Advertisement

Patents as Structural Capital — Towards Legal Constructionism

  • Ulf Petrusson
Chapter

Abstract

This paper analyses the intellectual property and intellectual property right concepts and their interaction with the transformation of industrial society. Its main aim is to increase the understanding of how the concept of patent and the concepts which underlie the Patent Institute are integrated with technological and industrial development. This aim involves not only a questioning of the intellectual property concepts within jurisprudence, but also a more radical questioning of concepts of law and how law interacts with an increasingly knowledge-oriented economic system. A marked feature of the analysis is an endeavor to capture the complexities of intellectual property as a phenomenon and to contribute to a constructionistic understanding of law.

Keywords

Intellectual Property Structural Capital Favored Position Patent Office Patentable Invention 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. 1.
    Machlup, Fritz, “An Economic Review of the Patent System”, Study of the Subcommittee on Patents, Trademarks and Copyrights of the Committee on the Judiciary, United States Senate, 85th Congress, 2nd Session, 1958, p. 53.Google Scholar
  2. 2.
    An example would be the Block Exemption on technology transfer, EC Reg. 240/96. Art 1.1 (1) speaks of licensed technology. Art. 8.2 stipulates that the regulation applies to exploitation of inventions. Art. 10 speaks of “[p]atents where a license under the patent is necessar[y]”.Google Scholar
  3. 3.
    There are many studies on this topic. See for example Petrusson, Ulf, Patent och industriell omvandling, Stockholm: Norstedts Juridik (1999), pp. 125–130.Google Scholar
  4. 4.
    Compare Petrusson, Ulf, “Structural transformation towards license-based R&D-structures”, in Workshop Report on IPR aspects of Internet collaborations, European Commission, fifth framework program (2001), pp. 36–39.Google Scholar
  5. 4a.
    Compare also Merges, Robert and Nelson, Richard, “Market Structure and Technical Advance: The Role of Patent Scope Decisions”, in Jorde and Teece, Antitrust, Innovation and Competitiveness, New York: Oxford University Press (1992), p. 201.Google Scholar
  6. 4b.
    Compare also Shecnan, Brad, “Governing Science — Patents and Public Sector Research in the United Kingdom”, International Review of Industrial Property and Copyright Law, Vol. 26, No.l (1995), p. 22.Google Scholar
  7. 5.
    See for example Merges, Robert and Nelson, Richard, “On the Complex Economics of Patent Scope”, Columbia Law Review (1990), p. 908. IVA-M 281. Profit from InnovationA Comparison of Swedish and Japanese Intellectual Property Management, Stockholm: Royal Swedish Academy of Engineering Science (1993), p. 19.Google Scholar
  8. 6.
    See, for example, Computer Science and Telecommunication Board, National Research Council, The Digital Dilemma: Intellectual Property in the Information Age, Washington D.C.: National Academy Press (2000), pp. 152–198. Harris, Lesley Ellen, Digital Property — currency of the 21st century, McGraw-Hill Ryerson (1998), pp. 37–47.Google Scholar
  9. 7.
    The Digital Dilemma: Intellectual Property in the Information Age, p. 54, op.cit.Google Scholar
  10. 8.
    As will be argued at the end of this article, I think that a constructionistic approach will increase the possibilities for integration between law, economics and management. David makes the following remark about economic studies of intellectual property: “They should take more pains not to allow familiar, simplifying abstractions to obscure a central fact about the nature of the world for which they would prescribe institutions reforms, namely that the complex of body of law, judicial interpretation, and administrative practice that one has to grapple with in this field was not created by some rational, consistent, social welfare-maximizing public agency. What one is faced with, instead, is a mixture of the intended and unintended consequences of an undirected historical process on which the varied interests of many parties, acting at different points (some widely separated in time)... So, it would be really quite remarkable if the evolution of legal institutions concerning patents, copyrights, and trade secrets had somehow resulted in a set of instruments optimally designed to serve either public policy purposes or the private economic interests of individuals and firm seeking such protections”. David, Paul, “Intellectual Property Institutions and the Panda’s Thumb: Patents, Copyrights, and Trade Secrets in Economic Theory and History”, in Wallerstein, M.B., M.E. Mogee and R.A. Schoen (eds.)., Global Dimensions of Intellectual Property Rights in Science and Technology, National Research Council, National Academy Press (1993), p. 21.Google Scholar
  11. 9.
    Compare Bruun, Niklas, The Role of The Patent system in the Protection of Intellectual Property, MR (1992), p. 206.Google Scholar
  12. 10.
    See for example Kaplan, Robert S. and Norton, David P., “Why Does Business Need a Balanced Scorecard?” Journal of Strategic Performance Measurement, February/March 1997, Vol. 1, No. 1, pp. 5–11.Google Scholar
  13. 10a.
    Edvinsson, Leif and Malone, Michael S., Intellectual Capita, New York, N.Y.: Harper Business (1997).Google Scholar
  14. 10b.
    Sveiby, Karl Erik, The New Organizational Wealth: Managing and Measuring Knowledge-based Assets, San Fransisco, CA: Berrett-Koehler (1997).Google Scholar
  15. 11.
    A remark made by Nelson, Winters et al, that “patents do not always work in practice, as they do in theory”, points toward a more evolutionary patent theory in which we ought to analyze the meaning of the property concept in a structural transformation process, where the firms are competence-based. Levin, Klevorick, Nelson and Winter, “Appropriating the Returns from Industrial Research and Development”, Brookings Papers on Economic Activity 3, (1987), p. 784.Google Scholar
  16. 12.
    The Danish realist Alf Ross said that law is of magical nature: Ross, Alf, Virkelighed og Gyldighed i RetslœrenEn kritik af den teoretiske retsvidenskabs grundbegreber, Copenhagen: Levin and Munksgaard (1934), p. 19.Google Scholar
  17. 12a.
    The Swedish realist Karl Olivecrona described legal phenomena as fantasy-beliefs: Olivecrona, Karl, Lagens imperativ, Lund: Gleerups (1942), p. 5.Google Scholar
  18. 13.
    The common opinion is that patent theories originated in the view of society referred to as mercantilism. The first regulation which made the protection of inventions possible is said to have been instituted in 1474 in Venice. See for example Machlup, Fritz, “An Economic Review of the Patent System”, Study of the Subcommittee on Patents, Trademarks and Copyrights of the Committee on the Judiciary United States Senate, 85th Congress, 2nd Session (1958). Neumeyer, Fredrik, Patent i omvandling, en översikt över svenska och internationella patentfrågor Stockholm: Studieförbundet Näringsliv och Samhälle (1977), p. 7. Neumeyer confirmed the earlier view of the origin of patents in 17th-century England.Google Scholar
  19. 14.
    See Godenhielm, Berndt, Patentskyddets omfattning pà basen av patentanspråkets funktio-nella innehålt, Juridiska Föreningen, Finland, Publication series no. 20 (1950), p. 10.Google Scholar
  20. 15.
    Smith advocates the patent system and argues that it is essential for the inventor, during a limited period of time, to be able to receive compensation for work done, in particular since such compensation would depend on the commercial success of the invention in accordance with the principles of supply and demand. Smith, Adam, Lectures on Jurisprudence, Oxford at the Clarendon Press (1978, original from 1762–63), p. 83.Google Scholar
  21. 16.
    Walterscheid, Edward C, “The Early Evolution of the United States Patent Law” (Part 1), Journal of the Patent and Trademark Office Society, Vol. 76, No. 9 (1994), p. 700.Google Scholar
  22. 17.
    Concerning the early aversion to monopolies in England, see Fox, Harold, Monopolies and Patents. A Study of the History and Future of the Patent Monopoly, Toront: University of Toronto Press (1947), pp. 127–145.Google Scholar
  23. 18.
    Bernitz describes the period with a starting-point in the notion of the acknowledgement of a system of private law. Bernitz, Ulf, Marknadsrätt, Stockholm, Jurist och samhälls-vetareförbundets Förlag (1969), pp. 118–119.Google Scholar
  24. 18a.
    A similar view can be found in Machlup, Fritz, and Penrose, Edith, The Patent Controversy (1959), p. 2.Google Scholar
  25. 18b.
    Compare Undén, Osten, Översikt över den svenska patenträtten, C.W.K., Lund: Gleerups Förlag (1915), p. 1.Google Scholar
  26. 18c.
    Walterscheid, Edward C, “The Early Evolution of the United States Patent Law: Antecedents” (Part 1), Journal of the Patent and the Trademark Office Society, Vol. 76, No. 9 (1994) (1959), p. 699.Google Scholar
  27. 18d.
    Dutton, H. I., The patent system and inventive activity during the industrial revolution 1750–1852, Manchester, Manchester University Press (1985).Google Scholar
  28. 19.
    Locke, John, Two Treatises of Government (1980, orig. 1690), Cambridge University Press, pp. 304–308.Google Scholar
  29. 20.
    Cairns, Huntington, Legal Philosophy from Plato to Hegel, Baltimore, The Johns Hopkins Press (1949), p. 385.Google Scholar
  30. 21.
    H Habermas, Jürgen, Borgerlig offentlighet, Lund: Arkiv Förlag (1984; orig. “Strukturwandel der Öffentlichkeit”, 1962), p. 99.Google Scholar
  31. 22.
    Bentham, Jeremy, Manual of Political Economy, pp. 263–265.Google Scholar
  32. 22a.
    In Stark, W., J. Bentham’s Economic Writings, Vol. 1, The Royal Economic Society (1952, orig. 1793–1795).Google Scholar
  33. 23.
    Important works of Kohler are Kohler, Josef, Urheberrecht an Schriftwerken und Verlagsrecht, Stuttgart: Ferdinand Enke (1907)Google Scholar
  34. 23a.
    Kohler, Josef, Forschungen aus dem Patentrecht, Mannheim: Beusheimer (1888)Google Scholar
  35. 24.
    Ekeberg points out that neither the theory of possession nor the theory of vindication has been considered relevant as an argument that rules of property could not be applied, at least indirectly. Ekeberg, Birger, Studier i patentratt, Uppsala: Almqvist and Wicksells Boktryckeri (1904), p. 42.Google Scholar
  36. 25.
    Ross, Alf, Ophavsretîens grundbegreber. TfR, 1945, p. 340.Google Scholar
  37. 26.
    Ross, Alf, Ophavsretîens grundbegreber. TfR, 1945, 345.Google Scholar
  38. 27.
    Koktvedgaard, belonging as he does to the more radical and realist-oriented intellectual rights theoreticians, follows Ross in emphasizing the importance of understanding the Patent Institute in an openly functional perspective. Koktvedgaard, Mogens, Immaterialretspositionery Stockholm: Juristforbundets Forlag (1965).Google Scholar
  39. 27a.
    See also Bergström, Svante, Uteslutande rän attförfoga över verket. Studier över upphovsmannarättens fôremål och innehàll enligt det s.k. nordiskaförslaget, Uppsala, Sweden, Universitetets Ârsskrift 1954:8. Uppsala, Sweden.Google Scholar
  40. 28.
    Hăgerström, Axel, “En straffrättslig principundersökning”, Svensk Juridisk Tidskrift (1939), p. 214.Google Scholar
  41. 29.
    Ross, Alf, Virkelighed og Gyldighed i Reislœren, Copenhagen: Levin & Munksgaard, (1934), p. 113.Google Scholar
  42. 30.
    Lundstedt, Vilhelm, Obligationsbegreppet. Senare delen. Första haftet. A.-B. L Norblads bokhandel (1930), p. 107.Google Scholar
  43. 31.
    Lundstedt, Vilhelm, Obligationsbegreppet. Senare delen. Första haftet. A.-B. L Norblads bokhandel (1930), p. 107..Google Scholar
  44. 32.
    Olivecrona, Karl, Rätt och dorn, Stockholm, P.A. Norstedts and Söners Förlag (2nd edition, 1966), p. 99.Google Scholar
  45. 33.
    Olivecrona, Karl, Rätt och dorn, Stockholm, P.A. Norstedts and Söners Förlag (2nd edition, 1966), p. 99.Google Scholar
  46. 34.
    Olivecrona, Karl, Rätt och dorn, Stockholm, P.A. Norstedts and Söners Förlag (2nd edition, 1966), p. 104Google Scholar
  47. 35.
    Olivecrona, Karl, Rätt och dorn, Stockholm, P.A. Norstedts and Söners Förlag (2nd edition, 1966), p. 110.Google Scholar
  48. 36.
    Ross, Alf, Ejendomsret og ejendomsovergang, Copenhagenn: Levin and Munksgaard (1935), p. 13.Google Scholar
  49. 37.
    Ross, Alf, Om ret og retfœrdighet, Köpenhamn, Nyt nordisk Forlag, Arnold Busck a/s (3rd edition, 1971 [1953]), p. 213.Google Scholar
  50. 38.
    Ross, Alf, Om ret og retfœrdighet, Köpenhamn, Nyt nordisk Forlag, Arnold Busck a/s (3rd edition, 1971 [1953]), p. 214.Google Scholar
  51. 39.
    Ross, Alf, “Status i Rettighedsdiskussionen”, Svensk Juridsk Tidskrift (1953), p. 532.Google Scholar
  52. 40.
    Olivecrona, Karl, Rätt och dorn (2nd edition, 1966), p. 125.Google Scholar
  53. 41.
    Ross, Alf, Tü-Tü, Festskrift for Henry Ussing, Juristforbundet (1951), p. 478.Google Scholar
  54. 42.
    A descriptive communicative understanding of patents is more thoroughly described in Petrusson, Ulf, Patent och industriell omvandling — en studie av dynamiken mellan rättsliga och ekonomiska idésystem, Stockholm: Norstedts Juridik (1999).Google Scholar
  55. 43.
    Niklas Luhmann is often described as one of the important theorists in social constructionism. Luhmann has a functional approach to law and describes it as on the one hand cognitively open and on the other hand normatively closed — “[t]he unity of the system is produced by the system itself. Luhmann, Niklas, “Operational Closure and Structural Coupling: The Differentiation of The Legal System”, Cardozo Law Review, Vol. 13, No. 5 (1992), p. 1420.Google Scholar
  56. 44.
    Godenhielm, Berndt, Patentskyddets omfattning i europeisk och nordisk rätt, Helsinki: Juristförbundets förlag (1994), p. 150.Google Scholar
  57. 44a.
    See also Godenhielm, Berndt, Patentskyddets ornfang på basen av patentanspråkets funktionella innehält, Stockholm: Nord, bokh (1950), p. 129.Google Scholar
  58. 45.
    Koktvedgaard, Mogens, Immaterialretspositioner, Copenhagen: Juristforbundets forlag (1965), p. 147.Google Scholar
  59. 45a.
    Koktvedgaard, Mogens, Patentloven, Copenhagen: Juristforbundets forlag (1971), Copenhagen, p. 163.Google Scholar
  60. 46.
    See above in section 2.Google Scholar
  61. 47.
    This notion was discussed by most realists. It had a special impact among American realists and pragmatists. Important early contributors were Pound, Roscoe; see for example Law in “Books and law in action”, American Law Review, Vol. 44 (1910), p. 12Google Scholar
  62. 47a.
    Llewellyn, Karl, “A realistic jurisprudence — the next step”, Columbia Law Review, Vol. 30 (1930), p. 431.CrossRefGoogle Scholar
  63. 47b.
    Regarding the Scandinavian realists see Ross, Alf, Om ret og retfœrdighet (3rd ed. 1971), p. 41, Copenhagen: Nyt nordisk Forlag.Google Scholar
  64. 48.
    Lundstedt, Vilhelm, Obligationsbegreppet, (1929), p. 107, Uppsala: Norblad.Google Scholar
  65. 48a.
    Ross, Alf, Ejendomsret og ejendomsovergang (1935), Copenhagen: Levin & Munksgaard, pp. 536, 540.Google Scholar
  66. 49.
    Ross, Alf, Om ret og retfœrdighet, Copenhagen: Nyt nordisk Forlag (3rd ed. 1971), p. 47.Google Scholar
  67. 50.
    For a thorough analysis of the interaction between a substantial and a functional approach, see Doublet, David R., Rett vitenskap ogfornufl, Bergen: Alma Mater Forlag (1995).Google Scholar
  68. 51.
    Other legal theories which have opened the way for progress in a constructionalist tradition are those theories linked to the sociologically orientated views of law, which are expressed in the work of Habermas, Luhmann and Teubner. See Habermas, Jürgen, Between Facts and Norms — Contributions to a Discourse Theory of Law and Democracy, London: Polity Press (1996; the original Faktizität und Geltung is from 1992).Google Scholar
  69. 51a.
    Compare also Habermas, Jürgen, “Law as a medium”, in Teubner, Dilemmas of law in the welfare state, Berlin/New York: Walter de Gruyter and Co (1986). Habermas is particularly interesting when he describes law as both ‘system of knowledge’ and ‘system of action’.Google Scholar
  70. 51b.
    See also Luhmann, Niklas, “The Self-reproduction of Law and its Limits”, in Teubner, Dilemmas of law in the welfare state, Berlin/New York: Walter de Gruyter and Co (1985) Luhmann, Niklas, ‘Operational closure and structural coupling: The differentiation of the legal system’, Cardozo Law Review, Vol. 13, No. 5 (1992).Google Scholar
  71. 52.
    The complexity in the “post-industrial era” should at least to some extent be regarded as a result of “a failure to understand complex systematic effects of regulatory interventions”. See Sunstein, Cass R., After the Rights Revolution. Cambridge, MA: Harvard University Press (1990), p. 91.Google Scholar
  72. 53.
    Compare the description of ‘institutional facts’ in Searle, John, The Construction of Social Reality. London: Allen Lane (1995).Google Scholar
  73. 54.
    The Digital Dilemma: Intellectual Property in the Information Age, pp. 54–60, op.cit.Google Scholar
  74. 55.
    Compare Petrusson, Ulf, Den rättsvetenskapliga forskningens roll — Vad bör den rätts-vetenskapliga forskningen syssla med och varför? (Report from Legal Symposium on November 22–23, 2001.) SvJT No 3 (2002).Google Scholar
  75. 56.
    Sveiby, Karl-Erik, “Designing Business Strategy in the Knowledge Era”, The Knowledge Advantage, Capstone Publishing (1999), p. 177.Google Scholar
  76. 57.
    Compare Searle, John, R., The Construction of Social Reality (1995), pp. 113. op.cit.Google Scholar
  77. 58.
    The Digital Dilemma: Intellectual Property in the Information Age (2000), op.cit. Stefik, Mark, The Internet Edge. Cambridge, MA: MIT Press (1999).Google Scholar
  78. 59.
    Lessig, Lawrence, Code and Other Laws of Cyberspac,. New York, N.Y.: Basic Books (1999), p. 3.Google Scholar
  79. 59a.
    Lessig, Lawrence, The Future of Ideas. New York, N.Y.: Random House (2001), pp. 4–6.Google Scholar
  80. 60.
    Regarding the concepts of internalization and externalization, see Berger, Peter and Luckmann, Thomas, The Social Construction of Reality, Garden City, N.Y.: Doubleday (1966), pp. 78–79.Google Scholar
  81. 61.
    See above, Section 3.3.Google Scholar
  82. 62.
    Compare Merges, Robert P., “Uncertainty and the Standard of Patentability”, High Technology Law Journal, Vol. 7:1 (1992), p. 5.Google Scholar
  83. 63.
    Compare discussions in Lessig, Lawrence, The Future of Ideas (2001), op.cit.,Google Scholar
  84. 63a.
    Feller, Joseph and Fitzgerald, Brian, Understanding Open Source Software Development, Harlow: Addison-Wesley (2002).Google Scholar
  85. 64.
    An illustrative example of this “cross-fertilization” is Merges, Robert and Nelson, Richard, “On the Complex Economics of Patent Scope”, Columbia Law Review, Vol. 90, No. 4 (1990), pp. 839–916.CrossRefGoogle Scholar
  86. 65.
    Nelson, Richard and Winter, Sidney, An Evolutionary Theory of Economic Change, Harvard University Press (1982).Google Scholar
  87. 65a.
    Nelson, Richard, “Economic Growth via the Coevolution of Technology and Institutions”, in Leydesdorff, Loet and Besselaar, Peter van den (eds.), Evolutionary Economics and Chaos Theory, London: Pinter Publishers (1994).Google Scholar
  88. 65b.
    Nelson, Richard, “National Innovation Systems”, in Dosi, Giovanni and Malerba, Franco, Organization and Strategy in the Evolution of the Enterprise, Houndmills, Basingstoke: Macmillan Press (1996).Google Scholar
  89. 66.
    North, Douglass, “The Evolution of Efficient Markets in History”, ewp-eh/9411005. North, Douglass, “Where have we been and where are we going?”, ewp-eh/9612001. North, Douglass, “Economics and Cognitive Science”, ewp-eh/9612002. North, Douglass, “Institutions, Organizations and Market Competition”, ewp-eh/9612005.Google Scholar
  90. 67.
    Schumpeter, Joseph, Business Cycles-A Theoretical, Historical, and Statistical Analysis of the Capitalist Process, Vol. 2, New York: McGraw-Hill Book Company (1939).Google Scholar
  91. 67a.
    Schumpeter, Joseph, Capitalism, Socialism and Democracy, 3rd edition, New York: Harper and Brothers (1950).Google Scholar
  92. 68.
    Hayek, Friedrich, “Use of Knowledge in Society”, American Economic Review Vol. 35, No. 4 (1945). Hayek, Friedrich, Individualism and Economic Order, London: Routledge and Kegan (1949).Google Scholar
  93. 68a.
    Hayek, Friedrich, “Competitions as a discovery procedure”, in Kirzner, Israel M., Classics in Austrian Economics, Vol. III. The Age of Mises and Hayek, London: Pickering (1994, orig. 1969).Google Scholar

Copyright information

© Springer Science+Business Media Dordrecht 2003

Authors and Affiliations

  • Ulf Petrusson
    • 1
    • 2
  1. 1.Center for Intellectual Property StudiesChalmers University of TechnologyGöteborgSweden
  2. 2.School of LawGöteborg UniversityGöteborgSweden

Personalised recommendations