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As a graphic designer, you must protect your unique work and intellectual property. In this digital media age, there is increasing demand for graphic designers, whether through digital advertising, website design or otherwise. There are various forms of graphic design businesses, all with different specialisms.
This article will explore some handy legal documents that can help protect your graphic design organisation and help it grow and expand going forward.
What Are the Core Legal Documents?
Every type of business requires various forms of documentation, and graphic design businesses are no exception. Drafting strong documents can provide legal protection against the theft or misuse of your company’s designs. This article will focus on the bare essentials rather than every possible legal document.
As such, we will explore the use of the following legal documents:
- terms of use documents for your website;
- privacy policies;
- employment or independent contractor agreements; and
- customer agreements.
Each document is outlined in detail below.
Website Terms of Use Document
Your website should contain a ‘terms of use’ document. Its purpose is to outline the essential rules for people to use your website. This is an essential document for a graphic design business, as your website will likely show some of your company’s designs and intellectual property.
Most website terms of use documents will confirm the following:
- your organisation is not responsible for any computer viruses or malware suffered from the use of the website;
- circumstances in which your company may ban a user from accessing the website;
- forbidding website users from copying any images or text from the website without your company’s prior written consent; and
- continued use of the website constitutes a formal acceptance of the rules within the terms of use document.
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Privacy Policy
This document informs customers (and potential customers) how your company intends to handle their personal data. The General Data Protection Regulation (GDPR) requires businesses in England to provide such information, and any failure to do so risks a fine from the Information Commissioner’s Office (ICO) of up to £17.5m.
Many graphic design businesses send periodic newsletters or details of current discounts to current and past customers (who have given consent for them to do so). Whether sent by post, text message or email, this constitutes handling of personal data and, therefore, requires an accessible privacy policy (usually on your website).
Employment or Independent Contractor Agreement
It is not uncommon for graphic design businesses to experience increasing demands when handling time-sensitive projects.
This form of contract usually confirms:
- the nature of the individual’s work for your business;
- the payment terms (how you calculate pay and when you will make payments);
- what pieces of equipment or software the individual has to provide and use (such as access to a computer and graphic design software licences);
- the individual must return any company property upon the ending of the contract; and
- that your company owns the designs and media (otherwise known as intellectual property) created by that individual during work for your business.
Alternatively, you may grant individuals a contract of employment. However, given the demand-driven nature of graphic design businesses, many companies in the sector prefer not to pay salaries to inactive staff members during periods of low demand. Moreover, many graphic designers prefer the flexibility and variety of freelance contracts rather than rigid employment contracts.
Customer Agreement
This records the arrangement between your company and your client. It may also be known as a client agreement or graphic design contract. Regardless of title, it aims to document the most important details of a deal with your company, such as:
- the fees due to your organisation for completion of the project;
- when those payments are due to be made (sometimes by providing a payment schedule including an estimate of the final payment total);
- any deadlines for completion of stages of a project;
- outlining the procedure (and any extra costs) where the client requires additional work;
- setting out any consequences of delivering the project after the agreed deadline date;
- confirmation of whether the customer will receive a licence to use your graphic designs or intellectual property (for example, you could seek only to grant this following receipt of full payment from the client); and
- termination provisions setting out how your business or the client can legally end the contract through a written notice.
Key Takeaways
The primary purpose of your company’s legal documents is to protect your intellectual property. As a graphic design business, you will likely require terms of use documents, privacy policies, employment agreements and customer agreements. Given the complexity and importance of these legal documents, many business owners seek the assistance of a specialist lawyer.
If you need help with contracts relating to graphic design, our experienced contract lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 0808 196 8584 or visit our membership page.
Frequently Asked Questions
Because, without ownership of your designs and images, any individual or rival company can use them to profit. Having IP rights over your media ensures they can only use those images with your company’s permission (usually in exchange for a fee).
One of the main reasons is the demand is so unpredictable in the industry. Therefore, businesses do not want employees during low-demand periods.
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