Terms of sale and usage for my NFTs & digital asset copyright license
By buying one of my NFTs I grant a public display license without the right of commercial exploitation
1. Definitions of used terms in this document
“Work” refers to any digital asset, e.g. digital art and collectibles created by me that may be associated with an NFT. This can also include physical pieces of art or reproductions thereof if explicitly mentioned in the NFT’s description.
“NFT” means any non-fungible token, that is blockchain-tracked and associated with a Work (for example its complete rendered form, including the related metadata), issued and tradable on the marketplace it is offered on.
“Creator” refers to myself, the person who minted the NFT, who linked the Work to an NFT in a blockchain and made it available to be purchased
“Owner” refers tp the current owner of the NFT. Before the first sale of the NFT, the Owner can solely be the Creator. When sold, the buyer becomes the sole Owner of the Purchased NFT. There can be several different owners of the NFT throughout time but only one Owner at a time.
“Purchased NFT” means an NFT that one has purchased, bought or otherwise rightfully acquired from a legitimate source, where proof of such purchase is recorded on the relevant blockchain, thus becoming the Owner of the Purchased NFT and associated License on the Work, under the terms set forth below.
2. Subject matter
This license is intended to govern the terms and conditions under which I, the Creator grants the Owner certain intellectual property rights on the Work associated with the NFT to which this license is attached (this is from now on referred to as “License”).
This License shall apply whenever no other written agreement has been concluded between me, the Creator and the Owner.
In case of contradiction between such agreement and the License, the provisions of the agreement shall prevail.
In case of secondary sales of the Purchased NFT, this License is also intended to regulate the relations between the previous Owner and the new Owner of the Purchased NFT. The granted rights and limitations apply to any current owner of the NFT. The previous owner looses these rights at the time of the sale to the new owner.
3. Creator’s rights and warranties
The Owner acknowledges and agrees that the Creator remains the sole author and copyright owner of the Work. The Creator owns all legal rights, including all intellectual property rights, titles and interests in and to the underlying Work.
It is expressly acknowledged and agreed upon that the Work shall at all times remain the sole property of the Creator. The Owner is not granted ownership in the Work, but certain limited rights in the Work as set forth herein.
The Creator hereby warrants and represents that I am the author of the Work associated with the NFT and that I have the authority to grant the rights contained in the License.
I as the the Creator hereby warrant that I have not previously minted the Work associated with the NFT and this License. The Creator and the Owner shall not remint the aforementioned Work.
Note that in case a platform allows multi-minting of a piece. There can be multiple editions of a specific NFT. In this case this is visibly marked and known to the Buyer at the time of the purchase.
Exception: The Owner may remint the Work solely in case the Work associated with an NFT is previously burnt.
The Creator hereby warrants that the Work associated with the NFT and this License has not previously been published and/or exploited in the form as used in this NFT.
3.1 Collaborative art pieces
If a WORK is a result of a collaborative effort, all involved CREATORs are explicitly mentioned at the time of the purchase. The rules of these terms apply if I am the CREATOR minting this piece.
4. Scope of the license
Subject to the Owner’s continued compliance with the terms of this License and applicable laws, the Creator grants the Owner, for the period they own the Purchased NFT, during the legal duration of the intellectual property rights, a license on the Work associated with the Purchased NFT, that is valid worldwide, is exclusive, transferable and non-sublicensable.
The following binding terms and conditions apply:
The Creator hereby grants to the Owner the rights to reproduce, use, display, publish, duplicate and, to this end, subject to the Creator’s moral rights as specified below and where technically required, edit, adapt and modify in a non-substantial way the Work, in any manner and any medium the Owner may choose, for the sole purpose of non-commercial public display, including both digital and physical copies of the Work, including such use of the Work in public or private cultural institutions (e.g. galleries, museums) and virtual exhibitions.
In no event shall the Owner have the right to use, sell, distribute, dispose or otherwise exploit the Work, in whole or in part, for any other purpose not expressly granted by this License.
The Owner may not use the Work for any purpose other than as specified in this License. The Owner may use the Work however they see fit, as long as their use is within the bounds of this License.
5. Moral rights
The Owner shall respect the Creator’s moral rights on the Work (including paternity right, right to the integrity of the work, as defined under German law) while exploiting the rights granted by this License.
Any exercise of rights granted by this License requires attribution to the Creator, where reasonably possible.
6. Royalties on secondary sales
The Owner acknowledges and agrees that the Creator shall receive a resale royalty from all secondary sales of the Purchased NFT, as specified by the creator during the minting process.
The Owner shall not use the Work associated with the Purchased NFT in connection with texts, images, videos, or other forms of media that depict hatred, intolerance, violence, cruelty, or anything else that could reasonably be found to constitute hate speech or otherwise infringe upon the rights of others or any applicable law or regulation.
All these restrictions shall survive the expiration or termination of the License.
This License applies only to the extent that the Owner continues to own the applicable Purchased NFT. If at any time the Owner sells, trades, donates, gives away, transfers, or otherwise disposes of the Purchased NFT for any reason, the License shall immediately expire for the previous Owner without the requirement of notice, and be transferred along with the Purchased NFT to its new Owner. If the NFT includes a physical piece this must also be transferred to the new Owner.
The aforementioned transfer of the License along with the Purchased NFT shall take place in the moment of completion, i.e. confirmation of the transaction taking place on a blockchain.
The Owner acknowledges that, by disposing of the Purchased NFT, they no longer qualify as the Owner of the Purchased NFT and thus no longer benefit from the rights granted by this License. Any exploitation or use of the Work after the disposal of the Purchased NFT shall be considered as an infringing act.
In addition to the aforementioned, the Owner acknowledges that this License shall also expire in the event of destroying (burning) the Purchased NFT by any person, in which all licensed rights shall immediately and automatically return to the Creator.
9. Governing law
This License and any of its terms and provisions, as well as the rights and obligations of the Creator and Owner hereunder, shall be construed, governed, interpreted and enforced in accordance with the laws of Germany.