Expertise · Copyright, usage rights, and costs

Do you buy outright or purchase usage rights?

The question seems simple, but it can easily lead businesses to overpay by tens of millions for rights they will never use.

Quick summary

For most businesses, purchasing usage rights with a clear scope is sufficient; there is no need to buy out the entire copyright. Buyouts are very expensive because the creator loses all future revenue from the work, while the actual need is often just to use images on a few channels for a few years. If your real concern is that competitors should not use those images, an exclusivity clause can resolve that without needing a buyout.

Quick comparison
You should choose this direction when
  • Key images of the identity system should be used consistently across all touchpoints.
  • the large brand's images become identifying assets
Not needed when.
  • most businesses already know the channels and deadlines to use
  • the concern is only competitors not being able to choose exclusivity instead

Most customers ask this question out of concern: if they do not buy outright, one day the images may appear in unwanted places. That concern is reasonable, but the solution does not necessarily have to be a buyout. Before deciding, it is important to clearly understand what a buyout really is and what you truly need.

Buyout and usage rights: two different things

Buyout, or full copyright purchase, means the author transfers all property rights to the buyer. The author no longer retains any rights and does not earn any future income from that work. Therefore, the buyout price is high, as it compensates for all potential income the author permanently relinquishes.

A usage license is a more common form: the author retains copyright but grants you the right to use the image within agreed limits, for example: on social media and websites for two years, or for internal printed materials without a limit on quantity.

A common misunderstanding: unlimited usage rights for any medium do not mean unlimited time. The contract may allow use across all channels, but only for one to three years. Do not conflate these two aspects.

Four questions to identify real needs

Before negotiating, Sinh Vũ often asks clients four questions to understand the necessary level of authority:

  • Where will this image appear? Social media, website, outdoor signage, printed materials, or a mix?
  • How long will the photos be needed? For a short-term campaign or a long-term identity system?
  • What is the geographical scope? Is it just domestic or does it include the international market?
  • Do you need competitors not to use that image?

These four questions are usually enough to design a package that fits just right, not too much, not too little.

When to consider broader purchases

Select usage rights with scope: suitable for most small and medium enterprises. You know in advance where the images will be used and for how long. Reasonable costs, sufficient rights. If exclusivity is needed to prevent competitors from using them, simply add an exclusivity clause to the same contract. Consider buyout or very broad rights: suitable when images become brand-identifying assets used indefinitely across all touchpoints, or when a large brand needs absolute legal certainty for many years to come. Costs are significantly higher, but there are valid reasons.

Common mistakes when negotiating rights

  • Demanding a buyout for certainty and then paying a high price for rights that will never be used. A buyout is not "buying extra insurance"; it is paying for the future income of the creator.
  • Thinking a buyout of an image means the model's likeness is yours forever. The model's image rights and the location rights in the photo are governed by separate model release and location release contracts, completely distinct from photography copyright.
  • Confusing exclusivity with buyout. Exclusivity means the author does not license that image to anyone else. Buyout means the author transfers all rights. These two are different both legally and in terms of price.
  • Not clearly defining the scope in the contract leads to disputes after the photos have been published.

The viewpoint of Sinh Vũ

Sinh Vũ does not assume that proposing a buyout for clients is necessary, as in most cases, purchasing usage rights within the correct scope is sufficient and much more cost-effective. The standard approach is to clarify right from the brief: where will the images be used, for how long, and whether competitors need to be restricted from using them, then design the rights scope to fit those needs.

Since Sinh Vũ coordinates a team of partners including photographers, models, and locations, agreements regarding the photographer's copyright, the model's image rights, and location rights are handled with separate contracts for each party. When you want broad or exclusive rights, you need to negotiate consistently with all stakeholders from the beginning; simply paying more to one side is not sufficient.

Purchase the exact rights you need, avoiding excess or shortage. This is how to protect your budget while safeguarding your brand.

Practical experience of Sinh Vũ, based on the framework of ASMP and The Image Crafters
The tool brings back.

Decision checklist

Topic: Buying full copyright for images or purchasing usage rights?. Sinh Vũ guide, sinhvu.com

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Questions to answer before deciding

If you have marked most of the signs above, this is the time to discuss in more detail. Sinh Vũ can help you review and propose a direction.

References

The Image Crafters, guidelines for work-for-hire and buyout; Digital Art that Rocks, usage license guidelines; Vietnamese Intellectual Property Law (WIPO Lex). The legal information in this article is for reference only and does not replace legal advice.

Frequently asked questions

Does buyout mean I can use the model's face forever?

No. A buyout only addresses the rights of the photographer, not automatically including the image rights of models or location owners in the photo. Those rights are bound by separate model release and location release contracts. Both need to be negotiated simultaneously, not one.

A photography order contract means I have already secured the copyright, right?

According to Vietnamese law, for commissioned works, the client typically holds ownership rights, but the author retains personal rights, which cannot be transferred. The actual situation also depends on the specific contract terms. The safest approach is to clearly outline the scope of rights in the contract rather than relying on defaults, and it is advisable to consult a lawyer if the asset has significant value.

If I want to prevent competitors from using the images, what do I need to purchase?

You need an exclusivity clause in the usage rights contract, without necessarily buying out all copyrights. Exclusivity means the author commits not to license that image to any third party within the agreed scope and time. This is a more affordable solution than a buyout and meets the needs.

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