Own YourCode. Control Your Licenses.
Software licensing, open source compliance, IP assignments, and trade secret protection for technology companies.
Understanding Open Source Licenses
MIT / BSD
Permissive- Include license notice in code
- Use freely in commercial products
- No disclosure requirements
- No patent grant
- Minimal legal risk
Apache 2.0
Permissive + Patents- Include license notice in code
- Explicit patent grant included
- State changes made to code
- No derivative work restrictions
- Good for enterprise use
GPL / AGPL
Copyleft- Derivatives must be GPL-licensed
- Source code must be disclosed
- AGPL triggers on network use
- Can force open-sourcing your code
- Careful analysis required
Comprehensive IP Protection
Software Licenses
Inbound and outbound licensing agreements. Perpetual vs subscription, source code escrow, derivative work rights.
Open Source Compliance
License audits, dependency analysis, and compliance programs. GPL, LGPL, Apache, MIT, BSD obligations.
IP Assignments
Contractor and employee agreements, work-for-hire provisions, invention assignments. Ensure clear ownership.
Trade Secrets
NDAs, confidentiality programs, access controls, and trade secret policies. Protect proprietary algorithms.
API & SDK Licensing
Developer terms, usage restrictions, attribution requirements, and commercial use provisions for platforms.
White-Label Deals
Reseller licensing, OEM agreements, white-label arrangements. Branding rights and customization limits.
The Code Ownership Trap
Without proper IP assignments, contractors (and sometimes employees) may own the code they write for your company.
This is the most common IP issue discovered during fundraising and M&A due diligence. "Work-for-hire" doesn't automatically apply to software development. Courts require written agreements AND specific conditions to transfer ownership.
The Fix: Every person who writes code—founders, employees, contractors—should sign an IP assignment agreement before they start work. Retroactive assignments are possible but create complications.
How IP Audits Work
Inventory & Discovery
Ownership Chain Review
License Compliance Analysis
Gap Remediation
When IP Counsel Matters Most
Pre-Investment Audit
Investors require clean IP. Audit before term sheets arrive.
Assignment Agreements
Every developer signs before writing any code.
License Review
Analyze dependencies before they're embedded in your product.
M&A Preparation
Clean IP accelerates deals. Messy IP kills them.
The GPL Compliance Challenge
GPL and AGPL licenses are powerful tools for open source—but they can be dangerous for commercial software companies.
How GPL Works
- Derivative Works — If you incorporate GPL code, your code may become GPL
- Distribution Trigger — Obligations kick in when you distribute software
- AGPL Network Trigger — Network use counts as distribution (SaaS beware)
Real-World Consequences
Companies have been forced to open-source proprietary code, pay substantial settlements, or completely rewrite products to comply with GPL obligations they didn't understand.
Automated scanning tools identify GPL dependencies, but legal analysis determines whether obligations actually apply to your use case.
IP & Licensing FAQ
Get answers to common questions about our legal services.
It depends on how the code is used. GPL (copyleft) requires derivative works to be released under GPL. If a product incorporates GPL code, the entire codebase may need to be open-sourced. If the product merely uses a GPL tool in the build process or calls GPL code through an API, it might be fine. This analysis is highly fact-specific—incorrect assessment can result in forced open-sourcing or infringement claims.
Source code is typically protected as a trade secret. This requires treating it as confidential: proper NDAs, access controls, marking code as confidential, and having policies in place. Once disclosed without protection, trade secret status is lost. Copyright also applies but only protects expression (not functionality). Patents are possible but expensive and often impractical for pure software.
An IP assignment transfers ownership of intellectual property from the creator to a company. Without it, the creator may retain ownership. This matters for: code written before company formation, contractor work, and sometimes employee work. Investors and acquirers require clean IP ownership—missing assignments are among the most common issues in M&A due diligence.
Tools like FOSSA, Snyk, or Black Duck scan codebases for open source components and their licenses. But automated tools don't interpret what licenses mean for a specific business. Legal analysis identifies real risks (vs. false positives), develops compliance strategies for problematic licenses, and documents clean IP for investors.
Copyright exists automatically when code is written, but registration provides benefits: ability to sue for infringement, statutory damages, and attorney's fees. For most startups, the cost ($45-65 per work) isn't worth it for every version. Consider registering major releases or particularly valuable code. Trade secret protection is often more practical for the codebase as a whole.
Still have questions?
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Protect What You Build
Clean IP is essential for funding, partnerships, and exits. Get an IP audit before issues become deal-breakers.