One simple reason why even a startup should have employment contracts

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Did you know this?

If you don’t have an employment contract or a clause in the employment contract mentioning that the IP generated belongs to the company, the IP most probably does not belong to the company in eyes of law.

Basically, if there is no contract – frankly, we are now talking of how the law can be interpreted in case of a disagreement in future. As far as we understand, the default law this will fall back on is a law that says all IP belongs to the creator.

Also, sometimes having these things written properly and getting employees to understand it well & then signing it means that they will have it in mind; and they will not easily create distractions on IP stealing issues unless they are really unethical.

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