Legal Definition and Related Resources of Shop Right Rule

A form of implied licence to freely use subject of a patent , such right founded on application of equitable principles where an employee has used his employer ‘s time, money , tools and materials to produce a useful result and where it is only fair and equitable that the employer should be entitled to use produce of his own property and to duplicate it in his business . Cahill v Regan, 165 N. Y.S.2dl25,4A.D.2d 328. The mere existence of the employer- employee relationship is not by itself sufficient to entitle the employer to partake of the benefits of the employee’s invention , there must be a substantial amount of the employee’s time as was devoted to the work of making the invention at the expense of the employer.

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Shop Right Rule in Historical Law

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