Ownership under the carmakers' terms

Can an automotive supplier sell its CAD to AI? The OEM terms

A supplier's CAD vault holds three kinds of file: its own background designs, work developed on a carmaker's programme, and drawings the carmaker sent. The carmakers' published terms treat them very differently.

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Work done on a programme

Rivian's production terms have the supplier assign foreground intellectual property to Rivian and treat it as work made for hire. Mercedes-Benz's Australian purchasing terms say it will own any developed intellectual property in goods specially developed for it, and Honda UK's that rights in goods made specially for it, and in improvements the supplier makes or suggests, belong to Honda.

Source: What carmakers' purchase terms say about a supplier's designs

Where the supplier keeps its rights

Some terms leave more with the supplier. Jaguar Land Rover's Australian terms let each side keep its background intellectual property; Stellantis's South American exhibit asks only for a free, non-exclusive licence to inventions that cannot be used apart from its technical information; Mercedes-Benz do Brasil defers developed components to the separate contract.

Source: Stellantis, South America Exhibit A to the Global General Terms

Drawings and tools the carmaker supplied

Every carmaker document on our board that mentions them keeps them. Rivian's terms make tooling, designs and drawings it furnished or paid for its own property; Renault's loan-for-use conditions call its specific tools its physical property; Volvo Group asks for typebound tooling and drawings back on request.

Source: Rivian, General Terms and Conditions of Production Purchase

What that leaves to license

What tends to remain is the supplier's own background work: designs it developed before a programme or independently of one, and its own test methods. Mercor's hardware listing asks for exactly that, designs the company owns and not customer IP.

Source: Mercor, Hardware Engineering Company listing data

Describe the engineering record

Most carmakers' terms claim what a supplier develops on their programmes, so the first job is drawing the line around what is yours. Tell us about the record and we will reply in writing.

What the record holds
  • A person reads each supplier enquiry
  • No carmaker, portal or tool vendor named here sees your answers
  • Please leave drawings, part numbers and customer names out of this form

Find out which part of your engineering record is yours to license

Most carmakers' terms claim what a supplier develops on their programmes, so the first job is drawing the line around what is yours. Tell us about the record and we will reply in writing.

Sources

This site's own datasets, every figure quoted from its source and dated:

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