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FNLY Social

Guide: law

Usage rights for UGCWhat to settle in the contract

Paying for a UGC video does not automatically give you all rights to it. This article explains which rights exist, why the contract determines their scope and what you additionally need for ads. It is no legal advice.

In short

With UGC you may only use a video as the contract allows: if ads are not explicitly agreed, in case of doubt only the recognizable purpose of the order applies (§ 31(5) UrhG, German Copyright Act). So settle channels, organic or paid use, term and whitelisting in writing, and have the performers' consent under § 22 KUG (German Art Copyright Act) confirmed.

Copyright and usage rights

The copyright in the video stays with the person who created it. You receive a usage right.

§ 31 UrhG distinguishes between non-exclusive and exclusive usage rights, which can be limited by territory, time or content. A non-exclusive right allows you to use the video but does not exclude others. An exclusive right allows only you to use it, and then even the creator may no longer use the video elsewhere.

The purpose-of-transfer rule

Whatever is not explicitly stated in the contract is, in case of doubt, not transferred.

Under § 31(5) UrhG, if the types of use are not specified individually, the scope of a usage right depends on the purpose both parties had in mind when concluding the contract. If you order a video for Instagram, you generally cannot simply use it in a TV commercial or on posters. In a dispute, courts derive the scope from the circumstances: in 2019 the Higher Regional Court of Frankfurt (OLG Frankfurt, ref. 11 U 51/18) granted a company an unlimited usage right to a logo even though there was no explicit agreement. You should not rely on that.

Organic use and ads

The most important distinction in UGC rights is between organic use and paid advertising.

Organic useAds (paid usage)
What does it mean?posts on your own channels, website, storepaid ads on Meta, TikTok, YouTube and other networks
Typical termoften unlimited6 months, 12 months or unlimited
Surcharge on the marketusually included in the base priceagencies: 12 months +30 to 50 %, unlimited +100 to 150 % (chaerry); many platforms at no extra cost
At FNLY Socialunlimited in every packageStarter 6 months, Ads and Monthly 12 months; surcharge +€50 (12 months) or +€100 (unlimited) per video

Market figures according to chaerry and Speekly, as of 10/2026.

What the contract should say

A UGC contract should define the scope of rights clearly in seven points.

Type of rightnon-exclusive or exclusive
Channelsfor example Instagram, TikTok, YouTube, website, store, marketplaces, email
Type of useorganic, ads or both
Termfrom when and until when, for ads separately from organic use
TerritoryGermany, DACH, EU or worldwide
Editingwhether you may shorten, recut, subtitle or combine it with other material
Whitelisting and raw footagewhether ads through the creator's account and the handover of unedited footage are agreed

Whitelisting, Spark Ads and raw footage

Whitelisting and Spark Ads need a separate agreement, because they use the creator's name and account.

With whitelisting you run ads under the creator's profile. With Spark Ads on TikTok you promote an existing post by the creator with their approval. On the market this costs €100 to €300 per platform at agencies (chaerry), at FNLY Social €120 per platform and campaign for up to 3 months. Raw footage, the unedited recordings, is not included in many offers and costs from €49 on the market (Speekly), and also €49 at FNLY Social.

Performer consent under § 22 KUG

Anyone who can be recognized in the video must consent to publication, and for ads this consent should be in writing.

§ 22 KUG provides that images of a person may only be distributed with that person's consent. If the person was paid, consent is deemed given in case of doubt. For ads, a written model release stating purpose, media and duration is still advisable. Under certain circumstances consent can be withdrawn, for example if circumstances change significantly. The contract should therefore cover what happens to running ads in that case.

Note

This article gives a general overview of the legal situation and is no legal advice. For contracts in an individual case, please contact a lawyer.

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FAQ

Frequently asked questions

Do I own a UGC video once I have paid for it?

No. You receive a usage right, and the copyright stays with the person who created the video. The contract determines which use is allowed.

Can I run an organically licensed UGC video as an ad?

Generally not, if ads are not explicitly agreed. At FNLY Social, ad use can be added later for €50 (12 months) or €100 (unlimited) per video.

What happens when the ad term expires?

After expiry you may no longer use the video in new or running ads, unless agreed otherwise. Posts already published organically can usually stay up if organic use is unlimited.

What is a model release?

A model release is the written consent of a person shown that recordings of them may be used for specific purposes, media and periods. It serves as proof of consent under § 22 KUG.

Can a performer withdraw her consent?

Under certain circumstances withdrawal is possible, for example if her life circumstances change significantly. A good contract therefore covers what happens to running ads and content already published.

Do I need a separate agreement for whitelisting?

Yes, because ads run under the creator's name and profile. The agreement should specify platform, campaign and period.

How does FNLY Social handle rights?

Each package states channels, organic and paid use and the term in writing. We hold consent from all performers. The details are on our rights and disclosure page.

Usage rights for UGC

Rights that fit how you use the content

Tell us where and for how long the videos will run. We name the right package with rights settled in writing.