This Practice Note explains who will own IP created during the course of employment. It then summarises the law and practice for businesses in relation to securing IP rights from employees and contractors. It also provides practical tips on the main IP and related provisions found in employment contracts and contractor agreements.

Valuable IP rights will be created on a day-to-day basis for businesses by their employees, Consultants and contractors as part of their assigned roles. For example:

1. •

   employees and consultants engaged in research and development may create inventions, which can then be patented

2. •

   employees and consultants may also create new formulae, recipes or algorithms, or design novel methods or processes to make operations more efficient. Provided these are kept confidential, important rights can exist in the form of Know-how or trade secrets

3. •

   employees or consultants in creative roles will often design artistic or literary materials, or make recordings, which are automatically protected by copyright

4. •

   software developers will create software code and related documentation and materials, which are also protected