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India IP Assignment Check for US Companies

Companies routinely build with Indian developers on contracts drafted for US law. Indian copyright and patent law impose formalities that a "work made for hire" clause does not meet.

Key developmentsUpdated Oct 2026 · 3 items

  1. Colorado AI Act amended and effective date delayed

    SB 26-189 replaces "high-risk AI" with automated decision-making technology, drops impact assessments, voids indemnities for a party's own discriminatory acts, and takes effect 1 January 2027.

    Source: Holland & Knight ↗
  2. DPDP Rules notified, phased over 12–18 months

    Data Protection Board set up first; consent-manager and substantive data-fiduciary duties follow over 12 to 18 months.

    Source: Mondaq ↗
  3. Income-tax Act, 2025 enacted, replacing the 1961 Act from 1 April 2026

    Royalty and technical-service withholding now sits under new section numbers; update cross-border licence and services contracts that cite the 1961 Act.

    Source: IBFD ↗

India IP Assignment Check

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The agreement already includes
43% covered6 gaps · 3 critical
  • Critical · Territory stated as worldwideIf territory is not specified it is presumed to extend only within India (s.19(6)). A US owner needs worldwide stated expressly.
  • Critical · Duration stated (full term of copyright)If the period is not stated, the assignment is deemed to be for five years (s.19(5)). State the full term of copyright and any renewals.
  • Critical · Foreign filing permission (s.39) built into the filing planAn Indian resident inventor needs written permission from the Controller before filing abroad, unless an Indian application was filed at least six weeks earlier with no secrecy direction. A first US filing without it breaches s.39.
  • High · Clause excluding lapse for non-exercise of rightsRights not exercised within one year are deemed to lapse unless the deed says otherwise (s.19(4)). Add an express exclusion.
  • Medium · Moral rights: non-assertion to the extent permittedMoral rights under s.57 survive assignment and cannot be fully waived. Add a covenant not to assert them to the extent the law permits.
  • Medium · Stamp duty paid on the executed deedStamp the deed under the applicable state stamp law. An unstamped instrument is not admissible in evidence until duty and penalty are paid.

References are to the Copyright Act, 1957 and the Patents Act, 1970. Stamp duty depends on the state where the deed is executed. Use this to find gaps before review, not in place of it.

Desk reference · Ownership formalities, US vs India

PointUnited StatesIndia
Copyright assignmentSigned writing (17 U.S.C. §204)Writing signed by the assignor, identifying rights, duration and territory (s.19)
Silent on durationNo statutory defaultDeemed five years (s.19(5))
Silent on territoryNo statutory defaultDeemed India only (s.19(6))
Contractor's workWork made for hire only in listed categories, with a signed writing (§101)No work-for-hire route for contractors; an assignment is needed
Employee's workEmployer is author for work within scopeEmployer is first owner under a contract of service (s.17(c))
Patent assignmentWriting; record within three months to protect against later purchasers (35 U.S.C. §261)Writing, and registered with the Controller to be relied on (ss.68, 69)
Moral rightsLimited (VARA, visual art)Survive assignment and cannot be fully waived (s.57)
Filing abroad firstForeign filing licence (35 U.S.C. §184)Controller's permission for residents (s.39)

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Paste an NDA and flag residuals, term, carve-outs and governing law against a reference position.

Questions practitioners ask.

Short answers to the questions US patent attorneys and in-house teams ask most about India, with the rule behind each one. Reviewed October 2026.

Does a US work-made-for-hire clause give us copyright in code written by an Indian contractor?

No. Indian law has no work-for-hire route for independent contractors. You need a written assignment signed by the contractor under Section 19 of the Copyright Act, 1957. If it does not state territory, it covers India only, and if it does not state duration, it lasts five years.

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Built by a practitioner, for practitioners. New tools are added to each track as they are finished.