What Is a Work For Hire Clause?A work for hire clause is a common part of employment contracts. This clause entitles employers to take ownership of all ideas, innovations, and discoveries made by the employee. The ownership is strictly in a legal sense and refers mostly to copyrights.
What Are The Requirements For an Invention To Fall Under The Work For Hire Clause?The factors that an employer must prove to gain title of an employee's invention are:- the invention was created by an employee or an independent contractor hired by the employer
- the work was specially ordered or commissioned by the employer
- the work must fall under a statutory category
- the work was understood by all parties to be "work for hire"
How Can an Employer Prove That an Employee Or Independent Contractor Was Hired?Usually a signed agreement or other registration form upon hiring or contracting can be found to prove the employee or independant contractor's start date. If a person was not an employee or under hire by the employer at the time of development, the employer has no possible claim on the invention. What Does It Mean For an Employer To Specially Order Or Commission Work?This simply means that the invention in question was created in performance of employment. Such proof shows that an employee was supposed to create the invention as their job, thus making it the product of the employer. If an employee created the invention as a hobby or outside the scope of employment, then the employer will have no claim to ownership. Trouble frequently arises in this area because an employee may be creating the invention outside of employment but used company resources to aid in the development.
What Are The Statutory Categories That The Work Must Fall Under?The statutory categories are limits on what type of work an employer can specially order or commission and still gain ownership. These categories include: - contribution to a collective work
- part of a motion picture or other audiovisual work
- a translation
- supplementary work
- a compilation
- an instructional text
- a test
- answer material for a test
- an atlas
If the work in question does not fall under one of these categories, it cannot be considered a work for hire and the employer will lose any claim.
How Can Work Be Understood To Be "Work For Hire"?Work for hire is usually provded by signed standard forms. Work for hire terminology may also be included in an employment contract as a condition of employment, which would encompass any work done while an employee, or around specific projects to include only that. Specific language must be used in connection with this, agreements must be made expressly, and all parties must understand what is being agreed. If no such form has been used, then the employer has no claim. Do I Need an Employment Attorney For Help?Copyright issues are a source of great friction between employers and employees, especially if the invention or work in question may be worth a great deal of money. Consult an employment attorney if you have questions or would like relief from this problem. |
