You should keep your invention confidential until you file a patent application. Keep in mind that it is not always possible to file for a patent in the early stages of your product development and production because of many reasons. In the meantime, you should consider a provisional patent and have confidentiality agreements signed, if possible.
A provisional patent application is good for 12 months and allows you to use the term “Patent Pending” which usually is enough to scare aware any idea stealers.
Confidentiality agreements are legally binding contracts. These agreements allow inventors to share their ideas without fear of having these ideas stolen. However, this agreement can’t literally stop a thief in their tracks from stealing your idea but the agreement adds an added level of protection and legal recourse if your idea is stolen. This plan is not fool-proof but it is definitely better than nothing and sometimes your only protection before you obtain your patent.
Your confidentiality agreement should include details such as a detailed definition of what is considered confidential, obligations and terms of use, time frames, exceptions, third party use and methods for dispute resolution. Your agreement should be signed when you’re performing market research, licensing to a manufacturer and looking for potential partners when getting feedback on your idea. It is your job as the inventor to provide the confidentiality agreement for the other party to sign. Always bring the confidentiality agreement to the table when it seems appropriate. A word of caution: do not bring a confidentiality agreement to a Venture Capitalist. For many reasons, Venture Capitalists will not sign these agreements.
Inventors Confidentiality Agreements are generally one-way agreements because the agreement is designed to protect the inventor’s idea.
Another question you might ask is whether or not you would still need a confidentiality agreement after you have been granted a non-provisional patent. In most cases, the answer to this is yes. One issue is that the patent protects your invention but not the sales, marketing or production plans of your invention.
Although it seems unlikely that someone might steal your business plan but not your invention, stranger things have happened in the legal system.
If you need advice on how to keep your patent confidential or need a confidentiality agreement, you should talk to an attorney.
