{"id":208386,"date":"2021-07-20T18:06:39","date_gmt":"2021-07-20T05:06:39","guid":{"rendered":"https:\/\/legalvision.co.nz\/?p=208386"},"modified":"2023-05-18T19:05:43","modified_gmt":"2023-05-18T06:05:43","slug":"ip-employment-relationships","status":"publish","type":"post","link":"https:\/\/legalvision.co.nz\/intellectual-property\/ip-employment-relationships\/","title":{"rendered":"5 Tips for Looking After Your IP in NZ Employment Relationships"},"content":{"rendered":"\n<p><span style=\"font-weight: 400\">While they work for you, your employees will use their knowledge and ideas to further your success. Depending on the nature of those ideas and what your employees create, there can be <a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/5-ip-assets\/\">intellectual property<\/a> (IP) rights at play. IP can refer to a variety of creations and ideas, and you can have various legal rights depending on the kind of IP. However, when an employee creates IP for your business, this may create confusion around ownership and who can benefit from that IP asset. Therefore, this article will go through five tips for looking after your IP in your New Zealand employment relationships.<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"font-weight: 400\">1. Know What Employee Content Classifies as IP<\/span><\/h2>\n\n\n\n<p><span style=\"font-weight: 400\">IP is a broad concept but usually refers to new innovations and creations of the mind. At your business, this can range from your written content to your business\u2019s jingle. Therefore, you can have various IP rights, which give you certain legal powers depending on the nature of the IP. These rights include those attached to:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/how-to-register-your-trade-mark-in-new-zealand\/\"><span style=\"font-weight: 400\">trade marks<\/span><\/a><span style=\"font-weight: 400\">;<\/span><\/li>\n\n\n\n<li><a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/design-registration-in-new-zealand\/\"><span style=\"font-weight: 400\">designs<\/span><\/a><span style=\"font-weight: 400\">;<\/span><\/li>\n\n\n\n<li><a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/how-to-apply-for-patent-protection-in-new-zealand\/\"><span style=\"font-weight: 400\">patents<\/span><\/a><span style=\"font-weight: 400\">;&nbsp;<\/span><\/li>\n\n\n\n<li><a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/trade-secrets\/\"><span style=\"font-weight: 400\">trade secrets<\/span><\/a><span style=\"font-weight: 400\">; or<\/span><\/li>\n\n\n\n<li><a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/copyright-protection\/\"><span style=\"font-weight: 400\">copyright<\/span><\/a><span style=\"font-weight: 400\">.<\/span><\/li>\n<\/ul>\n\n\n\n<p><span style=\"font-weight: 400\">For some IP rights, such as copyright, the owner is the creator in most cases. For others, such as trade marks, you usually have to register ownership. When an employee creates something for your business, this can raise questions as to whether your business is the IP owner or whether your employee is. This fact will depend on:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><span style=\"font-weight: 400\">the facts of the situation;<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400\">the kind of IP at hand; and<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400\">what contractual procedures you have in place.<\/span><\/li>\n<\/ul>\n\n\n\n<p><span style=\"font-weight: 400\">IP ownership disputes with employees can be costly and time-consuming. Therefore, to make this process clearer, you need to know:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><span style=\"font-weight: 400\">what IP looks like;<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400\">what content your employees create that are IP; and<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400\">how you can determine IP ownership in this case.<\/span><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"font-weight: 400\">2. Include an IP Clause in Your Employment Contract<\/span><\/h2>\n\n\n\n<p><span style=\"font-weight: 400\">The law specifies who owns some types of IP in <\/span><a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/employees-ip-ownership\/\"><span style=\"font-weight: 400\">an employment relationship<\/span><\/a><span style=\"font-weight: 400\">. So, for example, if an employee creates a copyrighted work for their job while you employ them, you are usually the owner of that copyrighted work.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400\">However, if you include a well-written and robust IP clause in your employment agreements, you can avoid or reduce potential IP disputes. This clause defines what work the employee does that qualifies as your IP and clarifies any ownership issues. In addition, be sure to include what happens to any relevant IP once an employee leaves your business.<\/span><\/p>\n\n\n\n<div class=\"box box--icon box--info\">\n<p><span style=\"font-weight: 400\">This IP clause can be difficult to write correctly. Hence, you should seek an experienced IP and employment lawyer\u2019s help for drafting it. That way, you can protect your business\u2019s important IP assets and avoid potential IP and employment disputes.<\/span><\/p>\n<\/div>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+64800005570\" class=\"not-prose\">0800 005 570<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we will contact you within one business day.\n                    <\/span>\n    <\/div>\n\n    \n\n<div class=\"not-prose flex justify-center text-left gform_input_bg_white 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Define Your IP Clause Carefully<\/span><\/h2>\n\n\n\n<p><span style=\"font-weight: 400\">IP problems can be complex, especially when determining employer ownership. For instance, if an employee creates software for their own personal use using their work laptop after hours, this may raise questions about whether your business owns that IP. Additionally, as more businesses allow their employees to work from home, this generates potential challenges in determining IP ownership.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400\">Therefore, it is important that you define your ownership rights in your IP clause, especially where these situations are likely to occur. If employees work from home or are able to use business equipment after hours, you should clearly define your ownership rights on your IP clause or in a separate agreement.&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"font-weight: 400\">4. Register and Protect Important IP<\/span><\/h2>\n\n\n\n<p><span style=\"font-weight: 400\">You can register your business as the owner of most kinds of IP through the <a href=\"https:\/\/www.iponz.govt.nz\/\">Intellectual Property Office of New Zealand<\/a>, which means you get to exercise the applicable IP rights. Therefore, for important IP assets that bring value to your business, you need to register this IP where possible. If you have a definitive legal right to own that particular IP, this can help your business in an employment dispute.<\/span><\/p>\n\n\n\n<div class=\"box box--icon box--info\">\n<p><span style=\"font-weight: 400\">For example, you can have IP rights attached to <\/span><a href=\"https:\/\/legalvision.co.nz\/trademarks\/differences-registered-unregistered-trade-marks\/\"><span style=\"font-weight: 400\">unregistered trade marks<\/span><\/a><span style=\"font-weight: 400\">. However, you have to prepare documentation that proves you are established in the market and have enough goodwill in the mark to get these rights. If you register your trade mark, you do not have to do this, as you have already proven your ownership.<\/span><\/p>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"font-weight: 400\">5. Protect Confidential Information<\/span><\/h2>\n\n\n\n<p><span style=\"font-weight: 400\">Certain kinds of confidential information, such as trade secrets, can qualify as intellectual property, which the law gives certain protections. Therefore, if an employee discloses highly sensitive trade secrets or other confidential information <\/span><a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/my-employee-is-stealing-our-intellectual-property\/\"><span style=\"font-weight: 400\">without your permission<\/span><\/a><span style=\"font-weight: 400\">, then you may have legal options available to you.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400\">However, as a preventative measure to avoid unauthorised disclosure, you should:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><span style=\"font-weight: 400\">have your employees sign a <\/span><a href=\"https:\/\/legalvision.co.nz\/commercial-contracts\/when-to-use-a-non-disclosure-agreement-in-new-zealand\/\"><span style=\"font-weight: 400\">non-disclosure agreement<\/span><\/a><span style=\"font-weight: 400\">; or<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400\">include a <\/span><a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/confidentiality-or-privacy-clause\/\"><span style=\"font-weight: 400\">confidentiality clause<\/span><\/a><span style=\"font-weight: 400\"> in their employment contract.<\/span><\/li>\n<\/ul>\n\n\n\n<p><span style=\"font-weight: 400\">In this, you would define your confidential IP and what happens if an employee discloses this information. Be sure to make sure it covers after they leave your business as well.<\/span><\/p>\n\n\n    <div class=\"my-7 lg:my-10 border-y-2 border-gray-100 py-7 lg:py-10 flex flex-col sm:flex-row items-start gap-10\">\n                    <img decoding=\"async\" class=\"w-52 mx-auto my-0! rounded\" src=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2021\/10\/28132215\/trade-mark-essentials-NZ.jpg\" alt=\"Front page of publication\"\n                 loading=\"lazy\" width=\"208\" height=\"298\">\n                <section>\n            <div class=\"text-2xl font-bold\">Trade Mark Essentials in New Zealand<\/div>\n            <div class=\"body-text\">\n                <p>Our free Trade Mark Essentials in New Zealand guide explains how to register and defend your trade mark registration.<\/p>\n            <\/div>\n            \n\n<a href=\"https:\/\/go.legalvision.co.nz\/nz-trade-mark-guide.html\" class=\" block px-5 py-3.5 max-w-fit bg-orange button__hover transition rounded text-white font-bold text-lg no-underline uppercase leading-tight text-center\" target=\"\" rel=\"\">Download Now<\/a>        <\/section>\n    <\/div>\n\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"font-weight: 400\">Key Takeaways<\/span><\/h2>\n\n\n\n<p><span style=\"font-weight: 400\">As a part of their job, your employees will likely create IP assets for your business. For some kinds of IP, the law specifies that you are the owner, but you should include an IP clause in your employment contracts to establish your ownership, as well as other protections.<\/span><\/p>\n\n\n\n<p>If you need help protecting your business&#8217;s IP in your employment relations, our experienced&nbsp;<a href=\"https:\/\/legalvision.co.nz\/employment-lawyers-lp\">employment lawyers<\/a>&nbsp;can assist as part of our LegalVision membership. You will have unlimited access to lawyers who can answer your questions and draft and review your documents for a low monthly fee. Call us today at <a href=\"tel:+64800005570\" class=\"AVANSERnumber dynamic-number\">0800 005 570<\/a>&nbsp;or visit our&nbsp;<a href=\"https:\/\/legalvision.co.nz\/membership\/\">membership page<\/a>.&nbsp;<span style=\"font-weight: 400\">&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span style=\"font-weight: 400\">Frequently Asked Questions<\/span><\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1626756665155\"><strong class=\"schema-faq-question\">What does owning IP mean?<\/strong> <p class=\"schema-faq-answer\">Owning IP is a similar concept to owning physical property, in that as the owner, you get to benefit from using and commercialising your property. However, the IP rights you gain function differently and how you determine ownership can vary.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1626756675426\"><strong class=\"schema-faq-question\">Do I own the copyright my employees create?<\/strong> <p class=\"schema-faq-answer\">If your employees create copyrighted work while working for you and doing their job, you would usually be the copyright owner. However, this can depend on various contextual factors, such as whether you asked them to create the copyrighted work.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1684300451013\"><strong class=\"schema-faq-question\"><strong>Should I include an IP and confidentiality clause in an employee\u2019s employment agreement?<\/strong><\/strong> <p class=\"schema-faq-answer\">Yes, this will give your business IP more protection as well as determine what is protected and confidential information.<\/p> <\/div> <\/div>\n<div class=\"not-prose m-feedback-prompt\">\n    <!-- Thumbs up\/down bar -->\n    <div class=\"m-feedback-prompt__main\">\n        <div class=\"m-feedback-prompt__title\">Was this article helpful?<\/div>\n        <div>\n            <!--span class=\"m-feedback-prompt__button--text\">Thanks!<\/span-->\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--yes\"\n                    data-analytics-link=\"feedback-prompt:yes\" aria-label=\"Agree\">\n                <i class=\"fa-regular fa-thumbs-up fa-3x\"><\/i>\n            <\/button>\n            <button type=\"button\" class=\"m-feedback-prompt__button m-feedback-prompt__button--no\"\n                    data-analytics-link=\"feedback-prompt:no\" aria-label=\"Disagree\">\n                <i class=\"fa-regular fa-thumbs-down fa-3x\"><\/i>\n            <\/button>\n        <\/div>\n    <\/div>\n\n    <!-- Feedback form -->\n    <div class=\"m-feedback-prompt__form\">\n        <div class=\"m-feedback-prompt__form--thanks \">\n            <div>Thanks!<\/div>\n            <p>\n                We appreciate your feedback \u2013 your submission has been successfully received.            <\/p>\n        <\/div>\n        <form id=\"contact-form\" class=\"m-feedback-prompt__form--form\" action=\"\" method=\"post\">\n            <input type=\"hidden\" id=\"authenticity_token\" name=\"authenticity_token\" value=\"ed19fd34f0\" \/><input type=\"hidden\" name=\"_wp_http_referer\" value=\"\/api\/wp\/v2\/posts\/208386\" \/>            <input value=\"https:\/\/legalvision.co.nz\/intellectual-property\/ip-employment-relationships\/\" type=\"hidden\" name=\"currenturl\"\n                   id=\"currenturl\">\n            <input value=\"5 Tips for Looking After Your IP in NZ Employment Relationships\" type=\"hidden\" name=\"currenttitle\"\n                   id=\"currenttitle\">\n            <label>\n                <!-- display on thumbs-up -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--yes\">\n                    Can you tell us <span class=\"font-semibold\">why<\/span> you found it helpful?\n                <\/span>\n\n                <!-- display on thumbs-down -->\n                <span class=\"m-feedback-prompt__feedback m-feedback-prompt__feedback--no text-lg\">\n                    How can we better improve this article?\n                <\/span>\n                <textarea name=\"feedbackmessage\" id=\"feedbackmessage\" required><\/textarea>\n            <\/label>\n\n            <div class=\"m-feedback-prompt__form--error\" id=\"form-submit-error\"><\/div>\n            <button id=\"submit-contact-form-button\" type=\"submit\" name=\"commit\" class=\"m-feedback-prompt__form--submit\"\n                    data-analytics-link=\"feedback-prompt:submit\">\n                Submit            <\/button>\n        <\/form>\n    <\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>While they work for you, your employees will use their knowledge and ideas to further your success. Depending on the nature of those ideas and what your employees create, there can be intellectual property (IP) rights at play. IP can refer to a variety of creations and ideas, and you can have various legal rights<a href=\"https:\/\/legalvision.co.nz\/intellectual-property\/ip-employment-relationships\/\">Continue reading <span class=\"sr-only\">&#8220;5 Tips for Looking After Your IP in NZ Employment Relationships&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13236,"featured_media":201676,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"1180,1822,1391,202122,1412,204213","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[5],"tags":[25,54,182,392,577],"class_list":["post-208386","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-employment","tag-small-business","tag-medium-business","tag-confidential-information","tag-ip-rights","tag-employment-agreement"],"acf":[],"yoast_head":"<!-- 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She is experienced at writing for online publications and wants to use these writing skills to make legal information transparent and accessible for anyone. Emma has a double degree in Law and Politics, with a minor in Psychology.","url":"https:\/\/legalvision.co.nz\/author\/emmalindblom\/"},{"@type":"Question","@id":"https:\/\/legalvision.co.nz\/intellectual-property\/ip-employment-relationships\/#faq-question-1626756665155","name":"What does owning IP mean?","acceptedAnswer":{"@type":"Answer","text":"Owning IP is a similar concept to owning physical property, in that as the owner, you get to benefit from using and commercialising your property. However, the IP rights you gain function differently and how you determine ownership can vary.","inLanguage":"en-NZ"},"inLanguage":"en-NZ"},{"@type":"Question","@id":"https:\/\/legalvision.co.nz\/intellectual-property\/ip-employment-relationships\/#faq-question-1626756675426","name":"Do I own the copyright my employees create?","acceptedAnswer":{"@type":"Answer","text":"If your employees create copyrighted work while working for you and doing their job, you would usually be the copyright owner. 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