Copyright can also be transferred or assigned, either through a contract or by operation of law. Copyright also may be passed on to one's heirs. Under certain circumstances, transfers or licenses may be terminated by the author or his or her heirs. Again, it is preferable to consider the options and to have both parties agree in writing on a transfer or assignment. Copyright rights can be licensed, and licensing opens up a variety of possibilities and options to the parties.
Licenses can be exclusive or non-exclusive.
Licenses are useful in situations where you do not need to obtain full ownership of the intellectual property, or in instances, as with certain types of software, for example, where it is clear that the copyrighted material is intended to be used by multiple parties. Various royalty or other payment arrangements may be involved. Royalties are often based on the number of users, viewers or listeners, or on sales of publications, but minimum annual guarantees are not uncommon. Requirements that licensees verify the number of users, or provide certain financial and accounting information to the copyright owner, may be included. Licensing options may offer a less expensive way to get the rights you need than an outright transfer or work for hire arrangement.