Co-Man Contract Pitfalls

The Startup CPG Podcast · 17 Jan 2022 · 48m · Episode 8

What this episode covers

Lauren Handel, Principal Attorney at Handel Food Law, outlines critical pitfalls in co-manufacturing contracts for CPG brands. She emphasizes the necessity of mutual NDAs with indefinite terms to protect trade secrets, clear IP ownership for R&D, and robust specifications to prevent liability. Handel also details mechanisms for pricing adjustments, recall cooperation, and termination clauses to manage risks like manufacturer breach or capacity issues.

Other shows on the same ground, closest first.

  • The Builder Circle · 1h 14m

    S3 E8: Navigating and Managing Contract Manufacturers with Peter Russo

    Peter Russo, a hardware mentor and entrepreneur with 15 licensed brands and $250M in retail sales, shares strategies for managing contract manufacturers (CMs). He emphasizes treating CMs as internal departments, securing IP and tooling ownership in contracts, and avoiding single-source dependencies. Russo also discusses cultural fit, exclusivity negotiations, and how startups can overcome being perceived as 'crappy customers' through storytelling and respect for the supplier's time.

  • The Builder Circle · 1h 10m

    S2 E7: Intellectual Property Strategy for Hardware Startups with Troy Grabow

    Patent attorney Troy Grabow, founder of Grabow Law, explains IP strategy for hardware startups, distinguishing between patents, trade secrets, trademarks, and copyrights. He details the costs and timelines of patent prosecution, the risks of overseas manufacturing in China, and the critical importance of clear IP ownership agreements in co-development and supplier relationships. Grabow also emphasizes the need for rigorous employee IP education and proper inventorship documentation to avoid legal pitfalls.

  • The Builder Circle · 1h 14m

    S1 E4: Cracking the Code of Hardware Manufacturing with Scott Miller

    Scott Miller, a hardware expert who worked on the early Roomba program and Dragon Innovation, explains how startups should navigate manufacturing decisions, emphasizing that the first 100 units should be built in-house to capture domain knowledge before outsourcing. He advises startups to target tier-two or tier-three contract manufacturers, use dual-sourcing for leverage at $50 million in business, and treat factories as partners by sharing founder bios and VC backing to mitigate their risk. Miller also details the importance of robust Manufacturing Service Agreements (MSAs), lifecycle testing, and quality assurance to avoid catastrophic field failures like the Roomba's early optical encoder dust issue.

  • Product Startup · 53m

    009: NDAs, Contracts, Insurance & Other Legal Tips with Gordon Firemark of Entertainment Law Update

    Gordon Firemark, an entertainment attorney and host of the Entertainment Law Update podcast, advises product startups on navigating legal risks, emphasizing that NDAs have limited enforcement value compared to trusting reputable partners. He explains the distinctions between patents, trademarks, copyrights, and trade secrets, warning against frivolous patenting and highlighting the importance of proper business entity formation (LLCs/Corporations) and comprehensive insurance to protect personal assets. Firemark also details the legal requirements for online businesses, including DMCA registration for safe harbor, FTC compliance for endorsements, and the critical distinction between employees and independent contractors to avoid liability.

  • NPI Sherpa · 31m

    DeepDive 1-on-1 Series: FUEL & PROTECTION - Securing the Supply Chain Before the Climb (31m22s)

    Rob Carl, Founder & CEO of Global NPI Solvers, joins host Sarah to discuss the 'Fuel & Protection' phase of the NPI Sherpa Pre-Ascent Protocol, focusing on supply chain resilience and regulatory compliance before production scaling. They analyze the risks of single-source components, gray-market brokers, and SDK-chosen silicon, using a Ford vs. startup allocation story to illustrate volume leverage. The conversation also covers the critical importance of tooling redundancy and the catastrophic financial impact of regulatory gaps, such as a wireless module certification error that caused a border hold in Germany.

The summary, chapters and topics are generated from the episode’s audio by this directory, not written by The Startup CPG Podcast. The episode itself belongs to its publisher.