NEW Startup Launch Series Overview

When you start a new company while employed, it’s a little like being pregnant (creating IP) and giving birth to a new baby (incorporating a startup) while being married to another (your employer).

IP paternity and legal custody can be troubling issues.  After you give birth and get a divorce, there may be a court battle.  Custody claims are more likely if your new baby is beautiful with a bright future.  Of course, your ex won’t claim custody if he doesn’t know that you’ve given birth or if your baby is ugly and stupid.

Some courts may believe that your employer husband at the time of birth is the legal father. Courts in states like California, however, are more progressive and they don’t jump to conclusions about IP paternity.  California even has a law that limits the rights of current employer spouses to IP children conceived outside of the employment marriage.

In court, you may have to try to prove that your ex isn’t the father.  Ultimately, a court may decide that you have to give up some rights to the IP child and share custody (a license).  In the worst-case scenario, your ex may get full custody of the IP and the company’s assets and you may not have any legal rights.

(I realize that the pregnancy analogy isn’t perfect, but as a mother, IP lawyer, and startup founder, it feels close.  Guys will have to bear with me.  Founding a startup may be the closest thing a man can experience that is like pregnancy and childbirth, which can be distracting, tiring, overwhelming, exciting and painful.)

With some basic precautions and planning, you can minimize the risk that your current/former employer will claim the rights to your startup’s IP.

Starting on Monday, February 15th, I’ll be posting a Startup Launch series dealing with legal issues from IP conception to your company’s birth.  The series will explore the following issues:

• A Doll Designer’s $100 Million Mistakes
• Analyzing the Risk–Will Your Current Employer Claim Rights to Your Startup’s IP?
• Steps for Preventing Ex-employer Ownership Claims
• Documenting the Creation of Your Startup’s IP
• Trademark Issues When Selecting Business And Product Name
• Securing Ownership of the IP Created for Your Startup
• Websites and IP Ownership
• Business Plan Disclosure to Potential Investors
• Quitting Your Job Like a Baby

This series is going to provide remarkable value.  If you are contemplating a new business or creating one while employed by another company, it will be well worth your time to carefully read this series and consider these issues .

As a lawyer I’ve spent a lot of time doing IP ownership cleanup in large part because company founders and executives didn’t know or understand the information that I will be sharing in this series.  Successful startups have spent millions of dollars dealing with claims from former employers–claims that could have been prevented.

You can save yourself time, money and headaches by learning a little about IP law and knowing what steps to take to protect your startup’s IP.