Article

Startup Legal Mechanics

Y Combinator · Y Combinator Startup Library Free Beginner

Y Combinator's own primer on the legal machinery of a startup, including why everyone must assign IP to the company or there is nothing of value to fund. It is short, opinionated, and reflects what YC actually requires of its founders. Read it to understand the standard investors will hold you to.

  • If the company does not own the IP, the company has no value.
  • IP assignment is expected of founders, employees, and contractors.
  • Investors verify assignments during due diligence.
Open on ycombinator.com ↗

The question it answers

  1. How do I make sure I actually own the code my freelancer writes?

Read with it

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  2. This is the plain-English India explainer that maps exactly to your problem: it walks through Section 17(c) (employees vest in... Khurana & Khurana Article · 10 min read Copyright Ownership in Employment and Freelance Contracts: Key Legal Insights Khurana & Khurana, Advocates and IP Attorneys
  3. Explains that without a written assignment, the agency, not you, may own the code you paid for. It covers present tense... Horizon Labs Article Code Ownership and IP Assignment for Contractors: 2026 Guide Horizon Labs
  4. A lawyer's note on the exact wording that actually transfers code ownership in a development agreement. It is short and... Willcox Savage Article Use the Magic Words: Ownership of Code Developed under a Software Development Agreement Joseph B. Allen
  5. Cooley is the law firm behind a huge share of venture-backed startups, and this short piece tells you exactly why your company... Cooley GO Article What You Need in Your Contractor Agreements Cooley LLP
  6. A plain founder-level explainer from a top startup law firm on why the person who writes the code owns it by default, and what... WilmerHale Launch Article Who Owns Your IP WilmerHale
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