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Modifying Employment Agreements? 728

An anonymous reader asks: "I am starting a new job, after months of unemployment. While out of work, I started a technology related business. I do not believe there is a conflict in the services provided by this business and the job I am taking. As has been standard with previous employers, I have been asked to sign an agreement that states in part that I am to disclose to the company anything that I create wether or not during company time, and wether or not it relates to the company. I also must agree that these same creations or inventions become the sole property of the company. I would like to change the wording to only include those creations, inventions and other Intellectual Property that is the direct result of work performed for the company, involved use of company property, and/or was created or invented during paid hours spent working for the company. What success or failure have other Slashdot readers had when dealing with wide reaching employment agreements such as this? How did you approach management with your modifications?"
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Modifying Employment Agreements?

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  • by frenetic3 ( 166950 ) * <houstonNO@SPAMalum.mit.edu> on Monday February 09, 2004 @03:33PM (#8228522) Homepage Journal
    yeah, yeah, nobody likes dealing with lawyers. but trying to fudge a contract by yourself is a foolish proposition, especially an NDA. and you can guarantee that a) your employer will freak out initially -- they don't like ANYONE touching their NDAs and jeopardizing their precious IP and b) you'll probably screw up the wording and their legal team will reject your changes on that basis alone.

    and if things you develop outside of work really matter to you, and you plan on developing something significant, it's worth the couple grand to get solid advice and contractual clauses that will hold up in a lawsuit. it makes sense and is worth the one time cost to protect yourself and your intellectual assets just like you'd insure your car or house in case of some unlikely disaster.

    in fact, i'd ALWAYS recommend having a lawyer review any employment contract before signing, just in case. some clauses in employment contracts can be pretty sneaky or draconian but sadly most people just gloss over them and look where to sign.

    i'm not a lawyer but am damn happy that i had one look over/amend my employment contracts before signing.

    hope this helps.

    -fren

  • Get a lawyer! (Score:5, Insightful)

    by American AC in Paris ( 230456 ) * on Monday February 09, 2004 @03:34PM (#8228533) Homepage
    You're going to get a lot of tips and suggestions in this thread, many of which will be quite good.

    Regardless of whatever advice pops up in this thread, though, the one thing that you absolutely, positively must do is consult a lawyer. Take the tips you pick up here and run it past said lawyer; they'll advise you as to whether or not they'll work and will convert the advice into legalese for you. If you can't afford a lawyer, track down the family member/friend that is a lawyer and ask/beg for their help.

    Employment contracts are very, very important things that businesses take seriously. If you're not careful, you'll put yourself in a position where you could be sued without even realizing you'd done so, which is doubleplusungood. Get a lawyer to help mitigate this risk.

    Assume that you're just as good at revising some lawyer's contract as you'd expect that lawyer to be at revising your code. Act accordingly.

  • Good luck (Score:3, Insightful)

    by slash-tard ( 689130 ) on Monday February 09, 2004 @03:36PM (#8228571)
    Imagine your boss having to choose between hiring you and someone else who may only be slightly less qualified. The other person doesnt care about the contract but you do. Your boss also isnt the one making these legal agreements and in most companies has a snowballs chance in hell of getting them changed.

    Odds are if you make it an issue they will go with the other person unless you really stand out.
  • by LostCluster ( 625375 ) * on Monday February 09, 2004 @03:36PM (#8228575)
    First, it's going to be rather clear that your company was not created during your employment with this new employer. Afterall, it exists now and you haven't started there.

    I'd expect that your new employer should already know of your personal business because it should be listed on your resume. Therefore, when they ask you to sign a contract saying that everything you create belongs to the company, you should ask for a specific rider that acknowledges that you have the outside interest, and that the company is aquiring no rights to that property. In exchange, you'll offer to promise that you will not work on that project while on company time or using company resources without permission. You can frame it in the terms of a disclosure as required by their contract of something you have created and will continue to create that has no relation to the company.

    If the company thinks that just putting you on salary means they own your mind 24/7, then you likely don't want to accept their offer anyway. Unless you've omitted all mention of this project on you resume, they should have known you have it and intend to keep it. If they think by hiring you they're going get ownership of your small company...

    Oh, and since the company no doubt had a lawyer create the agreement they're asking you to sign, you should have a lawyer create the document you're going to ask them to sign...
  • by The_Rippa ( 181699 ) * on Monday February 09, 2004 @03:38PM (#8228597)
    The question I would be asking is how would the react if you asked them to change it? Custom-tailoring an NDA to you raises a lot of issues that an employer doesn't want to deal with. It sets a precedent that they probably don't want to deal with either. Would it just be easier for them to find someone else to fill the spot then to bend over backwards to curtail your needs?
  • by signe ( 64498 ) on Monday February 09, 2004 @03:38PM (#8228602) Homepage
    I've done this several times now, with large employers and small, and never had a problem. Of course, if your situation allows, getting a lawyer to assist you is not a bad idea. But I usually just mark up the text of the agreement (you can usually get the meaning that you want by removing a couple words, making the changes minimal), initial the changes and sign the document, make a copy for my own records, and send it in.

    Generally, all I do is delete a word or two to change it from saying that they get the rights to everything, regardless of whether or not it was on company time or company equipment, to saying that they get the rights only if it was on company time or equipment.

    -Todd
  • by greysky ( 136732 ) on Monday February 09, 2004 @03:40PM (#8228633)
    I would be hesitant to hire a lawyer unless we're talking about a top-level job (IE: CTO, Director of Technology, etc). If you're going in for a developer position and bring a lawyer in, then they're either going to go on to the next candidate or else bring their lawyer(s) in to the mix.
  • by mnmlst ( 599134 ) on Monday February 09, 2004 @03:40PM (#8228637) Homepage Journal

    In today's I.T. market, I guess there are two major considerations to stick in the hopper before you decide:

    1. Tinkering with this agreement could put you in a bad light with the new bosses. That said, I know a number of people who have significantly altered or rejected these agreements without significant fallout. Just keep in mind you are managing some "first impressions".

    2. Each I.T. worker is very busy trying to just get the work of at least two people done and our bosses aren't much different. I have to wonder just how much time and energy these bosses would have left later for pursuing breach of contract claims against you at a later time. Reasonably speaking, if I was in the bosses' Johnston and Murphy's later on, it would depend upon the time and effort involved. Big breach, go after the employee. Little breach, let it slide, the next TPS Report is due on Friday after all...

  • by Bowie J. Poag ( 16898 ) on Monday February 09, 2004 @03:41PM (#8228650) Homepage


    I do admire your sense of morality, and your desire to adhere to the agreement your employer is forcing you to sign.

    However.

    That clause doesn't exactly have your best interests in mind. You're not the first person to have that question, about that clause. Whats important is, you adhere to the spirit of the agreement---You dont take shit from work and release it as open source, and conversely, you dont work on a level editor for Super Mega Mario Pong World 3 on company time (or company resources). Similarly, you dont talk about your work in your weblog, and you dont spend company time (and use company resources) talking about your intensely interesting personal life outside of work.

    Theres an unspoken agreement that most companies have regarding that clause. Adhere to the spirit of it, and be sure nobody gets hurt---especially them---and you'll be fine.

    No sense in stirring up things, either. What they dont know wont hurt them, y'know?

    Cheers,
  • by Lumpy ( 12016 ) on Monday February 09, 2004 @03:41PM (#8228656) Homepage
    Amen,

    have had modified EVERY employment contract I have ever seen.

    these things are changeable and you do NOT want to work there if they are not.

    always ALWAYS have the clause stricken that pertains to your own time. and or have a clause added that clearly states that your time is YOUR TIME. same as any ideas, inventions, lottery winnings done on your own time with your own resources.

    It will cost you from $60.00 to $240.00 to get this done by a lawyer.

  • by haystor ( 102186 ) on Monday February 09, 2004 @03:42PM (#8228666)
    Of course, if a company pays you hourly and then claims everything 24/7 you could always bill them for 24/7 after the fact.
  • Re:Get a lawyer! (Score:3, Insightful)

    by pixelpusher220 ( 529617 ) on Monday February 09, 2004 @03:43PM (#8228690)
    Assume that you're just as good at revising some lawyer's contract as you'd expect that lawyer to be at revising your code. Act accordingly.

    Well said. you'd have my mod points if I had'em

  • Whether you like that or not, it is likely the way it will be. Sure, some people would say, "well I wouldn't want to work for a draconian company like that anyway." Some others would say, "I have been unemployed for months, perhaps I should take the job and swallow my pride."
    The proposition that it's that black and white is false [kennesaw.edu].

    If you are respectful and have a lawyer propose a reasonable amendment saying that you own the IP to non-competing home projects unrelated to work, they probably won't give a fuck and will have their legal team clear it. They have better things to worry about -- from their perspective they just don't want some asshole employee taking their secrets, leaving, and competing with them -- but do expect that any changes to an NDA/noncompete will be seen as threatening at first.

    If it is the case they're draconian idiots then yeah you'll probably want to move on.

    But in most cases, they probably don't care, and whoever is hiring you didn't draft the NDA in the first place (hell, it's probably a safe bet they haven't even read it -- they just paid some lawyer to cover their ass.)

    -fren
  • Re:Good luck (Score:5, Insightful)

    by Graelin ( 309958 ) on Monday February 09, 2004 @03:46PM (#8228740)
    I am a boss. I hire people. It doesn't matter to me. In this case, if I knew the NDA was particularly draconian as this one appears, I would probably favor the person who recognizes the fault and attempts to have it corrected. There is nothing wrong with it. After all, if you don't stand up for yourself nobody else will.
  • Re:One approach (Score:5, Insightful)

    by Abcd1234 ( 188840 ) on Monday February 09, 2004 @03:49PM (#8228780) Homepage
    Of course, in that case, they could lawfully fire him on the spot with no compensation since the employment agreement was almost definitely contingent on his signing of the NDA. Sounds like a risky proposition to me...
  • by twenex ( 139462 ) on Monday February 09, 2004 @03:52PM (#8228814)
    Silly rabbit, you don't actually introduce them to your lawyer, you just have him or her check over the agreement and modify it to your intended result.
  • Re:Been there (Score:3, Insightful)

    by LostCluster ( 625375 ) * on Monday February 09, 2004 @03:53PM (#8228839)
    No lawyer working for "the company" will ever include language that makes it clear what the company doesn't claim ownership of, there's no reason to. The original questioner just needs to get the company to acknowledge that he will be continuing his relationship with this other project on his own time, and that the company does not intend on claiming ownership of such work.
  • Sound advice... (Score:5, Insightful)

    by JaredOfEuropa ( 526365 ) on Monday February 09, 2004 @03:54PM (#8228842) Journal
    Especially if you want to continue to run your business on the side. Most employers take a dim view on that and their contracts may reflect that view. Have a lawyer check the contract, both for IP ownership-related issues, and how the contract affects your current business activities.

    Don't be afraid to suggest and negotiate changes to your contract. They prefer that you sign the default one, since any changes will probably have to be okay'd by their lawyer, but if they really want you they might be amendable. I've never signed an employment contract without having made some changes first... incidentally, I made the changes myself, but had them checked by a lawyer afterwards.

    Oh and don't fall for the old traps, like "We just want you to sign the standard contract; company policy, you know? Of course we don't actually enforce this". Or the rather popular "Don't you trust us?". You're entering into a business agreement; if you rely on trust, it''ll probably come back to bite you one day.
  • by i_want_you_to_throw_ ( 559379 ) * on Monday February 09, 2004 @03:54PM (#8228844) Journal
    I had a few attorneys to look over it and generally speaking it's wasn't that expensive to do so. My company wanted me to disclose and list all the IP that I had before signing the thing. The idea being that anything I came up with after that belonged to them even if I thought of it at 3am.

    I declined to sign it period. Two attorneys told me that these things never stand up in court and I mentioned that to my company's legal department. They didn't push the issue and I never signed anything. They are intended generally to send a shudder down your spine. I didn't sign it because if I know they don't stand up in court and the company knows it, what's the point?

    However what I did start doing after that was copyrighting programs that I thought may be potentially valuable. I do a lot of programming of perl apps and have taken to copyrighting all of the valuable ones.

    Does my company have a right to those apps? I don't think so, they can't produce a signed NDA.
  • Yeah. Expect whoever's hiring you to perceive any changes to legal documents as threats at first, just as you would modifications to some legalese in your contract by your employer to be some attempt at them fucking you over.

    You're right -- your lawyer will find a number of other things that need to be changed as well (my lawyer found 5-10 little nitpicky things) and the process of getting these things changed is a pain in the ass, and can strain a relationship. It also takes FOREVER. Unfortunately, it could also result in you not getting hired.

    However, there is a good foundation of trust that results from both sides fully understanding an employment contract -- and you can rest easy knowing there are no 'gotchas' or time bombs lurking in the contract that can fuck you over in case things turn sour. I would not work anywhere without that foundation of mutual trust, but the parent is correct in that at some point you have to pick your battles or risk losing the job.

    I just finished a five month-long contract negotiation for a fairly high-level architect position at a startup, and it was painful but everyone is now happy -- just keep your cool (don't get pissed off/frustrated), pick your battles, and be willing to compromise.

    -fren
  • Lawyer or no... (Score:2, Insightful)

    by Unnngh! ( 731758 ) on Monday February 09, 2004 @03:56PM (#8228883)
    ..I would go ahead and make whatever changes you feel comfortable with. Chances are some anonymous HR person will be the only one looking at this stuff and won't look very closely at that.

    If a question comes up, I think that your reasons behind the change are very good and if you present those reasons properly, the company should have no problem accepting them. I've changed contracts with companies I've worked for before, pointed out the changes to the hiring manager, and their response has always been, "Okay, sure, whatever, when can you start?"

  • Move to California (Score:2, Insightful)

    by BrianCarlstrom ( 717058 ) on Monday February 09, 2004 @03:59PM (#8228919) Homepage
    California offers protects against this type of agreement, namely labor code sections 2870, 2871, 2872.

    A copy of the law can be found here [unixguru.com].

    The many body of 2870 is below. 2872 requires the company to notify you of this.

    -bri

    Any provision in an employment agreement which provides that an employee shall assign, or offer to assign, any of his or her rights in an invention to his or her employer shall not apply to an invention that the employee developed entirely on his or her own time without using the employer's equipment, supplies, facilities, or trade secret information except for those inventions that either:

    Relate at the time of conception or reduction to practice of the invention to the employer's business, or actual or demonstrably anticipated research or development of the employer; or

    Result from any work performed by the employee for the employer.

  • by JuggleGeek ( 665620 ) on Monday February 09, 2004 @03:59PM (#8228920)
    Theres an unspoken agreement that most companies have regarding that clause. Adhere to the spirit of it, and be sure nobody gets hurt---especially them---and you'll be fine.

    I've heard of several cases where the employee developed something on his own time, using his own equipment, and found that when he started making money at it, the company claimed it as theirs.

    I wouldn't trust any "unspoken agreement".

  • by frenetic3 ( 166950 ) * <houstonNO@SPAMalum.mit.edu> on Monday February 09, 2004 @04:00PM (#8228926) Homepage Journal
    Ugh... not good advice. For *reading* a contract, yeah, common sense will yield a good *understanding*. For *writing* amendments, the devil is in the details unless the modification is truly trivial. (Furthermore, you can be sure their legal team will reject any 'homebrew' modifications.)

    American AC in Paris had a great quote below -- "Assume that you're just as good at revising some lawyer's contract as you'd expect that lawyer to be at revising your code. Act accordingly."

    -fren
  • by GoofyBoy ( 44399 ) on Monday February 09, 2004 @04:00PM (#8228932) Journal
    A lawyer isn't going to try and bring the company CEO in front of a international tribunal.

    Most likely he will listen to you, read the contract, suggest a wording change to the contract and send it back to you.

    I shouldn't be anymore than visiting his office.
  • by Headius ( 5562 ) on Monday February 09, 2004 @04:03PM (#8228979) Homepage Journal
    ..not everyone can afford a lawyer. I recently started a new job that had a very inclusive IP clause, basically stating that everything I did, whether related to work or not, belonged to the company. I asked them to modify that to exclude any work done independent of company projects and done using only my own time and resources, or to give me a signed letter from the CEO stating they would not pursue ownership of IP I developed independently.

    Ultimately, they amended the agreement. They weren't trying to gobble up IP that their employees might work on in their spare time; it was more of an anti-compete clause to prevent someone using their internal knowledge of projects to develop competing software. The new agreement was acceptable to me, and we were able to move on.

    The bottom line, though, is not to just accept what you're given. If they've offered you a position, they want you. Along with that comes accepting that you are an individual who may have your own ideas and projects, and they they simply do not own you. I fought for my rights, and so should you.
  • by homebru ( 57152 ) on Monday February 09, 2004 @04:05PM (#8229011)

    You may not lose the job, but, if you don't notice the funny wording in the next to the last paragraph on page sixteen, you may sign away rights that you hadn't thought about.

    A programmer trying to be his own contract lawyer makes as much sense as a lawyer trying to write and support a custom contact manager or billing system for his firm.

  • by magarity ( 164372 ) on Monday February 09, 2004 @04:09PM (#8229053)
    "Hire a Lawyer" has become a kneejerk reaction on Slashdot

    In case you hadn't noticed, "sue them straight to the poorhouse" has become a kneejerk reaction in business in general. Since this person's personal business is on the line, getting professional advice is not just good advice; it's the best advice.
  • I'm still on my first contract job, but here's a couple of thoughts:

    So your lawyer notices a bunch of things that would be convenient to have in your contract. Don't jump at all of them. Look at them, and decide your priorities. Go back to your new employer with a few versions; a minimalist (My time is my time), a nice-to-have (paid holidays), and a luxury contract (Paid vacations.)

    Offer a compromise... Is double-on-overtime worth a few thousand less per year (on average)? Are paid vacations worth a couple dollars less per hour?
  • Re:Get a lawyer! (Score:2, Insightful)

    by anomalous cohort ( 704239 ) on Monday February 09, 2004 @04:10PM (#8229074) Homepage Journal

    A good lawyer can help you understand the meaning of the contract, can help you amend the contract, and can even help evaluate your chances of winning were you to get sued.

    Remember, the type of lawyer that is best suited to this type of work is a trial lawyer. They make their money mostly by going to trial. It is a conflict of interest to ask a lawyer to help you mitigate the risk of being sued. He or she can help you position yourself to maximize your chances of winning but you still have to incur the expense of a trial in order to win it (unless the judge says otherwise).

  • Put it in context (Score:2, Insightful)

    by wrttnwrd ( 549262 ) on Monday February 09, 2004 @04:10PM (#8229075) Homepage
    Is this a small startup? Or a major company? That's a critical difference. At a small startup you're incurring a lot more risk, and your potential employer should be willing to negotiate a little.

    At a bigger company, good luck. Even though the risks may be as high, the HR clerk you're working with won't want to discuss it. Either take the job and deal with the contract, or look elsewhere.
  • by Merk ( 25521 ) on Monday February 09, 2004 @04:11PM (#8229086) Homepage

    Bah. I've never signed a stock employment contract yet. Some claimed they owned all the IP I produced, related to the company's work or not, done on my time or theirs. That's simply BS.

    The easiest way for them to swallow the fact they need to change it is to say that legally you can't sign that paper. For example, you have an ongoing relationship with a former client and your contract with them says that you're required to patch bugs for them. But you've also agreed to sign over the IP of those patches to the client as well. If you signed the stock agreement your new company would own the IP of those patches too. So you legally can't do it.

    If you phrase it that way, they'll see that you're not being unreasonable, and aren't trying to screw them over. They'll probably also see that you know your legal obligations and don't treat them lightly. Because of this, they'll probably be willing to make the change. So when they do make the change, make sure it's not too restrictive and lets you own the IP of any love songs you write to your gerbil on your own time.

  • Re:One approach (Score:3, Insightful)

    by TubeSteak ( 669689 ) on Monday February 09, 2004 @04:19PM (#8229207) Journal
    You might get away with it if you haven't received your first paycheck and/or haven't seen any trade secrets, IANAL, but a judge would say that you accepted the contract by accepting the job.
  • by Mr_Blank ( 172031 ) on Monday February 09, 2004 @04:22PM (#8229267) Journal
    First, I do not like the idea of companies laying claim to off-hour creations. That is ridiculous. At this point it is very redundant in this thread to say, "Get a lawyer to make the changes", but the recommendation is a good one.

    As long as you are asking a lawyer, could you ask another question: Do these agreements give companies more liability than they realize?

    Companies ask employees to give up their IP such that the company would be able to profit from off-hour employee brilliance. Consider the case where off-hour employee brilliance leads to creating something that does a lot of harm in the community. In turn, that harm leads to lawsuits. It seems to me that the employee could pin the negative consequences to the employer.

    Clearly companies are responsible for on-hour actions good or bad - within reason. On the good side patents and copyrights can lead to new revenue. On the bad side new products can violate other companies' IP and lead to financial penalties. Do agreements like the poster describes cause companies to take on the same potential risks and rewards for off-hour creations?

    Sounds like a situation ripe for abuse by all parties involved.
  • by umofomia ( 639418 ) on Monday February 09, 2004 @04:22PM (#8229283) Journal
    ...is that companies generally spend a lot of money just in the recruiting process just to find you (depending on the size of the company, it may be upwards of several tens of thousands of dollars). When you get the offer, as long as your request is reasonable, they're not going to throw it away and spend another chunk of money just to find and hire someone else.

    They'll work with you to settle the disagreement in wording until both sides are happy. This happens more often than people think.

  • by babyrat ( 314371 ) on Monday February 09, 2004 @04:23PM (#8229291)
    I would be hesitant to hire a lawyer unless we're talking about a top-level job (IE: CTO, Director of Technology, etc). If you're going in for a developer position and bring a lawyer in, then they're either going to go on to the next candidate or else bring their lawyer(s) in to the mix.

    If they're asking him to sign an employment agreement, then they have offered him a job. To pull that offer because he had a lawyer look over something would be illegal in most places.

  • by jjohnson ( 62583 ) on Monday February 09, 2004 @04:24PM (#8229310) Homepage
    When I built my house through an architect, I had a lawyer look over the contract and suggest what was not in my interest. In subsequent discussions with the architect, we modified the contract until we were both happy with it (mainly clauses relating to arbitration).

    The important point is that we at all times had a friendly discussion about what we both wanted out of the contract, and both acted at all times like differences were small bumps to work around, not deal-killers or screw-me-screw-you options.

    As long as you're polite and friendly about it, you can say "I'm not comfortable signing this contract as is, specifically because of these parts." Go in with your reasons and your alternatives (that should be acceptable to them as well as to you). Show that you understand their concerns, and how they're trying to protect themselves (in the IP case, they don't want you to become a millionaire instead of them by working on their ideas in the evening). And be prepared to walk away with a smile and a "too bad, maybe another time" attitude. Most especially, push for clarification of terms and limits, rather than "how can I protect myself from getting screwed?" approach (even thought that's what you're doing).

    IANAL, and it would be a good idea to run it by one regardless.
  • by Abcd1234 ( 188840 ) on Monday February 09, 2004 @04:31PM (#8229440) Homepage
    Oooh, this is an *excellent* point. My understanding is that, by accepting compensation (ie, paycheque, etc), you are probably implicitely accepting the employment agreement.
  • Re:Get a lawyer! (Score:4, Insightful)

    by johnnyb ( 4816 ) <jonathan@bartlettpublishing.com> on Monday February 09, 2004 @04:40PM (#8229592) Homepage
    I agree, but I also wanted to point out that every profession has its set of cocky, I'm-the-only-one-in-the-world-capable-to-handle-th is attitude. Programmers and lawyers especially. It's true, but it's not as true as the programmers and lawyers think it is.
  • by cubicledrone ( 681598 ) on Monday February 09, 2004 @04:45PM (#8229648)
    And that is why, my friend, you are still unemployed and living at home with mama.

    So the only two choices are: eat shit or unemployed? Sorry. There's more to the economy than shit-shoveling cubicle jobs.
  • by LostCluster ( 625375 ) * on Monday February 09, 2004 @04:46PM (#8229671)
    Any time there's an unspoken agreement, it's best to get it moved to paper. If it can't be moved to paper, there wasn't really an unspoken agreement to begin with.
  • Re:Sound advice... (Score:2, Insightful)

    by Anonymous Coward on Monday February 09, 2004 @04:49PM (#8229726)
    Exactly.
    When someone puts a "Standard Contract/Agreement" in front of me, I apply my "Standard Policy" of having my lawyer look it over, it buys me time to read it over in a relaxed timeframe if nothing else (no way am I going to sign a multi-page contract I've only had a minute to read). Keep in mind that any paperwork they put in front of you was written by their lawyers with their benefit in mind - not yours. Any benefit to you is incidental or required by law.

    This also applies to separation agreements as well.
  • by Brandybuck ( 704397 ) on Monday February 09, 2004 @04:51PM (#8229750) Homepage Journal
    If they were setting you up for failure during your initial few weeks, then they wouldn't have hired you to start with. Remove your tinfoil hat and realize that most of the world's stupidity can be explained by mere stupidity.

    I would still have gotten out of the company, however. Not giving a new employee the employee handbook is just stupid.
  • by Supp0rtLinux ( 594509 ) <Supp0rtLinux@yahoo.com> on Monday February 09, 2004 @04:57PM (#8229819)
    I too was laid off and started a consulting a business, then took a full time position and desired to still consult on the side. One of things you might've missed in your agreement paperwork is that most employers also have a clause the prohibits you from working for any other entity other than the direct employer. In my case, I chatted with them verbally and explained that I would continue to consult on my own time (after hours and on weekends) and that they could see access and firewall logs at anytime to validate that I wasn't using company supplied tools to perform my sidework. Also, I agreed that none of my sidework would be to any of their competitors or other companys in related fields. Once we agreed on that verbally, I asked them to redraft the employment contract to allow me to do side work *and* modify the agreement you mentioned that basically says anything developed locally (onsite) or remotely while doing work for them *and* connected via VPN was their IP, but nothing else.
  • by grmoc ( 57943 ) on Monday February 09, 2004 @05:09PM (#8229972)
    Or you can start your own business. Or look for another job.

    If you're worried about the company being able to steal your inventions, it means you're the inventive type-- Working at a lower paying job for a time while you complete the idea can actually be beneficial (since generally these jobs take less time from you than any non 9-5 programming jobs, and I'm not aware of many of those).

    In some states, state law says that what you do on your own time with your own materials is YOURS, regardless of the fscking contracts.
    I don't know which has precedence over what, but I imagine its the state laws.

    I am NOT an identured servent, I am NOT a peasant. If you allow yourself to be treated as such, then you are one.

    Since I am not a peasant, I expect reasonable compensation for my time and ideas, and if I believe that I will not be receiving that reasonable compensation, I will happily forgoe the opportunity to screw myself over.

    Those that allow themselves to be screwed over by such clauses in their employment contracts are doing a disservice to those who would not.

    Think "security" versus "freedom" arguments from many great luminaries.

  • by John_Booty ( 149925 ) <johnbooty@NOSPaM.bootyproject.org> on Monday February 09, 2004 @05:23PM (#8230201) Homepage
    I am to disclose to the company anything that I create wether or not during company time, and wether or not it relates to the company. I also must agree that these same creations or inventions become the sole property of the company. I would like to change the wording to only include those creations, inventions and other Intellectual Property that is the direct result of work performed for the company, involved use of company property, and/or was created or invented during paid hours spent working for the company

    I was in the same boat, asked to sign the same thing. I simply asked them to change it, and they said "no problem" and did so. I even had them amend the names of some existing projects of mine as specific exceptions to that clause.

    While my experience of precisely ONE doesn't amount to much, statistically, I bet you'd have a similarly easy time of it at any small company unless it's being run by an absolutely insane dictator. Nine times out of ten it's just some boilerplate legalese thrown in by the company lawyer that the owner doesn't even care about- the guy who hired me didn't even know it was there.

    Hint: think about human nature and laziness. Supply your own suggested, amended text, and they'll be much more likely to change it than they would be otherwise. Less work for them.

    At a larger company, I bet you'd have a much tougher time getting that change done, just because there are more layers of red tape to go through, and maybe a fulltime legal department whose egos and anal-retentive preferences are at stake, as opposed to an independent lawyer whom they get in touch with three times a year when they need a little legal work done.

    Good luck, and kudos for noticing that absolute B.S. in the contract.
  • by LAAA ( 750791 ) on Monday February 09, 2004 @05:26PM (#8230250)
    I am not a lawyer and this does not constitute legal advice.

    This post illustrates several of the common misconceptions about copyright law. The phrase 'copyrigting programs' does not make sense. Copyright is not a process, it is a physical attribute. Every physical manifesation of an idea has a copyright, just like it has a color. You can't 'copyright' anything. You can assign the copyright to another party, you can register the object with the U.S. Copyright Office, or you can place the circle-c symbol on it. That's not the same as copyrighting.

    In general, whoever creates the object (photograph, program, song, whatever), owns the copyright. There are specific exceptions, however. The one applicable to here is the exception called 'work for hire'. Anything that you produce as a result of employement belongs to the employer, unless there is an agreement to the contrary.

    The definition of work for hire in the copyright law is:

    (1) a work prepared by an employee within the scope of his or her employment; or

    There are some additional defitions, but none that are relevant here. Clearly, if these programs you create fall within the scope of your employement, your employer owns them, not you. You can't copyright them because you don't own the copyright.

    So why do folks register copyrights or put a copyright notice on a program? You can think of it like putting up a 'no trespassing' sign. Putting up the sign does not make it illegal to trespass, it just makes it harder for someone to claim they didn't know that it was illegal to trespass. Putting the mark on the program does not grant you any more legal rights, but it removes one of the common defenses of infringement,innocent infringement. If you put the copyright mark on the program, no one can claim they didn't know that it wasn't in the public domain.

  • by I8TheWorm ( 645702 ) on Monday February 09, 2004 @05:26PM (#8230252) Journal
    Actually, somebody has to handle the payroll, the reported taxes, the feeds to the benefits companies (so that when you go to the hospital, you're actually covered), labor relations (Union agreements, etc...), retirement policies, any disputes, feeds to the financial companies (you like the 401(k) plan right?), tracking of employee data, EEO information for reporting, and a few other unimportant details.

    You're right... you should work for a company with no HR department. And when you don't get your paycheck, maybe the marketing department will help you out.
  • by LostCluster ( 625375 ) * on Monday February 09, 2004 @05:28PM (#8230286)
    Eh, that guy was stupid.

    The way I left the company was by e-mail the tech support address and flood the tech support voice mail with a ton of outside-my-area complaints about things that didn't work and impacted my workflow system. My boss couldn't stand that I had did that, and wanted to fire me... calling me late at night in rage just to upset me.

    However, it all boomeranged back at him, because documenting system failures to the accounts marked for system failure reports is in no way of a violation of company policy, it's exactly what policy says to do. There was no legit reason to fire me, just the standard excuse of letting go an at-will employee for no reason at all. However, that entitled me to full severance, a cash-out of the comp days I was awarded for being forced to work weekends and overnights, and full unemployment. A golden parachute worth at total of $10,000 that I wouldn't have gotten if I simply said "I quit." It pays to know the rules and play by them...
  • by sadomikeyism ( 677964 ) <mlorrey.yahoo@com> on Monday February 09, 2004 @05:41PM (#8230502) Homepage Journal
    Yeah, I've modified an employment NDA to exclude stuff I've created outside work. That job lasted a month. Doing this is a filter: it filters out the sort of employers who are going to have a tendency to screw you on other things as well, like retirements, stock options, etc. I realize in today's economy you might be willing to take anything that comes down the pike. Just make sure you don't wind up sitting on the pike as a result.
  • by Anonymous Coward on Monday February 09, 2004 @05:44PM (#8230531)
    If they claim that everything you create after-hours becomes theirs, then it's time to write a virus. Point it at their own server, but put in a note that says something like "sorry, just doing my job".

    Hey, it worked for andy!
  • by /dev/trash ( 182850 ) on Monday February 09, 2004 @05:57PM (#8230767) Homepage Journal
    This isn't 1999. There are 300 programmers who want the position you have, and the HR people know it. You refuse, or make changes, and they'll pass on you and pull in someone else.
  • by Anonymous Coward on Monday February 09, 2004 @06:25PM (#8231178)
    > What success or failure have other Slashdot readers had when dealing with wide reaching employment
    > agreements such as this? How did you approach management with your modifications?"

    About 10 years ago I was an independent software consultant who worked for a lot of big companies. I ran into this exact problem while chasing some business at Eli Lilly. When I tried to negotiate for ownership of the projects I would be working on after hours (and off the clock) their legal team quickly decided that I posed too much of a risk to Lily's intellectual property and the entire offer was rescinded.

    In hindsight, I can see how it happened... as a drug company with lots of multi-billion dollar patents their IP is more valuable than anything else. So their legal department is maniacally focused on protecting the corporate jewels, even if it means going overboard on some poor little guy who was going come in an build a document workflow system.

    (As an aside: Two weeks later I signed a six-month contract with Mobil Oil.)

    I would handle this problem the exact same way if offered the chance to change anything. Signing an agreement you cannot agree to is worse than moving back in with your parents as a grown man.

    That little cautionary tales aside, employment contracts are highly negotiable and should be reviewed heavily before executed. My favorite negotiating tactic is to read the offending term(s) out loud to my hiring manager and ask him if he would agree to this if he were in my shoes. That one has always worked. I last used this on a Silicon Valley lawyer who was my company's General Counsel. He told me I was the first new hire to actually read the damn agreement. This clearly earned me his respect.

    Another nice maneuver is to ask the other person "is this fair?" or "Why would this be fair?"

    Asking someone intelligent to justify or explain a stupid contractual term is usually a great way to get it removed from the contract.

  • That's what's wrong with the business world these days. Everyone is too afraid to stand up for what they believe in. People will talk about what they wish they could change all day and then not do a damn thing about it. The only way we are ever going to get treated fairly is if we stand up for ourselves and each other. The only reason companies get away with such clauses is because we let them.
  • by corngrower ( 738661 ) on Monday February 09, 2004 @07:02PM (#8231689) Journal
    An agreement would give your employer the right to the work you do outside of normal employment, and which is not directly related to the business of your employer may not be legal in your state. i.e. even if you did sign the contract, that portion of the contract may not be binding. Contacting a lawyer is probably the best thing to do.
  • Not blurry at all. (Score:3, Insightful)

    by SuperKendall ( 25149 ) * on Monday February 09, 2004 @07:44PM (#8232200)
    The moment you work on code on company time, use company equipment, or use company code, you are working on code that is no longer your own.

    Anything outside is fair game, including things simialr to what they produce - the world is full of examples of people leaving a company because they think they can do the same thing better. And that's perfectly fine, yes the company is training you but they are directly receiving the benefit of that training. That's why it's also considered rude to leave a company right after some major training.

    The way a company can combat a person leaving to work on something similar is to listed to what the person has to say and really reward them for good ideas. The people who have bad ideas, who cares if they go off to compete with you?
  • by Anonymous Coward on Monday February 09, 2004 @07:51PM (#8232257)
    The rules have changed. The day HP, IBM and the rest of them decided that your job was a commodity was the day that company loyalty of any kind went out the window. Now in my books it's ok to find the best situation possible at any time. Your company just sent you on a $30,000 course and EDS has offered you a job? Take the job. Think about it. To your employer your job is now an expense on a balance sheet so why the hell should anyone have any loyalty at all?
  • by Fareq ( 688769 ) on Monday February 09, 2004 @08:40PM (#8232752)
    You are entirely correct, but are missing one really important fact.

    There are currently many more people who want jobs then there are jobs to be had. Especially the non-crappy high-paying kinds of jobs.

    This means that we are in an "employer's market" because the employer has the bargaining power.

    See, there are enough potential employees who are qualified (in most arenas) that all those who refuse to accept whatever they are given can just be ignored. All the available positions will still be filled.

    So, yes, right now, in this job market, it is the employer who has the biggest say. Just like, about 5 years ago, it was the employee who could (and did) demand and get whatever they wanted.

    Thats not to say that you have to agree to terms you do not like, just that, with a company of any size, you will simply be skipped, and the job will go to someone who doesn't care or doesn't read as carefully.

    Being all confrontational isn't a good way to get a job.
  • by potus98 ( 741836 ) on Monday February 09, 2004 @11:49PM (#8234075) Journal
    My first job out of collage :), I was met with a similar "we-own-all" contract. Of course, it wasn't presented until I had been on the job for a few weeks. The contract was dropped off with my employee handbook, hall pass, forehead barcode, etc...

    I stalled on signing it. Was bothered by the IT secretary for a while. "Lost" it for a while. Then "misplaced" it for a while. Was given another copy. Stalled. Eventually, the IT secretary forgot about it and was luckily moved on to a different AVP team. Our paths diverged further as our relationship became lost forever in a series of intellectual power re-appropriation plans.

    Obviously, this won't work in all environments. But it is amazing how much you can get away with in a big corporate drone environment. My gosh, look at the id10ts surrounding you that they *won't* fire!
  • by Doomdark ( 136619 ) on Tuesday February 10, 2004 @12:02AM (#8234157) Homepage Journal
    There are currently many more people who want jobs then there are jobs to be had. Especially the non-crappy high-paying kinds of jobs.

    ...

    with a company of any size, you will simply be skipped, and the job will go to someone who doesn't care or doesn't read as carefully.

    I guess you haven't been participating in hiring people for such nice jobs, then. Fact is that I could care less about next 20 applicants that are willing to sign anything my company demands, if they are not good enough. The guy who is good enough is still worth the hassle of negotiating contract over again. Last time we hired someone we got 13 candidates (had to do it via contracting agencies, which sucks... not contractors but agencies), and chose the best one. I wouldn't have bothered to hire most of other 12 in the first place, and definitely wouldn't have chosen any of few remaining ok candidates over some petty contract dispute. So, we worked things through (nothing fancy; in this case no rewording of contracts... although he should have been more careful with his deal with contracting bloodsuckers), and were happy to get the best candidate. Later on when he moved on (due to problems with his contracting scumbags), contracting co. tried to bring in a warm body to replace him; my company just cancelled the contract (and req went to another dept for budget reasons). So much for theory of "just bring in next humble servant".

    Really, although job market is not as good for applicants in general as it used to be, there is HUGE difference between "just ok" and "very good" applicants. This is especially since difference in overall productivity is up to factor of 10, between rock stars and barely ok code peons. And in latter category, overhead of helping and instructing them means their input on overall productivity of team may become negative.

    So, there are jobs and then there are jobs; ones where employer just needs warm bodies are ones being shipped overseas, and there there's probably not much room for any negotiation. But in many other jobs you can indeed negotiate terms; not dictate your own terms, but negotiate and find working compromise. Just ASSUMING there's nothing you can do guarantees you'll be eating dog food with terms.

  • by ajagci ( 737734 ) on Tuesday February 10, 2004 @12:12AM (#8234199)
    I don't know if this is the norm, but I'm contracted for a specific number of hours per week.

    Not if you are an "exempt" employee. You can tell if you get paid overtime: if you aren't, you are exempt. If you are exempt, you are indeed not paid for a specific number of hours.

    Alternatively, if stuff I do "in my own time" at 1am could be claimed by the company, perhaps this means I don't have to bother coming into the office next day, since I've been hard at work all night at home..?

    Yes, that's indeed the general idea: if you did something even remotely related to the company's business at 1am, then you were working for them at that time. However, if the stuff you did at 1am didn't contribute to their bottom line, it was wasted effort. And whether you need to come into the office the next day depends on whether you are needed, not on your total number of hours worked--remember, you are "exempt" from overtime.
  • by HiThere ( 15173 ) * <charleshixsn@ear ... .net minus punct> on Tuesday February 10, 2004 @12:16AM (#8234218)
    And this explains why employees routinely despise the companies they work for.

    Well, it's a part of the explanation. When the company has the upper hand, it's merciless. But after you've been hired, it's much more expensive to replace you. So people who feel that they've been mistreated, are less than anxious to jump when someone shouts frog. Most people don't really want to file an wrongful dismissal suit, but some do. So replacing people is expensive. (Yeah, it can be done. I've seen jobs defined out of existence because some honcho was mad at someone ... but not because of lack of eagerness. Wallys are innumerable. And the replacement might be another Wally, so there's no guaranteed payoff.)

    There's a reason for the Dilbert mentality, and Catbert plays as large a part as the PHB.

    You may not like it, but there is a logic to these things, and it is simple and consistent. In this case it leads to the conclusion that you have very little power. Since they won't value you for doing your job well, you might as well not...unless you want to. They already value you the same as if you were doing your job poorly, so why bother.

    But this isn't the only way! Some places do value good employees, and encourage them. Where good employees are valued, people tend to want to be good employees. And this doesn't mean be 24 hour robots. (See previous paragraph, and extrapolate.) Where good employees are respected, it also starts in HR. A place that won't allow reasonable modifications to an employment contract is a place that you should work at no longer than you must. If they won't allow reasonable modifications, don't take the job unless you are desperate. If you are so desperate you don't dare ask, and it turns out to be a good job, ask then (as soon as you dare) about a contract modification. (If they won't, you'ld better sharpen your resume.)

    But don't lie, and don't hide your work. That's a way to get yourself in so much trouble that you don't want to think about it. (You might want to stop working on it for awhile, though, until the contract mess is straightened up.)

  • by dmforcier ( 68423 ) <dmforcier&gmail,com> on Tuesday February 10, 2004 @06:40PM (#8242973)
    The last time I was asked to sign one of these (SAIC), there was a section at the bottom where they wanted me to list all on-going concerns that I felt should be an exception to the "we 0nwz joo" principle. It's a lot easier for them to except things that aren't directly related to your new job. Like I listed a game I had designed and programmed, and it was not an issue.

    If they've made an offer, and you've gotten to the point of signing a contract, then they want you. Don't assume that if you want a modification of the contract then they'll simply go elsewhere. Propose a modification that protects their side to. They will be most interested in making a distinction between the two domains of the two businesses. If the domains overlap you've got a problem.

    When it comes to writing the language, though, they will have a lawyer. You get one too.

    As an aside, it may come down to whether the law considers that you were "work for hire" or "professional services". One way to distinguish (in terms of the law) is whether you used company equipment to do your work for them. I always try to use my own computer and software, and only asking them to buy software that others use. I look at it as providing a professional service. In that case, my other pursuits are protected. Only my hours for them are subject to review.

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