Online Businesses & Intellectual Property After Death

What Digital Business Assets Should Be Included in an Estate Plan?

Online businesses may own or control a variety of assets that require special consideration during estate planning.

 

These may include:

• Websites and domain names: Business websites, registered internet domains, and associated hosting arrangements.

• E-commerce stores: Online storefronts, product listings, and related business accounts.

• Digital content: Photographs, videos, written materials, online courses, and other creative works.

• Intellectual property: Copyrights, trademarks, software, and other legally protected rights.

• Revenue-generating platforms: Online advertising accounts, monetized content channels, and subscription-based services.

• Customer and business records: Digital contracts, financial records, and other information necessary for continued business operations.

 

Some of these assets may be owned individually, while others belong to a corporation, limited liability company, or other business entity.

 

Identifying the actual owner is an important first step in determining how an asset may be managed or transferred.

 

What Happens to an Online Business When Its Owner Dies?

The death of a business owner does not necessarily terminate an online business.

 

However, operations may be disrupted if no one has the authority or practical ability to manage websites, process orders, access payment accounts, renew domain registrations, or maintain essential services.

 

The outcome may depend on the business's ownership structure, governing agreements, estate planning documents, and contractual obligations.

 

For example, ownership of an interest in a limited liability company may pass according to applicable law and governing documents, while management rights may be subject to separate restrictions.

 

Coordinating estate planning with business succession arrangements can help establish who should be responsible for the business and whether operations should continue, be transferred, or be wound down.

 

Can Websites, Domain Names, and Intellectual Property Be Inherited?

Many forms of intellectual property and digital business property can be transferred through inheritance or other legally recognized

arrangements.

 

However, different types of assets are subject to different rules.

 

Websites and Domain Names

A domain name registration generally provides contractual rights associated with using and managing a registered domain.

 

Those rights may be transferable, but the process depends on registrar requirements and applicable agreements.

 

Maintaining accurate registration information and identifying the responsible account provider can help avoid disruptions.

 

Copyrights and Creative Works

Copyrights in photographs, written materials, software, videos, and other protected works may have financial value beyond the creator's lifetime.

 

Under federal copyright law, ownership rights may generally be transferred by will or through inheritance, subject to applicable legal requirements.

 

An estate plan can help address who should receive these rights and who may be responsible for their management.

 

Trademarks and Business Brands

Trademarks and other brand-related rights may also have significant value.

 

However, trademark transfers require particular attention because the rights are associated with the goodwill of the underlying business.

 

A business succession plan should consider how trademarks, business operations, and related assets will be handled together.

 

Can an Executor Access Online Business Accounts?

An executor's legal authority does not automatically provide unrestricted access to every website, hosting account, digital platform, or business application.

 

New York's digital asset law establishes procedures for fiduciaries to request disclosure of certain digital assets and account information.

 

Under EPTL § 13-A-2.2, individuals may provide directions concerning digital asset disclosure through qualifying online tools or appropriate legal documents.

 

However, EPTL § 13-A-2.3 makes clear that the statute does not create greater rights than those held by the original account holder.

 

Additionally, access to business accounts may depend on whether the deceased individual or a separate business entity owns the account.

 

Digital estate planning should therefore address both fiduciary authority and the ownership and contractual arrangements governing the business.

 

How Can You Protect an Online Business Through Estate Planning?

Owners of online businesses and valuable digital property should consider several planning measures.

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1. Identify Important Business Assets

Maintain an organized inventory of websites, domain registrations, intellectual property, digital revenue sources, and essential service providers.

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2. Review Ownership and Business Agreements

Determine whether assets belong to you individually or to a business entity, and review any agreements affecting transfer or management rights.

 

3. Establish Business Succession Instructions

Consider who should manage the business if you become incapacitated or die, and whether the business should continue operating, be sold, or be wound down.

 

4. Plan for Authorized Account Access

Identify how an authorized successor or fiduciary can locate necessary business information without compromising passwords, customer data, or other sensitive records.

 

5. Coordinate Intellectual Property and Estate Planning Documents

Review whether your will, trust, business agreements, and other planning documents appropriately address ownership and succession of valuable intellectual property.

 

These steps may help reduce business interruptions and clarify the responsibilities of those involved in administering the estate or continuing the enterprise.

 

Plan Ahead With Eldon Trust & Estate

For many entrepreneurs and business owners, an online business represents years of work, valuable intellectual property, and an important source of income.

 

Without coordinated planning, those interests may become difficult to manage or preserve after the owner's incapacity or death.

 

At Eldon Trust & Estate, we help clients consider digital business property, intellectual property, fiduciary authority, and succession planning as part of their broader estate planning objectives.

 

Schedule an Estate Planning Consultation

 

For additional information, visit our Digital Asset & Legacy Planning page.

 

 

Sources & Legal References

New York Estates, Powers and Trusts Law, Article 13-A — Administration of Digital Assets

https://www.nysenate.gov/legislation/laws/EPT/A13-A

EPTL § 13-A-2.2 — User Direction for Disclosure of Digital Assets

https://www.nysenate.gov/legislation/laws/EPT/13-A-2.2

EPTL § 13-A-2.3 — Terms-of-Service Agreement

https://www.nysenate.gov/legislation/laws/EPT/13-A-2.3

EPTL § 13-A-4.1 — Fiduciary Duty and Authority

https://www.nysenate.gov/legislation/laws/EPT/13-A-4.1

United States Copyright Office — Assignment and Transfer of Copyright Ownership

https://www.copyright.gov/help/faq/faq-assignment.html

United States Patent and Trademark Office — Trademark Assignments and Ownership Transfers

https://www.uspto.gov/trademarks/trademark-assignments-change-search-ownership

ICANN — Transferring Your Domain Name

https://www.icann.org/resources/pages/transferring-your-domain-name-2017-10-10-en

 

This information is provided for general educational purposes and does not constitute legal advice. The inheritance, ownership, transferability, and management of digital business assets depend on applicable law, business agreements, intellectual property rights, and individual circumstances. All references provided are only accurate up-to-date of their publishing, and should be verified before use.

 

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