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Rule 18:
Intellectual property

Primary requirement

  1. Agencies must set out, in the Notice of Procurement, its intentions regarding ownership, licensing, and future commercialisation of intellectual property created through the procurement.

More information

Ownership and licensing of intellectual property

Consider if new intellectual property (IP) will arise in a contract and explicitly set out your expectations about ownership and licensing in your Notice of Procurement. This provides early clarity for suppliers and can reduce expense and time later when negotiating ownership and licensing. Alternatively, you can ask suppliers to state in their responses their assumptions about any anticipated new IP.

Often agencies assume that new IP from contract deliverables should be owned by government. However, there’s a trend towards IP being owned by the party best placed to commercialise it.

Ownership options include:

  • the agency owns the new IP and decides to commercialise
  • the agency owns the new IP but licenses the supplier to use and commercialise
  • the supplier owns the new IP but licenses the agency, and all other State Services agencies, to use.

Allowing the supplier to commercialise the new IP encourages innovation and economic development. Other options include licensing and releasing software as open source.

Additional guidelines about intellectual property

Cabinet has endorsed specific guidelines for agencies on the ownership and commercialisation of new intellectual property in certain types of procurement. Agencies should take these guidelines into account.

    1. Guidance note on procuring copyright works: Guidance note 3: Procuring copyright works (updated Jan 2015) – Data.govt.nz
    2. Procuring goods, services or works in the context of Information and Communication Technologies (ICT): Guidelines for treatment of intellectual property rights in ICT contracts [PDF, 218 KB] – Data.govt.nz
    3. Procuring goods, services or works in the context of Public Service research contracts: Cabinet guidelines for intellectual property from Public Service research contracts [PDF, 25 KB] – Ministry of Business, Innovation and Employment
    4. Releasing copyright works and non-copyright material for re-use by others and the NZGOAL Software Extension for software: New Zealand Government Open Access and Licensing framework (NZGOAL) – Data.govt.nz
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