All the technologies that have helped shape modern life were once an idea that was actualized through innovation. While innovation is great, innovation without regulation can be a recipe for disaster. As a result, regulation has always accompanied innovation.

Regulating can be good or bad, depending on where you sit. But there are some agreeable impacts of regulation on innovation, irrespective of how you view it. If you are an innovator, this article can help you understand some of the impacts applicable regulations will have on you and your business.

The Cost of Innovating

Some of the areas that the legal framework and regulation will focus on include environmental protection, labor protection, consumer protection, and IP rights. All these regulations will affect the cost of innovation and, consequently, the cost of the products that result from the innovation. 

But these costs are necessary as they contribute to the overall safety of the consumers, the people involved in making the innovation, and the environment.

Protection Against Regulatory Capture

Industries tend to self-regulate where there is no legal or regulatory framework for certain aspects of innovation. While a good thing, self-regulation can be abused by the more prominent players in the industry to engage in regulatory capture. 

An example of regulatory capture is when dominant players specify standards that give them a competitive advantage over less dominant players. 

Where there are specified regulatory standards, all players in the industry operate on an equal footing, providing for a healthy competition where even the smaller players have equal opportunities.

IP Protections

It takes a lot of resources to create an invention. It would then be unfair for any person to benefit from the lessons learned and the input of the innovator. 

As a result, all countries have laws that seek to protect the intellectual property of innovators to ensure that they benefit from their innovations. IPs covered under Canadian IP laws include industrial design, patents, trademarks, and copyright rights.

Patents and Industrial Design Rights

Patents and industrial designs are arguably the most important IPs for innovators. Patents offer protection for new innovations for a specified time.

For an invention to be considered patentable, it must be the first of its kind in the field or a significant improvement over existing technology. It must also be useful and meet all the other conditions set under Canadian patent laws. 

Upon registration, the inventor gets exclusive rights to make and sell the invention for twenty years after registration allowing them a head start in benefiting from their innovation. Also, they have the right to stop any person or entity from making similar products.

Industrial design protections cover the appearance or the aesthetic aspect of a product. This means that the product doesn’t have to be the first in the world. Instead, it only needs to have a design that sets it apart from other products in the market. You may want to check out this legal regime on industrial design rights by HeerLaw for a better understanding of this subject.

Trademarks

Trademarks refer to brand markers that consumers use to identify a brand. As a business, registering your business identifiers such as names, slogans, and logos helps give you exclusive rights to your trademarks, which is critical in building a reputation. 

Building a reputation as an innovator is critical, as it will determine how readily your target customers will receive your innovations.

Copyrights

Copyrights are an essential part of intellectual property for innovators that are worth protecting. Creating a functional innovation doesn’t happen on a whim; it can take months, years, or even decades. 

The process can also involve drawing designs or creating material in the form of texts that are critical to your innovation. Registering your creations’ copyrights gives you the exclusive right to your illustrations and content and the legal right to prevent others from using them for profit.

This article was provided by José Luis Martín Cara