Role of the Engineer Burden of Proof & Burden of Persuasion Standards of Proof:

1) 2) 3) 4) 5) !) Benefit of assumption no evidence to support claim Some credible evidence to support claim Substantial evidence to support claim Preponderance of evidence to support claim Clear and convincin evidence to support claim Be"ond a reasonable doubt to support claim

#ational$%ei &tened Scrutin" #evie' (ssue#ules)pplicationConclusions Introduction to Law *a': 'or+able set of rules to address individual and roup rights in societ", Primar" -oal of t&e *e al S"stem:
1) 2) 3) 1) 2) 3) .o ensure le al rules are enforced/ #eserve state po'ers to compel parties into action 0ine parties/ or even imprisonment$deat& Civil )ction 1Person ) v, Person B) 2 see+in e3uit" relief or c&ancer" 1in4unction)5 bill collection$small claims dispute/ famil" la' restrainin orders Criminal action 1-overnment v, Person )) 2 See+in relief in a fine/ compelled action or 4ail time5 traffic infraction$67( )dministrative action 1Person ) v, -overnment) 2 See+in relief in overnment action/ or issuance$revocation of a permit5 driver8s license application/ collectin unemplo"ment/ obtainin a buildin permit/ obtainin a 9Certificate of )ir'ort&iness: for an airplane

.&ree ."pes of *e al )ction:

Classification of *a'
1) Substantive v, Procedural *a' Substantive: la's '&ic& create/ define/ and re ulate le al ri &ts and obli ations Procedural: la's t&at establis& rules to obtain a remed" usin t&e le al s"stem 2) Public v, Private *a' Public: ri &ts$po'ers of ovt, in its political$soverei n capacit" 2 includin constitutional/ administrative and criminal la' Private: substantive la' t&at overns individuals as t&e" relate to one anot&er 3) Civil v, Criminal *a' Civil: recover" of compensation from anot&er part" court decides on preponderance of evidence, 1Part" ) v, Part" B) Criminal: ovt, action a ainst a person or entit" in t&e interest of public protection trial b" 4ur" is an option if remed" includes deprivation of life/ libert"/ or propert", 1State v, Criminal)

Sources of *a': Supreme/ Codified/ ;udicial/ ) enc" )ppellate Court Cases %o' a Bill Becomes a *a' Introduction to IP Law Polic" -oals .rade Secret 6efinition Govt. will provide remedies to solve the inherent free-market failure in creative invention. Congress gives courts the power to: 1) Prevent unfair business practice 2) Provide financial incentive for !" #) Prevent $free riding% .rademar+ Protection 6a'n 6onut #ule .rademar+ (nfrin ement .est 1< factors)

Copyright Law Polic" -oal =&at is covered b" cop"ri &t la'> =&at isn8t covered> ?'ners&ip/ 6uration/ #i &ts to:
1) 2) 3) 4) 5) !) reproduce prepare derivative 'or+s distribute copies/ or p&ono2records to t&e public b" sale perform t&e cop"ri &ted 'or+ publicl" displa" t&e cop"ri &ted 'or+ publicl" perform t&e cop"ri &ted 'or+

@Aceptions Intellectual Property Law Trade Secrets #ule: (f "ou ta+e a means to protect "our invention/ t&e la' 'ill protect "ou a ainst improper means ot&ers ta+e to learn "our secret .rade Secret: an" information t&at derives actual or potential economic value from t&e fact t&at
1) 2) it is not +no'n or readil" ascertainable b" ot&ers/ and t&at it is sub4ect to reasonable efforts to maintain its secrec", (f t&is info is misappropriated/ t&en ere is a potential for liabilit" due to dama es

.rade Secret Court 0actors ."pes of #emedies:

1) 2) 3) (n4unction: defendant ma" be en4oined from usin or disclosin t&e plaintiff8s trade secret 1usuall" for a brief period of time) Cas& 6ama es: ma" be assessed based on: profits t&e plaintiff lost as a result of defendant8s misappropriation/ a reasonable ro"alt" for defendant8s use of trade secret/ or amount of profits t&e defendant made as a result of t&e misappropriation, Criminal Prosecution: t&eft of a trade scret ma" be a criminal offense/ economic espiona e act of 1BB! ma+es certain acts of trade secret t&eft a federal crime

*e al .est for .rade Secret:

.est C1: Bot& elements must be satisfied .est C2: SiA 0actors to Consider 1sub4ective)

6isclosure 7se: @mplo"ees and 0ormer @mplo"ees C"berte+ v, =&itfield Computer )ssociates (nc v, )ltai 1reprise) Intellectual Property Law Patents )ut&oriDed Procedure ."pes of Patents:
1) 2) 3) 7tilit": an ne' and useful invention/ process/ desi n/ or substance5 sub4ect to full revie' b" 7SP.? 6esi n: a ne' and ori inal ornamental desi n for an article of manufacture5 counterpart to @uropean 96esi n Protection *a': Plant: a ne' and uni3ue variet" of plant

7tilit" Patents: duration/ ri &ts/ and patent infrin ement =&at ma" be patented> Computer Pro ram Patents @lements of Patent )pplication .&ree t"pes of 7tilit":
1) 2) 3) Credible 7tilit" 1must be operable i,e, &as to 'or+ no perpetual motion mac&ines) Beneficial utilit" 1moral must produce some sort of social benefit) Practical 1specific and substantial) 7tilit" must be presentl" useful 1at time of filin )/ not so va ue to be meanin less,

Eovelt" and Statutor" Bar 35,1F2 Moleulon Eon2obviousness 35,1F3 Seven #ationales Courts 7se to 6eclare ?bvious Secondar" Considerations KSR v. Teleflex

Business Law Corporations 0orms of Business ?r aniDations

1) 2) 3) Sole Proprietors&ips Partners&ips *imited *iabilit" @nterprises: **C/ S2Corporations/ C2Corporations Professional/ p&"sicians Eon2Profit/ c&urc&es Guasi2-overnmental/ 0annie Hae -overnment/ universities

Corporations
1) 2) 3) 4)

."pes of Business @ntities C&art Eamin Businesses *imited *iabilit" 1) Corporation: a s&are&older8s liabilit" is limited to &is direct investment in s&ares 2) Partners&ip: *iabilit" of partners depends on '&et&er t&e partner is a eneral partner/ or limited partner -P: individuall" liable for t&e obli ations of t&e entire partners&ip *P: liable onl" up to t&e amount of &is capital contribution/ *P 'ill lose t&is insulation if &e activel" participates in mana ement of partners&ip Hana ement and Structural 6ifferences
1) Corporate: 2 CentraliDed mana ement: s&are&older select board of directors/ board of directors supervise officers/ officers run t&e corporation on a da"2to2da" basis 2 Perpetual @Aistence 2 ?'ners&ip interests li3uid 1common stoc+) Partners&ips 2 .eam mana ement: partners &ave a defined voice in matters/ limited partners ma" not participate in mana ement 2 6issolves b" deat& or 'it&dra'al of an" eneral partner 2 ?'ners&ip interests illi3uid

2)

*a' and @conomics Consensus v, )ut&orit" ) corporation is,,,

1) 2) 3) 4) 5) *e al personalit" *imited liabilit" Separation of o'ners&ip and control *i3uidit" 0leAible capital structure

6ar+ Side of *imited *iabilit" Corporate Structure: Separation of Po'ers/ .raditional Corporate 0orm
1) S&are&olders: 2 Po'er to elect directors1votin at annual meetin ) 2 #i &t to elect directors to fill vacancies on board 2 Po'er to remove directors durin t&eir term of office/ or annual meetin 2 Iote re3uired to amend t&e article of incorporation or t&e b"la's 2 Iote re3uired to approve of fundamental changes 1mer er/ sales/ dissolution) to t&e corporation 6irectors: 2 Hana e affairs of corporation 1no direct s&are &older voice in corporate operations) 2 appoints officers and supervises manner in '&ic& t&e offices conduct da"2to2da" business ?fficers: 2 )ppointed b" board5 removed b" board 1no cause needed) 2 #un t&e da"2to2da" business 2 ?fficers are 9a ents: of corporation

2) 3)

) enc" & )ut&orit" *iabilit" of ?fficers & 6irectors Enron Dodge v. Ford Sides of Political )isle 1Business ;ud ment #ule) *iabilit" of S&are&olders$@mplo"ees: Iicarious *iabilit" Manning v. Grimsley

esign efect and Product Lia!ility Byrne v. Boadle: Res ipsa lo ui!or" !#e !#ing spea$s for i!self.% *iabilit" & )bsence of Ee li ence 1) Strict *iabilit" onl" for ultura &aDardous activities slidin standard 2) #2d&52F .orts strict liabilit" for abnormall" dan erous activities Ma&p#erson v. Bui&$ *iabilit" of 6efective Products 0oundation of Products *iabilit" #3d .orts t&ree t"pes of defects '( "anufacturing efect 1even if all possible care 'as eAercised in t&e preparation and mar+etin of product)/ )( defective in design '&en foreseeable ris+s of &arm could &ave been reduced t&rou & a reasonable alternative desi n/ *( defective because of inade#uate instructions '&en t&e foreseeable ris+s of &arm could be reduced or avoided b" t&e provision of reasonable instructions, *iabilit" @Atension: Hanufacturer & #etailer 6efective 6esi n .ests: Consumer E$pectation Test5 liabilit" follo's if in 9t&e totalit" of t&e circumstances:: 1) Hanufacturers product failed to perform as safel" as an ordinar" consumer 'ould eApect 2) 6efect eAisted '&en product left manufacturers position 3) 6efect 'as t&e 9le al: cause of plaintiff8s in4ur" 4) Product 'as used in a reasonabl" foreseeable manner Ris%&Benefit Test 'Bar%er(in )rd restatement of Torts*: *iabilit" follo's if in 9t&e totalit" of t&e circumstances::
+sefulness and desira!ility of product5 if useful/ t&an court 'ill o eas" on liabilit" Safety aspects of product li%elihood or in,ury and pro!a!le seriousness of in,ury 5 if product unli+el" to cause in4ur"/ court 'ill o eas" on liabilit" *( -vaila!ility of safer su!stitute product5 if no safer products/ t&e court 'ill o eas" +( "anufacturers a!ility to eliminate unsafe characteristics of product without ma%ing too e$pensive 5 if safet" features reall" increase price court 'ill o eas" ,( +sers a!ility to avoid danger !y e$ercise of care while using product5 if product safe '&en used carefull"/ court 'ill o eas" -( +sers anticipated awareness of dangers inherent in product. suita!le warnings. instructions 5 if product conspicuousl" labeled court 'ill o eas" .( /easi!ility of manufacturer to carry lia!ility insurance5 if manufacturer cannot insure itself/ court 'ill o eas", ) product is defective ( ts desi n embodies 9eAcessive preventable dan er: unless t&e benefits of t&e desi n out'ei & t&e ris+ of dan er in&erent in suc& desi n '( )(

Soule v. General Mo!ors -overnment #e ulation Compliance *iabilit" Geier v. /meri&an 0onda

Business Law & 0Technology Licensing1 .ec&nolo " *icenses comprise

1) 2) 3) le all" bindin a reements )n o'ner of a tec&nolo ical intellectual propert" 1t&e licensor) allo's/ )not&er part" 1t&e licensee) to: use/ modif"/ and$or resell t&at propert" in eAc&an e for a compensation 1consideration)

*e all" @nforceable Contracts Eon26isclosure ) reements ."pes of Business *icenses 1) (n2Bound *icenses: (8m
2)

on to license "our patent for ma+in in4ection molded 'id ets5 ( 'ill use t&is tec&nolo " to ma+e missiles,: Covers: Soft'are$%ard'are/ Patent$.rademar+$.rade Secret

usin t&is soft'are/ ( promis not to ive a'a" pirated copies of it/ or to tr" to reverse en ineer it to discover "our trade secret t&at ma+es in not cras&,: Covers: soft'are$%ard'are/ Patent$.H$.S Scope of the licensee2s grant(the protection of the licensor to 0illegal1 or 0infringing1 use of the license is critical

@nd27ser *icenses: (n

#eseller *icenses 6istributor *icences Hanufacturin $?utsourcin ) reements Subcontractor #esale Hodel Soft'are *icensees 0irst Sale 6octrine 1Sales v, *icenses): (dea/ Cop"ri &t/ .rademar+ 1ernor v. /u!odes$ 3arranties 3or%er2s Comp -nti&Trust 3rap +p =arranties =or+er8s Compensation 1) 0orm of strict liabilit" 2) Hotivation: reduces liti ation costs/ no punitive dama es/ compensation per sc&edule 3) ."picall"/ =or+er8s Comp is form of .ort reform/ i,e, administrative remedy =or+er8s Comp Covers: 1) Hedical treatment for in4ured emplo"ees 2) ?ccupational &aDards suc& as disease eAposure rd 3) @mplo"ers liabilit" 1dama es to a 3 part" '&ere emplo"er is liable for an in4ur") 4) .emporar" disabilit" 1up to 2$3 of avera e 'ee+l" 'a e) 5) Permanent (mpairment !) .otal disabilit" J) 6eat& benefit =or+er )d4ustment and #etrainin Eotification )ct 1=)#E) )nti2.rust C&aracteristics & @lements )nti2Competitive Business )ctions 15 7SC 2 HonopoliDin trade a felon"5 penalt" )nti .rust .est 15 7SC 13