California Codes, Business and Professions Code - BPC, Division 8 — Special Business Regulations, Chapter 17 — Invention Development Services Contracts, Article 2 — General Regulatory Provisions, Section 22375
No invention developer shall acquire any interest, partial or whole, in the title to the customer’s invention, unless the invention developer contracts to manufacture the invention and acquires such interest for such purpose at or about the time the contract for manufacture is executed. Nothing in this section shall be construed to prohibit an invention developer from contracting with a customer to receive a portion of any proceeds accruing to the customer as a result of performance of invention development services by the invention developer.
Notes
Prohibits an invention developer from acquiring any partial or complete ownership interest in a customer's invention unless the developer contracts to manufacture it and acquires the interest for that purpose at or about the time of the manufacturing contract. Allows the developer to contract for a share of proceeds the customer receives from the developer's invention-development services.
Use as reference
Lexinter.net | California Code, Business and Professions Code - BPC § 22375 | https://laws.lexinter.net/codes/california/business-and-professions-code/division-8/chapter-17/article-2/section-22375