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by grabeh 4351 days ago
In these circumstances, the company will have committed the copyright infringement also by virtue of reproducing the maze on the packs, and will therefore be exposed to a potential suit (assuming the other requirements of copyright infringement are able to be shown).

At the same time, the company will have taken an indemnity from the freelancer which means they can go against the freelancer for costs arising from a third party claim of infringement (as is the case here). This would give the company the ability to settle with the third party and then go against the freelancer for the sums.

The principal problem with this is that the freelancer is unlikely to have assets to back the indemnity (unless as a condition of their provision of work they were required to have in place insurance). Even with insurance of course, it may not be available if the freelancer has behaved fraudulently...