Game Development Community

Ownership rights

by Marvin Hawkins · in General Discussion · 07/12/2005 (11:45 am) · 12 replies

Hi I'm setting up my media company and one of our main services is game development. I don't want to hire employees but would prefer to use subcontractors or team members. I know that if you use a subcontractor you can use a work for hire agreement and that work then becomes your company's property.

I have a few question if i just decide to form of a team of individuals. If i go this route, these team members probably won't get paid until the game brings in some sort of revenue. (either on completion or by getting advances from a publisher)

In your experiences how do you handle team member contracts?

If someone creates an original Intellectual property who gets ownership at the completion of the project?

What happens if that person leaves the team?

Since we're on the subject.... how do you handle team member payments?

as always any help is appreciated.

#1
07/12/2005 (11:57 am)
There are as many answers to that question as there are programming teams.
The most innovative solution I have found is the Planeshift license. However it is designed with the thought of no one ever making money explicitly from the game itself.

I would highly recommend then, doing work for hire, for predetermined amounts or money, with sole and exclusive rights to said product.

But then again IANAL, I suggest you hire one though to write your contracts, because if you don't it will come back to bite you in the @ss, when some persona non-grata that contributed 10 lines of code or one model or some such non-sense, figures they are entitled to 75% of your profits.

Also make sure to setup a corporation, that holds all rights, responsibilities and liabilities to said product, you do this to protect your personal @ssets from the inevitable legal assualt that will occur, when someone breaks his toe in a traffic accident that was caused because the driver of the vehicle spent all night playing your attack of the fuzzy bunny game, and therefore was too tired to drive.

Have fun!
#2
07/12/2005 (12:43 pm)
You might want to look into the "GameDevKit". Its made by a lawyer, and it includes forms and legal advice for starting for-profit game companies. It costs about $300. I don't know anyone who bought it, so I don't know if it will really save you a trip to a lawyer, but it looks like something worth looking into if cash is involved.
#3
07/12/2005 (2:34 pm)
It looks cool i just wish i knew of someone that bought it. But the stuff he's discussing i've already found covered in books. And the forms themselves can probably be obtained at office depot.... so the price seems a little steep.
#4
07/12/2005 (2:57 pm)
From what I saw on other bulletin boards (indiegamer.com, gamedev.net), the attorney who made it, Tom Buscaglia, seems pretty friendly and eager to help out indies, often for free. If you have questions, its probably worthwhile to email or call him.
#5
07/13/2005 (9:27 am)
The price is far from steep ;)

Ask your family lawyer what they typically charge for said advice :)
#6
07/13/2005 (11:33 am)
Good ideas all, I don't really have a family lawyer...

I don't know how much info i could get out of an attorney before they start charging. I'm going to try to contact Tom Buscaglia to see. But based on the sample the info seems general.

@ Dreamer

What is IANAL?
#7
07/15/2005 (2:06 pm)
You can outsource programming at this awesome website I've become a member at: RentACoder

you retain ALL the rights to ANY work you get done from that site.. They have legally binding contracts that the programmer (coder) agrees to.. plus they have a safe escrow system so that you don't have to worry about paying some guy for a $5000 project and not getting anything in return. You only have to pay the programmer(s) if you are happy with what you get.

Hope that helps,

Tom
#8
08/05/2005 (11:33 pm)
Since it has been mentioned over and over in these forums, and I referenced it myself....
(Yes, the information on his site does seem general...and it is, to anyone with any experience with running a company... But what you're getting isn't the general background information...it's the special "encoded" Language of the Law, which is proven to hold up in Court.)

Game Dev Kit - Tom Buscaglia - <$300

I bought it. I modified it to fit my company's needs. I had Tom review and approve of my modifications, and then I had 3 other attourneys review it...including a government lawyer and an international law specialist. I use it extensively. Each of my employees/contractors signs 2 of the forms...an IP agreement, and a NDA. No sign...no work...no exceptions. In total, I have 9 documents made up for various situations (minors, international, sub-contractor, individual, company, etc...even one for potential investors/publishers).

Honestly, you can't go wrong with this. I looked around on the net...compaired it with other agreements in use by other companies... You just can't miss. For just under $300, it really is a steal of a deal. Tom is very accessable via email, always in a good mood, and most importantly, passionate about the gaming industry! He really does know his stuff...game law is is specality.

Feel free to contact me directly if you have any questions or doubts. I'd be happy to offer a referral on your behalf if you decide to pursue his kit.
#9
08/06/2005 (2:32 am)
@ Marvin Hawkins : IANAL means " I am not a lawyer"

Cheers
#10
08/06/2005 (9:36 am)
@ Farukh I already figured it out thanks though. I slowly learning the lingo

@ Arikis hmm I am really considering it. What kind of rates does a lawyer charge to review your legal documents though?
#11
08/06/2005 (9:51 am)
I have the GameDevKit, and actually work with Tom at his office. I am an indie game developer and Tom has been a great help. He loves talking to Indies and truly loves the industry. You can call the office at 305-324-6000 and ask any questions about the kit to him directly. The contracts are well worth it alone never mind the guidance on how to start a game company and copyright and Ip ownerships. Contact me directly if you have any questions about the kit.

GM Clark you bought the kit? I looked over all the people that bought the kit and didn't see your name...hmm. I guess i didn't add you to the database of purchasers. I will check again on Monday to make sure.

My email is kcarvalho(at)parasyticmoon.com
#12
08/08/2005 (2:16 pm)
@ Marvin

Rates are going to vary from laywer to laywer. Just to review and provide an opinion on a document cost me between $60/page and $200. Call around. You should be able to find some who will work on a retainer...that is, pay in advance for services you'll need to start your company. You can save a lot of money by hiring a lawyer on retainer, plus you have more open access to him when needed.


@ Kenny

Yes, I bought The Kit some time around 20-Feb-2005. At least, that's the date on the email Tom sent it to me in. Contact me directly (email address is in my profile on this site) if you still can't find it.