The first step to take in protecting your business’s intellectual property is to formally document it in an inventory of assets that describes what the asset is, where it’s located, and how to access it if it’s a digital or intangible item. This is something we help all of our clients create to ensure that no asset, whether tangible or intangible, is left out of their estate plan.
The next step is to consider if any of your intellectual property should be legally registered in the form of trademarks, copyrights, and patents with the U.S. Patent and Trademark Office. Original works are automatically copyrighted when they’re created, but without legally registering the copyrights, it can be difficult to prove and enforce the copyright if someone steals your business’s work and presents it as their own. If your company is lending, renting, licensing, or selling anything you’ve created to a third party, it’s also important to have the proper legal agreements and contracts in place to ensure there’s no question about who owns the material.
Likewise, if your business doesn’t have royalty and licensing agreements for products that are lent out to other companies, non-compete agreements for employees, or work-for-hire provisions in your agreements with independent contractors and vendors, now is the time to do so.
Don’t wait until your business’s intellectual property gets stolen or you receive a cease-and-desist letter to put these protections in place. Registering a trademark or copyright might cost you time and money, but failing to register your business’s original works can cost you far more than that in legal fees or the lost value of those business assets, especially if your company or your family end up in court trying to fight for what you created.
Protect Your Intellectual Property for Future Generations
The most important thing is to make sure that your business successor or family can locate and access your company’s intellectual property after you’re gone. Otherwise, it could be lost forever.
Once you’ve created an inventory of your assets, you must make sure your successors and family know how to find your inventory so that if you die or become incapacitated, they can easily locate and access your company’s assets. Your inventory should also include how each asset is accounted for in your succession plan and whether you share ownership of any intellectual property with another person or company.
If you think this all sounds overly complicated, imagine how much more difficult it will be for your loved ones or business partners to deal with it should something happen to you. In fact, it could prove impossible for them to handle these matters in your absence, which is why it’s so important for you and your legal team to take care of these issues now. That way, your family isn’t stuck trying to clean up your mess after your death.
Planning for All of Your Assets, In The Best Way
To make sure all of your assets are protected and planned for, including your business’s intellectual assets, give us a call. We offer expertise in documenting, valuing, and protecting your intangible assets so your loved ones can benefit from these creations for generations to come.
AB Law, PLLC is a full-service business law and estate planning firm that serves clients throughout Texas. All consultations are free and no question is too silly, ridiculous, or complex. https://calendly.com/ablawpllc www.ab-firm.com