Note: While the information contained in this post is not intended to be legal advice, we hope it helps empower you to make informed decisions regarding your content.
A license is an agreement in which the copyright owner of a work agrees to let another party use the work for certain purposes. A license does not transfer the copyright, but instead gives the licensee permission to use content in specific ways. Through a license, a copyright owner may give a licensee permission to use all or some of the copyright owner’s exclusive rights. The copyright holder may license content for a fee to the licensee, or may license the content for free.
What happens to my copyright when I license my content?
If you’re using a media licensor (agency, stock website, etc.) to license your content to customers, two things must happen:
1. You must give the media licensor permission to license your content to third parties.
The licensor obtains your permission through an agreement between you and the licensor; for instance, Shutterstock’s Submitter Terms of Service. By such agreement, you give the licensor permission to license your content to third parties, to the extent permitted by theagreement.
2. The licensor then licenses your content to customers according to a license that controls the customer’s right to use yourcontent.
Agencies and other websites may have examples of licenses publicly available for viewing. These licenses can give you an idea of how your content may be used by the customer. The important thing to remember is that licensing your content does not mean that you are transferring your copyright to a third party. Rather, licensing allows you to retain ownership of your copyright while giving permission to other parties to use your content.
What permissions do I give to Shutterstock to license my content?
The Shutterstock Submitter Terms of Service outlines the agreement you have with Shutterstock to license content on your behalf. If you haven’t already, please be sure to
read it to understand the rights and obligations that control your relationship with Shutterstock.
Here are some key points about the content you submit to Shutterstock:
• You retain all copyright ownership to the content you submit.
• You give Shutterstock permission to reproduce, prepare derivative works incorporating, publicly display, market, sublicense, and sell any Submitted Content uploaded by you and accepted by Shutterstock. Shutterstock uses these rights to display, market, and license your content through the Shutterstock website to customers.
• You do not have to license your images exclusively through Shutterstock. This means you can also upload your content to other stock agencies or websites for licensing.
• Shutterstock will pay you a royalty for each unique download of your content by a customer.
What rights am I licensing through Shutterstock?
Shutterstock licenses your content to customers under a Standard license, Enhanced license, or other customized license (e.g., Premier license).
The two key differences between the Standard and Enhanced licenses are:
1. The Standard license limits total distribution to fewer than 500,000 reproductions and/or impressions (or to a production budget less than USD $10,000, where applicable).
2. The Enhanced license permits the use of your content on merchandise for resale.
For example, if a customer wants to reproduce or use an image for both product packaging and in magazine ads, they can only reproduce or use the image a total of 500,000 times under the Standard License.
Under the Standard License, the customer can use an image 250,000 times on product packaging, and 250,000 times in magazine ads (or any other variation where the combined uses would not exceed 500,000 total reproductions and/or uses).
However, to reproduce or use an image more than 500,000 times, or to use content on merchandise for resale, the customer needs an Enhanced license.
Here are some additional differences between Shutterstock’s Standard and Enhanced licenses:
(Please note that this chart is not a substitute for reading the licenses in their entirety.)
Here are some key license restrictions in the Shutterstock Standard and Enhanced licenses:
(Again, note that this chart is not a substitute for reading the licenses in their entirety.)
This article is adapted from the Shutterstock “Protecting Your Content”Guide. To download the complete guide, click here.
Top Image: Copyright Printer Machine of Electronic Products by Crystal Eye Studio
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