Local authorities, of course, provide police protection from theft of inventory and other company property by customers, employees, or outsiders. Yet there is another property that many businesses have that is at least as valuable which is also protected by law—secrets, patents, copyrights, and trademarks/names.

Business Secrets. Businesses frequently keep secret information that is the heart of this business. Customer lists for an insurance company or a stockbroker are examples. State and federal law severely punishes anyone who steals or makes use of such property. The most famous secret in the world might be the formula for Coca-Cola. If any person or company can duplicate Coca-Cola, they may produce and sell it under their own name. The law protects the secret from theft but not from duplication.

Patents. Patents are a protection given by the federal government for inventions. A patent gives the inventor the exclusive rights for seventeen years to use or license the invention. Anyone infringing on the patented product is subject to fine and imprisonment. » Read more: Protection Of Property and Intellectual