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LICENSING

What is a perpetual license?

THE SHORT ANSWER

A perpetual licence is a licence granting the right to use a piece of work for an unlimited duration, with no expiry date, unlike a time-limited licence that ends after a set term. It is still fundamentally a licence, not ownership, meaning the original creator keeps the copyright and the licensee only holds the specific usage rights described in the agreement. A perpetual licence can still be limited in other ways, such as being non-exclusive, restricted to a particular territory, or scoped to a specific use.

Perpetual does not mean unlimited

This is the single most common misunderstanding. "Perpetual" only describes duration, meaning the licence never expires on its own. It says nothing about scope. A perpetual licence can still restrict you to a single medium, a single territory, non-commercial use only, or non-exclusive use alongside other licensees. Read the rest of the clause. The word "perpetual" on its own tells you almost nothing about what you got.

How it differs from an assignment

Even a perpetual, exclusive, worldwide licence is not the same as owning the copyright outright. The creator retains authorship and, in the EU and UK, any moral rights, and the licence can potentially be challenged or terminated in narrow circumstances, such as a material breach of the agreement's terms, depending on how the contract is drafted. An assignment, by contrast, transfers the underlying ownership itself, with no such reliance on ongoing contractual terms.

Where perpetual licences are common

Stock photography, music libraries, software licensing and font foundries frequently use perpetual licences, since they let the buyer use an asset indefinitely without needing to renew, while the creator or platform retains ownership and can license the same asset to others under a non-exclusive structure. This is a common and reasonable middle ground for many commercial situations.

What to check before relying on one

Confirm whether the licence is exclusive or non-exclusive, what specific uses are permitted, whether it can be revoked for breach, and whether it transfers with a sale of your business or only applies to you personally. Perpetual licences that are personal and non-transferable can become a serious problem if your company is later acquired or restructured.

KEY FACTS

  • 01A perpetual licence has no expiry date but is still not the same as owning the copyright.
  • 02Scope, exclusivity, and territory are separate terms from duration and must be checked independently.
  • 03The creator generally keeps authorship and any moral rights under a perpetual licence.
  • 04Perpetual licences that are personal and non-transferable may not survive a business sale.

FAQ

Can a perpetual licence be cancelled?

It can be, if the contract includes termination conditions such as breach of payment or misuse, so read the clause carefully.

Is a perpetual licence the same as buying the work?

No, ownership stays with the original creator unless the agreement is a full assignment instead.

Does a perpetual licence automatically cover future formats or platforms?

Not necessarily, since scope is usually defined by the specific media or uses named in the agreement.

Can the same work be perpetually licensed to multiple people?

Yes, unless the licence is explicitly exclusive, in which case only one licensee holds those rights.

LAST REVIEWED 01. aug. 2026 · DANSK