If you’ve ever read through a client contract and seen the phrase “work made for hire,” you might have wondered: What exactly does this mean? And more importantly, what rights am I giving up by agreeing to it?
Spoiler: it’s probably more than you think.
Here’s what freelancers, creatives, and service providers need to know about work made for hire — and how to protect your rights.
What Does “Work Made for Hire” Mean?
“Work made for hire” is a legal phrase that means the client owns the rights to the work you create — automatically and entirely — as if they had created it themselves.
In short: if something is labeled as “work made for hire,” you don’t own it. You can’t reuse it, resell it, or even show it in your portfolio unless the client gives you permission.
This term comes from copyright law and is typically used to transfer ownership of creative work — designs, copy, illustrations, code, and more — from the creator to the client.
What Happens When You Agree to It
If you agree to work made for hire language, you’re saying:
- The client owns the final deliverables in full
- You do not retain copyright or usage rights
- You cannot reuse or repurpose any part of the work for future projects
- You likely need permission to even show the work in your portfolio
This can be completely appropriate in some settings — but it’s important to understand the tradeoff.
When It’s Reasonable to Agree
There are some projects where work made for hire is expected and makes sense. For example:
- Branding projects where the client wants full ownership of the assets
- Ghostwriting or white-label work
- Code that will be integrated into proprietary software
- Client engagements where exclusivity is part of the deal
In these cases, clients may reasonably expect to walk away with full control — and a clean IP chain for future funding, licensing, or product development.
When to Push Back or Ask for Alternatives
You might want to push back on work made for hire if:
- You want to reuse your framework, style, or codebase across clients
- You’re creating assets that are variations of something you’ve already built
- You want to show the work publicly (portfolio, case study, social media)
- The fee doesn’t reflect full rights transfer
In these cases, a better alternative is to retain ownership of the work and grant the client a broad license to use it. You can also negotiate a middle ground — for example, exclusive rights for a limited period, or portfolio rights with client approval.
Sample Work Made for Hire Clause
Here’s the kind of clause you might see in a standard agreement:
“Contractor agrees that all Deliverables created under this Agreement shall be considered ‘work made for hire’ and shall be the sole and exclusive property of the Client.”
Unless edited, this clause gives the client full and permanent ownership. If you want to retain rights, this clause needs to be modified.
Alternative Language: License Instead of Ownership
If you want to keep some control over your work, consider licensing your deliverables instead of giving them away completely.
Here’s a sample alternative:
“Contractor retains ownership of all Deliverables and grants Client a perpetual, non-exclusive license to use them for the purposes defined in this Agreement.”
This lets the client use the work — without transferring ownership of your IP or limiting your ability to reuse it.
Why This Clause Matters
Understanding work made for hire is critical because it affects:
- What rights you keep
- What you can show publicly
- How much you should charge
- Whether you can use your work again
Many freelancers sign contracts with this clause without knowing what they’re giving up. Don’t be one of them.
Need Help Editing or Understanding This Clause?
At Counsel Club, we break down complex legal terms and help you make the right calls for your business. When you generate a contract with us, you can customize your ownership terms — and decide whether to include work made for hire language at all.
Not sure what to choose? Ask Amicus, our AI-powered legal assistant:
“If I don’t agree to work made for hire, will the client still be able to use the work?”
“How do I carve out my design system or templates from the work made for hire clause?”
“What’s the difference between licensing and ownership?”
Amicus will walk you through each option in plain English.
Customize Your Contract with the Right IP Terms
Don’t give away your rights by accident. With Counsel Club, you can create a freelancer-friendly contract that’s clear, fair, and tailored to your workflow — with options for licensing, portfolio use, and more.
