Invention Assignment Laws in Washington: Who Owns What You Create

Federal law does not generally prohibit invention assignment agreements. At the federal level, employers and employees are free to contract regarding ownership of inventions, and absent specific contractual language or state law restrictions, inventions created by employees may belong to the employer under principles of agency law and contract law. The only federal constraint comes through patent law (35 U.S.C.) and trade secret law (the Defend Trade Secrets Act, 18 U.S.C. § 1836), which establish what can be patented or protected as trade secrets, but do not restrict an employer's right to require assignment of those rights.

The federal approach leaves invention ownership to contractual negotiation between employer and employee. In the absence of an invention assignment agreement, federal law typically recognizes the employee as the initial owner of the invention under the "shop right" doctrine—which gives the employer a limited, royalty-free license to use inventions created with company resources. However, federal law imposes no restrictions on employers' ability to require broad assignment agreements at the time of hire. The EEOC and federal employment agencies do not enforce invention assignment disputes; these are handled through civil contract and intellectual property litigation.

Washington state law provides significantly stronger protections for employees than federal law. RCW 49.44.140 is one of the most employee-friendly invention assignment statutes in the nation. Under this statute, an employer cannot require an employee to assign an invention to the employer unless the invention was developed entirely using the employer's equipment, supplies, facilities, or trade secret information, or was developed on the employer's time and the invention relates at the time of creation to the employer's business or anticipated business or results from any work performed for the employer.

Critically, RCW 49.44.140(2) contains a powerful safe harbor: an employer cannot require assignment of any invention for which no equipment, supplies, facilities, or trade secret information of the employer was used and which was developed entirely on the employee's own time, unless the invention at the time of creation relates to the employer's business or anticipated business or results from any work performed for the employer. This means side projects, hobby inventions, and independent ventures created with personal resources are protected from employer claim, even if the employee works for a tech or manufacturing company.

RCW 49.44.140(3) further provides that an employer cannot require an employee to waive rights to an invention or assign inventions as a condition of employment or continued employment if the invention is developed outside the scope covered above. Washington courts interpret these provisions strictly against employers.

Additionally, RCW 49.44.150 restricts non-compete and non-solicitation agreements. While focused on restrictive covenants rather than invention assignment per se, this statute limits how employers can restrict employee mobility and competitive activity, which affects the scope of what employers can reasonably claim as "anticipated business."

Washington's law is categorically stronger than federal law because it explicitly prohibits broad invention assignments and creates a presumption that employee-created inventions belong to the employee unless the employer meets specific statutory criteria. Federal law, by contrast, permits employers to draft sweeping invention assignment agreements with minimal restriction.

The primary exception to employee protection under RCW 49.44.140 is when the invention was created using company equipment, supplies, facilities, or trade secret information. For example, if an employee uses the company's 3D printer, CAD software, laboratory equipment, or proprietary materials to develop an invention, even during off-hours, the employer may have a claim. Similarly, if an invention directly results from work the employee performed for the employer during paid time, the employer can claim it.

Another important exception involves inventions that relate to the employer's business or anticipated business at the time of creation. This is context-dependent. A software engineer at a cloud computing company who develops new cloud infrastructure technology in personal time may have that invention relate to the employer's anticipated business, making it assignable. However, the same engineer creating a mechanical fishing lure would likely not have that relate to the employer's business, even on personal time.

The statute does not apply retroactively to void invention assignments signed before the law's effective date (1982), though courts may decline to enforce unreasonable pre-law agreements. Additionally, Washington recognizes traditional exceptions to employee protections, such as situations involving genuine trade secrets or confidential business information that employees used without authorization.

Unions and collective bargaining agreements may contain specific invention assignment provisions that supersede individual statutory protections, though such clauses must still comply with RCW 49.44.140's baseline standards. Finally, inventions created by employees hired specifically for research or development may be treated differently if the employment contract explicitly states that invention development is a core job duty, though even then RCW 49.44.140's criteria must be met. Courts will not enforce invention assignments that violate the statute merely because they are in a signed employment agreement.

Step 1: Document Everything. Immediately create a detailed record of the invention, including the date of conception, development timeline, materials and resources used (personal computer, home equipment, purchased supplies with personal funds, or company resources), location where development occurred (home, coffee shop, employer office), and whether development occurred during work hours or personal time. Keep emails, notes, sketches, code commits with timestamps, photographs, and receipts showing which resources were personal and which were company-owned. Document whether the invention relates to your employer's stated business or any announced plans for new business lines. Create this record before any dispute arises; contemporaneous documentation is far more credible than later recollection.

Step 2: Review Your Employment Agreement and Company Policy. Obtain a copy of your employment contract, employee handbook, invention assignment agreement, and any IP policy provided by your employer. Read these carefully to identify the exact language used to claim inventions. Many Washington employers, particularly in tech, still have overly broad invention assignment clauses that violate RCW 49.44.140, often because they were drafted for use in other states. Identify the specific claims your employer makes. Understanding the precise language of your company's policy will help you later respond with specific reference to Washington law.

Step 3: Send a Written Preservation Letter to Your Employer. Before filing a formal complaint, send a professional letter (email is acceptable but certified mail with return receipt is stronger) to your employer's HR department and General Counsel. State clearly that you have created an invention (describe it in general terms), that you believe this invention is protected under RCW 49.44.140 because it was developed [on your own time / using your own resources / outside the scope of the company's business / etc.], and that you do not consent to assignment of the invention to the employer. Include reference to RCW 49.44.140 by name and section. Request written confirmation that the company will not claim ownership or take action regarding the invention. This letter serves multiple purposes: it creates a contemporaneous record of your position, it may prompt the employer to back down, and it demonstrates good faith, which matters in litigation. Keep a copy.

Step 4: Consult an Intellectual Property or Employment Attorney in Washington. Before filing any administrative complaint, consult a lawyer licensed in Washington who specializes in employment law or intellectual property. Unlike discrimination claims, invention assignment disputes are not handled by the EEOC or Department of Labor. These are civil contract and IP disputes handled in Washington state courts. An attorney will evaluate whether your invention qualifies for statutory protection under RCW 49.44.140, review your documentation, assess the employer's likely arguments, and advise on next steps. Many attorneys offer free initial consultations. If your invention has significant commercial value, pursuing this with legal counsel is essential. The attorney may send a formal demand letter to the employer, which can resolve disputes without litigation.

Step 5: File a Declaratory Judgment Action or Breach of Contract Claim in Washington Superior Court. If the employer disputes your rights or continues to claim the invention, and your attorney advises proceeding, you or your attorney will file a civil lawsuit in the Superior Court of the county where you work or where the employer is located. You can seek a declaratory judgment establishing that the invention is your property under RCW 49.44.140, and potentially seek damages if the employer interferes with your rights or breaches the statutory implied covenant. Discovery will proceed as in any civil case—the employer must produce documents and answer interrogatories about how the invention was developed and what resources were used. This process typically takes 12-24 months to resolution through trial or settlement. Note: Washington courts have authority to award attorney's fees and costs to the prevailing party in some IP cases, which may help offset litigation costs if you win.