Intellectual property (IP) refers to a key business asset, including: <\/p>\n\n\n\n
Many businesses mistakenly believe that paying a freelancer alone gives them ownership of the work and all IP rights. However, this is not the case, and businesses need to take steps to own the IP a freelancer creates. <\/p>\n\n\n\n
This article explains who owns IP created by freelancers and how to protect your business from IP risk<\/a> when you are using freelancers.<\/p>\n\n\n\n Under English law, the creator of a work usually owns the copyright, unless the work is created by an employee as part of their job. Copyright protects original creative works that are recorded, such as written content or music.<\/p>\n\n\n\n When you hire a freelancer<\/a> to create work or materials for you, they will typically own the copyright or other IP rights in what they produce. This applies even if the freelancer creates work specifically for your business and you pay in full. Payment, detailed instructions, or even the supply of materials to the freelancer alone will not transfer ownership to your business. In practice, you will need a written, signed agreement to transfer ownership of copyright.<\/p>\n\n\n\n Courts might, in very limited scenarios, recognise an equitable assignment (i.e, transfer) of IP rights where both parties\u2019 intentions are exceptionally clear. However, businesses should not rely on this, as it is uncertain and risky. A clear written IP assignment is much safer and is generally relatively straightforward to put in place.<\/p>\n\n\n\n For a lot of businesses, copyright is the main IP right in freelance work. It protects original materials they commission, such as:<\/p>\n\n\n\n If your business does not own the copyright, your rights to use the work may be limited. In practice, this can restrict how you: <\/p>\n\n\n\n This can be hugely problematic if a freelancer builds a core asset, such as a bespoke app or software platform. If the freelancer owns the code, your business may depend on rights it does not fully control. <\/p>\n\n\n\n The risk can worsen if the business becomes more heavily reliant on the software or wishes to commercialise it, for example licence it to third parties.<\/p>\n<\/div>\n\n\n\n\n\n Continue reading this article below the form\n <\/i>\n<\/a>\nWho Owns IP Created by Freelancers?<\/h2>\n\n\n\n
The Commercial Consequences<\/h2>\n\n\n\n
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