I think an copyright/IP assignment contract is standard in many or most U.S. software jobs, at least when working for a big enough company that they have a lawyer who handles the NDA/employment paperwork.
That pretty much automatically rules out over employment because you can’t separately promise two different companies that you’re assigning all software copyrights to them rather than you, it’s an incompatible contract (even if it’s limited to work hours - you’re pretending to both companies that you’re working 9-5 solely for them).
A large percentage of U.S. software jobs (and probably nearly all YCombinator startups) are in California. Other states might be different, but stuff you do outside of work doesn't automatically become your employer's IP in California.
There are some nuances and I'm not a lawyer, but the gist of it is that three ways to trigger the IP to attach to your employer:
1. You do it on-prem or during work hours (but work hours are flexible for salaried employees)
2. You do it using company equipment (say, company laptop at home)
3. It's reasonably related to what you or other people do at your day job
If none of those apply, then you own it. That's relevant to the discussion at hand because, at least in California, you could work from home for two companies with unrelated businesses and not break any rules.
You can do anything - the question is whether you'll get caught and then whether you'll get punished. Does the employer have anything to gain by suing the employee in these cases?
All successful big tech businesses - all of them - got that way by openly breaking laws. They don't trigger automatically, but upon a manual review, triggered by someone with at least a couple grand to spend on the endeavour. A lot flies under the radar in practice.
I have seen that in employment paperwork at a few companies. Generally, you just mention you have side jobs and they okay it. Or you ignore it entirely and nobody notices.
Fascinating. My locality is usually kinda lax but it's something that we have.
I would have thought that with the litigious culture in the US and non-competes etc... this would all be watertight. Seems kinda ridiculous that with a non-compete you can't work for a competitor once you've quit but you're free to do so while you still work for your employer, lol.
Employment contracts that are reduced to a single explicit written agreement are relatively rare in the US, most employment contracts are implied by conduct.
A lot of people think of "contract" as specifically a written document, but that's not what a "contract" is in law, the written document (if it exists) can be very powerful evidence that (1) there is a contract, and (2) what its terms are, but contracts exist without them.
While US employment is usually at will without a defined contract term, there are mutually enforceable obligations, including some definition of what the employee is obligated to do for the employer and that the employer is obligated to pay the employee at some specified rate assuming the employee's obligations are met. That's a contract. Exactly what the detailed terms are may be difficult to prove absent a single comprehensive written document, but it is a contract.
That being said, "employment contract" colloquially connotes more than "agreement to trade labor for X salary." It implies something other than at-will employment, for one thing.
They do print the terms on paper. Usually, companies that don’t have a formal contract that both the employee and employer sign will still write down all the important information. First the employer sends an offer letter containing important information unique to the new employee, such as job title, compensation, work location, start date, etc. Then everything else is in some kind of employee handbook. The handbook details the expectations for every job title, the rules employees are expected to follow, rules for promotions and transfers, etc, etc. Together these have everything you would expect in a contract that both the employee and employer sign, and they are just as binding.
It’s not really rare, plenty of companies in the US use employment contracts. But a majority don’t, not in the European sense. Technically there is always a contract between any two parties who are cooperating; it doesn’t have to be formalized in any particular way as long as the cooperating parties have a common understanding of the terms and agree on them.
Many companies that don’t use formal contracts instead put all the information that is common to all employees into an employee handbook, and the details that are unique to a specific employee into the offer letter. The offer letter given to a new hire has details such as their starting salary and start date, and once they arrive they are given a copy of the handbook and often time to read it and discuss it with a manager. The handbook will explain in detail how promotions happen, the work expected from for various job titles, any rules the employees are expected to follow, etc, etc. Together these form the common understanding that underlies the contract, even if there is never a formal contract signed by both the employer and the employee.
Contractors, on the other hand, always have a formal contract. Often a contractor spends a significant amount of their time negotiating these contracts, especially the scope of work. I should know, I worked as a contractor for many years.
For established companies, I've always had a written employment agreement which discussed some terms common to all employees, including anti-moonlighting, usually ip assignment, etc. But I don't think I've ever had a contract that described what I going to do... maybe when I worked for a school district, but there my position title didn't actually match the work anyway; the position title was about being a tech helper in the classroom, but my position was at the district office with field work that only rarely had interaction with students.
I think Google has that.
Possibly these are becoming more common because of /r/overemployed.
Most companies don't want you working another W-2 job, but realize they can't just ban all consulting.
I think an copyright/IP assignment contract is standard in many or most U.S. software jobs, at least when working for a big enough company that they have a lawyer who handles the NDA/employment paperwork.
That pretty much automatically rules out over employment because you can’t separately promise two different companies that you’re assigning all software copyrights to them rather than you, it’s an incompatible contract (even if it’s limited to work hours - you’re pretending to both companies that you’re working 9-5 solely for them).
A large percentage of U.S. software jobs (and probably nearly all YCombinator startups) are in California. Other states might be different, but stuff you do outside of work doesn't automatically become your employer's IP in California.
There are some nuances and I'm not a lawyer, but the gist of it is that three ways to trigger the IP to attach to your employer:
1. You do it on-prem or during work hours (but work hours are flexible for salaried employees)
2. You do it using company equipment (say, company laptop at home)
3. It's reasonably related to what you or other people do at your day job
If none of those apply, then you own it. That's relevant to the discussion at hand because, at least in California, you could work from home for two companies with unrelated businesses and not break any rules.
> You do it using company equipment (say, company laptop at home)
Familiar to fans of HBO's _Silicon Valley_!
You can do anything - the question is whether you'll get caught and then whether you'll get punished. Does the employer have anything to gain by suing the employee in these cases?
All successful big tech businesses - all of them - got that way by openly breaking laws. They don't trigger automatically, but upon a manual review, triggered by someone with at least a couple grand to spend on the endeavour. A lot flies under the radar in practice.
I have seen that in employment paperwork at a few companies. Generally, you just mention you have side jobs and they okay it. Or you ignore it entirely and nobody notices.
I don’t think so. Or at most it talks about “reasonable effort” or something vague like that.
/someone who discovered an over-employed person on his team and wondered the same thing
Fascinating. My locality is usually kinda lax but it's something that we have.
I would have thought that with the litigious culture in the US and non-competes etc... this would all be watertight. Seems kinda ridiculous that with a non-compete you can't work for a competitor once you've quit but you're free to do so while you still work for your employer, lol.
I think these might soon be called Soham clauses, to be a bit cheeky.
Employment contracts in the US are rare.
Employment contracts that are reduced to a single explicit written agreement are relatively rare in the US, most employment contracts are implied by conduct.
Wow, that's interesting. I didn't know that.
A lot of people think of "contract" as specifically a written document, but that's not what a "contract" is in law, the written document (if it exists) can be very powerful evidence that (1) there is a contract, and (2) what its terms are, but contracts exist without them.
While US employment is usually at will without a defined contract term, there are mutually enforceable obligations, including some definition of what the employee is obligated to do for the employer and that the employer is obligated to pay the employee at some specified rate assuming the employee's obligations are met. That's a contract. Exactly what the detailed terms are may be difficult to prove absent a single comprehensive written document, but it is a contract.
That being said, "employment contract" colloquially connotes more than "agreement to trade labor for X salary." It implies something other than at-will employment, for one thing.
What good is a contract if you can’t prove what its terms are? Such a contract is worth the paper it’s printed on.
They do print the terms on paper. Usually, companies that don’t have a formal contract that both the employee and employer sign will still write down all the important information. First the employer sends an offer letter containing important information unique to the new employee, such as job title, compensation, work location, start date, etc. Then everything else is in some kind of employee handbook. The handbook details the expectations for every job title, the rules employees are expected to follow, rules for promotions and transfers, etc, etc. Together these have everything you would expect in a contract that both the employee and employer sign, and they are just as binding.
> Employment contracts in the US are rare.
Really? Does that mean what it say: you get a job and you do not get a written contract?
I don't think, in 38 years of working in 3 different countries, I've ever NOT had a written contract, even for temp or contractor roles. WTAF?
It’s not really rare, plenty of companies in the US use employment contracts. But a majority don’t, not in the European sense. Technically there is always a contract between any two parties who are cooperating; it doesn’t have to be formalized in any particular way as long as the cooperating parties have a common understanding of the terms and agree on them.
Many companies that don’t use formal contracts instead put all the information that is common to all employees into an employee handbook, and the details that are unique to a specific employee into the offer letter. The offer letter given to a new hire has details such as their starting salary and start date, and once they arrive they are given a copy of the handbook and often time to read it and discuss it with a manager. The handbook will explain in detail how promotions happen, the work expected from for various job titles, any rules the employees are expected to follow, etc, etc. Together these form the common understanding that underlies the contract, even if there is never a formal contract signed by both the employer and the employee.
Contractors, on the other hand, always have a formal contract. Often a contractor spends a significant amount of their time negotiating these contracts, especially the scope of work. I should know, I worked as a contractor for many years.
For established companies, I've always had a written employment agreement which discussed some terms common to all employees, including anti-moonlighting, usually ip assignment, etc. But I don't think I've ever had a contract that described what I going to do... maybe when I worked for a school district, but there my position title didn't actually match the work anyway; the position title was about being a tech helper in the classroom, but my position was at the district office with field work that only rarely had interaction with students.
I am shocked, and FWIW so is my wife (Czech) and my elderly mum.
Yes, really.
Executives can be an exception.
Exceptional circumstances are an exception.
Increasingly less common union jobs are an exception.
But ‘at will’ is far more common in the US.
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