Legal Definitions - Proprietary

The term Proprietary describes something that is owned by a particular individual or entity, indicating a direct connection to ownership or a proprietor. When something is proprietary, it means that specific rights, control, and often exclusive use belong to the owner.

Here are some examples to illustrate this concept:

• Imagine a software company that develops a unique algorithm for its flagship product. This algorithm is considered proprietary because the company holds the exclusive legal rights to its design and use. This means competitors cannot copy, distribute, or modify it without the company's explicit permission, clearly demonstrating the company's ownership and control over this intellectual property.

• Consider a private estate where the owners have built a custom-designed garden. This garden, including its unique layout and specific plant selections, is proprietary to the estate owners. They have the exclusive right to enjoy it, maintain it, and decide who can access it, reflecting their direct ownership and control over that specific part of their property.

• A research firm compiles an extensive database of market trends and consumer behavior through years of dedicated work and investment. This database is proprietary to the firm. They own the data, control its access, and license its use to clients, showcasing their exclusive ownership of this valuable information asset.