Who owns the code your contractor wrote?
Paying for work doesn't make you its owner. What an assignment does, and when to get one signed.
If a freelancer built your app, designed your logo or wrote your site, there's a good chance they still own it. Paying the invoice doesn't transfer the copyright.
Why paying isn't owning
Under U.S. copyright law, the person who makes a work owns it, unless they're your employee working within the job, or a signed agreement says otherwise. Most contractors and agencies aren't employees, and most of their work doesn't fit the narrow "work made for hire" categories.
What an assignment does
An assignment is a short written agreement in which the contractor transfers their rights in the work to you. It needs a signature, and it's best signed before the work starts, though it can be signed afterwards.
When it matters
- When you raise money: investors' lawyers ask for assignments from everyone who built the product.
- When you sell the company: the buyer is paying for what you own.
- When you enforce: you can only register and sue over a copyright you own.
Get the assignment signed while everyone is still friendly.
This is general information, not legal advice for your situation. We write contractor assignments for a flat fee.