Co-op content licensing 101: what community groups can learn from The Orangery signing with WME
Practical guide for co-ops on IP, licensing and transmedia—lessons from The Orangery signing with WME. Includes templates and workshop plans.
Hook: Your co-op owns creative work — now what?
Co-op leaders and small-business collectives tell us the same thing in 2026: you have books, comics, podcasts, design libraries or training programs created by members, but you don’t know how to turn those assets into reliable income, wider visibility, or sustainable media partnerships. You worry about losing control, dividing revenue fairly, and navigating complex deals with talent agencies or streamers.
This guide gives you a practical playbook: the IP basics you need, a step-by-step partnership strategy, negotiation checklists, sample clauses and templates, and a workshop agenda to train your membership — all informed by the recent industry signal that matters: The Orangery signing with WME.
Quick takeaway — what matters now (and why The Orangery + WME matters to co-ops)
- Transmedia demand is rising: agencies and streamers are packaging IP, not just projects. The Orangery’s deal with WME (reported Jan 2026) shows agencies want ready-made, scalable IP. That opens doors for co-ops that hold original creative rights.
- Control is negotiable: co-ops can license rather than assign rights to keep governance and revenue flows inside the membership.
- New legal and tech realities: AI content, new EU rules and global streaming fragmentation require explicit contract language by 2026.
Variety reported in January 2026 that The Orangery — a transmedia IP studio behind graphic novel hits — signed with WME, signaling strong market demand for packaged IP across media.
Why co-ops should care: three strategic reasons
- Revenue diversification: licensing can produce royalties, option fees, and merchandising income without losing core ownership.
- Member activation: transmedia projects create events, training, and spin-offs that boost engagement.
- Local and global visibility: partnering with agencies or platforms turns local IP into internationally exploitable franchises.
IP fundamentals for co-ops (in plain language)
Before negotiating any media deal, your co-op needs to know what it owns. Here are the core categories and how they apply to cooperative groups.
Types of intellectual property relevant to creative co-ops
- Copyright: protects original works — books, comics, scripts, recordings, designs. For co-ops, copyright can be held by the co-op entity, by individual members, or jointly; the ownership model affects how you license.
- Trademarks: protect brand names, logos, and series titles that are critical for merchandising and consumer recognition.
- Performance and neighboring rights: apply to recorded performances, broadcasts and streaming income.
- Moral rights (important in Europe): authors retain personal rights (paternity and integrity) in many jurisdictions — these must be considered in adaptations.
- Database and design rights: protect curated collections (e.g., asset libraries) and visual designs.
Who owns co-op IP?
There are three common models:
- Entity-owned: the cooperative is the legal owner because creators assign or license their works to the co-op. This simplifies downstream licensing but requires clear contributor agreements.
- Member-owned with collective licensing: creators retain copyright but grant the co-op a non-exclusive or exclusive license to manage rights and collect revenue.
- Hybrid: the co-op owns core IP (characters, series brand) while creators retain rights to specific works or adaptations.
Partnership strategy: license, don’t always assign
The Orangery’s path — developing IP in graphic novels and then partnering with a major agency — shows an important lesson: agencies value packaged, controlled IP but they generally negotiate for options and exclusive media rights for specific fields of use, not always permanent assignments. Co-ops should lean toward licensing models that preserve long-term control. New platforms and marketplaces are emerging to help with licensing — consider listing tested assets or using an on-platform marketplace to surface opportunities.
Key deal structures to consider
- Option-to-license: partner pays an option fee to secure exclusive negotiation rights for a set period. If the project moves forward, it converts into a license with agreed terms. See example forecasting approaches for option timelines and market testing (forecasting platforms).
- Non-exclusive license: income-generating and low-risk; allows the co-op to license the same IP to multiple partners in different media or territories.
- Exclusive license by field/territory: exclusive for film only, or for Europe only — keeps other exploitation channels open.
- Work-for-hire or assignment (use cautiously): transfers ownership to the partner — often necessary for large studio deals but should include strong reversion clauses and compensatory terms.
Practical negotiation checklist for co-op leaders
Use this checklist during initial outreach and term sheet negotiations.
- Confirm ownership: clear title report showing who owns each element (characters, scripts, artwork).
- Field of use: define media (film, TV, games, merch, live events, NFTs) and avoid blanket grants.
- Term & territory: set reasonable durations (e.g., 3–7 years option; renewals by mutual consent) and territory limits.
- Revenue splits: specify percentages for gross vs net, and who bears production costs and recoupment.
- Approval rights: the co-op should retain approval over key creative decisions affecting the series brand or core characters.
- Reversion & termination: include automatic reversion on non‑commercialization and termination for breach.
- Audit & transparency: audit rights and timely royalty reporting.
- AI & future tech: explicit clauses on AI training, synthetic content, and data rights (critical in 2026) — link and consent language examples are covered in recent consent playbooks (consent & continuous authorization).
- Credits & moral rights: ensure author credits and protections for author integrity, especially in jurisdictions where moral rights are inalienable.
Sample revenue models (for term sheets)
- Option fee: flat payment (e.g., €5,000–€25,000) + exclusive option for 12–24 months.
- License royalty: 5–12% of net receipts for digital/streaming; 10–20% of net for merchandising, with minimum guarantees.
- Advance against royalties: upfront payment recoupable from royalties; after recoup, royalty splits apply.
- Profit share for adaptations: negotiated share of producer’s net profit after recoup — clarify definitions to avoid hidden deductions.
Governance: how co-ops make licensing decisions
Co-op structures require clear governance so deals are transparent and equitable.
- Delegated authority: establish a licensing committee (members elected) with defined approval thresholds (e.g., deals under €25k approved by the committee; larger deals need full membership vote).
- Contributor agreements: every member creator signs a standard agreement granting the co-op the agreed license model and revenue share policy.
- Revenue distribution policy: publish a transparent waterfall showing how option fees, advances and royalties are split between creators, contributors, and the co-op operating fund.
- Conflict of interest rules: committee members must disclose ties to negotiating partners (e.g., employment at an agency).
IP risk management — new concerns for 2026
Recent regulatory and market shifts mean new clauses are now essential:
- AI training and generated content: require explicit consent and compensation if the licensee wants to train models on your works or create synthetic versions of member voices or likenesses. See marketplace and matching innovations that change deal terms (AI-driven deal matching).
- Data and privacy: if a transmedia deal involves user data (games, apps), clarify ownership and GDPR-compliant processing — operational workflows for collaboration and secure data handling are increasingly important (secure collaboration playbook).
- Chain of title: verify contributors did not previously assign rights; maintain documentation for all elements (art, music, scripts).
Case study: What co-ops can learn from The Orangery signing with WME
The Orangery is a transmedia IP studio formed to package graphic novels and comic IP for multiplatform exploitation. Its January 2026 signing with WME — a top talent and content agency — highlights several strategic lessons:
- Package before you pitch: The Orangery developed a clear IP package (series, art bible, audience metrics). Co-ops should stage assets similarly: character bibles, audience data, sample scripts, and low-cost pilots.
- Rights clarity attracts agencies: agencies like WME prefer clear chain-of-title and consolidated rights that simplify packaging for studios and streamers.
- Leverage smaller wins: start with limited licensing (a foreign language edition, a live event, or a podcast adaptation) to build proof of concept — consider running a pilot podcast or audio adaptation as a low-cost test (podcast adaptation examples).
Actionable roadmap: 8 steps your co-op can run in 90 days
- Week 1–2 — IP audit: inventory works, collect contributor agreements, register key copyrights and trademarks where necessary.
- Week 3 — Create an IP package: one‑page series summary, character bios, sample chapters/pages, audience stats, and a short pitch deck.
- Week 4 — Set governance rules: licensing committee charter, distribution waterfall, contributor license template.
- Month 2 — Outreach list: identify 10 agencies, indie producers and platforms; prioritize local and regional partners who value diverse IP.
- Month 2 — Draft a non‑binding term sheet: use the sample term bullets below and solicit member feedback.
- Month 3 — Run a partnership workshop: pitch dry run with members, legal Q&A, and a mock negotiation exercise. Consider remote participation tools and remote-first facilitation techniques (remote-first facilitation).
- Day 90 — First outreach: send tailored pitches to top 3 partners with option-to-license offers and request term sheet feedback.
- Ongoing — Track and train: keep a schedule of renewals, options, and revenue reports; run quarterly member briefings and consider micro-credentialing contributors who complete licensing training (micro-credentials & ledgers).
Templates & snippets (ready to adapt)
Sample outreach email (short)
Subject: Option opportunity — [Series Title] (graphic novel series) — available for adaptation
Hi [Name],
Our cooperative, [Co-op Name], owns the IP for [Series Title], a [genre] graphic novel series with [audience stat]. We’re offering a 12‑month exclusive option to develop an adaptation for [film/TV/game]. Attached: pitch one‑pager, sample pages and a rights report. Can we schedule a 20‑minute call next week?
Thanks,
[Your name, role, co-op contact details]
Sample term sheet bullets
- Option fee: €10,000 for a 12‑month exclusive option.
- If exercised: exclusive license for [media] for [territory] for [term], royalty: 10% of net receipts; minimum guarantee: €50,000.
- Approval: co-op retains approval of material changes to core characters and title use.
- Reversion: rights automatically revert if production not commenced within 36 months of exercise.
- Audit: licensee to provide quarterly statements; co-op has annual audit rights.
- AI: licensee prohibited from using the IP to train models or generate synthetic likenesses without separate written consent and fee.
Simple revenue waterfall (example)
- Gross receipts received by co-op.
- Less: third‑party costs paid by co-op (legal, registration) if agreed.
- Remaining amount: split 20% co-op operating fund / 80% to creator pool.
- Creator pool divided per contributor agreement (e.g., author 60%, artist 30%, editor 10%).
Workshop plan: 3-hour session for co-op members
- 0:00–0:20 — Welcome & goals (why IP matters in 2026).
- 0:20–0:50 — IP audit exercise (breakout: each group catalogs three works).
- 0:50–1:20 — Pitch package clinic (build a one‑page pitch).
- 1:20–1:35 — Break.
- 1:35–2:15 — Term sheet roleplay (committee vs agency).
- 2:15–2:45 — Legal essentials (option, license, moral rights, AI clause highlights).
- 2:45–3:00 — Next steps and assignments (who will complete contributor agreements, register marks, outreach list).
Common pitfalls and how to avoid them
- Signing away everything: avoid blanket assignments. Use limited field/term licenses where possible.
- Vague revenue definitions: insist on gross vs net definitions and limit deductions.
- No reversion rights: always include automatic reversion if the licensee fails to commercialize.
- No audit or transparency: require regular statements and audit rights with cost-shifting if fraud is found.
Future predictions for co-op IP in 2026 and beyond
Three trends you should plan for this year:
- Agencies will continue to package IP: more firms will seek direct relationships with IP owners. That’s an opportunity for organized co-ops that can present tidy packages.
- Stronger AI rules: expect stricter mandate around consent and compensation for AI training data in the EU and many other markets; include clear AI clauses now.
- Transmedia-first development: buyers prefer IP with cross-platform potential (audio, live experiences, games). Build modular rights bundles to monetize sequentially.
Final checklist before you pitch
- Clear chain of title and contributor agreements — ready to show.
- One‑page IP package and a 5‑minute pitch video or sample pages.
- Proposed licensing model on paper (option terms, revenue split, territory).
- Internal governance approval process documented and ready.
- AI & moral rights clauses pre-drafted for negotiation.
Conclusion — start small, think franchise
Co-ops control a growing pool of valuable creative rights. The Orangery’s deal with WME is a timely example: well-packaged IP attracts agency representation and multiplatform deals. But for co-ops the path to media deals is safer and more sustainable when built on clear ownership, member-first governance, and licensing strategies that preserve future control.
Run the 90‑day roadmap, use the templates above, and hold a short workshop to align creators and board members. You don’t need a Hollywood studio to generate meaningful revenue and member engagement — you need process, clarity, and the right terms.
Call to action
Ready to package your co-op’s IP and pitch it to media partners? Join cooperative.live’s free workshop series for co-ops this quarter to get editable templates, a legal checklist, and live negotiation coaching. Sign up, bring two sample works, and walk away with a pitch-ready IP package.
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