Starting a consumer-facing technology company or developing a new application to make a consumer’s life easier or more fun is an exciting journey. At this stage, you are all about the development, getting the product or service to market, and making sure it can scale. But neglecting the privacy implications of your product or service during the development stage is a big mistake that will come back to haunt you later.
Imagine, for example, that your dream of building a great company has come true and you are faced with an acquisition offer. During the customary due diligence phase, you quickly discover that your privacy house is not in order. Why?
Founders should make sure that their companies’ agreements assign intellectual property presently. In other words, an agreement should provide that the assigning party (the “assignor”) “hereby assigns” to the company the intellectual property in question.
“This deal is standard. Let’s close TODAY!!” We’ve heard this so many times only to find out that the early stage technology start-up hasn’t fully protected its intellectual property and, as a result, funding gets delayed, or in some extreme cases, even cancelled.
Practically all websites you visit have a privacy policy. Prior to launching a website, you may wonder whether you need a privacy policy, too. It is extremely likely that you do.
It is important for founders and IP owners to be wary of the practice derogatorily referred to as “patent trolling.” This practice occurs when a company that has a patent right, either through development or acquisition, enforces those rights against other businesses in an opportunistic manner and typically without any intention to practice, manufacture or market the patented invention.
To engage potential and current consumers in today’s evolving online environment, it is necessary to build a web presence that communicates your company’s message and vision in a compelling and effective way. Social media outlets, such as Twitter and other online relationship building tools, can help you develop a bond with your target audience that is built on mutual engagement.
