Ownership of New Knowledge Created in a Contracted Relationship

Abstract

The creation of new knowledge and innovation arises as a matter of course in many contracted relationships, with ownership rights being uncertain in various situations. This paper reviews the systems for allocation of the benefits of innovation by applying three axes of analysis: the nature of the innovation, the nature of the relationship between the creator and the entity, and the nature or content of any instrument seeking to regulate that relationship. By further analysing the motivations of actors such as workers, firms, and industry, as well as the types of knowledge created at various stages of innovation, it is argued that uncertainty about ownership is unavoidable. The article concl..