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Commercial Use, Watermarks, and Your Rights

Learn how your ownership rights work

Runbo (CEO of Magic Hour) avatar
Written by Runbo (CEO of Magic Hour)
Updated over 2 months ago

In short: You own everything you create on Magic Hour. Whether you can use it commercially depends on your plan. Free users cannot use content commercially (and their outputs have watermarks). Paid users get full commercial rights and watermark-free outputs. Just be careful not to use copyrighted material from others.

Overview

When you generate images, videos, or other content on Magic Hour, you retain full ownership of those assets. However, your right to use that content commercially is tied to your subscription plan. This guide explains exactly what you own, when you can use it for profit, and what restrictions apply.

Who Owns Your Creations?

You own all assets you create on Magic Hour. That means:

  • Every image, video, animation, face swap, and other output is yours

  • You can download them, share them, and modify them

  • Magic Hour retains no rights to your generated assets

Important note on similarity: Because Magic Hour uses machine learning, other users might create the same or very similar outputs using the same prompts or uploads. Those similar assets created for other users are not yours—they belong to them. This is a normal part of how AI generation works.

What Magic Hour May Use

Magic Hour may use your prompts and uploads (the text and images you provide) to help develop and improve the platform. However:

  • Magic Hour will not use your prompts or uploads for marketing purposes

  • Magic Hour may use the finished assets (outputs) for marketing purposes, but only to promote the service itself

  • Your generated content is not shared publicly or sold to third parties without consent

Commercial Use by Plan

The ability to use your creations commercially (for business, profit, client work, or any revenue-generating purpose) depends on your subscription tier.

Free Plan

  • Commercial use: Not allowed

  • Intended for: Personal projects, learning, experimentation

  • Watermark: All outputs include a visible Magic Hour watermark

  • Resolution: Up to 512px (limited quality)

If you use free-plan content commercially, you're in violation of Magic Hour's terms. This includes posting to social media for monetization, using images in paid advertisements, or licensing content to clients.

Creator Plan ($10/month)

  • Commercial use: Full rights included

  • Watermark: None (all outputs are clean)

  • Resolution: Up to 1024px

  • Credits: 120,000 per year (~1 hour of video)

Pro Plan ($49/month)

  • Commercial use: Full rights included

  • Watermark: None

  • Resolution: Up to 1472px

  • Credits: 600,000 per year (~7 hours of video)

Business Plan ($249/month)

  • Commercial use: Full rights included

  • Watermark: None

  • Resolution: Up to 4K (select tools)

  • Credits: 3,000,000 per year (~35 hours of video)

  • Bonus: Priority queue and priority support

All paid plans include unlimited commercial rights. Once you upgrade, you can use your generated assets for any commercial purpose: client projects, advertising, YouTube monetization, reselling, licensing—no restrictions beyond what's outlined in this guide.

Watermarks Explained

When Watermarks Appear

Magic Hour watermarks are applied only to free-plan outputs to enforce the non-commercial restriction. When you upgrade to a paid plan, all subsequent generations are watermark-free.

Removing Watermarks: Your Options

Option 1: Upgrade to a paid plan (recommended)

  1. Go to your account and select a subscription tier (Creator, Pro, or Business)

  2. Complete your purchase

  3. All new generations are instantly watermark-free

  4. Old watermarked assets: You must regenerate them to get clean versions (they consume fresh credits)

Option 2: Purchase a credit pack (temporary)

  • Credit packs remove the watermark from the next generation only

  • You do not gain commercial rights with a credit pack

  • Good for: One-off personal use without full commercial licensing

  • Cost: $3 for 2,000 credits (~83 seconds of video)

If you want to keep assets generated on the free plan but use them commercially later, upgrade to a paid plan and regenerate them. Magic Hour's algorithm may produce slightly different results, but it's the only way to get watermark-free, rights-clear versions.

Using Other People's Faces

When You Need Permission

If you're using Magic Hour's Face Swap, Talking Photo, or similar tools to create content featuring real people's faces, follow these rules:

  • Your own face: No permission needed; use freely

  • Family or friends: Get explicit consent before creating or sharing

  • Celebrities or public figures: Be cautious; see IP guidance below

  • Strangers or unknown people: You do not have the right to use their likeness; do not proceed

Consent Best Practices

  1. Ask first. Tell the person exactly what you plan to create and how you'll use it

  2. Get it in writing. Even a text message or email saying "yes, you can use my face for X" helps if questions arise later

  3. Be specific about use. "For a fun social media post" is different from "for a paid advertisement"—clarify both intent and distribution

  4. Respect withdrawals. If someone asks you to remove content, do it promptly

Creating deepfakes, non-consensual intimate imagery, or impersonation is prohibited by Magic Hour's terms and likely illegal in your jurisdiction. This applies regardless of your subscription plan. Violations can result in account termination and legal action.

Brand and IP Guidance

What You Can Use Freely

You own commercial rights to all content you generate. However, commercial rights do not override third-party intellectual property. Be careful with:

  • Branded styles or templates: Magic Hour's templates may reference licensed music, choreography, or recognizable footage (e.g., "Weeekly Dance Template" includes copyrighted choreography). Using these templates does not give you the right to use the underlying material

  • Copyrighted music or sound effects: If Magic Hour provides audio in a template, verify you have the right to use it before publishing commercially

  • Celebrity likenesses: Generating an AI image that looks like a celebrity may trigger copyright or publicity rights claims, especially on video platforms

  • Brand logos and trademarks: Do not generate or use images of existing brands (Nike, Coca-Cola, etc.) without permission

What You Should Avoid Commercially

  • Licensed IP: Pokémon, Disney characters, Marvel properties, etc.

  • Identifiable copyrighted works: Famous paintings, movies, or characters

  • Trademarked slogans or logos

  • Someone else's art or photography (used as reference without license)

When using Magic Hour templates, especially for video, check the description or metadata for notes about third-party materials. If a template is tagged "Brand Content" or includes references to existing IP, generate a test version before committing credits for commercial use.

If You Receive a Copyright Claim

If you publish a video or image and a platform (YouTube, TikTok, etc.) flags it for copyright, here's what typically happens:

  1. Content ID Claim: The platform detects music or visuals and monetizes it on behalf of the copyright holder (you don't earn money, or it goes to them). You can usually replace or mute the audio

  2. Copyright Strike: More serious; your video may be removed and your account penalized. You can file a counter-notice if you believe the claim is wrong

Magic Hour cannot guarantee outcomes on third-party platforms. Our responsibility is limited to:

  • Ensuring you own the generated outputs

  • Confirming you have commercial rights (if on a paid plan)

  • Providing clear guidance on avoiding known IP conflicts

If the claim is due to a Magic Hour template: Contact [email protected] with details. We may offer to regenerate your video with royalty-free audio or recommend alternative templates.

Summary: Your Commercial Rights Checklist

Action

Free Plan

Paid Plans

Use for personal projects

✓ Yes

✓ Yes

Use commercially (client work, ads, YouTube monetization)

✗ No

✓ Yes

Use without watermark

✗ No

✓ Yes

Download and modify

✓ Yes

✓ Yes

Share with friends

✓ Yes

✓ Yes

Use other people's faces (with consent)

✓ Yes (but no commercial use)

✓ Yes (commercially if consented)

Use copyrighted material (music, images, logos)

✗ No

✗ No*

* Paid plans grant commercial rights only to content you generate—not to third-party material you don't have permission to use.

Common Questions

Do I own my generated images if I used Magic Hour's templates?

Yes, you own the output. However, templates may include licensed elements (music, choreography, footage). You own what you created, but you don't own the underlying IP referenced in the template. Verify template licensing before using commercially.

Can I sell prints or merchandise with images I created on Magic Hour?

Yes, if you have a paid plan. You can sell prints, merchandise, or any derivative work. Just ensure you're not using third-party brand logos or copyrighted material in the design.

If I downgrade from Pro to Free, what happens to my commercial rights?

Commercial rights revoke immediately upon downgrade. Any assets you created on Pro can still be used commercially (you already have them), but new content generated on the Free plan cannot be used commercially. To use new free-generated content commercially, upgrade again.

Can I use a credit pack to unlock commercial rights?

No. Credit packs remove the watermark but do not grant commercial rights. They're designed for one-off free users who want a clean image or video for personal use. For ongoing commercial use, upgrade to a paid subscription.

Getting Help

If you have questions about your specific use case, reach out to Magic Hour support:

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