IRAC stands for Issue, Rule, Application & Conclusion.
1. The ownership rights in the artwork or the design are:
Issue: When the artwork or design is replicated or reproduced in one or more ways
Rule: If the matter of logo ownership is not clear from start, there are chances that the client and designer will engage in untoward confrontation over it. This is something that no client would want, especially after paying for something.
Application: The application of this rule is where the designer claim the rights for the artwork or design after being paid by the owner
Conculsion: I don’t think theirs any debate. Client pays for the logo, so they should own it. I think it’s fair that the designer use it in their portfolio, but that should be it. I think it’s only amateur designers who refuse to pass over ownership, and people looking for a logo designer should see this as a warning sign
2. What Should You Do If There Is a Celebrity Name and/or Likeness Included in The Artwork or Design?
Celebrity photographs are not in the public domain. However, celebrities enjoy little, if any, rights of privacy, and their rights of publicity are limited to commercial uses. Unauthorized photos and illustrations of celebrities are common in the media, because most media depictions of celebrities are considered expressions of free speech about matters of concern to the general public. Thus the photographers and publishers of such images are immune from liability for violating the celebrities’ rights of privacy and publicity under the First Amendment. The photographers and/or publishers, however, still own copyright in their photos of the celebrities.
Therefore, you also need permission from the photographer (or her assignee) who took the photo you used as a reference for your painting. Under copyright law, the photographer is the original “author” and copyright owner of the photograph. A painting based on the photograph is a copy of that work. Thus, the painting constitutes infringement unless you have the copyright owner’s consent. Moreover, this is true whether or not you make reproductions of the painting, because the painting itself is already an unauthorized copy of the photograph.
For these reasons, artists must be doubly careful when using photographs of people as references for their work. You may need multiple permissions, not only from the photographer, under copyright, but also from each person depicted, under the rights of privacy and publicity.