If you’re in business, you can’t escape copyrights. And if you don’t understand the ins and outs of how copyrights work, legal trouble could be waiting around the corner.
We’re surrounded by ubiquitous content — web pages, social media, videos, product designs, training manuals, advertisements, software, and more. And they’re all copyrighted, whether you created them or not.
And yet, many businesses don’t know how copyright works, and only get that sorted out later when facing financial or legal implications.
Copyrights protect original creative work and give creators exclusive usage, reproduction, and distribution rights. For companies, education on copyrights is not just about the law. It’s the smartest way to protect your brand, respect other people’s property rights, and avoid costly blunders.
With that said, here are five things every business should know about copyrights.
1. Copyright Protection Happens Automatically
A major copyright myth is that you must register something for it to be copyrighted. The truth is that copyright protection automatically occurs the instant work is done and fixed in some sort of material way. So, when someone writes content, creates a logo, or produces a video, it’s already protected under copyright. Registration isn’t required.
But while protection doesn’t require registration, it still makes sense to register a copyright with the U.S. Copyright Office. Doing so will offer benefits like the ability to:
- Sue for infringement
- Collect statutory damages and attorney’s fees
- Establish a public record of ownership
For businesses, it’s worth registering copyrights because of the additional protection.
2. Not All That Is Online Is Free to Use
Many companies mistakenly believe that if something is online, then it can be utilized for free. The reality is almost all content online is copyrighted automatically.
Infringing on copyrighted work — a stock photo, music clip, or portion of an article — can land you in court even if there was no intention to infringe on a copyright.
To err on the safe side, businesses ought to do the following to avoid copyright violations:
- Use licensed or royalty-free content
- Obtain permission prior to using third-party content
- Make use of public domain or clearly marked Creative Commons content
Violating someone else’s copyright can cost you time, money, and your reputation.
3. Your Business Doesn’t Automatically Own Whatever Your Employees or Contractors Do
Another mistaken belief is that a business automatically owns whatever its employees or contractors produce.
If an employee produces something as part of their job, the employer will normally own the copyright. This is “work made for hire.”
Generally, however, contractors own copyright for what they create unless there is an agreement in writing to the contrary.
This is a crucial nuance. When you commission a freelancer to produce content or a logo and there’s no signed agreement transferring the copyright to your company, it remains their content or logo — and they have legal recourse should you violate their copyright.
4. Copyright Infringement Can Cost You
Even unintentional infringement may have serious consequences. If your business is using copyrighted material without permission – either by mistake or on purpose – you could be facing takedown notices under the Digital Millennium Copyright Act, cease-and-desist letters, lawsuits, and more.
Businesses ought to inform their staff about basic copyright rules, have internet content use policies, and consult with experts in law whenever unsure about copyright laws.
5. Copyright Can Be a Business Asset
Beyond legal compliance, businesses should think of copyrights as valuable assets. Your company may already own copyrights in the following:
- Software or apps you’ve developed
- Website content and blogs
- Logos and branding materials
- Videos, presentations, and training modules
- Marketing collateral and product packaging
These assets contribute to your brand value, competitive advantage, and business worth. Strategically registering significant works and copyright portfolios is a must.
Copyright law affects nearly every business function today, from product creation and advertising to web content. Having a basic understanding of copyrights can put you on the right path. Rather than treating copyright compliance as a hassle, smart businesses see it as a chance to protect their investment, respect other people’s work, and position themselves for long-term success.