Take-aways from a talk in the Trust Center on 7/7/16
- Ownership issues: It’s very important that your coders assign the coding copyrights to your company. Investors will not sign a term sheet with you otherwise.
- In an educational program - the team owns the copyrights for the code they write.
- Things you should ask yourself:
- If competitors can’t use your patent - does it matter to them?
- Will the IP slow others down?
- When considering whether to invest, VCs cares about your patent because:
- Patents suggest your value and brand and give VCs something that is“tradable” to the money they give you.
- Patents “demand respect” - it's not worth it for companies to engage in litigations so they avoid direct competition
- “Mutually assured destructions” - in many cases, others who have parents won't sue you if you don't sue them.