BUSMHR 2500 Chapter 6

What are the functions of the U.S. Patent and Trademark Office (USPTO)? (Check all that apply.) Multiple select question. It governs the U.S. International Trade Administration. It controls many online services for an entrepreneur, such as software for filing patents. It authorizes the U.S. Food and Drug Administration to issue design patents. It issues patents.

It controls many online services for an entrepreneur, such as software for filing patents. It issues patents.

Ryan is the CEO of a startup. He plans to hire a lawyer to understand the regulations that may affect his firm. Who among the following should Ryan hire? Multiple choice question. Samuel, who is someone Ryan cannot relate to personally Lisa, who incurs high hourly visit fees Rita, who may lead Ryan to lose control of the business Johnson, who is someone Ryan can establish a good working relationship with

Johnson, who is someone Ryan can establish a good working relationship with

A contract between the government and an inventor is known as a(n) _____. Multiple choice question. affidavit trademark patent stock

patent

The initial application to the U.S. Patent and Trademark Office providing evidence of first to market is known as a(n ________ ________ ________.

provisional patent application

A feature of a trademark is that it _____. Multiple choice question. is able to last indefinitely as long as it continues to perform its indicated function has an initial 30-year registration is the same as a patent has a term of 20 years that begins on the date of filing with the Patent and Trademark Office (PTO)

is able to last indefinitely as long as it continues to perform its indicated function

A contractual agreement giving rights to others to use intellectual property in return for a royalty or fee is known as ________.

licensing

What should be included in the description of invention section of a patent application? Multiple choice question. Essential parts of an invention described in broad terms The background and advantages of an invention and the nature of problems that it overcomes A description about how an invention differs from existing offerings A brief explanation about the drawings that accompany the application, which comply with Patent and Trademark Office (PTO) requirements

A brief explanation about the drawings that accompany the application, which comply with Patent and Trademark Office (PTO) requirements

Sarah, an entrepreneur at a startup, seeks to patent a new product. How should she minimize patent risks? Multiple choice question. By avoiding the evaluation of competitor patents By infringing on another product's patent without legal counsel By consulting a patent attorney who is an expert in the same product line By avoiding licensing the patent to other firms

By consulting a patent attorney who is an expert in the same product line

Which of the following types of insurance covers the costs of defense and judgments obtained against a company resulting from bodily injury or property damage? Multiple choice question. Property Casualty Life Bonding

Casualty

What are the components of a patent application? (Check all that apply.) Multiple select question. Description of invention Affidavits Letters of comfort Introduction Claims

Description of invention Introduction Claims

Which of the following should be included in the section of a patent application named description of invention? Multiple choice question. Essential parts of an invention described in broad terms The background and advantages of an invention and the nature of problems that it overcomes Engineering specifications, materials, components, and so on that are important to the real making of an invention A description about how an invention differs from existing offerings

Engineering specifications, materials, components, and so on that are important to the real making of an invention

True or false: The protection in a copyright protects an idea itself.

False Reason: This is false. The protection in a copyright does not protect an idea itself, and thus it allows someone else to use the idea or concept in a different manner.

Identify the requirements for filing of a trademark registration. (Check all that apply.) Multiple select question. Five specimens that demonstrate the actual use of the mark Popular opinion about the usage of the trademark A drawing of the mark Approval by an authorized attorney Completion of a written form

Five specimens that demonstrate the actual use of the mark A drawing of the mark Completion of a written form

Which of the following statements is true about the impact of the 2008 amendment of the Consumer Product Safety Act on the Consumer Product Safety Commission? Multiple choice question. The amendment has eliminated the power of the commission to prescribe safety standards for consumer products. The amendment has given the commission more power and clearer standards on determining any safety issues. The amendment has led to an increase in the number of staff of the commission from five to nine. The amendment has reduced the burden placed on the staff of the commission.

The amendment has given the commission more power and clearer standards on determining any safety issues.

Identify a point that an entrepreneur should keep in mind before signing a contract. Multiple choice question. The entrepreneur should not sign if there are blank spaces. The entrepreneur should not cross out any point in the contract even if he or she does not agree to that point. The entrepreneur should not waste time reading long-winded terms and conditions in the contract. The entrepreneur should not keep a copy of the contract files after signing.

The entrepreneur should not sign if there are blank spaces.

A legally binding agreement between two parties is known as a _____. Multiple choice question. warrant comfort letter preference share contract

contract

Right given to prevent others from printing, copying, or publishing any original works of authorship is known as a(n)

copyright

A true statement about a patent is that it _____. Multiple choice question. is also known as a trademark prohibits anyone other than the owner from creating, using, or selling the defined invention gives the owner a positive right identifies the source of sponsorship of certain goods or services that lasts indefinitely

prohibits anyone other than the owner from creating, using, or selling the defined invention

When a violation of product safety standards is reported, the Consumer Product Safety Commission _____. Multiple choice question. negotiates with the manufacturer in question on the possibility of recalling the product withholds all profits made by the manufacturer in question on the product reviews the report and if necessary orders a recall of the product immediately orders a recall of all products sold by the manufacturer in question

reviews the report and if necessary orders a recall of the product

Arrange the steps involved in the process of registering a trademark in the correct order of occurrence. (Place the first step at the top.) Drag and drop application. An examining attorney at the Patent and Trademark Office (PTO) determines as to whether the trademark is suitable for registration. The Patent and Trademark Office (PTO) provides a serial number to a trademark application and sends a filing receipt to the applicant. A simple form that can be downloaded and submitted by mail or electronically needs to be completed to file an application.

1. A simple form that can be downloaded and submitted by mail or electronically needs to be completed to file an application. 2. The Patent and Trademark Office (PTO) provides a serial number to a trademark application and sends a filing receipt to the applicant. 3. An examining attorney at the Patent and Trademark Office (PTO) determines as to whether the trademark is suitable for registration.

How long does the entire process of registering a trademark usually take? Multiple choice question. 13 months from the initial filing 18 months from the initial filing Three months from the initial filing Six months from the initial filing

13 months from the initial filing

A contract is a legally enforceable agreement between two or more parties as long as certain conditions are met. Identify these conditions. (Check all that apply.) Multiple select question. Any sales of $100 or less must be in a written form. All parties are given the right to negotiate for their firms. An offer is not binding until voluntary acceptance of the offer is given. Illegal activities under a contract should be bound.

All parties are given the right to negotiate for their firms. An offer is not binding until voluntary acceptance of the offer is given. Need help? Review these concept resources.Read About the Concept Feedback Next Question Reading

Sean, an entrepreneur, decides to sign a business contract with a vendor. Identify a guideline he should follow. Multiple choice question. Refrain from reading the terms and conditions in the contract Avoid making a copy for his files after signing Avoid agreeing upon anything he objects Sign the contract even if there are blank spaces

Avoid agreeing upon anything he objects

Jonathan, an entrepreneur of a startup software company, seeks to patent new software developed. How can he minimize patent risks? Multiple choice question. By avoiding the evaluation of competitor patents By avoiding licensing the patent to other firms By considering a design patent to prevent others from copying the software's design By infringing on another software firm's patent, without seeking legal counsel

By considering a design patent to prevent others from copying the software's design

What are the components of a patent application? (Check all that apply.) Multiple select question. Affidavits Description of invention Letters of comfort Claims Introduction

Introduction Description of invention

What is the new legislation, enacted as part of the America Invents Act of 2011, pertaining to the U.S. Patent and Trademark Office (USPTO) system? Multiple choice question. It establishes a first-to-file system that rewards firms that can file quickly rather than those who may be the first to think of the idea. It empowers the U.S. Food and Drug Administration with the right to grant patents. The average time to receive a patent has been increased to 62 months. Initial filing fees for a utility patent for a small entity have been increased from $80 to $100 for an electronic filing.

It establishes a first-to-file system that rewards firms that can file quickly rather than those who may be the first to think of the idea.

Identify a true statement about the Consumer Product Safety Act, which was passed in 1972 and amended in 1990. Multiple choice question. It established protection against the leaking of trade secrets in organizations. It formed a five-member commission to authorize safety standards for more than 15,000 types of consumer products. It allowed an entrepreneur to maintain an idea or process as confidential and to sell or license it as a trade secret. It led to the dissolution of the Consumer Product Safety Commission.

It formed a five-member commission to authorize safety standards for more than 15,000 types of consumer products.

Question Mode Multiple Choice Question Identify a true statement about the introduction section of a patent application. Multiple choice question. It includes explanations about essential parts of the invention in broad terms. It includes the invention's background and advantages and the nature of troubles that it overcomes. It contains a brief description of drawings based on the invention. It includes a detailed description of the invention that are vital to the actual making of the invention.

It includes the invention's background and advantages and the nature of troubles that it overcomes.

What is the provision of section 404 of the Sarbanes-Oxley Act? Multiple choice question. It requires a firm to attest to the soundness of the firm's internal controls and financial statements. It encourages businesses to go public. It requires employers with 100 or more full-time employees to provide health-care coverage by January 1, 2015. It minimizes control over the financial activities of public firms.

It requires a firm to attest to the soundness of the firm's internal controls and financial statements.

Match the types of insurance (in the left column) with their descriptions (in the right column). Drag and drop application. Life Workers' compensation Bonding

Life - Ensures protection of the continuity of a business, especially a partnership Ensures protection of the continuity of a business, especially a partnership Workers' compensation - Provides benefits to employees in case of work-related injury Provides benefits to employees in case of work-related injury Bonding - Transfers responsibility to employees for performance of a job Transfers responsibility to employees for performance of a job

Which of the following acts states that an entrepreneur should assess whether any product that is to be marketed in the new venture is subject to any regulations? Multiple choice question. The Consumer Product Safety Act The Gramm-Leach-Bliley Act The Fair Credit Reporting Act The Fair Debt Collection Practices Act

The Consumer Product Safety Act

What is the role of the Office of International Patent Cooperation established by the U.S. Patent and Trademark Office (USPTO)? Multiple choice question. To advance toward a more harmonized patent system To establish a classification scheme that is different from that of the European Patent Office To increase the average time to receive an international patent to 34 months To amend the America Invents Act of 2011

To advance toward a more harmonized patent system

Why was the Sarbanes-Oxley Act of 2002 amended in 2010? Multiple choice question. To minimize control over the financial activities of public companies To create a five-member commission that has the power to prescribe safety standards for more than 15,000 types of consumer products To enhance the power of the board supervising the act to establish clearer disciplinary proceedings where violations have occurred To mandate employers to provide health insurance to employees who work for more than 30 hours per week

To enhance the power of the board supervising the act to establish clearer disciplinary proceedings where violations have occurred

Why is a trademark published in the Trademark Official Gazette once it is accepted by the Patent and Trademark Office (PTO)? Multiple choice question. To allow an applicant to raise any objections within a year To let any party 30 days to oppose or request an extension to oppose To allow the PTO to decide whether the mark is a patent infringement To impose a term of 20 years on the trademark

To let any party 30 days to oppose or request an extension to oppose

Why did the U.S. Patent and Trademark Office (USPTO) establish the Office of International Patent Cooperation? Multiple choice question. To reduce the ambiguity of International Patenting (IP) rights while decreasing costs To increase the average time to receive an international patent to 34 months To reduce the harmony in the patent system To amend the legislation enacted as part of the America Invents Act

To reduce the ambiguity of International Patenting (IP) rights while decreasing costs

True or false: Intellectual property represents significant assets to an entrepreneur and should be understood before seeking the services of an attorney. True false question.

True Reason: This is true. Intellectual property represents important assets to an entrepreneur and should be understood even before engaging the services of an attorney. Too often entrepreneurs, because of their lack of understanding of intellectual property, ignore important steps that they should have taken to protect these assets.

True or false: Licensing is an important marketing strategy for entrepreneurs who wish to start a new venture but need permission to copy or incorporate the patent, trademark, or copyright with their ideas.

True Reason: This is true. Licensing is an important marketing strategy for entrepreneurs who wish to start a new venture but need permission to copy or incorporate the patent, trademark, or copyright with their ideas.

It is mandatory that a patent application must include _____. Multiple choice question. a thorough history and description of an invention and claims for its usefulness a clause that considers the right of competitors who want to imitate the invention clauses that limit the rights of an inventor documents that support a claim but lack legitimacy

a thorough history and description of an invention and claims for its usefulness

The introduction section of a patent application should contain _____. Multiple choice question. an explanation about essential parts of an invention in broad terms an explanation about the differences between an invention and existing offerings a brief description of drawings based on an invention a detailed description of an invention that are vital to the actual making of the invention

an explanation about the differences between an invention and existing offerings

It is advisable for an entrepreneur to first file a provisional patent application to _____. Multiple choice question. avoid following the laws under the America Invents Act of 2011 establish a date of the formation of an invention reduce the period of approval for an international patent request for providing the patent within six months

establish a date of the formation of an invention

Any patents, trademarks, copyrights, or trade secrets held by an entrepreneur are known as ________ ________.

intellectual property

In the context of trade secrets, documents that are prepared by an employer and signed by an employee in order for the company to protect valuable assets ranging from product information to clients, marketing ideas, and unique strategies are known as _____. Multiple choice question. comfort letters noncompete agreements exclusion clauses limited liability agreements

noncompete agreements

A(n) ________ ________ requires protection against others revealing or disclosing information that could be damaging to business.

trade secret

A word, symbol, design, or some combination of such, or it could be a slogan or even a particular sound that identifies the source or sponsorship of certain goods or services is known as a(n) ________.

trademark

When selecting a lawyer, an entrepreneur should ensure that the lawyer _____. Multiple choice question. is an expert in the industry that the entrepreneur's company operates in understands all possible circumstances and results related to any legal action refrains from being up-front about his or her fees refrains from working for a one-time fee

understands all possible circumstances and results related to any legal action