Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+

Business performanceEconomics, government & business

A question of ownership

by Personnel Today 2 Nov 2005
by Personnel Today 2 Nov 2005

Most employees will, during the course of their employment, create work containing intellectual property (IP) rights. Sometimes this will be valuable for their employers, not only in areas such as marketing, creative and research, but for all companies where staff produce presentations, marketing materials and create databases. Such work will attract copyright and possibly database right and design right protection.

IP rights generally automatically belong to the employer, as long as the work has been created in the course of the employee’s employment. Employers should, nonetheless, ensure there is a clause in their employment contracts allowing the employer all of the IP rights in work created by their employees.

Not all staff members will be aware of who is an employee and who is freelance. There is a danger that a freelance worker may be creating IP rights – a valuable asset that the business may need in the future.

In respect of non-employees, the first owner of copyright will be the creator of the work, not the company which commissioned the work. Companies should therefore always ensure that all freelance contracts assign the company the IP rights created in their work. Otherwise, companies may find themselves in the same unfortunate position as Dr Martens, which discovered that the copyright in one of its logos had been retained by a freelance designer who then assigned it to one of its competitors.

There are many examples of cases where companies will use third parties to create works for them, but will want the third parties to assign the IP rights in their work. Advertising agencies should be required to assign the copyright in the advertising copy that they produce. Branding consultants should transfer their copyright in any new logo or corporate image that they design. If a company appoints a freelance writer to prepare the narrative for its annual report, it should ensure it assigns the copyright to the company. Similarly, a company will want to own the artistic copyright in any photographs it commissions.

As a matter of course, employment contracts should also contain a confidentiality clause prohibiting employees from sharing any confidential information relating to the business with anyone else. Although a duty of confidence will be implied by law into employment contracts and may also be implied in other non-employment circumstances, it is not advisable to rely on this.

Without including a specific clause in employee contracts setting out employees’ obligations and defining what the company regards as confidential information, the only information that will definitely be protected is that which is so secret it can reasonably be described as a trade secret. The test is high, and accordingly employers should always ensure their employment contracts and terms of engagement with freelance workers contain express confidentiality obligations.

The other vital consideration for employers is to ensure that all employees, from receptionists to executives, are aware of the importance of IP. If employees are aware of the IP that their companies own and how it is infringed, they can be invaluable in recognising and reporting any infringements. Some companies even motivate their employees with incentives for discovering infringements.

Sign up to our weekly round-up of HR news and guidance

Receive the Personnel Today Direct e-newsletter every Wednesday

OptOut
This field is for validation purposes and should be left unchanged.

Having a written IP policy to guarantee a consistent approach across the business is also wise. Companies should ensure there is a visible chain of command so that everyone in the company knows who has responsibility for everything from particular brands or products to the appointment of freelancers.

If these basic steps are followed, one of a company’s most valuable assets will be better protected.

Geoff Steward is an intellectual property litigation partner at City law firm Macfarlanes

What should an IP policy contain?



  • The policy should explain what rights the company does and doesn’t own
  • which are the core brands
  • what the brand strategy is
  • what activity will not be tolerated (for example competitors using the company’s trademarks, advertising style or packaging)
  • who is responsible for which IP
  • who the external advisers are (for example solicitors and trademark or patent agents)
  • what the licensing or franchising strategy is
  • how the IP work is co-ordinated with the company’s other domestic and foreign offices
  • what to do if any infringements occur


Personnel Today

Personnel Today articles are written by an expert team of award-winning journalists who have been covering HR and L&D for many years. Some of our content is attributed to "Personnel Today" for a number of reasons, including: when numerous authors are associated with writing or editing a piece; or when the author is unknown (particularly for older articles).

previous post
Royal Mail loses head of diversity and inclusion
next post
Basic skills triumph for one million adults

You may also like

‘Replace sick notes with gym’, Streeting tells GPs

11 Jul 2025

MPs demand Home Office tightens visas to protect...

4 Jul 2025

Government publishes ‘roadmap’ for Employment Rights Bill

2 Jul 2025

Fall in entry-level jobs linked to rise of...

30 Jun 2025

Bank of England says NIC rise is dampening...

27 Jun 2025

Bioethanol plant closure could lead to 4,000 job...

26 Jun 2025

When will the Employment Rights Bill become law?

26 Jun 2025

Skills receive £1.2bn boost in new industrial strategy

23 Jun 2025

Employees want more upskilling and apprenticeships to narrow...

20 Jun 2025

UK job market shows signs of resilience

20 Jun 2025

  • Empower and engage for the future: A revolution in talent development (webinar) WEBINAR | As organisations strive...Read more
  • Empowering working parents and productivity during the summer holidays SPONSORED | Businesses play a...Read more
  • AI is here. Your workforce should be ready. SPONSORED | From content creation...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2025

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2025 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • Brightmine
    • Learn more
    • Products
    • Free trial
    • Request a quote
  • Webinars
  • Advertise
  • OHW+