ABSTRACT
Intellectual property (IP) due diligence needs to take account of the laws in each jurisdiction. The nature of the target company has a bearing too on how much IP due diligence to do. Whoever carries out the IP due diligence must maintain a healthy cynicism. IP due diligence often takes a lot longer than originally anticipated. Buyers use IP due diligence to ensure that the IP which they think they are buying exists, can be fully exploited and is going to give the competitive advantages that have been assumed. IP may have to be assigned or licensed as part of the deal if the target company is being sold out of a group. IP is about patents, trademarks and other rights to designs and inventions. Where the target is a licensee of IP, there is a whole host of further questions, most of which are self-evident only once they are pointed out.
