Employee Rights

[omnix]

What is the name of your state? Texas

I work for a large company, on a software development project that is being shut down. The company never sold the software, and does not have any intentions of using the code I developed. I would like to form a company to produce software that is similar to what I've been working on for my employer. How do I go about preventing my current employer from claiming rights to the work I do in the future? I have not written a single line of the new code, in fact I haven't even formed the company. It's just in the idea stages at this point. I have tried to give the idea to my present employer, but they don't seem to want it... Probubally because they don't understand it. I know it is a lucrative idea, and I could possibly use some of the code I developed for the company, so I was trying to license the defunct code from them, but no one seems to know how I can do that...

I just need a way to prevent getting into litigation over rights with my employer, after I leave the company. I appreciate all of the advice you can give.

 

[JETX]

Considering the fact that this company has resources to support a long (expensive) battle against you if they chose, it is good to think about this early.
I would suggest you talk with an authorized company representative, present your proposal to them and ask them to give you a written release from future claims. They will likely prohibit your using any of their code, but you would expect that limit anyway.

 

[omnix]

Here's what I have been considering to send to my management team, but I thought I'd get some input before I send it...

Managers,

This is to officially notify <company> of my intent to start a business to create <type> software, after <current software> is completely shut down. What I need to know is:

1) Would I be in violation of my employment contract?
2) Does <company> claim ownership to any or all of the solution?

Please keep in mind that before I came to work at <company>, I had done some preliminary design work for <type> solution, and it is documented in my employment records. I would prefer a written release from future claims, however, if I do not receive any response by <date>, I will take the lack of response as indication that you consent and I am thereby released from any future claims.

 

[Veronica01]

Your letter is of no help to you.

You have no right watsoever on the code you developed for that company. That was work for hire and the company owns the copyright. However, the copyright is limited to the product, the idea is not covered by the copyright law. If you could develop anther code entirely different from the one you developed while working for that company, however it is based on the same idea, you are not bound to ask their permission for doing so. To what extent your new code is going to be different from the previous code, that's very tricky situation. Tiltle 17 of USC should be your guide to determine what you could do to avoid copyright infringement.

One thing, If the other company has not registered the code with the copyright office, they still own the copyright but they could not collect from you any proceeds from the sales of your new code, even if it is a copyright infringement. They can prevent you from selling more copies of it. You are walking on a tight rope here.