DAMAGE COMPENSATION AS THE WAY OF PROTECTION OF AUTHORS’ PROPERTY RIGHTS: THE ECONOMIC AND LEGAL ASPECT

Petro Nemesh, Evgeniy Leyba, Vasil Fennych

Abstract


The objective of the article is to determine the economic and legal aspects of compensation for damages caused by the violation of the authors’ property rights in conformity with the national evaluation standards in the field of intellectual property, the legislation of Ukraine and its application. The subject of the study is the domestic experience of property reimbursement to authors in case of violation of their property rights to works. Methodology. The study is based on the analysis of Ukrainian legislation on ways to reimburse authors for property rights for works, including compensation for damages, and determination of their advantages and disadvantages. The peculiarity of three economic approaches – cost, comparative and profit, as well as their use in a certain situation for determination of the amount of damage inflicted to the author, is defined on the basis of economic analysis. The results of the study point out that the reimbursement of damages is the main way of property compensation for violation of property rights of the author. And in comparison with other methods, the reimbursement of real losses and lost profits is designed to a greater extent to protect the property interests of the author. It is concluded that over the weak development of the intellectual property market in Ukraine, commercial secret under contract terms in the field of intellectual property, a clear advantage is given to the profit approach. The approach, by means of various methods, will enable the most reasonable determination of the amount of damage. Practical implications. The development of reimbursement for the caused losses as a means to protect the property interests of authors in Ukraine demonstrates that the intellectual property market should be properly developed in line with European standards. This will allow authors to effectively use other methods of property compensation for violating property interests. In turn, this will allow choosing new methods of economic calculation of property compensation for a committed offense in the sphere of copyright. Originality. The comparative analysis of the ways of property compensation for the violation of authors’ property rights is the basis for domestic legislation development in the field of intellectual property in accordance with European standards.

Keywords


copyright, damages reimbursement, approaches and methods of calculating, amount of losses

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DOI: http://dx.doi.org/10.30525/2256-0742/2018-4-2-282-287

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