IP & trademark

Who owns the copyright, the employee, the freelancer or the client who paid?

Updated · Bahasa Malaysia · 中文

Key points

  • The author is first owner, subject to section 26(2).
  • Employment works and commissioned works are deemed transferred unless the agreement says otherwise.
  • Assignments and licences must be in writing.
  • The contract and the facts usually decide.
  • Keep records of how and when the work was created.

A designer leaves and starts using the logos she created at work. A client stops paying a web developer but keeps using the website. A photographer claims the shop cannot reuse photos from a paid shoot. These disputes all come back to who owns the copyright.

The starting point: the author

Copyright vests initially in the author (section 26(1)). The name on a work that purports to be the author's name is treated as such unless the contrary is proved (section 26(4)(a)).

Works made in the course of employment

Where a work is made in the course of the author's employment under a contract of service, copyright is deemed transferred to the employer, subject to any agreement excluding or limiting the transfer (section 26(2)(b)). The key questions are whether the person was an employee and whether making that work was part of the job. A sales executive who writes a novel at home on weekends is in a different position from a graphic designer producing campaign artwork.

Commissioned works

Where a work is commissioned by a person who is not the author's employer, copyright is deemed transferred to the commissioning party, again subject to any agreement excluding or limiting the transfer (section 26(2)(a)). This often favours the client who commissioned a logo, photo shoot or website. But many freelancer contracts expressly keep copyright with the creator and grant only a licence, and that agreement prevails.

Assignments and licences must be in writing

No assignment of copyright, and no licence to do an act controlled by copyright, has effect unless it is in writing (section 27(3)). Rights in a future work can be assigned in advance (section 27(6)). Co-owners are bound by an assignment or licence granted by one of them, subject to their agreement (section 27(4)).

How disputes usually turn

  • Was there a written agreement, and what does it say about ownership or licences?
  • Was the creator an employee or an independent contractor?
  • Was the work commissioned, and when?
  • Was the commissioning party's payment conditional, and was it made?
  • What do drafts, emails and file metadata show?

Unpaid invoices do not automatically reverse ownership, but they may affect licence terms and give rise to a separate debt claim; see claiming a debt without a written agreement.

Example

A Seremban bakery commissions a freelancer to design its logo. The quotation says the bakery receives full rights upon payment. The bakery pays, and later the freelancer objects to the logo on new packaging. The written terms and payment records support the bakery's ownership.

Common mistakes

  • Relying on a verbal "you own it".
  • Using a freelancer template that keeps copyright with the creator without noticing.
  • Assuming the employer owns everything an employee ever makes.
  • Not keeping drafts and correspondence.

When to speak to a lawyer

When an ownership dispute is blocking your use of a work, or a former employee or contractor is using it. See IP and trademark disputes or contact us.

Frequently asked questions

Does paying for a work always mean I own it?

Not always. A commissioned work is deemed transferred to you unless the agreement excludes or limits that, and many contracts do.

Can an ex-employee use their old work in a portfolio?

That depends on the employment terms and on whether the use infringes the employer's copyright. Many employers allow limited portfolio use.

Do I need to register to prove ownership?

No. Voluntary notification with MyIPO and an affidavit or statutory declaration can help with proof (sections 26A and 42).

Sources & fact check

Legal points in this article were checked against the primary sources below. The law can change; this is general information, not legal advice.

  1. Copyright Act 1987 (Act 332), AGC Laws of Malaysia
  2. Intellectual Property Corporation of Malaysia (MyIPO), official portal

Fact-checked on 17 Oct 2026

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