Companies expand by purchasing technologies, other companies or other companies’ technologies. Typically, in these situations, the sellers also profit. But, finalizing a deal, as well as avoiding future disputes, may prove difficult when intellectual property issues exist.
Most attorneys performing the IP due diligence have a typical checklist, among other things, addressing the ownership of the IP rights, agreements with employees and third parties, IP identification and value thereof, and IP litigations and claims threatened. But actually understanding the risks and knowing what to do with them requires skill and experience.