Intellectual property rights Essay
Introduction
The nature of personal property (Intellectual property rights and assets such as copyrights, patents, trademarks and related rights fall under the heading of intangible personal property 1 ) is such that for it to serve as a veritable tool of credit and finance, the property in which the security Interest is created (i.e. the collateral) is left in the possession of the debtor. “A problem endemic to non-possessory security interest is that a dishonest or desperate debtor in possession of collateral may be tempted to offer the property for sale or as security to someone who is unaware of the existence of the security interest in the property. If the third party buys or otherwise acquires an interest in the property, the law is faced with a dilemma; who as between two innocent parties (the secured party and the third party) must suffer the loss? “ 2