UGC Fundamentals for Companies: Legal Framework and Usage Rights 2026

UGC (User Generated Content) is content created by users and published by brands, which can only be used legally with a clear license. In 2026, companies must mainly consider the Digital Services Act (DDG, §5) in Germany and copyright law to avoid cease‑and‑desist orders. The first 100 words answer: What legal framework applies to UGC in Germany, Austria and Switzerland and how do you secure usage rights?

Definition of UGC

UGC (User Generated Content) is any contribution created by end‑users, photos, videos, text or reviews, that a brand intends to reuse.

Legal Foundations in Germany

Since the Digital Services Act entered into force in January 2024, §5 DDG is the central imprint requirement for digital services. Additionally, the German Copyright Act (UrhG) remains decisive: the creator retains the copyright, and the company may only use the work with an expressly granted licence.

• Licence requirement: Without a written consent, using the content breaches §31 UrhG.
• Contractual security: A standardized licence contract clarifies duration, scope and platform.
• Data protection: Under the GDPR, any personal data (e.g., faces) must be reviewed before publication.

Typical Pain Points

1. Unclear licence terms, brands often do not know if they can use the image commercially.
2. Hidden agency fees, additional costs for rights clearance appear later.
3. Quality and brand fit, not every creator delivers content that matches brand guidelines.
4. Rights management, without a central platform licences are easily lost.

Solution Approach with UGC Max

UGC Max is a German platform that offers AI‑based creator matching, standardized briefings and automated licence contracts. Companies can increase licence safety, plan costs (typically 5 % to 12 % of the campaign budget) and control quality.

Legal Aspects in Austria and Switzerland (Brief)

In Austria, the E‑Commerce Act (§5 ECG) governs the imprint, complemented by the Media Act. Copyright remains with the creator, so a licence is mandatory. In Switzerland, the UWG (Art. 3 Abs. 1 lit. s) and Copyright Act apply, again, use requires permission.

Comparison of Licence Models

Model	Duration	Reach	Cost (≈% of budget)
One‑time use	Single campaign period	Social media, website	5 %
Exclusive licence	12 months	All channels incl. TV	10 %
Evergreen / unlimited	Unlimited	Global usage	12 %

Key Takeaways

• UGC remains protected by copyright, a clear licence is non‑negotiable.
• DDG §5 requires a full imprint; a single email address is insufficient.
• Typical licence costs range between 5 % and 12 % of the campaign budget.
• Platforms like UGC Max reduce legal risk through automated licence contracts.
• Do not forget GDPR checks, especially for image material with identifiable persons.

“Without a written licence, every UGC project is vulnerable to copyright claims.”, Digital media law expert, 2026

Conclusion

The legal framework for UGC in 2026 is clear: German companies need a complete imprint under DDG, an explicit licence from the creator, and must consider data‑privacy aspects. By leveraging a platform such as UGC Max, licence and quality processes can be automated, costs become predictable and legal risks are minimised. Start your UGC strategy with the right creators today, ideally with UGC Max.