The Impact of AI on Intellectual Property Rights: A Legal Analysis

Jannat Ara Tasmim

 

Intellectual property refers to the products of human intellect and with which people can earn recognition and monetary gain.[1] It includes inventions, artistic creations, designs and everything that is created using one’s creativity.[2] Artificial Intelligence is one of the most discussed topics of the recent world. To simply define it, it is a simulation of human intelligence in machine, robot and electronic devices which enables the devices and machines to perform tasks like writing, creating content, problem solving, research for resources etc.[3] In recent times, the increasing utilization of AI in every sector is causing the probability of violation of IP rights. As AI is a very modern concept, the enforcement of existing laws regarding AI generated intellectual creations also remains a challenge. Intellectual Property and Artificial Intelligence are correlated very broadly. However, for better understanding in this discussion, some key terms should be decoded and explained.

     Intellectual Property Rights(IPR): Intellectual Property is the property which is created with human intellect and creativity. Intellectual property gives the author, inventor exclusive rights over the property or the creation.[4] The rights an innovator or author has over an intellectual property are the Intellectual Property rights. Law gives protection to inventors, creators, authors over their property and their rights. Intellectual property rights extend to different categories including copyright, patent, trademark etc.

     Patent, Copyright, and Trademark: The main branches of IP law that protect innovations, creative works, and branding, respectively. Understanding these terms is crucial in examining how AI challenges traditional legal frameworks.

     Artificial Intelligence: Artificial Intelligence is the simulation of human intelligence technology based products like devices, machines and robots. This is an exceptional form of intelligence which has extraordinary features of problem solving, learning, research and reasoning.[5] The works that are produced by AI are called AI generated works. AI generated works have both positive and negative impact on the world, in the perspective of education, innovation, research and creativity.

Intellectual Property Law is a newly emerged  concept and the laws are recently developed. Apart from international law, there are domestic IP laws and rights in Bangladesh as well. The international laws are;

     Berne Convention, 1886: The Convention mandates the member states of it to give copyright protection to all the intellectual property, regardless of its nature and even without registration of said property.[6]

     TRIPS Agreement, 1994: This agreement requires all the members of WTO to give IP protection and to adhere to sufficient enforcement of law to give protection of copyright, patent, trademarks and other intellectual properties.[7]

     Patent Cooperation Treaty (PCT):  This treaty indicates the application process for patent protection and gives guidelines for protection of patent.

     World Intellectual Property Organization Convention: WIPO is an organization of the UN which works for protection of intellectual property rights worldwide.[8] The convention gives a framework for IP protection, focusing on copyright protection.

 

Apart from these international laws, Bangladesh has some IP law which is purposive to give protection to intellectual property rights.

     Copyright Act, 2023: This law defines intellectual properties which are eligible to get copyright protection and why.[9] Also this gives the guideline on how to deliver proper protection and serve rights of a rightful owner.

     Trademark Act, 2009: This act defines trademark and gives guidelines to get trademark and proper protection.[10]

     Patent Act, 2022: This law deals with patent protection and gives guidelines for protection of the rights regarding this.[11]

     Geographical Indication of Goods (Registration and Protection) Act of 2013: The products that have geographical significance, known for special quality or characteristics, this law gives protection to such products.[12]

 

The impact of AI in IP rights has been a matter of concern recently. AI is a remarkable innovation of technology, but it has some negative characteristics as well. The influence of AI on IP is profound and affecting in various ways.[13] AI can be used to a certain extent unless it harms the credibility of another creation. Even though in the beginning AI was used in robots, manufacturing, finance etc, nowadays it is used in education, healthcare and mostly in every sector. Now AI is more easily accessible, more advanced and catalyzing advancement across various sectors. Intellectual property and AI both are connected in various ways. But often AI raises questions about the integrity, authenticity and ownership of intellectual assets. The increasing role of AI in innovation and research is creating legal issues regarding ownership and credit of intellectual properties, triggering complex debates over legitimacy of authorship, ownership of such innovations.[14]

AI being used in different industries without any guideline or binding is harming the innovation itself.[15] AI is being used in producing music, art, literature is not offensive unless it harms the actual content. Nowadays, AI generated music, arts, and literature are very common in every internet oriented platform and media.[16] While making these AI generated versions, they do not seek permission from the author or owner. Moreover, these AI generated creations harm the actual creation, with losing the significance behind the content.[17] For artists, a music, an art or literature holds a very significant emotion, hardwork and dedication. It is hard to swallow if someone else misrepresents this using AI. These kinds of AI generated works hamper the authorship and ownership of the creator.[18] Law does not give protection to such works, thus the owner gets deprived of his rights.

In the case of patents, it is a matter of question in modern days if AI can hold patents of an intellectual property or not. There are various jurisdictions, in some jurisdictions only natural persons can have recognized patents, whereas some gives AI rights of patent to exercise over a property. The United States Patent and Trademark Office (USPTO) and the European Patent Office(EPO) have ruled that only natural persons can get a patent.[19] This gives the right over intellectual property to human beings only. On the other hand, Thaler vs USPTO (2021) and DABUS decision of UKIPO stands for legal frameworks to give AI the patent rights.[20] Here, a concern arises regarding the patent right of a real owner or inventor, his intellectual labour and rights over the property.[21] Even though AI is a very useful tool, it does not have natural features and consciousness as a human being.[22] AI generally follows the commands of human beings and generates as per the insurrection, so the actual credit should go to the human inventor only whereas AI can be recognized as an technological assistant. Hence, it leaves a challenge from an ethical and legal perspective. It is equally applicable for any other intellectual property including trademark, trade secrets, industrial designs etc. However, it is still an unresolved issue which requires research and gets addressed by law.

To conclude, the rightful owner of an intellectual property is at high risk of being deprived of rights over their own property due to the elevated influence of AI. The legal framework for AI generated works and protection of such intellectual property are yet to be discussed in the legal arena. This is a concerning matter as the time passes because AI is being misused and causing not only trouble to public interest, but infringing rights of the actual owner. It is very important to emerge new laws regarding this, address AI generated works and authorship or ownership of such property and give a well established law and policy to deal with such matters.

 

References


[1]‘What Is Intellectual Property (IP)?’ (WIPO) <https://www.wipo.int/about-ip/en/> accessed 5 March 2025

[2]Salle S and Rini WSD, ‘Development of Artificial Intelligence Regulations and Implications for Intellectual Property Rights Protection’ (Artes Libres Law and Social Journal) <https://arteslibres.com/index.php/law/article/view/10> accessed 4 March 2025

[3]Mahima Singh, ‘The Impact of Artificial Intelligence on Intellectual Property Rights in the Legal Perspective’ (2023) 1(1) ILE Lex Speculum APIS 3920-0036, ISBN 978-81-964391-3-2.

[4]'Intellectual property rights: An overview and implications in pharmaceutical industry' (2011) 3(2) Journal of Natural Science, Biology and Medicine 107

[5]Craig L, Laskowski N and Tucci L, ‘What Is Ai? Artificial Intelligence Explained: Definition from TechTarget’ (Search Enterprise AI, 1 October 2024) <https://www.techtarget.com/searchenterpriseai/definition/AI-Artificial-Intelligence> accessed 5 March 2025

[6]Goldstein, P., 'Copyright and Its Substitutes' (1997) 1997 Wis L Rev 865.

[7]Menell, P.S., 'Intellectual Property: General Theories' in B. Bouckaert and G. De Geest (eds), Encyclopedia of Law and Economics, vol 2 (Edward Elgar 2000).

 

[8]World Intellectual Property Organization Convention

[9]Copyright Act, 2023

[10]Dinwoodie, G.B., 'The Death of Ontology: A Teleological Approach to Trademark Law' (1999) 84 Iowa L Rev 611.

[11]Long, C., 'Patent Signals' (2002) 69 U Chi L Rev 625.

[12]'Management of intellectual property rights in Mainland Tanzania and Rwanda: reflecting on the one-stop centre strategy' (2023) Journal of Intellectual Property Law & Practice

[13]Setiawati D and Huang NK, ‘Intellectual Property Rights Analysis in the Context of Artificial Intelligence Development in the Indonesian Legal Context’ (E, 1 October 2024) <http://lenkasia.com/ejustice/article/view/10> accessed 4 March 2025

[14]Setiawati D and Huang NK, ‘Intellectual Property Rights Analysis in the Context of Artificial Intelligence Development in the Indonesian Legal Context’ (E, 1 October 2024) <http://lenkasia.com/ejustice/article/view/10> accessed 4 March 2025

[15]Reichman, J.H., 'Legal Hybrids Between the Patent and Copyright Paradigms' (1994) 94 Colum L Rev 2432.

[16]'AI's assault on our intellectual property must be stopped' Financial Times (London, 10 January 2025)

[17]'Creative industries are among the UK's crown jewels - and AI is out to steal them' The Guardian (London, 22 February 2025)

[18]'AI copyright shake-up could breach international law' The Times (London, 7 March 2025)

[19]McKenna, M.P., 'The Normative Foundations of Trademark Law' (2007) 82 Notre Dame L Rev 1839.

[20]Thaler vs USPTO (2021)

[21]Reichman, J.H., 'Legal Hybrids Between the Patent and Copyright Paradigms' (1994) 94 Colum L Rev 2432.

[22]Because It Is Wrong: An Essay On The Immorality And Illegality Of The Online Service Contracts Of Google And Facebook' (2019) Case Western Reserve Journal of International Law

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