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Is asking for a non-compete agreement unusal in a contracted database design project?

5
2006-08-07 16:54:47, Category: Programming & Design
I would like to contract with a firm to develop a web-enabled database application for my industry. I want to make sure I own the code, the concept, the UI, etc. and that the firm and its employees don't use any of that to compete or use with competitors. Is that unusual in a contracted relationship?

Answers

  1. griz803

    On 2006-08-08 09:30:59


    I agree with Doug W's answer, with one added caveat. You will likely be responsible for copyrighting the code after it is created. You could have them code it, relinquish it and carry through on the non-compete flawlessly, but if you've not researched fully to make sure that this code isn't in use somewhere else, including in some other industry with a similar need and different products, you may wind up spending big dollars and no copyright issued. If you are absolutely certain that no one has used this code before for anything, then go ahead. But it is certainly worth a good copyright attorney's opinion if the return from it would be large enough to make sure it is protected.

  2. sheeple_rancher

    On 2006-08-07 17:01:07


    If you copyright it, it is exclusively yours to license (or not) as you see fit. You just need to make sure that the copyright is spelled out in the contract and in the project code. Note: I am not a lawyer. You might want to talk to one.

  3. danuitti

    On 2006-08-07 16:59:23


    Yes, make the offer. But it is still up to you to enforce it. So you would have to find the violation yourself. To get the work, they will sign anything. Good luck.

  4. Michelle

    On 2006-08-07 16:59:05


    Not at all, at the computer company I work at, we have an Inventions and Non-Compete agreement. If you already have your own code, make sure it is in the contract that you do that so that they will not use it later.

  5. Doug W

    On 2006-08-07 17:01:37


    It's not usual, but it's not unusual either. You'll find that pricing for the database code will be higher if you don't want them to reuse it elsewhere. -- If they're honest that is. You'll have to stipulate it on the contract though. The problem is that code can be changed minimally and become a different product. If they create the code before you've paid them to do so, they can alter it slightly and still use THAT code however they see fit. You will need to make sure that the contract stipulates that you are to receive all original copies and that they relinquish all rights to the code when the job is complete--- And this will cost a premium. I get people asking me all the time to do this for them, right up until I mention that it is going to cost them a lot more, then they usually beg off. So why does it cost more? Because otherwise I could use that core coding with some minimal changes and a new UI or GUI and i've saved myself a lot of work. Have I now stolen your copyright by doing this? Not at all, in fact I've just created an entirely NEW work based on your code and it has saved me a lot of time and hassle. Hence the premium pricing. It's like Stephen King writing Salem's Lot (vampire book) when Bram Stoker created vampires. Is that copyright infringement? Not at all, because Stephen used the core (vampires) and created an entirely new product based on that core. Ultimately though it comes down to whether or not you trust the coder or not, because 99 out of 100 times you'll never know whether he is altering it and using it for other businesses or not. If a product is altered enough, then you no longer have rights to it. P.S. Make sure it is signed, witnessed, and notorized so that it is legally binding.