As I have been trying to convey to this group, and I will also post it at Agoracom, here's an email exchange between Fred and I yesterday...

Joe,

I'm not going to get into compensation or consulting contracts. But, if an employee invents something on their own that is generally related to the technologies the Company has developed or is pursuing, then yes, the idea belongs to the Company and the Company has the option of pursuing a patent application. At that point the employee would be listed as an inventor and would assign all rights to the Company. If an idea is generated through the normal course of our development efforts and the Company believes there is value in applying for a patent, then the engineers involved in the idea creation are listed on the application as inventors, and would assign their rights to the idea to the Company. The same would apply to any work study engineers, if we used them. Which we don't.

With regard to Pat, the inventions he offered the Company, and we in turn accepted, are the property of e.Digital.

Thanks,
Fred

________________________________________
From: Joe
Sent: Friday, October 14, 2011 9:48 AM
To: Fred Falk
Subject: Patent assigment question

When an employee invents something, the company owns the patent right?

When an outside paid consultant, or these engrs from a college on a work study co-op arrangement invents something, is there a clause that the company still owns the patent? Is that a stipulation written into Pat's consulting contract for instance? Also, is a form of compensation be it cash or shares ever a part of the equation?

Thanks, Joe.