Under US law, the initial copyright holder is the author of the work. In most cases, copyright law treats the creator(s) of the work as the author(s). If someone creates a work as an employee (or in certain cases, as a contractor), that person’s employer is considered the author of the work.
If two or more people make copyrightable contributions to a work with the intent that their contributions be merged into one whole, they are joint authors under US law. As joint authors, they hold equal shares of the copyright from the time the work is created. A joint rightsholder owes her co-rightsholders their shares of the profits from uses or licenses she makes of the work. Joint rightsholders can grant non-exclusive licenses unilaterally. To transfer the copyright or grant an exclusive license, all joint rightsholders must agree.
In the case of a “work made for hire,” the author under copyright law is the person who employed or commissioned the creator of the work, rather than the creator of the work herself. There are two ways a work can be a work made for hire. First, a work is a work made for hire if it is created by an employee who is acting within the scope of her employment. For example, if someone who works at an advertising agency creates an advertisement at work, that advertisement is a work made for hire. Second, a work is a work made for hire if it is commissioned “for use as a contribution to a collective work, as a part of a motion picture or other audiovisual work, as a translation, as a supplementary work, as a compilation, as an instructional text, as a test, as answer material for a test, or as an atlas,” and the commissioner and the creator of the work agreed in writing that it would be treated as a work made for hire.
By default, the University of Michigan holds copyright in works created by its employees within the scope of their employment, because they are works made for hire. The university’s copyright policy modifies that default for certain scholarly works by faculty. It also explains who is authorized to grant permission for use of works held by the university.