In the music industry, a work for hire agreement is commonly used when artists, composers, or session musicians are hired to create original music. Under this agreement, the hiring party, such as a music producer or a record label, owns the copyright to the music, allowing them to exercise control over its distribution, licensing, and commercialization.
The creator, whether it be a songwriter, composer, or session musician, does not retain copyright ownership and is typically compensated through a predetermined fee or royalty arrangement. It must be noted that there is a difference between a work made for hire and an assignment.
Difference between work made for hire and an assignment
In an agreement, a creator can terminate an assignment of rights and reclaim the ownership interest in a copyright work by exercising his or her termination rights. However, if the agreement was legally formed as a work made for hire, the rights are owned by the hiring party for the full term of protection and cannot be terminated.
