Definition - What does Proprietary Rights mean?
Proprietary rights are the exclusive rights a person holds over a product or idea that they develop. This allows for licensing the use of product. In cases such as DVDs, the proprietary rights state that the buyer may not copy or sell any copies of the DVD because the rights hold that one individul license is issued each time a copy is purchased.
Justipedia explains Proprietary Rights
The law of proprietary rights follows on from intellectual property and trademark law. There are some products that can only hold proprietary rights for a specific amount of time, such as medicines, before the idea becomes open to the public. Many companies try to develop products that do not break the proprietary rights of a popular product. The end result is referred to as a knock off. When proprietary rights are breached, there can be severe financial repercussions.
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