Copyright Authorship vs. Ownership – What Every Creator and Business Owner Should Know

Did you know that just because you create something, you might not actually own the copyright? Today, we’re diving into the difference between authorship and ownership in copyright law—because they’re not always the same thing!

© What is Copyright?

Copyright protects original works of authorship, like books, artwork, music, and even business content like websites and marketing materials.

But just because you’re the one who created it doesn’t always mean you own it!

✍🏻 Authorship vs. Ownership

Authorship refers to the person who actually creates the work. Ownership, however, is about who has the legal rights to control and profit from the work. These two don’t always match up, and here’s why.

  • Work Made for Hire:
    • If you create something as an employee, the employer almost certainly owns the copyright. Not only that, but the employer is also considered the author! Sometimes this will apply to works created on company time or on the company premises or equipment, even if they aren’t related to company business.
      • Businesses should make sure employment agreements make the terms of ownership clear.
      • Employees should look carefully at their employment agreements so they aren’t surprised about ownership rights.
    • There are a few other circumstances in which a creation is considered a work made for hire and the author is considered someone other than the creator. You can review those in Circular 30 at copyright.gov for more information on works made for hire. https://www.copyright.gov/circs/circ30.pdf
  • Freelancers & Contractors: If a freelancer creates content for a business, the freelancer is the author and the owner—unless there’s a written agreement transferring ownership. All freelance and contractor agreements should spell out the terms clearly and fully.
  • Collaborative Works: Co-authors share authorship and copyright ownership unless they agree otherwise in writing. This can get confusing easily, especially with music recordings, so make sure everything is in writing, not just a verbal agreement.

📃 Transferring Copyright – Assignment vs. Licensing

How does someone who isn’t the author gain rights to use the material? There are two main ways: assignment and licensing.

  • Assignment: This is a complete transfer of ownership. Once ownership rights are assigned, the original owner no longer has any rights though they remain the author. Often an assignment will permit the author to use the work for their own portfolio or personal use.
  • Licensing: The original owner retains ownership but grants specific usage rights to another party. Think of it like renting the work instead of selling/buying it outright.
    • Exclusive: Exclusive rights mean the owner is not allowed to license the rights to any other party during the existence of the license agreement.
    • Non-exclusive: If the owner licenses non-exclusive rights, that means the owner licenses it to a party but retains the rights to also license it to anyone they choose, even at the same time.

For business owners, it’s crucial to ensure that copyrights are properly assigned or licensed, especially if you hire freelancers or collaborate with others. If you personally own a copyright but want your business to use it, you can transfer it through an assignment agreement or grant a license to the business.

🗝 Key Takeaway:

Before you assume you own the copyright rights to something, check your contracts! If you’re a business owner, make sure you’re securing the rights to the content that keeps your business running. The consequences of misunderstandings about ownership and authorship can be serious and expensive.

Have questions? Drop them in the comments, and don’t forget to subscribe for more IP insights.

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Julie King

Julie is a licensed patent attorney and the founding attorney at King Patent Law, PLLC, with over 25 years of legal experience. Her practice focuses on intellectual property, business, and estate planning, and she's passionate about helping clients use IP tools to protect and grow their businesses. When she's not helping clients, you can find her at a live rock show, watching a horror movie, or playing the guitar (badly).
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This content is for informational and educational purposes only. It is not legal advice and does not create an attorney-client relationship. For advice about your specific situation, consult with a licensed attorney.

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