Intellectual Property (IP) can be defined as a work or invention that is the result of creativity, such as a manuscript or a design, to which one has rights and for which one may apply to prevent others from use of that creativity. The rights and protections for owners of intellectual property are based on federal patent, trademark and copyright laws. The basic distinction between these laws are that Patents protect inventions of tangible things, Copyrights protect various forms of written and artistic expression, and Trademarks protect a name or symbol that identifies the source of goods or services.

The purpose of these laws is to give an incentive for people to develop creative works that benefit society, by ensuring they can profit from their works without fear of misappropriation by others. The whole purpose for creating these laws would be defeated if skilled hackers could simply circumvent any creative process by simply stealing the creative works. The reality is that with modern technology in place, IP theft could not only occur in theory but is an inevitable occurrence for any Company that does not have proper procedures in place.