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Re:Ask HN: Who here has built a profitable startup while kee... by ryandrake on Wednesday September 26, 2018 @01:06PM (#18078015)
Tread carefully. If you’re going to do this, read your current employment agreement carefully especially the parts about Intellectual Property. Every medium-to-large company I have worked at has asserted ownership of everything I build, at work or away from work, using my own equipment, on my own time—it doesn't matter. If your employer can imagne a conflict of interest (for example could what you are working on potentially compete with a current or future business of your employer’s?), you’re screwed. I’ve had to end involvement with open source projects and home hobby projects because of the IP threats in my employment agreements. Feel free to take the risk yourself, personally I don’t feel like fighting a room full of corporate lawyers.

EDIT: jobsandjobs, sorry to have derailed your good Ask HN question but I thought this was an important and often-overlooked pitfall that people should be aware of.

Re:Ask HN: Who here has built a profitable startup while kee... by paultopia on Wednesday September 26, 2018 @04:30PM (#18079972)
There's a ton of shitty legal advice in this subthread (NOT this first comment, which at the core "read your agreement" is pretty good advice). Ignore the people downthread who are making specific assertions about what is and isn't enforceable in what state. Rather, follow the advice that sensible people always give in this situation:

!!!!! If there is serious money at stake, or a reasonable prospect of serious money at stake for you, use some of that money to pay a lawyer admitted in your jurisdiction and familiar with the law on IP agreements and nocompetes to look at the agreement and advise you. It really won't cost all that much for a consultation and a bit of contract reading just to see where you stand. Then make a decision. !!!!!

(Source: IAAL (law professor actually), though I don't currently practice and am almost certainly not admitted in your jurisdiction.)

Re:Ask HN: Who here has built a profitable startup while kee... by swat535 on Wednesday September 26, 2018 @05:11PM (#18080331)
Fully agree with this, as I pointed out down the thread.

It would be foolish to think you can run a business without legal protection.

That shouldn't prevent one from chasing their dreams though. I think OP's message paint a darker than necessary paint regarding this.

(Source Currently doing this with a lawyer as a cofounder)

Re:Ask HN: Who here has built a profitable startup while kee... by ryandrake on Wednesday September 26, 2018 @06:10PM (#18080683)
Yea I feel bad that ”tread carefully and read your legal agreement” turned out to be so controversial that it derailed an otherwise interesting Ask HN :(
Re:Ask HN: Who here has built a profitable startup while kee... by swingline-747 on Wednesday September 26, 2018 @05:57PM (#18080610)
IANAL but I would ping WSGR, F&W, Orrick... and be sure first that they're not representing your current employer.

Definitely build things on your own equipment, using different technologies, on your own time and nowhere near said company.

In California, noncompetes are rarely enforceable... but again IANAL and do you own homework.

Re:Ask HN: Who here has built a profitable startup while kee... by overcast on Wednesday September 26, 2018 @01:45PM (#18078437)
"asserted ownership of everything I build, at work or away from work, using my own equipment, on my own time—it doesn't matter"

That's the most ridiculous thing I've ever heard. Assuming you're not stealing technology, or doing it on their time or machines, there is no way a court would uphold that. If I build a house, or rebuild a car in my off time, they own that too? Corporations don't own your entire life.

Re:Ask HN: Who here has built a profitable startup while kee... by jjoonathan on Wednesday September 26, 2018 @02:19PM (#18078773)
Even the grand old red state I'm working in doesn't allow these claims but it sure didn't stop the company I work for from asking me to agree to them.

After I moved and started working.

I made a small stink about it but they were adamant and eventually I caved. These laws are important.

Re:Ask HN: Who here has built a profitable startup while kee... by jcadam on Wednesday September 26, 2018 @02:36PM (#18078950)
Yep, I now ask to see these agreements before signing a job offer after making a similar mistake at a previous company.
Re:Ask HN: Who here has built a profitable startup while kee... by jjoonathan on Wednesday September 26, 2018 @02:43PM (#18079012)
I did too, and they made verbal promises that they went back on. Next time I'll make sure to ask in an on-the-record communications medium.
Re:Ask HN: Who here has built a profitable startup while kee... by leetrout on Wednesday September 26, 2018 @04:28PM (#18079957)
Same here. Was working on some research projects and the future employer's recruiter said my new manager loves giving back and while I would have to reduce my hours on the project it should be fine. Legal did not agree, minor he-said-she-said spat and I reneged on the offer. I hate feeling like I'm an indentured servant for a company that wasn't even willing to match my existing pay.
Re:Ask HN: Who here has built a profitable startup while kee... by jcadam on Wednesday September 26, 2018 @03:10PM (#18079261)
Oh, wow. Nice to start off a working relationship by lying to the new hire. I might have signed if I were in a financial bind (e.g., just moved cross-country and couldn't afford to be unemployed), but I would immediately start looking for another job.
Re:Ask HN: Who here has built a profitable startup while kee... by ssalka on Wednesday September 26, 2018 @01:58PM (#18078562)
Sadly this is fairly commonplace in IP contracts. Though some companies provide potential hires with an option to list "own inventions" wherein he/she can list projects they may continue to develop in their own time and retain ownership of. Granted, all entries therein are subject to approval by the company - obviously they won't let you pursue a project that is actually in competition with their business.
Re:Ask HN: Who here has built a profitable startup while kee... by ryandrake on Wednesday September 26, 2018 @02:16PM (#18078734)
My understanding of the “list all inventions/projects” activity is that its purpose is to let the employer know what past projects they can’t grab, but it is not a way for you to continue working on them while still owning the IP. Their lawyers will say, “we can’t go after the parts of this project that were disclosed to us, but we can go after it based on the parts you’ve worked on since joining us.”
Re:Ask HN: Who here has built a profitable startup while kee... by scarface74 on Wednesday September 26, 2018 @11:04PM (#18081870)
One of the many things that attracted me to my current company is that the employment contract specifically states that you own your stuff that you do on your own time, that doesn’t compete with the company, as long as you use your own equipment. Not really a problem for me since I have no creative ideas to start a business outside of generic cloud consulting and screening potential employees for other companies.
Re:Ask HN: Who here has built a profitable startup while kee... by alexhutcheson on Wednesday September 26, 2018 @03:25PM (#18079383)
This blog post has a decent explanation of the rationale for why they are written that way: https://www.joelonsoftware.com/2016/12/09/developers-side-pr...
Re:Ask HN: Who here has built a profitable startup while kee... by overcast on Wednesday September 26, 2018 @04:09PM (#18079782)
I understand their rationale, but the problem is that unless your state protects you from nonsense, they are still written in a way where they literally are saying they own everything you do outside of the job. Likely? Who knows. But if an employer was really interested in the value of one of your projects, they could potentially bring up a suit against you for it.
Re:Ask HN: Who here has built a profitable startup while kee... by anonymous5133 on Wednesday September 26, 2018 @03:43PM (#18079536)
It doesn't stop them from suing you though. Do you really want to deal with this stuff in court?

Anything I do in my private life I keep on the down low.

Re:Ask HN: Who here has built a profitable startup while kee... by jarsin on Wednesday September 26, 2018 @01:52PM (#18078507)
I don't understand this how the hell would they even know what you are doing at home?

If your home project gains a little traction to financially support you then you quit the day job, and don't tell them anything. If not then it's some private home project you do.

Can't believe you are making decisions on what you do at home based on some company that could easily disappear, lay you off, get sold, etc etc, before your side projects ever materialize.

Absurd!

Re:Ask HN: Who here has built a profitable startup while kee... by ryandrake on Wednesday September 26, 2018 @02:19PM (#18078766)
You can bet any decent sized company will have people keeping an eye out on ex-employees whose home projects miraculously gain WhatsApp-levels of traction. If you look to take on VC funding, I guarantee during the DD process they will ask you if you built any of the product while employed elsewhere, and if so, they’ll want to see your old employment agreement.
Re:Ask HN: Who here has built a profitable startup while kee... by nodesocket on Wednesday September 26, 2018 @03:23PM (#18079374)
> whose home projects miraculously gain WhatsApp-levels of traction

Surely there is some middle ground between a $22 billion dollar company and a lifestyle business that generates $500k-$1m a year in revenue. Also if your company is WhatsApp level pretty sure you can afford a team of $500 an hour lawyers.

Re:Ask HN: Who here has built a profitable startup while kee... by anonymous5133 on Wednesday September 26, 2018 @03:45PM (#18079561)
Most likely if the company is 500-1m revenue then it is basically a tiny company that won't be on anyone's radar. Decent sized sellers on ebay/amazon can easily generate 500k-1m revenue and the vast majority of people never heard of those stores before.

Even if you are running a decent sized business, just don't be the face of the company. The purpose of business is to make money, not become "famous".

Re:Ask HN: Who here has built a profitable startup while kee... by farresito on Wednesday September 26, 2018 @01:38PM (#18078345)
> [...] or away from work, using my own equipment, on my own time [...]

That sounds illegal.

Re:Ask HN: Who here has built a profitable startup while kee... by vorpalhex on Wednesday September 26, 2018 @02:12PM (#18078697)
Even if it is totally illegal, you're still going to go to court to fight it, and lawyers are expensive. Nobody sane is going to spend 30k+ going to trial on a side project.
Re:Ask HN: Who here has built a profitable startup while kee... by beat on Wednesday September 26, 2018 @02:35PM (#18078939)
On the flip side, no sane company is going to sue a former (or current) employee for IP ownership over work they did in their off hours - especially if it isn't directly related to the company's own business.
Re:Ask HN: Who here has built a profitable startup while kee... by vorpalhex on Wednesday September 26, 2018 @02:59PM (#18079156)
They could file the suit and then drop it last second. Most large companies have several lawyers on staff, so it's not really any additional cost.
Re:Ask HN: Who here has built a profitable startup while kee... by beat on Wednesday September 26, 2018 @03:26PM (#18079394)
Sure, they could, but they could do that whether or not there's verbiage about it in your contract. This is a problem with balance of power between large corporations and individuals, not with the contract conditions.
Re:Ask HN: Who here has built a profitable startup while kee... by carlosdp on Wednesday September 26, 2018 @01:46PM (#18078448)
It is illegal in California
Re:Ask HN: Who here has built a profitable startup while kee... by ryandrake on Wednesday September 26, 2018 @02:10PM (#18078677)
It is legal in California if the company can show a conflict of interest.
Re:Ask HN: Who here has built a profitable startup while kee... by CryoLogic on Wednesday September 26, 2018 @01:49PM (#18078484)
And Washington State. But actually some states (Montana comes to mind) have laws that can restrict you to one employer at a time.
Re:Ask HN: Who here has built a profitable startup while kee... by buf on Wednesday September 26, 2018 @01:09PM (#18078042)
Put it in your contract before you get employed. If starting a company while employed, reach out to your employer saying you're building company X which does Y as a side project and you need a document stating no IP ownership.
Re:Ask HN: Who here has built a profitable startup while kee... by ryandrake on Wednesday September 26, 2018 @01:12PM (#18078080)
No employer I have ever worked for would even consider modifying this language in their agreement. They are going to have a standard boilerplate and if you try to negotiate or modify it they will tell you “sign it unmodified or GTFO.” Ask me how I know :-)
Re:Ask HN: Who here has built a profitable startup while kee... by r_smart on Wednesday September 26, 2018 @01:28PM (#18078255)
I got my last employer to agree to change the IP terms. It was a typo in their document nobody caught, that asserted ownership on everything. They were only too happy to fix it so it only applied to work done for them. I did have an industry specific non-compete as well, but it's a fairly narrow segment, so I had no problem signing.

My current employment agreement specifically states I can run whatever enterprise I want outside of work so long as it doesn't interfere with my duties (and presumably their business).

Re:Ask HN: Who here has built a profitable startup while kee... by buf on Wednesday September 26, 2018 @01:13PM (#18078094)
My last two companies have modified their language.
Re:Ask HN: Who here has built a profitable startup while kee... by karmajunkie on Wednesday September 26, 2018 @01:21PM (#18078187)
Yeah, I request changes from both clients and W2 jobs and get most of what I want as well.
Re:Ask HN: Who here has built a profitable startup while kee... by optymizer on Wednesday September 26, 2018 @03:24PM (#18079378)
I can confirm that. Two of the top 5 US tech companies told me to sign it as-is or GTFO.
Re:Ask HN: Who here has built a profitable startup while kee... by sincerely on Thursday September 27, 2018 @01:15AM (#18082241)
Name and shame :)
Re:Ask HN: Who here has built a profitable startup while kee... by sneak on Wednesday September 26, 2018 @01:13PM (#18078102)
Counter anecdata: Many employers are happily willing to provide such carve-outs for ownership of side projects done at home on the employee’s own time and equipment.
Re:Ask HN: Who here has built a profitable startup while kee... by lgregg on Thursday September 27, 2018 @12:02AM (#18082053)
This is interesting. Has this been your personal experience? If so, to what the extent?
Re:Ask HN: Who here has built a profitable startup while kee... by smoe on Wednesday September 26, 2018 @06:36PM (#18080849)
At my first ever job, where I was among the first developers after the founders, they got such standard boilerplate template.

I asked them to remove that line and some others, and they did without discussion or trying to pressure me into signing.

They didn't actually notice the line being there when they downloaded it from the internet and it was consequently removed for future contracts.

Re:Ask HN: Who here has built a profitable startup while kee... by ndnxhs on Wednesday September 26, 2018 @10:09PM (#18081676)
I know people who have had this part of their agreement removed
Re:Ask HN: Who here has built a profitable startup while kee... by madeuptempacct on Wednesday September 26, 2018 @09:25PM (#18081532)
I also got the “sign it unmodified or GTFO.”
Re:Ask HN: Who here has built a profitable startup while kee... by LyndsySimon on Wednesday September 26, 2018 @09:25PM (#18081533)
This is not my experience, including early in my career when I worked for FedEx.
Re:Ask HN: Who here has built a profitable startup while kee... by awaywopassd on Wednesday September 26, 2018 @03:28PM (#18079409)
My ex-boss had an offer rescinded when he declared his personal IP on the form provided by the company. He had told interviewers about his significant IP/projects. Interviewers thought that was no problem.

On the first day of his job, he filled out a form declaring his current IP. Some HR/lawyer reviewed it and a week later he was let go. No real reason was given. But he spent his first week answering questions related to his projects, so it is pretty obvious they were worried about it.

Re:Ask HN: Who here has built a profitable startup while kee... by leowoo91 on Wednesday September 26, 2018 @01:10PM (#18078056)
Sure you will be get hired while building a company.
Re:Ask HN: Who here has built a profitable startup while kee... by buf on Wednesday September 26, 2018 @01:12PM (#18078078)
I've hired 100+ engineers in my career. The ones with side projects are the best engineers. That said, sure I've had to fire some who don't perform.
Re:Ask HN: Who here has built a profitable startup while kee... by pmalynin on Wednesday September 26, 2018 @01:12PM (#18078082)
Pretty common question to ask from hiring managers. It shows passion. Passion is a way better predictor of your work quality and commitment than asking ICPC whiteboard questions.
Re:Ask HN: Who here has built a profitable startup while kee... by leowoo91 on Wednesday September 26, 2018 @01:33PM (#18078299)
Side projects prove the passion, I certainly agree. Only, I can't get my head around if employee decides to start dreaming his/her side project taking over the current job. If odds are close and side project has good traction, maybe it's not ethical to work in fulltime before understanding it either.
Re:Ask HN: Who here has built a profitable startup while kee... by sincerely on Wednesday September 26, 2018 @02:00PM (#18078577)
It's not ethical to take a job you think you might leave at some point in the future? lol
Re:Ask HN: Who here has built a profitable startup while kee... by leowoo91 on Wednesday September 26, 2018 @02:15PM (#18078726)
Isn't fulltime an accepted life-style? I see lot of people didn't think far enough but loved their job. Indeed, they seem much happier than lost people in startups. If I would hire someone, I would like to work with that type of person. They can change their mind later, no problem.
Re:Ask HN: Who here has built a profitable startup while kee... by anonymous5133 on Wednesday September 26, 2018 @03:42PM (#18079525)
Good thing my child has invented everything I ever created!
Re:Ask HN: Who here has built a profitable startup while kee... by city41 on Wednesday September 26, 2018 @01:46PM (#18078445)
It also depends on where you live. It is illegal for an employer to do this in California. But just be sure to always do your side work on your own time and your own equipment.
Re:Ask HN: Who here has built a profitable startup while kee... by drb91 on Wednesday September 26, 2018 @02:52PM (#18079093)
IANAL, but I believe at least in California, emmployers have no right to IP that is unrelated to work IP and developed on your personal time on a personal laptop. If it is in a contract it should be unenforcable.

The key here is having a clear demarcation between work and personal projects.

Re:Ask HN: Who here has built a profitable startup while kee... by dragonwriter on Wednesday September 26, 2018 @02:56PM (#18079127)
“Personal time” isn't a clearcut concept for non-hourly employees, and I'm pretty sure the “unrelated” but applies to job duties (which can be quite expansive) not just existing work IP.
Re:Ask HN: Who here has built a profitable startup while kee... by ryandrake on Wednesday September 26, 2018 @03:55PM (#18079649)
Also NAL, but my understanding (even in CA) is it comes down to whether or not there is a conflict of interest. Say you work for Amazon and want to write software for controlling drones. Is there a conflict of interest? Does Amazon make drones? Maybe? Maybe they will? Do/will they use drones and purchase drone software? I’m already seeing dollar signs (legal fees) flying past my eyeballs here. Why would anyone risk that kind of legal exposure, even if they are “really sure” they are right?
Re:Ask HN: Who here has built a profitable startup while kee... by treespace8 on Wednesday September 26, 2018 @03:23PM (#18079373)
I would think that the first step would be talking with your employer. (I what you are working on is not related to your work)

It’s a great litmus year to see if your employer is a bully or not.

Re:Ask HN: Who here has built a profitable startup while kee... by Kim_Bruning on Wednesday September 26, 2018 @03:34PM (#18079465)
Last "day job" I had, I just negotiated and got it removed from the contract. (I argued I'd be sending them quite some literal kilograms of paperwork, and surely that wasn't to anyone's benefit) . I don't know how common it is, but even fairly large companies will often allow some negotiation here.

(I don't like the fact that people put these kinds of clauses in in the first place either, but at least you can often opt out, fwiw)

Re:Ask HN: Who here has built a profitable startup while kee... by charford on Wednesday September 26, 2018 @02:14PM (#18078718)
Depends where you live, this is illegal in California.
Re:Ask HN: Who here has built a profitable startup while kee... by swat535 on Wednesday September 26, 2018 @03:34PM (#18079466)
contract != law.

You can also put in "we own your kidneys and your first born child"

Just because it is in a contract, it doesn't mean it's enforceable.

I agree with your point that one should be aware of it, but to go as far as not creating an awesome company and living comfortably because it's "risky" is ridiculous.

One should not be chained to a corporation forever if chooses not to.

[EDIT]

Also to add more to my point, litigation CANNOT be avoided.

If an entity (a person or a corporation) wants to come after you, they will find a way to do it.

Running any kind of viable business requires legal work and protection. It would be foolish to think otherwise

If your side project grows enough that you have either massive traction, VC funding or a good amount of cash, you can easily fight these in court .

And even if you don't fully win, it can be dragged on for years and meanwhile your business can continue to grow.

So it's a none issue.

Re:Ask HN: Who here has built a profitable startup while kee... by joshgel on Wednesday September 26, 2018 @01:29PM (#18078260)
Does anyone know how this works if you build a consulting business, or build software, but then don't claim any of the IP?
Re:Ask HN: Who here has built a profitable startup while kee... by claudiulodro on Wednesday September 26, 2018 @01:38PM (#18078349)
Not a lawyer, but you wouldn't be able to legally assign the IP from you to your client, as the IP would be owned by your employer.
Re:Ask HN: Who here has built a profitable startup while kee... by pricklypear on Wednesday September 26, 2018 @03:02PM (#18079193)
In my experience, big companies have restrictions around moonlighting when your startup directly competes with their services/products, and assert ownership over things you work on using the company's resources, ie company computers/internet/time. So if your startup is not directly competing, and you're doing it on your own time/computer/internet, you should be good.