Legal Definitions - intangible thing

An intangible thing refers to a type of property or asset that does not have a physical form or presence but still holds value and is recognized, protected, and transferable under the law. Unlike tangible things, which can be touched, seen, or physically occupied (like land, buildings, or vehicles), intangible things represent rights, privileges, or intellectual creations.

Here are some examples to illustrate this concept:

• A patent for a new medical device: Imagine a scientist invents a groundbreaking surgical tool and obtains a patent for it. While the physical tool itself is tangible, the patent—the exclusive legal right to make, use, and sell that invention for a specific period—is an intangible asset. The scientist can license this patent to a manufacturing company or sell it outright, even though the patent itself cannot be physically touched or held.

• Shares in a publicly traded company: When an individual invests in a company like "Global Tech Solutions Inc." by purchasing shares, they acquire a portion of the company's ownership and associated rights, such as voting power or the right to receive dividends. Although these shares might be recorded digitally in a brokerage account, the actual value and ownership stake they represent are intangible. The shares are not physical objects that can be physically possessed in the same way one possesses a piece of furniture or a car.

• The copyright for a popular song: A musician composes a hit song. The sheet music or a recording of the song are tangible items, but the copyright itself—the exclusive legal right to reproduce, distribute, perform, and display that musical work—is an intangible asset. The musician can sell or license this copyright to a record label or a film studio for use in a movie, demonstrating its significant value despite its lack of physical form.