Customers always rely on businesses to keep their assets secure and ensure that their infrastructures are fully operational. However, technology is changing rapidly, and the evolving cyber threats hinder businesses and create new growth opportunities. Andrea D’Ambra, Susana Medeiros, on May 23, 2022, posted on Techcrunch.com stating that IP and Cyber security disputes rank top in the list of tech companies’ litigations. Read on for more information.
Every industry is new to litigation. However, patent disputes, and intellectual properties (IP), in conjunction with data protection and cyber security issues, are some of the major legal problems keeping managers of the tech companies active 24/7.
The Norton Rose Fulbright’s 17th Annual Litigation Survey surveys many in-house litigation leaders from international corporations, employment disputes, and labor ranks as one of the best tech companies.
Legal counsel, startup teams, and other internationally recognized stakeholders who are after addressing these legal challenges need to consider the following three major factors affecting the sector.
- IP disputes- Some of the major litigation concerns facing the tech sector respondents were more likely associated with up disputes than other potential disputes, where 46 percent fall under the most critical compared to 16 percent of all other industries. It’s not surprising that tech firms ranked IP disputes as the most important and relevant issue. Their crucial role is to devise and market innovative technology and solutions. The respondents noted that the critical nature of IP assets to their key business is why disputes stand as the primary concern.
- The cost of these disputes, especially when defending against patent infringement accusations, was the critical consideration for respondents. Defending against IP disputes can be highly expensive, especially given the ongoing expenses and the prevalence of disputes caused by patent troll entities that mainly target obtaining and enforcing patents against tech companies. This skyrockets the costs of leveraging the patent to offer products and services.
- Many respondents are allegedly expanding their legal teams. Some strategies involve external counsel to major on particular IP strategies, incorporate an extra in-house legal team, and extend investigation and enforcement against activities likely to result in infringement. This boosts the protection of the company patents and develops a mature and robust contract and review process for contracts associated with IP.
Tech respondents ranked cyber security and data protection as the critical dispute trend issue. 71 percent noted that they fear that they may be exposed to cyber security/data protection disputes, which is different from the past 12 months. They added that protecting their proprietary info and customers’ info is critical.