Ask HN: Do I adjust freelance rate due to fact client will be patenting product? | Hacker News Reader

Ask HN: Do I adjust freelance rate due to fact client will be patenting product?

1 pointcallmeed4 comments

I recently took on a small freelance programming gig for a fixed bid. I sent over a boilerplate work agreement and, before he signed it, the client informed me that they plan to patent the software I build and needed to pull a couple clauses from the agreement.

I don't really mind modifying the agreement but my main questions is: should this fact have any effect on what I charge?

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1. If you have a choice, don't add to the patent mess by letting your work be patented. Been there, done that, you don't want to.

2. Assuming you ignore #1, if you're replaceable, the fact that it will be patented does not change the work that you do, and should not change your up front bid. BUT make sure that the contract specifies that you get paid a nice hourly rate for everything that you have to do related to the patent application, defending it, etc. That is extra work, whose quantity you cannot estimate, which you might find yourself required to do at an unexpected point several years in the future. It should be clear to both parties that patent-related work is NOT part of the fixed bid. (Having to go to court to testify about your patent becomes that much worse if you're not being paid for it.)

Theoretically you want to charge right up to your client's "willingness to pay." If they think it's valuable enough to patent, they possibly are willing to pay a lot for it. That's the argument for charging more.

On the other hand, we don't know how unique your skills are. If they could easily replace you with another developer, they're not going to be willing to pay you much more than the going rate for your skills, no matter how valuable the end product may be to them.

I forget how it works with patents, but doesn't the name of the actual creator (i.e. you) get listed on the patent, even if it is a contract job? A lawyer could confirm. Or check out the relevant Nolo Press book.

Why would you risk alienating a client and possibly losing the project? If you "don't really mind modifiying the aggrement"

What I meant by "I don't mind modifying it" is that he isn't asking to pull any sections that put me at risk (like a limitation of liability).

If the patent is issued, one can assume the product and patent are worth more and he could license the technology to other companies.

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