There are ways to avoid this problem while assigning intellectual property rights to the client, but careful contractual drafting is required before the development agreement between the developer and the client is concluded. An experienced technology lawyer can help a developer get his existing technology out of the task, allowing developers to continue to use the existing technology as he sees fit and grant the client a license that gives the client sufficient flexibility in using existing technology, but only within the limits of the software as a package. In this way, both parties are happy. In other words, the client has the right to use the software for purposes that were contemplated between the parties at the time of the engagement – and not at a time after the engagement began. Olivia Herbert is a paralegal at Drukker Solicitors and helps lawyer Leigh Ellis prepare software licenses, confidentiality agreements and manage the contractual rights of digital media agencies and software developers. Other existing works can be closed, purchased and have a single licensing agreement. On the other hand, if the developer adapts the existing software, the customer should not insist on possession. In this case, the developer can instead license the customer and provide the object code instead of the source code. Licensing is particularly desirable for developers who want to retain the ability to run similar services for other customers. Keep in mind that your partner`s know-how focuses primarily on technical and functional considerations related to existing work.
Your software partner will probably not make a contractual commitment to provide you with formal legal advice of any kind. Given that intellectual property is probably the most valuable asset of a software development company, it is amazing how many developers are aggressively attacking their development agreements. It is true that the dreaded infringement action could never take place, but you can be sure that the financing or exit of your business is threatened, if not closed, if it cannot prove that it owns its intellectual property or, worse, that it has signed its intellectual property with ill-developed agreements.