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Business Tip:
Avoid Copyright Problems

by Tom Dahm,
Chief Operations Officer,
NetMechanic, Inc.

  
June 1999
Vol. 2, No. 6
 • Server Tip
 • HTML Tip
 • Business Tip
  

Who owns the materials on your Web site? The answer may surprise you, especially if you use contract workers.

Building a Web site requires ample skill and knowledge. Designers, editors, and programmers can spend weeks, even months, pulling together just the right combination of content, graphics, and in some cases multimedia to execute the perfect site.

The question is, who owns it? And this question can be just as important to small businesses as it is to a big media firm.

The copyright issue is a sticky one for Web site owners and their employees, particularly contractors. Currently in the U.S., there are no laws that specifically address copyright issues in the online world. The U.S. courts have ruled that existing copyright laws governing the print world can be applied to the online world, however.

The keys to protecting yourself are to negotiate good agreements and to get everything in writing - and be very, very cautious about the wording of your documents. Here are some issues you are likely face while building your Web site, along with some tips that could potentially reduce your copyright vulnerability.

(Please note that these are simply guidelines and suggestions; for a complete plan of attack, please consult a lawyer who is familiar with online copyright issues.)

In-House Talent Agreements

Most managers assume that any material produced in-house automatically belongs to the company. However, depending on the wording in your employee contracts and policy mandates, this might not necessarily be true. The existing copyright laws state that authors (e.g., the designer or content writer) are the default owners of the materials they produce. Therefore, even if the materials are created in your office on a machine owned by your company, the material itself is still the property of the person who created it. In theory, an employee could take materials built for your company to another organization - even a competitor.

Your first line of defense is your contract with the employee, whether it is an explicit contract or a documented company policy. In either your standard contract or a separate document, spell out your position. State that the company owns the copyright for any and all materials that appear on the Web site. Also, make it clear to the employee if they have permission to reuse some or all of the materials in another form. You also must decide up front if you will retain ownership of materials created for the Web site, but not used by the company. If not, outline how the employee may use the materials elsewhere (e.g., in a portfolio) - if at all.

Hiring Outside Talent

Hiring contract talent to develop materials for a Web site can be tricky, but not impossible. Under the existing copyright laws, authors (creator) of the materials retain the copyright, unless they explicitly sign it over to another party. When they sign over first usage rights, they are basically leasing the material to you for use on your site. Therefore, it is important to state your exact expectations before the contractor begins work. If you plan to use the material in many different projects (e.g., marketing materials), negotiate that right up front. If you want to purchase the copyright completely, tell the author up front. And, of course, put it in writing.

Another issue to discuss up front with your creative team is the use of republished materials. Whether it is a graphic or a slice of text, using materials culled from another source leaves you, the Web site owner, open to a copyright-violation lawsuit. It is in your best interest to ask your worker to sign an affidavit stating he/she will not reuse materials from another source. If there is a valid reason for using reuse material (e.g., to illustrate a point), get written permission from the copyright owner to republish the material before you put it online. (You should also be prepared to remove copyrighted material upon request. Copyright owners can, and do, change their minds.)

Whether you are dealing with an in-house employee or a contractor, be sure that you go over the terms of the contract verbally. If they have questions or doubts, resolve them before you both sign on the dotted line. If at all possible, have a lawyer who is familiar with online copyright issues review the contract. Remember, an ounce of prevention can save a fortune in legal fees farther down the line.

Any material printed (or otherwise published) in the U.S. after 1922 is protected under copyright laws, unless it was (1) published by the Federal government or (2) the copyright owner explicitly gives up his/her ownership of the copyright. Generally, material published before 1922 is considered to be in the "public domain" that is, it can be reprinted without permission. However, some materials were copyrighted by authors (and their descendants) after 1922, so be prepared to take down materials on request.

This tip reprinted courtesy of Workz.com



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