Legal Definitions - freedom-to-create statute

A freedom-to-create statute is a law that limits an employer's power to demand that their employees transfer all rights to their inventions, even if they were created independently.

For example, let's say that an engineer works for a company that designs and manufactures electronic devices. The engineer has an idea for a new type of battery that could be used in the company's products, but they develop the idea on their own time and using their own resources. Without a freedom-to-create statute, the company could claim ownership of the battery idea and any resulting patents. However, with this law in place, the engineer would have the right to retain ownership of their invention.

Another example could be a graphic designer who creates a new font in their free time. If their employer does not have a freedom-to-create statute, the company could claim ownership of the font and any profits made from it. However, with this law in place, the designer would have the right to keep ownership of their creation.

Overall, a freedom-to-create statute protects employees' rights to their own inventions and encourages innovation outside of the workplace.