Employee Inventions: Your Rights, Your Ideas, Your Future

In today’s business world, innovation doesn’t just emerge at the executive level — it flourishes at every tier, from the production line to the office. An idea developed by an employee at work can sometimes become an invention that shapes the future of the entire company. Yet, the legal nature of such contributions and the rights they entail are often misunderstood or overlooked.

So, what is the legal status of such ideas and inventions? Who owns them? Under what circumstances is the employee entitled to compensation or a reward? This is where two key concepts come into play: Service Invention and Free Invention.

What Is a Service Invention?

Inventions developed by an employee in the course of their duties, using the employer's infrastructure, expertise, or technical resources, are considered service inventions. Examples include:

• A technical improvements in product design

• Developing a unique algorithm in software

• Creating a technical solution that enhances machine performance

These inventions belong to the employer under Articles 113 and onward of the Industrial Property Law.

However, this doesn’t mean the employee loses all rights. The law requires that a suitable reward and financial compensation be provided to the employee.

What the employer must do:

• Within 4 months of receiving the invention disclosure, the employer must either claim full rights to the invention or explicitly waive them.

• If the employer wishes to use the invention, they must assert full rights, and then are legally obliged to provide compensation based on the invention's economic value.

• The amount can be mutually agreed upon, but in case of dispute, a court determines the “fair amount.”

Remember: The economic value of the invention affects the reward. That’s why protecting your rights from the beginning of the process is essential.

What Is a Free Invention?

A free invention is one developed by an employee outside the workplace, without using the employer’s resources. These inventions are the sole property of the employee.

However, the critical point here is whether the invention overlaps with the employer's business field. If it does:

• The employer may request a preferential license,

• Conflicts may arise if the use of the free invention contradicts non-compete or confidentiality agreements.

• The employer’s infrastructure is not used,

• The invention is not directly related to the employee's job,,

• Then the employee has full rights to use or transfer the invention.

For transparency, it is recommended that employees also notify their employer of free inventions, even though there is no legal obligation.

What Does This Mean for Employees?

✅ Your creativity is valuable and legally protected.✅ By reporting your invention, you both secure your rights and avoid potential disputes.✅ Just like employers, you too have rights clearly defined by law.

Why Is Disclosure Important?

According to the Industrial Property Law:

• Employees are required to immediately and in writing notify their employer of any invention.

• If this isn’t done, employees risk losing their rights, and legal disputes may arise with the employer.

• If the invention is discovered and used by the employer without notification, the employee may only claim rights through legal action.

• Written disclosure strengthens future intellectual property claims and prevents disputes.

Why Legal Protection and Advice Are Necessary

Many inventions developed unconsciously by employees can hold significant commercial value. In such cases:

• Proper documentation and classification of the invention (service or free)

• The content of any agreements made with the employer

• Determination of appropriate reward or compensation

• If necessary, industrial property registration (e.g., patent application)

It is strongly advised to seek support from a lawyer specializing in intellectual property and labor law to ensure your rights are protected.

🔍 A Roadmap for Employees: What Should You Do?

1- When you develop an innovative idea or solution:

•  First, assess how closely it relates to your job description.

• Document the invention: include technical explanations, drawings, and prototype details if applicable.

2- Notify your employer in writing.

• This applies to both service and free inventions.

• Add a date to the notification, get a signature, or send it with a secure e-signature.

3- If the employer responds:

• Follow the process for determining your deserved reward or compensation.

• Communicate transparently and with documentation.

4- If you feel uncertain or at risk of losing your rights:

• Seek legal advice — especially if the invention has high commercial potential.

📣 Final Note: Protecting Your Intellectual Contribution Is Your Responsibility

Every creative contribution in the workplace not only enhances productivity but also shapes your career. Therefore:

✅ Know your rights,✅ Protect your ideas,✅ Seek professional help when needed.