your specific situation.
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