Who Owns Commissioned Artwork? Understanding Copyright, Licensing, and Buyouts in Creative Work
When it comes to creative work, whether it’s illustration, graphic design, photography, or animation, there’s often some confusion around ownership.
Clients might assume that paying for a project means they own the artwork outright. Creatives, on the other hand, may feel unsure about how to approach licensing or copyright conversations.
The truth? Clear communication and written agreements help everyone.
When both sides understand how copyright and usage rights work, projects run more smoothly, expectations are aligned, and long-term partnerships are more likely to thrive.
Here’s what you need to know, whether you're a client commissioning artwork, or a creative producing it.
1. By Default, the Artist Owns the Copyright
In most countries, the moment a piece of creative work is produced, the copyright automatically belongs to the person who created it, even if it was commissioned.
This means the artist legally owns the right to reproduce, sell, or reuse the work, unless a written agreement says otherwise.
Payment doesn’t equal ownership. Instead, clients are typically paying for the work to be created and a licence to use it in specific ways.
2. Licensing
A licence grants the client permission to use the work under agreed terms. Things like:
Where it will be used (e.g. website, print, social media)
How long it will be used for
Whether the licence is exclusive or non-exclusive
Licensing terms help define how the artwork can be used, while the artist still retains ownership. It’s a flexible approach that benefits both parties: clients get the usage they need, and artists retain the ability to manage the rights to their work.
3. What Is a Buyout?
Sometimes, a client wants full ownership of the artwork. This is called a buyout, and it means the artist gives up the copyright completely. The client then owns all rights to the work, including the right to reproduce, sell, or modify it.
Because this is a permanent transfer of ownership, a buyout typically comes with a significantly higher fee (often 3x the base project cost) to reflect the value selling all future rights to the work.
For brands creating core visual assets like logos, character illustrations, or branded content, a buyout may be appropriate. In those cases, the transfer should be clearly documented in the agreement, along with any usage terms.
4. What About Source Files?
In graphic design, clients sometimes request source files (like .AI .PSD or .INDD files) in addition to the final artwork.
These files often contain reusable elements or proprietary techniques, so they’re not included by default. If source files are required, they should be discussed early and included in the contract, sometimes with a usage restriction or an additional fee, depending on the scope of the project. If the source file can function as a template, it’s often also priced at 3x the base project cost.
5. Know the Laws in Your Country
Copyright laws vary by region, and it’s important to understand how they apply to your situation.
For example, in Australia and the US, copyright can be transferred with a written agreement. But in some countries, (like Germany) copyright cannot be legally sold or assigned. Instead, clients are an granted exclusive, perpetual licence that functions similarly in practice.
If you're working with international clients or collaborators, it’s worth clarifying expectations upfront to avoid confusion later on.
6. An Artist Isn’t Obligated to Sell Their Rights
It’s entirely up to the artist whether they want to transfer copyright or not. There’s no rule that says a client is entitled to own the artwork outright, especially if that hasn’t been agreed to in writing.
Some artists never offer buyouts. Others do, but only in specific cases.
Either way, it’s about what both parties are comfortable with, and making sure those terms are clearly agreed upon before the project begins.
7. Why This Matters
Understanding copyright and licensing protects both creatives and clients.
For creatives, it ensures you’re compensated fairly and retain control of your work. For clients, it provides clarity on how you can use the artwork and helps you avoid unintentionally breaching copyright.
It also builds trust. When these terms are discussed early and documented clearly, projects run more smoothly, and the chances of long-term collaboration grow.
Wrapping Up
Whether you're commissioning creative work or producing it, understanding how copyright and licensing work is essential to a fair, respectful, and professional process.
The key takeaway? Unless stated otherwise in writing, copyright stays with the artist, and clients are paying for usage rights, not full ownership. And when ownership is needed, it should be discussed clearly and compensated accordingly.
For more information on copyright, licensing, and artist rights, these resources offer helpful guidance:
