Module 5 - Law on Other Business

Transactions
The Intellectual Property System
The intellectual property (IP) system relates to rights and obligations, as well as privileges
and incentives--all rooted from the creation and protection of IP, which “refers to creations of the
mind: inventions; literary and artistic works; and symbols, names, and images used in commerce.”  

IP rights as basic human rights involve “the right to benefit from the protection of moral and
material interests resulting from authorship of scientific, literary, or artistic productions.” (Art. 27,
Universal Declaration of Human Rights). Meanwhile, the 1987 Philippine Constitution mandates
their protection “particularly when beneficial to the people”. (Art. XIV, Sec. 13) In the midst of these
seemingly conflicting interests of the creators and innovators and the public, the system seeks to
strike a balance between them through legal safeguards.

Otherwise put, the system seeks to provide an environment in which everyone benefits from one’s
creativity ad innovation, especially since IP is a tool for economic and socio-cultural development.