How to grant the right to use a promotional video

Advertising videos are filmed to order, so there are two different persons: one is interested in a video advertising his product, he will use advertising in the future, another person creates such advertising and acquires the rights to it. This article reveals a way to transfer such rights.


What is a promotional video?

The advertising video refers to audiovisual works (Art. 1263 of the Civil Code of the Russian Federation). This means that it consists of several images that can be accompanied by sound, and the viewer sees such an advertisement using a technical device. Since video advertising is an audiovisual work, it is subject to protection, like other objects of copyright. Consequently, the creators own the copyright. You can read what these rights mean in another article from our lawyers.

Who gets the rights to the video

Among copyrights, the most significant is the exclusive right. The owner of the exclusive right determines how and for what purposes the work can be used. In the case of creating an advertising video, the exclusive right arises for the producer - the person who organized the creation of the content. Therefore, if you want to use the filmed advertisement, the producer will be the second party to your contract.   

Methods of granting the right 

There are two ways to dispose of exclusive rights. In the first case, an agreement is concluded on the alienation of the exclusive right. After its conclusion, you will no longer be able to determine the order of using the video. You can read more about it in another article. The second option is a more flexible license agreement. It allows you to grant the right for a certain time and under certain conditions.

What should be stipulated in the license agreement?

To begin with, it is worth determining for what purposes and what form the advertising video will be used. This is the main condition of your contract. It is necessary to indicate the rights to which advertisements you are transferring and the specific ways of using them.

The parties should agree on the period for which the copyright holder transfers the right to use the video. If the agreement does not contain such a condition, then the period will be equal to 5 years.

Then you should pay attention to the mandatory written form, otherwise the contract will have no legal value. It is also worth indicating the specific remuneration that the owner of the exclusive right will receive. The absence of a clause on this issue will entail the invalidity of the contract, even if the parties had in mind a gratuitous contract. Moreover, such a gratuitous contract concluded for the entire duration of the exclusive right and in any territory between commercial organizations is prohibited.

A reward condition might look like this:

  • One-time payment;
  • Recurring payments;
  • Profit percentage;
  • A combination of these methods;
  • License fees are included in the total cost of the contract (A40-196239 / 2016).

It is possible that the remuneration will be paid in whole or in part in the form of interest, and the person who has been granted the right to use will not use the promotional video. Then the owner of the exclusive rights can claim damages.

Thus, a license agreement is the most convenient way to provide the right to use an advertising video, in which it is possible to find a balance of interests. The parties should pay attention to the mandatory terms of the license agreement, without which it will be recognized as not concluded. One of them is a reward, for which there are several ways.


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