AI Video Rights & Licensing: A Field Guide for Brands

"Can I actually use this for a TV spot?" "Do I own the copyright?" "What if the AI was trained on copyrighted data?"

If you’re a brand manager or agency owner exploring AI video, these questions are probably keeping you up at night. And rightfully so. The legal landscape of generative AI is moving fast, and the headlines are often filled with lawsuits and fear-mongering.

But here’s the reality: thousands of brands are already using AI video safely and commercially.

The key is understanding the rules of the road. This guide cuts through the noise to explain exactly what you own, what you don't, and how to stay safe when commissioning AI video content.

The Big Question: Copyright vs. Commercial Use

First, let's distinguish between two very different legal concepts that often get conflated: Copyrightability and Commercial Use Rights.

1. Copyrightability (Can I sue someone for stealing it?)

The U.S. Copyright Office (USCO) has been clear: copyright protection requires human authorship.

• Raw AI Output: If you type a prompt into Runway or Pika and generate a clip, that raw clip is generally not copyrightable. It’s considered machine-generated.
• Human-Edited Work: However, if you take that AI clip, edit it, add voiceovers, color grade it, and combine it with other assets to create a narrative video ad, that final compilation IS copyrightable.

The takeaway: You might not own the copyright to the raw pixels of the AI generation, but you do own the copyright to the final, creative advertisement you produce. This is typically sufficient protection for most marketing purpose.

2. Commercial Use Rights (Am I allowed to use it to sell stuff?)

This is what matters most for ads. Do you have the license to use the generated content in a commercial setting?

This depends entirely on the Terms of Service of the AI tool used.

The "Pay-to-Play" Reality of AI Tools

Most major AI video platforms operate on a freemium model where commercial rights are reserved for paying subscribers.

If you are using a free account to generate assets for a client, you are likely violating the Terms of Service.

Here is a breakdown of the commercial terms for the major players (as of late 2024):

Platform	Free Plan	Paid Plan (Pro/Standard)
Runway	✅ Commercial Use Allowed	✅ Commercial Use Allowed
Pika	❌ Personal Use Only	✅ Commercial Use Allowed
Luma Dream Machine	❌ Personal Use Only	✅ Commercial Use Allowed
HeyGen	⚠️ Non-Commercial Only (Watermarked)	✅ Commercial Use Allowed
OpenAI Sora	❌ (Likely Restricted)	✅ Commercial Use Allowed (projected)

The Risk: If you hire a "cheaper" freelancer who uses free accounts to save money, they are handing you legal liability.

The Viralix Standard: Every creator on Viralix is vetted to ensure they use professional, paid licenses for their tools, guaranteeing that the assets delivered to you are cleared for commercial use.

The "Training Data" Elephant in the Room

"But isn't the AI trained on copyrighted images? Isn't that infringement?"

This is the subject of ongoing class-action lawsuits. As of now, using these tools is generally considered safe for end-users (brands), as the liability for training data usage usually sits with the AI companies (OpenAI, Runway, etc.), not the users prompting them.

However, to be extra safe, follow these "Clean Prompting" rules:

1. Don't prompt for specific celebrities: Never use prompts like "in the style of Taylor Swift" or "Tom Cruise eating a burger."
2. Don't prompt for protected IP: Avoid "Mickey Mouse," "Nike Logo," or "Marvel Superhero."
3. Don't upload copyrighted images without permission: Don't use an Artist's protected painting as an image-to-video input unless you have the rights to that painting.

Who Owns the Output?

In almost all cases (Runway, Pika, Midjourney), the platform assigns ownership of the output to the user, provided the user is on a paid plan.

This means:

• You (or your creator) own the resulting video files.
• The Platform does NOT claim ownership (though they often retain a license to use it for model training, which you can sometimes opt-out of).

When you hire a creator through Viralix, our standard terms transfer all these rights to you, the client, upon final delivery.

How to Protect Your Brand: A Checklist

To use AI video safely, just follow this simple checklist:

1. Require "Human-in-the-Loop" Authorship

Don't just publish raw AI generations. Add human value—editing, text overlays, voiceovers, music. This transforms a non-copyrightable machine output into a copyrightable creative asset.

2. Verify Tool Licenses

Ensure your internal team or external agency is using Enterprise or Pro subscriptions for all tools. Do not use free trials for commercial work.

3. Avoid "Likeness" Issues

If you are generating human avatars, stick to synthetic (AI-generated) faces that don't resemble real celebrities. If you use a real person's likeness (e.g., a HeyGen avatar of your CEO), ensure you have their explicit written consent.

4. Use a Marketplace that Standardizes Rights

The Wild West of Fiverr and Upwork can be risky because every freelancer writes their own contracts (or doesn't have one).

Viralix solves this by standardizing the legal framework:

• Commercial Rights: Automatically included.
• Warranties: Creators warrant they have the right to use the tools they chose.
• Indemnification: Standard protection for brands.

Conclusion: Don't Let Fear Stop Innovation

The legal risks of AI are manageable if you act professionally. The days of "Wild West" AI are ending. We are entering the era of Professional AI Video, where rights, licenses, and ownership are handled just like any other production asset.

By ensuring you work with skilled operators who pay for their tools and understand the law, you can unlock the speed and cost-savings of AI without exposing your brand to unnecessary risk.

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Disclaimer: This article is for informational purposes only and does not constitute legal advice. Laws regarding AI are evolving rapidly. Always consult with your own legal counsel for specific advice.