Repeat client is suddenly demanding intellectual property rights!?

Question

A fairly sizable client whom I've done a few jobs for over the past several years has recently contacted me for a new job. We have never had a contract for any of the work I've done for them (I'm a freelance designer). In his most recent email, he said:> "By the way, I am requiring that all files in their native form belong> to [my company] and are to be delivered to me upon completion of the> project. The files must not be password protected and are to be in> their 'collected-for-output' form before payment will be made. I> consider what we pay for to be the intellectual property of [my> company]."Aside from the fact that this is a little insulting (considering I've held nothing hostage, have been perfectly civil, and complied with every request I've ever received from any client I've had, including providing original working files), I understand that this is not standard practice... Most designers, it seems, do not hand over copyrights or intellectual rights to a design. But I don't feel that it's worth losing a fairly good client over something that may make him feel I'm somehow taking advantage of him. (The designs I do for them are mostly advertisements, flyers, small brochures, etc.)What would you do? What do you recommend?

Answer 1

Because his request does not relate to prior work, his inclusion of intellectual property rights in future work would justify a premium above what you've charged in the past. The intellectual property is certainly worth much more to him than it is to you, therefore I would say very little and charge a lot more. Business never personal.