Intellectual Property Legal Services

Notaro, Michalos & Zaccaria P.C.
Intellectual Property Legal Services

Why Early Action Wins in Intellectual Property

INTRODUCTION

Nearly fifteen years ago, we highlighted a core principle of intellectual property protection: delay is the enemy of rights. That message remains true today. In Intellectual Property matters, delay is often the costliest mistake a business can make. Filing early, documenting early, responding early, and contracting early all dramatically increase the chances of securing strong rights and avoiding unnecessary disputes and expenses.

The following provides a practical update on how early action strengthens patents, trademarks, copyrights, contractual ownership, and infringement defenses.

1. PATENTS: The First-to-File Advantage

Since the America Invents Act (AIA) was enacted in 2011, the U.S. patent system is a first-to-file, not first-to-invent, system.

This means:

  • The first to file a patent application first generally wins the patent race — even if someone else invented the same invention earlier.
  • Relying on internal notes, emails, or “I created it earlier” is no longer effective.

Global Reality: Absolute Novelty

Most countries still require “absolute novelty” which means, any public disclosure before filing — a pitch, a trade show, a website, Amazon listing, or even a social-media video — can permanently destroy the right to obtain foreign patent protection. 

Priority Claims & International Strategy

Filing a U.S. patent application extends the period for for filing a corresponding foreign patent application:

  • 12-month foreign utility filings
  • 6-month foreign design filings

The early filing of a patent application preserves global options. Delays can close markets forever.

Rights from Early Publication

Published U.S. applications may generate provisional royalty rights against infringers who receive actual notice and where claims are substantially identical. Earlier filing = earlier publication = earlier monetization rights.

Strategic Tips

  • For fast-moving product categories, where available, use expedited examinations to secure patents more quickly.
  • File provisional applications early and frequently to lock in dates.
  • File design applications (U.S. and Hague) alongside utility for consumer products, jewelry, packaging, and GUI interfaces.
  • Apply patent marking notices to patented products.

2. TRADEMARKS: Early Filing Avoids Costly Conflicts

Intent-to-Use Applications Remain a Powerful Tool

The U.S. still recognizes first use, but an early Intent-to-Use (ITU) application:

  • Blocks later filers — even if they start using a trademark before you do
  • Preserves priority for up to three years
  • Avoids disputes about whether limited pre-launch activity counts as “use in commerce”
  • Provides a right of priority, a six-month period, for filing corresponding foreign trademark applications with the U.S. filing date as the effective date of the foreign application
  • Avoids expensive delays, suspensions, and oppositions.

Foreign Filings: First-to-File = First-to-Own

Most countries follow strict first-to-file systems.
Early foreign filings prevents unauthorized registration of trademarks by:

  • Third-party squatters
  • Manufacturers 
  • Early foreign filings also avoid delays in entering new markets.

Modern Risks: Online Sellers & Amazon Brand Registry

If a competitor files first:

  • You may be blocked from Amazon Brand Registry
  • You may face takedowns or listing removal
  • Opposition proceedings may be required

Strategic Tips

  • Conduct trademark clearance searches early, then promptly file U.S. and foreign applications before investing in packaging, advertising, and tooling.
  • Use ITU applications to secure priority even before the trademark is used. 
  • File key foreign applications early — China, EU, UK, Mexico, Japan.
  • Register domain names and social handles immediately after clearance.

3. COPYRIGHTS: Registration Unlocks Powerful Remedies

Copyright attaches automatically, but enforcement rights do not.  Registration is needed for:

  • Filing a U.S. infringement action
  • Statutory damages ($750 to $30,000 per work; up to $150,000 for willfulness)
  • Attorney’s fees

These remedies are only available if registration is made:

  • Before infringement, or
  • Within three months of first publication

Delay = loss of powerful financial leverage.

Register early for websites, product photographs, software, artwork, labels, packaging, instruction manuals, and other creative assets.

Strategic Tips

Register early and routinely:

  • Websites
  • Marketing content
  • Product photographs
  • Packaging layouts
  • Software code
  • Ornamental jewelry, furniture, and applied surface designs
  • Instruction manuals and user documentation

Registration costs are low. Litigation leverage is high.

4. EMPLOYEES, CONSULTANTS & MANUFACTURERS: Agreements Must Be Timely

Before-the-Fact Agreements Are Critical

Rights can be lost or become questionable when:

  • Employees assign IP only after creation
  • Consultants don’t sign written “work-made-for-hire” or assignment agreements
  • A manufacturer, distributor, freelancer, or design house contributes creatively without an agreement
  • Confidential information is shared before an NDA is executed

Certain after-the-fact agreements, in some cases, can be invalidated for lack of consideration or coercion.

Strategic Tips

Use written agreements at/from the outset of business relationships including:

  • Employee invention assignment & confidentiality
  • Independent contractor IP assignment
  • Consultant engagements
  • Manufacturer (including foreign suppliers) non-use, non-disclosure and non-circumvention agreements
  • Manufacturing agreements
  • Outsider idea submissions (with proper disclaimers)
  • Joint-development or co-branding projects

Early, written agreements protect ownership and avoid costly disputes later.

5. INFRINGEMENT CLAIMS: Early Response Reduces Risk

Willful patent infringement can still lead to enhanced damages up to 3x, and may include attorney’s fees.  Courts routinely examine:

  • How quickly a company responded to a demand letter
  • Whether an opinion of counsel was obtained
  • Whether potentially infringing activity continued after notice
  • Whether a business took prompt action against an infringer 

Strategic Tips

If a claim is received:

  • Promptly contact IP counsel 
  • Conduct a prompt infringement and validity assessment
  • Obtain a written legal opinion before continuing sales
  • Evaluate design-arounds early
  • Implement document holds and defensive measures
  • Do not ignore or slow-walk responses to claims as “willful blindness” and “reckless disregard” can expose a business to increased penalties and sanctions.

When a business learns of violations of its own patents, trademarks or copyrights, the failure to take prompt action may result in a denial of an injunction and diminish the amount of damages it can obtain. 

Conclusion: The Cost of Delay Has Never Been Higher

In every IP category: patents, trademarks, copyrights, contracts, confidentiality, and enforcement, businesses that act timely and first consistently secure the strongest rights at the lowest cost.

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