Legal Definitions - Proprietary rights

Proprietary rights, also known as property rights, are the legal entitlements that come with owning something. These rights grant the owner the exclusive authority to use, control, transfer, or benefit from their property, whether it's a physical item (tangible) or an idea or creation (intangible).

• Example 1: Owning a Piece of Land

  When someone legally owns a plot of land, their proprietary rights include the ability to build a house on it, cultivate a garden, prevent others from trespassing, or sell the land to a new owner. They can also decide to lease it out and collect rent. These rights mean the owner has exclusive control over how the land is used and who can access it.

  This example illustrates proprietary rights over tangible real property, showing the owner's exclusive control, use, and ability to transfer or derive income from their physical asset.

• Example 2: Holding a Patent for an Invention

  A scientist invents a new type of battery and successfully obtains a patent for it. Their proprietary rights, in this case, mean they have the exclusive legal authority to manufacture, sell, or license others to use their patented battery design for a specific period. No one else can legally produce or sell that exact battery design without the patent holder's permission.

  This example demonstrates proprietary rights over intangible intellectual property, highlighting the exclusive control and commercial benefit derived from an original creation, even though it's not a physical object itself.

• Example 3: Owning a Classic Car

  If someone purchases and legally registers a vintage sports car, their proprietary rights allow them to drive it, modify it, display it at car shows, or sell it to another collector. They can also choose to store it in their garage and prevent anyone else from taking or using it without their consent. These rights ensure the owner has full discretion over the physical vehicle.

  This example showcases proprietary rights over tangible personal property, illustrating the owner's exclusive ability to possess, use, alter, and dispose of a physical item.