I think SW's stance on contracts is hugely short-sighted.
SW should require that teams sign a (written) contract laying out who owns what at the end of the weekend, and offer several templates to keep the process painless.
You could even just put something into the FAQ saying "if no contract is signed, then all team members acknowledge that each member owns all IP he or she produces, following United States copyright law."
But "don't think about equity and contracts, just code" is exactly the attitude that leads to lawsuits, hurt feelings, and people taking advantage of each other.
Contracts are not a red flag, they are a way to avoid assumptions and assure that everyone gets a fair deal. Avoidance of contracts on the other hand is a massive indicator of either ignorance or bad intentions.
Its not ignorance or bad intentions. Its not a startup factory, its a fun weekend to push yourself and learn some skills. Stories like these get voted up on HN but they are not the norm in my experience.
With Techstars now being involved, I can see them putting in more clear language about what the outcome of the weekend is as there will always be people who miss the point.
I completely understand, but reading and signing a simple contract takes 5 minutes. Preventing (yes, rare!) cases like this is worth the small overhead, IMO.
SW should require that teams sign a (written) contract laying out who owns what at the end of the weekend, and offer several templates to keep the process painless.
You could even just put something into the FAQ saying "if no contract is signed, then all team members acknowledge that each member owns all IP he or she produces, following United States copyright law."
But "don't think about equity and contracts, just code" is exactly the attitude that leads to lawsuits, hurt feelings, and people taking advantage of each other.
Contracts are not a red flag, they are a way to avoid assumptions and assure that everyone gets a fair deal. Avoidance of contracts on the other hand is a massive indicator of either ignorance or bad intentions.