When other suppliers subsequently wanted to bring compatible bricks onto the market, LEGO initially defended itself – and very successfully – using, among other things, unfair competition law in its native Germany. Due to the fixed term nature of patents, once the patent expired, the bricks – and the technical solution behind them – in theory, became available for the public to reproduce. In other words, the durability of the individual bricks and the clip mechanism that enables the entire system of compatible LEGO bricks to hold together was protected.
Originally, LEGO’s colorful little bricks were protected by patents for the technical solution that holds the bricks together. This is an interesting example of how different intellectual property rights can be used together or gradually – and also what limitations are at play when it comes to the different forms of intellectual property rights. In parts of Europe, for example, LEGO has developed a monopoly-like position in the market for their little plastic “clip bricks” and defends this position with almost all the weapons in the arsenal of intellectual property protection. This is not only due to the quality of their products, but also to their ability to keep the competition at arm’s length.
LEGO has built a strong market position over the past several decades.
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