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Insights
Trademarks vs. Copyrights vs. Patents: A Startup Guide to IP Protection
Startups thrive on ideas - but ideas only create value if they’re protected. Intellectual property (IP) safeguards your brand, your creative work, and your innovations. From your logo to your code to your inventions, knowing which type of IP applies is essential to protecting your edge and building long-term value.
Non-Solicitation Clauses Explained
When an employee leaves your startup, there’s always a risk they’ll try to take your people or customers with them. That’s where non-solicitation clauses come in - they’re a powerful, often enforceable tool to protect your business after key team members depart.
Should Startups Use Non-Compete Clauses? Here’s What Founders Need to Know
In the fast-moving startup world, it’s natural to want protection against former employees joining a competitor. That’s why non-compete clauses have been popular for years. But the legal landscape is changing - raising real questions about whether they’re enforceable, useful, or even worth including.
FAQs
Open allWhy is employee classification so important?
Misclassifying employees as contractors or exempt workers can lead to back pay claims, penalties, and lawsuits.
What happens if my startup doesn’t have a Privacy Policy?
You risk fines under laws like GDPR and CCPA, removal from app stores, and loss of user trust.
How often should a Privacy Policy be updated?
At least once a year, or whenever you change your data practices, adopt new tools, or when laws change.
What’s the difference between a Privacy Policy and Terms of Service?
A Privacy Policy explains how you handle user data. Terms of Service govern how users interact with your platform. Both are essential.
Do all startups need a Privacy Policy?
Yes. If you collect any personal data - emails, IP addresses, or cookies - you need one. Most app stores and ad networks also require it.
Can I use a template for my Terms of Service?
Templates are a starting point, but your TOS should be customized to your business model, user base, and compliance obligations.
What’s the difference between Terms of Service and a Privacy Policy?
TOS govern how users interact with your platform, while a Privacy Policy explains how you collect, use, and store their personal data.
Do all startups need Terms of Service?
Yes. Any business with a website, app, or platform should have TOS to set user expectations and limit liability.
Are Terms of Service legally binding?
Yes - if properly drafted and accepted (usually through clickwrap), TOS create an enforceable contract between you and your users.
Can a Partnership Agreement be changed later?
Yes. Agreements should be reviewed and updated as the business grows or circumstances change.
Is a Partnership Agreement legally binding?
Yes. As long as it’s properly drafted and executed, it sets enforceable rules for ownership, profit-sharing, and decision-making.
Do I need a Partnership Agreement if I trust my co-founder?
Yes. Even the strongest relationships benefit from clear rules. A written agreement prevents misunderstandings and protects both parties if circumstances change.
When should a startup replace an MOU with a contract?
When the relationship involves money, intellectual property, or liability risk, you should transition from an MOU to a formal agreement.
Can MOUs be enforced in court?
Courts may enforce MOUs if they look like contracts—for example, if they include payment terms or obligations. To avoid confusion, clearly state whether the MOU is binding.
How is an MOU different from a contract?
Contracts create enforceable obligations. MOUs generally outline intentions and expectations but stop short of legal enforceability.