Ownership and Buy Out of Files

Author of this post: Jean Perwin | About Blog Authors »

You asked your legal, copyright, and trademark questions, and Jean has answered! All questions are culled from the comments section attached to the original ‘Ask Jean’ post. We invite you to ask more questions.

Hi Jean,

For the past six years I’ve developed the print design department of a small company. There was just me and the computer doing the creative and production work, and the boss facilitating with infrastructure and a wage. I got tired of the office politics, left that company and started my own. Many customers have come with me. My question is, who owns the customer files? If the old company wants to sell them, is that legal, and what are they worth? This is a small community and a lot of goodwill is at stake here. But I don’t want to sacrifice more than I have to.
Thanks for any help you can provide!
Sue

Dear Sue,

If you were an employee of your old company, all the work you did for them for their customers belongs to them as work made for hire. If the customers were given the files and the company transferred the rights to them in writing, then the customer owns its own files. But, if not, the company owns them. The old company can sell the files it owns to anyone who wants to buy them and they are worth what someone wants to pay for them. My advice would be to have to clients ask for their files and pay the difference between what they already paid and whatever the company would have charged them for a full buyout of the rights when they first hired the company to do the work. That way, you stay out of the transaction; the customer gets its files and can do what it wants with them.
Best,
Jean

One Response to “Ownership and Buy Out of Files”

  1. Laura Says:

    I photographed a painting on the wall of a resturant with the (at that time) owners permission. The resturant burned and the land sold.
    The painter is long since gone as far as I know.
    I can restore this painting, but who owns it now? Me? The old owner before the building burned, the painter or painters family, or the new owner of the land that is now a parking lot?

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