Does this Intellectual Property Agreement assign the rights to IP created after employment ends?
<p>This is an extract from a <strong>software developer</strong> Intellectual Property Agreement:</p>
<blockquote>
<p><strong>“Intellectual Property Rights”:</strong> patents, rights to Inventions, utility
models, copyright and neighboring and related rights, trademarks,
trade names and domain names, rights in get-up, goodwill and the right
to sue for passing off, unfair competition rights, rights in designs,
rights in computer software, software application development rights,
database rights, topography rights, rights to use and preserve the
confidentiality of information (including know-how and trade secrets)
and any other intellectual property rights, in each case whether
registered or unregistered and including all applications (or rights
to apply) for and be granted, renewals or extensions of, and rights to
claim priority from, <em><strong>such rights and all similar or equivalent rights
or forms of protection which subsist or will subsist now or in the
future in any part of the world</strong></em>.</p>
</blockquote>
<blockquote>
<p><strong>“Invention”:</strong> any invention, idea, discovery, development, improvement
or innovation, whether or not patentable or capable of registration,
and whether or not recorded in any medium.</p>
</blockquote>
<blockquote>
<p>...<br>...<br>...<br>
Further, and in the alternative, all Employment IPRs and Employment
Inventions <em><strong>Intellectual Property Rights insofar as they are capable of
prospective assignment, are hereby assigned by the Employee to the
Branch. To the extent that any such Intellectual Property rights
cannot be prospectively assigned, Employee undertake to assign all
such Intellectual Property Rights as and when they are created or
promptly thereafter.</strong></em></p>
</blockquote>
<p>The worrying part is marked in bold and italic format in the above, plus the last 2 quotes from below (also marked in bold and italic format)</p>
<p><strong>Does this mean that if the employee leaves the company, and then creates or gain an intellectual property right, does the company own that right ?</strong> Because the definition of Intellectual Property Rights states: in the <strong>future</strong></p>
<p>Note that before the above extract comes the definition of Employment IPRs and Employment Inventions, which are not worrying because they restrict the rights to the ones created during the course of his employment</p>
<blockquote>
<p><strong>“Employment Inventions”:</strong> any Invention which is made wholly or
partially by the Employee at any time during the course of his
employment with the company (whether or not during working hours or
using Branch premises or resources, whether or not recorded in
material form, and which relate in any way whatsoever, directly or
indirectly and/or is developed for the benefit of the Branch or
Branch’s clients or business prospects).</p>
<p><strong>“Employment IPRs”:</strong> Intellectual Property Rights created by the
Employee in the course of his or her employment with the company</p>
</blockquote>

<blockquote>
<p>Does this mean that if the employee leaves the company, and then creates or gain an intellectual property right, does the company own that right ?</p>
</blockquote>
<p>No. The reference to &quot;<em>the future</em>&quot; pertains only to the IPRs of inventions that ensued <em>in the course of his employment</em>.</p>
<p>Even if the employer alleged that the clause also encompasses post-employment creations and/or post-employment acquisitions of IPR, such extension would be unconscionable (and therefore null and void).</p>

<p>Let’s look at the agrement itself logically. You are concerned about this section:</p>
<blockquote>
<p>Further, and in the alternative, all Employment IPRs and Employment Inventions Intellectual Property Rights insofar as they are capable of prospective assignment, are hereby assigned by the Employee to the Branch. To the extent that any such Intellectual Property rights cannot be prospectively assigned, Employee undertake to assign all such Intellectual Property Rights as and when they are created or promptly thereafter.</p>
</blockquote>
<p>This section refers <strong>only</strong> to Intellectual Property Rights that either relate to Employment Inventions or are Employment IPRs.</p>
<p>Employment Inventions are limited to those:</p>
<blockquote>
<p>made wholly or partially by the Employee at any time during the course of his employment with the company</p>
</blockquote>
<p>Employment IPRs are limited to those:</p>
<blockquote>
<p>created by the Employee in the course of his or her employment with the company</p>
</blockquote>
<p>It doesn’t matter how general the definition of Intellectual Property Rights is; if something doesn’t meet the conditions in the second or third quotes, then it is irrelevant to the first quote.</p>
<p>Turning to your main question:</p>
<blockquote>
<p>Does this mean that if the employee leaves the company, and then creates or gain an intellectual property right, does the company own that right ?</p>
</blockquote>
<p>It would seem that the answer is “only if it relates to an Invention made while the employee was still with the company”.</p>
<p>For example, if you invent something while working for the company, then leave the company, then register a patent on that invention, then it seems like you would have to give that patent to the company.</p>
<p>To give specific answers about this, as well as <a href="https://law.stackexchange.com/a/57852/35266">Iñaki Viggers’s suggestion</a> that this and other extensions to future creations/acquisitions of IPRs are unconscionable, I think we would need to see the rest of the agreement and know which jurisdiction you are in (the question lacks a jurisdiction tag).</p>

<p>&quot;Future&quot; refers to the the rights being discussed in the clause.</p>
<p>I.e. We gain rights over the intellectual property you create during your course of work, whether those rights are active now or in the future.</p>

intellectual-property software