What is a work-for-hire agreement, and what are its legal requirements?

A work-for-hire agreement is a contractual agreement between an individual or organization that is providing services (the “worker”) and another that seeks to purchase those services (the “hiring party”) and is commonly seen in the entertainment industry. The agreement states that the hiring party owns the rights to the finished work, and the worker is not entitled to receive royalties or other payments for their contribution. In order for a work-for-hire agreement to be legally binding in New York, it must satisfy certain criteria. First, the work must be specially ordered or commissioned for use in a particular medium, such as a film, television show, or video game. Second, the parties must agree that the services provided by the worker will be a “work made for hire” under the Copyright Act. Finally, the agreement must be in writing and signed by both parties. If all of these conditions are met, the hiring party is the legal owner of the work, and the worker does not have any right to challenge the hiring party’s ownership nor receive compensation beyond the payment agreed upon in the contract. Additionally, the hiring party has the right to modify, reproduce, or distribute the work without the worker’s consent.

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