Employee Inventions In Germany

Companies with Research and Development departments in Germany need to be aware of the regulations of the German Act on Employee Inventions, Gesetz über Arbeitnehmererfindungen" (ArbEG), which regulate the rights and obligations of employees and employers with respect to inventions made by employees in Germany.

Inactivity on the part of the company or lack of correct invention disclosure procedures may lead to severe consequences for the company even to the point where a company could have to transfer its IP-rights back to the employee-inventor.

Here we give a quick overview of the procedure under which the right to the invention can transfer from the employee inventor to his employer company. We further outline potential pitfalls for employers and ways to avoid them.