You protect your process by sharing only what the plant needs, in stages, and only after the right agreements are signed. The contract does part of the work. How you run the technology transfer does the rest.
No agreement makes leakage impossible. The aim is to make it unattractive, easy to detect and possible to enforce. Our article on custom synthesis covers the general case; this one focuses on the day-to-day practice.
The agreements to put in place
Most buyers use a short sequence of documents. These are the usual ones:
- A confidentiality agreement signed before you share anything beyond the target specification.
- A development agreement that sets out the work, the trial batch and who owns any improvements the plant makes.
- A supply agreement that commits the plant to sell the product only to you, or not to sell it to named competitors, for a set period.
- Change control terms that bar the plant from changing the route, raw materials or site without your written approval.
- Exit terms that require the plant to return or destroy your documents and stop using your process when the deal ends.
Indian contract law recognises confidentiality obligations, but enforcing them through Indian courts can be slow. Choose the governing law and dispute route with care. Arbitration with a named seat is common. Take advice from a lawyer who knows both your country and India.
Running the transfer in practice
Release information in stages. Give the specification first, then the route outline, and only give full process details once the plant has shown it can make good lab samples.
Hold back what you can. Some buyers supply a key reagent or catalyst themselves, or keep a final purification step in-house. Split the process across two plants only if both can be controlled, since it adds risk of its own.
Keep a written record of exactly what you sent and when. Number and watermark documents. Limit who at the plant receives them, and ask for their names.
Checking the plant keeps its word
Choose a plant that does not already sell a similar product into your market. Check its customer base during the audit. Visit unannounced from time to time, and look at the batch records for your product.
Watch the market. If your molecule appears from a new seller at an unexpected price, act early. Our guide to auditing an intermediates plant covers what to look at on site.
Next step
We work for you, not the factory. We check plants' customer bases, manage trial batches and visit during production to see your process is handled as agreed. To discuss your project, book a free sourcing review.