Reference no: EM131043249

Case 1: The New Helmet

My company is one of several organizations that try to develop a new helmet for military personnel to meet the new stringent standards of the US Department of Defense. If we are able to develop a unique new process for manufacturing this helmet, we are likely to reap a significant economic benefit.

Three other companies work on the same problem and they employ some of the best scientists and engineers in the field (as do we). There is a high likelihood that the company that gets the solution first would have its solution reverse-engineered by the other two corporations.
On 1 September 2015 my chief engineer announced that the latest round of testing has demonstrated that our new process works; in several additional months we would have a complete new process ready for manufacturing of helmets that would meet the new DoD standard and make us millions of dollars.

A big debate started among my managers.

Manager Tom wants to rush to the patent office and file for a patent on the new process right away, even before we have completed all the testing and before all the preparations of the new process for manufacturing. He believes we have enough evidence to convince the patent office in the validity of our invention right now. He does not want to wait.

Manager Harriett believes we should not rush. "We were the first to invent the new manufacturing process and we can prove that we were the first," she says. Hence we will be granted the patent eventually even if others try to claim that they should be granted the patent because they filed before us. "It is better," says Harriett, "to make sure we completed all the work and provided the patent office with complete and unassailable patent application when we finally file."

Manager Alexandra thinks that we should not file for a patent at all but start manufacturing the helmets based on our new invention as soon as possible. Our new process should be considered a TRADE SECRET.

Explain the PROs and CONs of each one of the three approaches, and provide your substantiated advice on what needs to be done based on the facts of the case. Whose advice should my company follow and why?

Manager Tom

Pros: No one else would be able to copy the invention since there are other companies trying to invent a similar product as them.

Case 2: The Mango Dessert

The three family restaurants that my mother manages and owns are known for a special dessert, The Newark Mango Cream Tart With Mango Whipped Cream. People come from all over the country to enjoy this dessert in our restaurants. My family has been serving this dessert for 70 years, since my great-great grandmother Bertha introduced it in 1945 when she opened her first bakery kitchen in Newark.

Last month we found to our horror that someone received a patent on a dessert that is exactly like The Newark Mango Cream Tart With Mango Whipped Cream. The successful inventor even sent us a Cease and Desist letter - claiming we can no longer sell this dessert in our three restaurants in Newark because he and not us now holds the patent for this delicacy.

The reaction of my uncle Joseph was - "I TOLD you that we should have patented The Newark Mango Cream Tart With Mango Whipped Cream long time ago. In fact Bertha should have done it herself, and if she did we would not have this problem today because we would still have patent protection. Now we cannot sell the dessert anymore and our businesses would collapse."

The reaction of my mother to Joseph's statements was that she plans to continue to bake and sell The Newark Mango Cream Tart With Mango Whipped Cream as she has done for years. She is not really bothered by the whole situation. "Nothing will happen to us" she promises.

Who (if anyone) has the right attitude in this case? Why? Analyze the two conflicting reactions in detail.