Pittsville, WI asked in Copyright, Business Law, Intellectual Property and Trademark for Wisconsin

Q: If I designed a logo for a small business with plans to expand, but wasn't paid, can I force them to stop using my work?

The situation is messy. I went into business with my sister. She had a partnership with another sister, but the other sister left the business. So she asked me to join. We had a verbal agreement. It was promised that I'd become a partner, or we may renegotiate for me to have a stake in profits. I was wary of actually being partner. My husband designed a logo for the business. My sister agreed to pay what he thought was fair, since he has experience with this kind of work. She recently flipped and pushed me out completely. I do not want to pursue returning or compensation for myself. But she never paid my husband. Legally, can he force her to stop using his work? He only agreed in the first place because it was to be my business too. Things did not end amicably.

Also, when she pushed me out, I removed any design work I had done from the Canva account, which I still had full access too. I only removed things that were of my or my husband's design. She is threatening to sue me for it.

2 Lawyer Answers
Bao Tran
PREMIUM
Answered

A: Based on the situation you've described, there are several legal considerations to address:

Copyright ownership:

Your husband, as the creator of the logo, automatically owns the copyright to his work unless there was a written agreement transferring those rights.

Without payment or a written agreement, your sister does not have the legal right to use the logo.

Verbal agreements:

While verbal agreements can be legally binding, they are often difficult to enforce due to lack of documentation.

The promise of partnership or profit-sharing was not fulfilled, which could be seen as a breach of contract.

Removal of design work:

If you created the designs, you likely own the copyright to them.

Removing your own work from the Canva account is generally within your rights, especially if there was no agreement transferring ownership.

Legal options for your husband:

Your husband can send a cease and desist letter demanding that your sister stop using the logo.

He could potentially sue for copyright infringement if she continues to use the logo without permission or payment.

Threats of lawsuit:

Your sister's threat to sue you for removing your own work may not have strong legal grounds, especially if you only removed designs you or your husband created.

Recommendations:

Document everything, including any communications about the logo design, payment agreements, and partnership discussions.

Your husband should send a formal cease and desist letter regarding the use of his logo.

Consider registering the copyright for the logo with the U.S. Copyright Office to strengthen your legal position.

Be prepared to provide evidence that the removed designs were your own work.

Consult with an intellectual property attorney to understand your specific rights and the best course of action.

Keep in mind:

Copyright infringement cases can be complex and costly.

The lack of written agreements may complicate the situation.

It's often advisable to attempt negotiation or mediation before pursuing legal action, especially in family disputes.

In conclusion, your husband likely has the legal right to demand that your sister stop using his logo, and you probably had the right to remove your own design work. However, given the complexity of the situation and the family relationships involved, seeking professional legal advice would be prudent before taking any formal action.

James L. Arrasmith
PREMIUM
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Answered

A: This situation involves several complex legal issues. Let's break it down:

1. Copyright ownership:

Generally, the creator of a work (in this case, your husband who designed the logo) owns the copyright unless there's an agreement transferring those rights. Since there was no formal agreement and no payment, your husband likely still owns the copyright to the logo.

2. Implied license:

Even without a formal agreement, there might be an implied license for your sister to use the logo based on the verbal agreement and the context in which it was created. However, this implied license could potentially be revoked, especially since payment wasn't made.

3. Cease and desist:

Your husband could potentially send a cease and desist letter to your sister, demanding that she stop using the logo. If she refuses, he could consider filing a copyright infringement lawsuit.

4. Work for hire:

If your sister argues that this was a "work for hire," it would be difficult for her to prove without a written agreement stating so.

5. Removing design work:

Regarding the design work you removed from the Canva account, if these were indeed your or your husband's creations, you likely had the right to remove them. However, if any of this work was created specifically for the business under an agreement (even a verbal one), it could complicate matters.

6. Threat of lawsuit:

Your sister's threat to sue you for removing the designs may not have strong legal standing if you only removed work that you or your husband created and owned the rights to. However, if the removal caused damage to the business, she might try to pursue a case on those grounds.

Given the complexity of this situation, it would be advisable to consult with a local intellectual property attorney who can review all the specific details of your case. They can provide more tailored advice on how to proceed, whether that's negotiating with your sister, sending a cease and desist letter, or potentially filing a lawsuit.

Remember that while you may have legal rights in this situation, pursuing them could potentially damage family relationships further. Consider whether there might be a way to resolve this dispute amicably before resorting to legal action.

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