Copyright, Patent

The Way Computer Programs Go

Avater User Author Bud & Prairie

Last update Oct 23, 2023

On 18 October, we visited one of our prospective clients as scheduled. He is the CEO of a top-tier software corporation in Vietnam. The corporation’s primary activities include telecommunications and internet services, manufacturing, distributing, and retailing ICT (Information and Communication Technology) products, and software design. It holds a substantial portfolio of patent applications filed and patents granted worldwide.

We were impressed by his passion and unwavering commitment to technological advancement for public benefit. One of his major concerns lies in the discrepancies between countries on the patentability of software. While some countries grant patents for all types of software, many others explicitly exclude computer programs from patentable subject matter, alongside schemes, rules, methods of performing mental acts, and scientific or mathematical theories.

He passionately shared his view that application software is the backbone of every modern economy and classified software companies into:

  • Large companies producing commercial software;
  • Smaller companies developing custom software for other businesses;
  • Companies creating software components;
  • Companies offering software as a service (SaaS);
  • Companies providing application services.

From a functional viewpoint, software development companies, such as his, design, build, and maintain applications, frameworks, or components for enterprise or consumer use. Computer programs help users interact with and operate computers efficiently and systematically. Each program is stored as a file on a computer’s hard drive.

Beyond beneficial applications, some programs are malicious in nature, known as malware. These are created to sabotage systems or secretly extract sensitive data. Despite the utility and pervasiveness of computer programs, they are fundamentally built on mathematical algorithms — deemed laws of nature and, therefore, ineligible for patent protection. However, software-related inventions solving technical problems can be patentable. While copyright protects the code itself, it does not prevent others from writing different code implementing the same method.

Overview of Computer Programs

A computer program is defined as a set of instructions in commands, codes, diagrams, or other forms that, when integrated into a computer-readable medium, enable the computer to perform a specific task.

According to Article 22.1 of Vietnam’s Intellectual Property Law (the “IP Law”), “…Computer programs shall be protected the same as literary works, irrespective of whether the computer programs are expressed in the form of source codes or machine codes.”

However, Article 59 of the IP Law identifies subject matter not eligible for invention protection:

“1. Scientific discoveries or theories, mathematical methods. 2. Schemes, plans, rules and methods for performing mental acts, training domestic animals, playing games and doing business; computer programs. 3. Presentations of information. 4. Solutions of aesthetic characteristics only. 5. Plant varieties, animal breeds. 6. Processes of plant or animal production which are principally of a biological nature, other than microbiological processes. 7. Human and animal disease prevention methods, diagnostic and treatment methods.”

Additionally, Article 10.1 of the TRIPS Agreement provides that computer programs, in both source and object code forms, must be protected as literary works under the Berne Convention (1971).

Therefore, despite their industrial applicability, computer programs are not considered inventions in Vietnam but can be protected via copyright. This contrasts with the legal frameworks in countries such as the United States and India, where software inventions are patentable.

Copyright Protection for Computer Programs

Under Article 49.2 of the IP Law and the Berne Convention, a computer program is automatically protected by copyright once it is fixed in a physical form, without the need for registration. Member states of the Berne Convention are obligated to recognize this protection immediately upon publication in any Member State.

Protecting a computer program as a literary work grants strong safeguards against unauthorized copying. However, copyright only protects the expression of an idea — not the idea itself. Consequently, economic losses may occur if program-related ideas are copied.

Reverse engineering of programs is legally permitted under the TRIPS Agreement, enabling the development of competing software and fostering innovation in the software industry.

Advantages of Copyright Protection Over Patent Protection

  1. Automatic Protection: Copyright arises without registration, whereas patent rights require a formal grant.
  2. Lower Threshold: Meeting the patentability criteria (novelty, inventive step) is challenging, especially in the fast-evolving IT sector.
  3. Immediate Commercialization: Copyright allows commercialization immediately upon publication, while patent rights begin only after grant.
  4. Broader Recognition: Copyright is internationally recognized across all Berne Convention members, whereas patent rights are territorial.
  5. Longer Duration: Copyright protection typically lasts for the author’s lifetime plus 50 years, significantly longer than the 20-year term of a patent.

Patentability of Software-Based Inventions

While standalone computer programs are excluded from patent protection under Vietnam’s IP Law, software that forms part of a technical solution may be patentable. The TRIPS Agreement (Article 27) mandates that inventions, whether products or processes, be patentable if they are new, involve an inventive step, and are industrially applicable. Thus, member states are not prohibited from granting software-related patents.

Vietnam’s Patent Examination Guidelines recognize “computer-implemented inventions” — solutions realized by computers, networks, or programmable devices, at least partially via software. Such inventions are patentable if they demonstrate a technical character and solve a technical problem using technical means.

Acceptable claims may include:

  • A computer-readable storage medium containing a program that enables the computer to perform a method…;
  • A storage medium storing a video signal representing a program…

Unacceptable claims include:

  • A computer program product with instructions to perform a method…;
  • A program that, when run, enables a method…;
  • A video signal representing a program…

Conclusion

Although computer programs per se are not patentable in Vietnam, they benefit from strong copyright protection. Moreover, software integrated into technical solutions may qualify for patent protection if certain criteria are met.

This legal framework offers innovators strategic pathways to protect their software-based creations in Vietnam and aligns with international obligations under the TRIPS and Berne Conventions.

Understanding of Copyright

Copyright means rights of an organization or individual to works which such organization or individual created or owns.

The subject matters of copyright comprise literary, artistic and scientific works; the subject matter of copyright related rights shall comprise performances, audio and visual fixation, broadcasts and satellite signals carrying coded programs.

Copyright shall arise at the moment a work is created and fixed in a certain material form, irrespective of its content, quality, form, mode and language and irrespective of whether or not such work has been published or registered.

Organizations and individuals with works which are protected by copyright comprise persons who directly create such works and copyright holders

The literary, artistic and scientific works which are protected by copyright comprise:

 (a) Literary works, scientific works, textbooks, teaching courses and other works expressed in written language or other characters;

 (b) Lectures, addresses and other speeches;

 (c) Press works;

 (d) Musical works;

 (e) Stage works;

 (f) Cinematographic works and works created by a process analogous to cinematography (hereinafter all referred to as cinematographic works);

 (g) Plastic art works and applied art works;

 (h) Photographic works;

 (i) Architectural works;

 (k) Sketches, plans, maps and drawings related to topography or scientific works;

 (l) Folklore and folk art works;

 (m) Computer programs and data collections.

The subject matters beyond the categories of copyright protection comprise:

(i) News of the day as mere items of information.

(ii) Legal instruments, administrative and other documents in the judicial domain, and official translations of such documents.

(iii) Processes, systems, operational methods, concepts, principles and data.

Copyright in works shall comprise moral rights and economic rights.

Moral rights [of authors] shall comprise the following rights:

(i) To give titles to their works;

(ii) To attach their real names or pseudonyms to their works; to have their real names or pseudonyms acknowledged when their works are published or used;

(iii) To publish their works or to authorize other persons to publish their works.

(iv) To protect the integrity of their works; and to forbid other persons to modify, edit or distort their works in whatever form, causing harm to the honour and reputation of the author.

The economic rights [of authors] shall comprise the following rights:

 (a) To make derivative works;

 (b) To display their works to the public;

 (c) To reproduce their works;

 (d) To distribute or import the original or copies of their works;

 (e) To communicate their works to the public by wireless or landline means, electronic information networks or other technical means;

 (f) To lease the original or copies of cinematographic works and computer programs.

The conducts constituting infringement of copyright include:

(i) Appropriating copyright in a literary, artistic or scientific work;

(ii) Impersonating an author;

(iii) Publishing or distributing a work without permission from the author;

(iv) Publishing or distributing a work of joint authors without permission from the co-authors;

(v) Modifying, editing or distorting a work in any way which prejudices the honour and reputation of the author;

(vi) Copying a work without permission from the author or copyright holder, except in the cases stipulated in applicable law;

(vii) Making a derivative work without permission from the author or copyright holder of the work used for making such derivative work, except in the case stipulated in applicable law;

(viii) Using a work without permission from the copyright holder and without paying royalties, remuneration or other material benefits in accordance with law, except in the cases stipulated in applicable law;

(ix) Leasing out a work without paying royalties, remuneration or other material benefits to the author or copyright holder;

(x) Duplicating, producing copies of, distributing, displaying or communicating a work to the public via a communications network or digital means without permission from the copyright holder;

(xi) Publishing a work without permission from the copyright holder;

(xii) Deliberately destroying or de-activating the technical solutions applied by the copyright holder to protect copyright in his or her work;

(xiii) Deliberately deleting or modifying electronic information in a work regarding management of the rights to such work.

(xiv) Manufacturing, assembling, transforming, distributing, importing, exporting, selling or leasing out equipment when knowing, or having grounds to know, that such equipment may de-activate technical solutions applied by the copyright holder to protect copyright in his or her work.

(xv) Making and selling a work with a forged signature of the author of such work.

(xvi) Importing, exporting or distributing copies of a work without permission from the copyright holder.

What is the Difference Between a Patent and a Copyright?

Both patents and copyrights essentially prove that you are the creator of the item or idea and declare that no one can take it from you. However, there are certain differences between them.

A patent does not apply to the idea until it transforms into a materialistic form that offers solutions to a problem. In general, a patent protects inventions and new processes. A patent protects the technical enhancement, which adheres to novelty and uniqueness. A patentable product can be defined as a new invention which involves an inventive step and which is susceptible of industrial applications. Patents grant exclusive rights to creators and protect their work from exploitation. The patent system can be viewed as a reward arrangement to those who discover things that will be useful to the nation.

The term copyright refers to the right to make copies of a work. Copyright is granted automatically to an eligible work, and therefore, there is no need to register for a copyright, as is the case with trademarks and patents. Copyright protects original works of authorship and artistic works in a tangible form. Published and unpublished original works qualify for copyright protection. A valid copyright is an inexpensive legal vehicle for preventing others from copying a creative work. The consumer pays for the work because they want to enjoy its content and find it valuable. Copyright has a limited scope of applicability as it can’t be applied to all sorts of work. It is typically applied on artistry work, music, film, artwork, and photography. Copyright protection is automatic and begins from the instant a work is created. 

Like a patent holder, the copyright owner has exclusive rights. These rights include the right to reproduce, make derivatives, distribute copies, display the work in public, or perform the work in public. A copyrighted work that is infringed upon can award the holder damages in a lawsuit for misuse.

In some cases, an applicant obtains both a copyright and a patent. Overlap can occur between a design patent and copyright in circumstances where the ornamental design qualifies both for a patent and as a work of art subject to copyright protection.

Copyrights and patents provide legal grounds for ownership and the right to pursue legal recourse if someone infringes on your idea. Otherwise, people can go around stealing ideas and creations and selling them as their own. It’s hard to prove that one person had an idea over another, which is why most artists and businesses apply for protection the second they create something new.

Advantages of Copyright

Legal ownership: Copyright registration serves as a legal shield granted to authors of “original works of authorship”.  Copyrighting provides a person with legal evidence and public notice of ownership. A person can be sued in a court for infringement of copyright provided one has the papers in place.
Protection of creative works: Copyrights legally secures the original works of authors, artists, musicians, and creators. It grants them exclusive rights over their works, including the rights of reproduction, distribution, display, performance, and creation of derivative works.
Moral and economic benefits: It gives the creator to the rights to publish or copy or publish any substantial part of a book comes under economic rights. Right to integrity of work, listed authors come under moral rights. The creator is able to license the work to others, sell, or utilize it for generating income. This provides economic incentives for future creative endeavors.

Advantages of Patent

Legal ownership: Patents provide a basis for owners to take legal action against people who are using the patented invention without permission. 
Promoting innovation: Patents have a positive effect on society because they promote innovation and help develop new products.
Economic benefits: Patents allow the owner to get protection for a pre-determined period, allowing the owner to keep competitors at bay. They also allow the owner the best opportunity to profit from the invention by preventing others from copying it. Patents provide a basis for owners to negotiate with potential investors or other business partners while preserving their intellectual property rights and license someone else to manufacture the invention on agreed terms.

If someone is infringing on a work that is not yet registered, the rightful owner can file for “special handling” in filing an application, which provides for expedited review for registration with the copyright office. This option requires there be an imminent need for registration as well as a significantly increased filing fees, but it speeds up the registration process allowing an author to file a lawsuit quickly.

How to Register Copyright for a Software Application

It is vital to initiate registration of software to protect the authors’ legal rights and benefits. Registering copyright creates a public record of ownership as well as a presumption of ownership in court. In a lawsuit, a party claiming ownership over the work must prove ownership. Proving ownership can be difficult in some cases. Registration creates a public record recognized in court as proof of ownership. Having a registration also means that a court will presume ownership of the work with no further evidence required. In cases where a quick injunction is being sought, showing registration can save time and lead to a quicker result in the courts.

There are three important steps to do this kind of work:

(i) Determining the type of work to be registered;

(ii) Completing a copyright application; and

(iii) Paying the associated fees.

Should you wonder whether your works can be copyrighted, or if you need any advice on related registration procedures, please do not hesitate to contact us for our free assistance.

Avater User

Bud & Prairie

We offer a full complement of services in all areas of IP law, including without limitation patents; trademarks; copyrights; industrial designs; IP litigation; anti-counterfeiting and enforcement; and licensing, due diligence, and contract review. Our strong technique fields include bio-chemistry, biotechnology, pharmaceutical, superconductor devices and systems, civil engineering, electrical engineering, mechanical engineering, electronics, computer software, telecommunications, information technology, communications, media, construction. Bud & Prairie boasts a team of highly-qualified lawyers, licensed patent and trademark agents, engineers, paralegals, technical staff and legal professionals whose knowledge, experience, and acumen are second to none. Most of our attorneys and consultants own advanced degrees from both domestic and foreign institutions. We have the depth of experience of our partners with a perfect combination of knowledge, foresight and creativity, making us possible to analyse and solve issues faced by clients from various industries and providing them with all-round or holistic solutions that are not only legally sound, but also commercially sensitiv

                            

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