Intellectual Property and Copyright Flashcards

An NFT creator samples a 3-second music clip without permission. Which area of IP law is most relevant?

Answer: Copyright law

Music compositions and sound recordings are protected by copyright, and unauthorized sampling can constitute infringement.

What does 'CC0' mean when applied to an NFT project's artwork?

Answer: The work is dedicated to the public domain with no rights reserved

CC0 (Creative Commons Zero) is a public domain dedication allowing anyone to use the work for any purpose without restriction.

An NFT buyer wants to use the artwork on merchandise. What should they look for in the NFT's terms?

Answer: The commercial use license grant

Commercial use rights must be explicitly granted in the NFT's accompanying license or smart contract terms.

Which of the following best describes a 'derivative work' in copyright law?

Answer: A work based upon and incorporating elements of a pre-existing copyrighted work

A derivative work transforms, adapts, or builds upon a copyrighted original, requiring permission from the copyright holder.

A photographer's image is used without consent to create an NFT. What is the appropriate first legal step for the photographer?

Answer: Issue a DMCA takedown notice to the platform

The DMCA provides a notice-and-takedown procedure allowing copyright holders to request removal of infringing content from online platforms.

What is 'tokenized copyright,' a concept emerging in the NFT space?

Answer: Representing fractional or full copyright ownership as an on-chain token

Tokenized copyright refers to encoding copyright ownership or licenses on-chain so that transfers of the token legally transfer associated IP rights.

An NFT project uses a celebrity's likeness without permission. Which right is most directly violated?

Answer: Right of publicity

The right of publicity protects individuals' rights to control commercial use of their name, image, and likeness.