Intellectual Property Negotiations: A Managerial Perspective of Basic Intellectual Property Issues for Small Pharmaceutical Companies in Research Contract Negotiations with Contract Research Organizations

Abstract

This article is intended to present a series of issues related to intellectual property negotiations. Although the article is written from the perspective of a small pharmaceutical company, the topics covered are applicable to other industries and to larger companies within the same industry. Because of the heavy investments required in pharmaceutical development, it is crucial for research companies to establish their rights to the intellectual property that they develop. Research companies can begin to assert their rights by properly defining company policies toward intellectual property, specifying key research contract terms, and establishing clear procedures within the research contract both for acquiring intellectual property rights and for filing for intellectual property protection. Although basic company guidelines can and should be established for the negotiation of intellectual property, the extent to which they are followed in specific situations depends greatly on a multitude of factors beyond the company's control so the guidelines must be flexible enough to adapt to various situations.