IP Due Diligence – Intellectual Property auditing

IP Due-diligence – It is a necessity not a luxury

Conducting an IP due diligence exercise can benefit both seller and buyer.

It is very common during the selling or licensing process to concentrate solely on the number crunching exercise and to overlook aspects that are equally, if not more important, such as: Who is the true owner of the IP? Is it still valid? Will the transfer of rights be exclusive?

The intellectual property part of a due diligence analysis typically deals with such major issues:

  • can the business operate freely within its chosen area of operation
  • does the business have the relevant IP within the entire or part of the business area
  • is the pending application as strong as claimed by the seller
  • is the IP valid, i.e. can the applications or the issued rights be upheld and enforced

An IP due diligence is relevant in connection with mergers and acquisitions, but also in connection with generational change in a company. Often we are asked to undertake IP due diligence analyses in situations where a client:

  • is about to invest in new areas of business
  • want an annual analysis in order to manage its patent portfolio in a financially profitable way.

We recognise that the scope of intellectual property due diligence should be tailored based on a variety of factors, including the overall value of the transaction, the importance of technology and the anticipated intellectual property related risks. We work closely with our clients to structure due diligence to meet needs efficiently

Contact a member of our team to discuss your requirements

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