Protect intellectual property before bankruptcy looms

摘要

With a staggering number of US-based companies facing dire financial scenarios and the threat of bankruptcy looming for both large and small corporations, it is increasingly important for companies to protect their technology and related licensing agreements. Applying bankruptcy laws to technology licenses has become increasingly complex. Specific rules apply depending on whether one is the owner or user and whether the technology involves patents, trademarks, copyrights, or trade secrets. Generally, bankruptcy provisions are designed to maximize the value of the debtor's estate. Different problems can arise when the user (licensee) is in bankruptcy -- it will not always be able to keep the license.