An Employee Invention Assignment and Confidentiality Agreement (EIACA) is a legal contract between an employee and an employer that outlines the employee’s obligations regarding inventions and confidential information. The EIACA typically states that the employee assigns all inventions made during the course of their employment to the employer, and that the employee agrees to keep all confidential information of the employer confidential.
EIACAs are common in industries where innovation is important, such as technology, pharmaceuticals, and manufacturing. They help employers to protect their intellectual property and to ensure that employees are not using confidential information for their own personal gain.
EIACAs typically include the following provisions:
- Definition of Inventions: The EIACA will define what constitutes an invention for the purposes of the agreement. This may include any new or useful process, machine, manufacture, composition of matter, or improvement thereof.
- Assignment of Inventions: The EIACA will state that all inventions made by the employee during the course of their employment, whether made on company time or on their own time, will be assigned to the employer.
- Confidential Information: The EIACA will define what constitutes confidential information for the purposes of the agreement. This may include any information that is not generally known to the public, such as trade secrets, customer lists, or financial information.
- Confidentiality Obligations: The EIACA will state that the employee will keep all confidential information of the employer confidential and will not use it for their own personal gain.
- Non-Competition Clause: The EIACA may also include a non-competition clause, which prohibits the employee from competing with the employer for a certain period of time after their employment ends.
EIACAs are an important tool for employers to protect their intellectual property and to ensure that employees are not using confidential information for their own personal gain. However, it is important to note that EIACAs are not always enforceable. For example, an EIACA may not be enforceable if it is overly broad or if it violates the employee’s right to free speech.
If you are affected by an Employee Invention Assignment and Confidentiality Agreement (EIACA) and would like legal advice, please get in touch with our team at [email protected]