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Federal Judge Strikes Down FTC’s Proposed Ban on Non-Competes
A federal court has struck down the FTC's proposed ban on non-compete agreements, allowing employers to continue enforcing these contracts under state law. While the ruling maintains the status quo, employers should review their agreements for compliance and stay informed about potential future changes to non-compete regulations
California’s New Workplace Violence Prevention Plan Law: SB 553
California’s new Senate Bill 553 (SB 553) requires businesses to implement workplace violence prevention plans. Designed to enhance workplace safety, SB 553 mandates written plans, employee training, and reporting procedures. Staying compliant helps protect your employees and fosters a safer work environment.
Should Your Startup Join an Accelerator or Incubator?
Deciding whether to join a startup accelerator or incubator is a crucial step for early-stage companies. Both offer access to mentorship, resources, and potential funding, but they serve different purposes. Accelerators focus on rapid growth with structured programs, while incubators provide a more nurturing environment for developing business ideas.
FAQs
Open allWhy do investors care about these agreements?
Because without them, your startup may not legally own its core technology - a major risk in funding, acquisitions, or IPOs.
Are invention assignment agreements enforceable everywhere?
Generally yes, but enforceability can depend on state law. Some states restrict how broadly employers can claim ownership, so tailoring language matters.
Do contractors need to sign invention assignment agreements?
Yes. Contractors often create code, designs, or strategies, and without an agreement, they may legally own the IP.
What’s the difference between a CIIAA and a PIIAA?
They serve the same function - assigning inventions to the company and protecting confidentiality. The terminology varies by company or industry.
Should contractors and employees sign NDAs?
Yes. Pair NDAs with confidentiality and IP assignment agreements to ensure ownership of work product and protection of sensitive data.
Are NDAs enforceable?
Yes, but courts often scrutinize them. NDAs that are too broad or vague are harder to enforce.
How long should an NDA last?
Two to five years is standard. Trade secrets may be protected indefinitely if defined clearly.
Do investors usually sign NDAs?
Most venture capitalists won’t sign NDAs at the pitch stage. However, some strategic investors or partners may sign if sensitive technical information is involved.
Do we need a formal open source policy?
Yes. Even a short policy clarifying what licenses are acceptable and requiring license checks before use can protect your company from major risks.
Is open source safe for SaaS companies?
It depends. Copyleft licenses like AGPL may apply even if you don’t distribute your code. Always check terms before using them in your backend.
What happens if we violate an open source license?
You could face legal action, be forced to release your proprietary code, or lose investor confidence. Compliance is critical.
Can my startup use open source code in a commercial product?
Yes, but it depends on the license. Permissive licenses (like MIT or Apache 2.0) allow it, while copyleft licenses (like GPL) may require you to open source your own code.
How can startups build trust around privacy?
Be transparent, respond quickly to user requests, and show that you protect data. Investors and customers reward startups that treat privacy as a priority, not an afterthought.
Do I need consent for all data I collect?
Not always. Consent is required for marketing emails, cookies, and sensitive data. Other legal bases, like contracts or legitimate interest, may apply.
What’s the most important privacy step to take early?
Start with a clear Privacy Policy and limit the data you collect. These two actions cover many compliance basics and set a strong foundation.