work product rights
Definition
Work product rights determine who legally owns the things your employees or contractors create while working for your business, such as code, designs, written content, or inventions. In most cases, work created by a paid employee during their normal job duties belongs to the employer, but contractors often retain ownership of their work unless a written agreement says otherwise. Getting this wrong can mean someone else legally owns something you paid to have created.
Example
You hire a freelance graphic designer to create your company logo, but without a written agreement transferring ownership to you, that designer technically owns the logo and could prevent you from using it or sell it to someone else.
Watch Out
Always include a written ownership clause in any contract with a freelancer or contractor before work begins, because a handshake deal or a simple invoice will not automatically give you ownership of what they create.
See which terms appear in your contract?
This definition is for informational purposes only and does not constitute legal advice. Please consult with a licensed attorney for legal guidance.