Spring Valley, NY asked in Business Law, Civil Litigation, Intellectual Property and Copyright for New York

Q: Do I have as a software developer the right to confiscate source code, if the customer denies to pay the last 10%

3 Lawyer Answers
Jack Mevorach
Jack Mevorach
Answered
  • Cedarhurst, NY
  • Licensed in New York

A: Do you have a written agreement?

Jack

Tim Akpinar agrees with this answer

Tim Akpinar
Tim Akpinar
Answered
  • Little Neck, NY
  • Licensed in New York

A: If you reached out to attorneys, they would ask about the terms of your agreement, as my colleague points out. It could depend on who is identified as the owner of the code. The intellectual property attorneys here would have insight into the issues that could arise in terms of ownership, if you wanted to add the categories (IP & Copyright). But any attorney is probably going to ask to see the agreement before offering meaningful guidance. Good luck

James L. Arrasmith
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Answered

A: Retaining or confiscating the source code could be considered a breach of contract or theft of intellectual property, which may lead to legal consequences. Instead, you should pursue appropriate legal remedies, such as negotiating with the customer, seeking payment through a collections process, or taking legal action to recover the unpaid amount while adhering to the contractual agreement.

James L. Arrasmith

Founder and Chief Legal Counsel of The Law Offices of James L. Arrasmith

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