Software is transforming the world. From mobile banking applications and artificial intelligence platforms to online learning systems, healthcare technologies, e-commerce websites and business management software, computer programs are driving innovation across every sector of the economy.
Behind every successful application is a software developer whose creativity, skill and countless hours of coding have produced something of real commercial value. What many software developers do not fully appreciate is that computer programs are protected by copyright law. In many jurisdictions, copyright protects the original expression contained in a computer program, including its source code and object code. Protection generally arises automatically once the software has been created and recorded in a tangible form. Registration is often not required for copyright to exist. For software developers, this means that original computer code cannot ordinarily be copied, reproduced, distributed, modified or commercially exploited without the permission of the copyright owner.
One of the most common misconceptions in the technology industry concerns ownership. Many developers assume that because they wrote the code, they automatically own the copyright.
That is not always the case. Ownership may depend upon the terms of:
1) Employment contracts;
2) Software development agreements;
3) Consultancy agreements;
4) Joint venture arrangements;
5) Research collaborations; or
6) Client contracts.
For example, software developed during the course of employment may, depending on the applicable law and the terms of the employment agreement, belong to the employer rather than the employee. Similarly, businesses engaging freelance developers should ensure that written agreements clearly specify who will own the copyright in the completed software.
Software developers should also respect the intellectual property rights of others. Copying another developer’s source code, using proprietary software without permission, incorporating copyrighted code into commercial applications without the necessary licence, or failing to comply with the terms of open-source licences may expose both the developer and the client to legal liability. Developers should therefore ensure that every software project addresses important legal issues, including:
1) Ownership of copyright;
2) Licensing arrangements;
3) Confidentiality obligations;
4) Protection of source code;
5) Maintenance and update rights;
6) Commercialisation rights;
7) Assignment of intellectual property; and
8) Dispute resolution mechanisms.
It is also important to understand that copyright protects the expression of software through its code, while certain technical innovations implemented by software may, in appropriate circumstances, qualify for patent protection, depending on the applicable law. As Artificial Intelligence, cloud computing, fintech, cybersecurity and digital innovation continue to reshape the global economy, understanding intellectual property has become just as important as understanding programming languages.
The most successful developers are not only excellent programmers. They understand how to protect what they create.
Great software begins with great ideas.
Copyright helps ensure that those ideas remain valuable assets.
For legal advice on software development agreements, copyright, intellectual property, Artificial Intelligence, technology law, licensing, or commercial contracts, contact Dzekedzeke and Company.