Negotiation Skills Company, Inc.
 
Negotiation Skills Company, Inc.

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If They Sell My Work As Theirs, Where Does It Leave Me?

From: Andy, Munich, Germany

Question: Over the last few years as a freelance programmer I have written software for a client on an hourly rate without any contract. The client uses it to help present their work to their end customer.

I proposed this software to my client and they had me develop it so that they could lead the industry and ensure their end user customer gives them the next big contract. Now the end user customer, which is a multinational, wants to adopt the software worldwide as it reduces a 2 week process to a few hours! They will insist that any company dealing with them must use this software!

Under our law the copyright is mine and I feel my client will limit any monies due to me in the interest of their multinational client. e.g. sell licensing cheap. They hinder the rollout of new versions of my software and try to limit my access to the multinational insisting that any deals involve them.

The software would be useful to many large companies yet my client does not want the software to go to them since it would weaken their companies' position. I don't want to appear childish to the multinational as I don't have refined business skills. How should I play this?

Response: If the law gives you control over the intellectual property of the software you have developed, refined business skills is not a serious issue. You should ask an intellectual property lawyer to prepare a memorandum for you outlining your rights under both national and international law.

You should calculate how much money you could make following different routes: licensing the software to a number of companies versus licensing it to the one end user customer who currently wants to control it. You need to understand the market value of your software, with a comprehension of whether rights to it should be transferred as a package, or there should be payment of royalties to you for each use.

If you have property rights which you do, indeed control, you have every good reason to advance your interests in getting the best deal. This is your livelihood as well as a product of your intellect; just because you are not a multinational corporation doesn't erase your interests.

Once you have calculated how much your 'employer' and the end user customer need you and your product, then it is perfectly appropriate to approach the relevant people to assert your claim to what is rightfully yours. If you focus on 'saving face' you lose. If you focus on your interests, you are taking a sensible and thoroughly defensible approach.

Good luck,
Steve

The Negotiation Skills Company, Inc.   P O Box 172   Pride's Crossing, MA 01965, USA   
Voice: +1 978-927-6775     FAX: +1 978-921-4447
WEB: www.NegotiationSkills.com   E-mail: tnsc@negotiationskills.com
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