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Code and resell rights

Discussion in 'BlackHat Lounge' started by Oblivion13, Dec 9, 2016.

  1. Oblivion13

    Oblivion13 Regular Member

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    Not sure if this is the best place to ask, but I thought some of you might know the best advice.

    In a nutshell. I am based out of the US and I have a client (also in the US) who is wanting me to develop a "backend" that he can have his "contractors" use and it will pretty much make his job a lot easier.

    In his line of work, this could be beneficial to anyone who runs his type of business. My worries are that he says he is wanting me to develop this "backend" for only his use but just talking to him, he seems like he would package the code and re-sell it as his own. ( He already mentioned that his competitor would die to have their hands on something like this)

    Now I know that if he pays for the development, then technically he owns the code and everything with it. I am just worried that I am either not charging enough to grant resell rights or I should ask for a percentage for him to lease out the software. He had me sign a NDA so I couldnt talk to anyone about this "concept" of what the "backend" does.

    Any advice on this would be very much appreciated. and
     
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  2. jazzc

    jazzc Moderator Staff Member Moderator Jr. VIP

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    a) No, he technically does not unless that's what your contract says.

    b) "Enough" is relative to your personal finances and mentality. Are you in a position to negotiate from a position of power? Are you in a position to confidently walk away from the deal unless you hit a base amount? If this is a gig you need to get food on the table, "enough" is going to be largely how much the others he's talking with are quoting him.

    c) What exactly differentiates you from the other's he's talking with? If it's price, your negotiation ability is limited.

    d) If you can, I would suggest repositioning yourself as a "long-term, reliable developer/partner who will be dedicated into seeing this evolve into a great product". You see, it's one thing to build something for a single use and another to build it for selling. Selling also requires maintenance and support and new features. All these make someone who is going to stick around for the long-term valuable - and this is a leverage to negotiate.

    e) Out of curiosity, share with us the price range he's trying to corner you in and the amount of time you estimate it will take you to build it.

    a) No, no, no. Wrong language. He had you agree to sign up an NDA. There's a slight but important difference.

    b) And he's surely going to sure you if you do /s
     
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  3. Oblivion13

    Oblivion13 Regular Member

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    We really didnt do up a contract (yet). He was unsure that I could do it. As of right now I had to prove my skills by creating him a login the allowed him to add "profiles" to the database ad have them show up on the site. For that I got $400.

    As for the whole he is wanting to pay me in increments. as to what gets done and if it functions right. ( This is not a small task ). After that, he is wanting me to turn it all into a mobile ap he can lease to other "owners" in his niche. For example owner of company 2 can pay him a monthly fee to use this feature.

    As for walking away, I do not need this and I am actually doing it as a side freelance gig apart from my full time job, So I dont need it to feed my family and it isnt going to make or break me, but like all of us, I like the extra money. And as far as I know, he hasnt spoke with any other developer about this.

    And you are correct about I agreed to sign a NDA.

    I appreciate your input into this, it helps my thinking process on it.
     
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  4. jazzc

    jazzc Moderator Staff Member Moderator Jr. VIP

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    As an addendum, the actual content of the NDA matters on what exactly it prohibits you from doing. Feel free to PM me the document (blank everything that's personal information or otherwise revealing) and I'll take a look.
     
  5. mrarowana

    mrarowana Junior Member

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    dont know how the contract is,but it sounds like its to late since you worried :/