Securing Legal Vulnerabilities in Cybersecurity

Much like cyber security vulnerabilities, legal vulnerabilities must be defended to ensure smooth operation and a successful exit for start-ups. One out of Five start-ups fail due to legal challenges. There are three primary legal challenges that can present hurdles to a start-up company’s success:

1. Competition. Competitors trespassing on your secrets and innovations

2. Financial. Unnecessary expensive legal patent infringement disputes

3. Reputation. IP theft by ex-employees

A continued increase in cybersecurity patent divestment and licensing activity is expected.

Cybersecurity innovations can be valuable business assets and should be legally protected with the appropriate IP rights. Proper IP protections can give cyber security companies a distinct advantage over their competitors.

• Software algorithms can be patent eligible subject matter if properly claimed.
• Invalidating a single patent is feasible but invalidating a large portfolio is impractical.
• A granted patent typically provides more reliable protection than trade secrets.
• Using open-source licensing should not prevent the code’s owner from seeking a patent.

The optimal defense against IP legal vulnerabilities is a patent portfolio covering core technology aspects of the product.

• A portfolio can be used as a bargaining chip in potential litigation brought against your company.
• A patent portfolio can be your entry ticket to exclusive patent owner consortiums.
• A portfolio may avert IP theft by employees.

About M&B IP

M&B IP is a patent firm founded with the mission to maximize start-ups’ valuations through patent portfolio development. Our patent portfolio methods have been trusted by the founders of Twistlock, Armis, Radware, Adallom, and many more.

Book a meeting with us to discover your legal vulnerabilities!