Question: Do I Have to Give a Client My Original Digital Files?
I finished a project for a client and now he is asking me to turn over all the digital copies of the work I did, the original application files and graphics. If I did that, couldn't he just take all my digital files to another designer and cut me out of the loop when he needs additional work done?
Answer: Yes, if you turn over the electronic files the client could very easily use the files in-house or go to another designer for future printings or updates. But,
what was in your contract?
If your contract specified that the client was paying for the original files then you are obligated to turn them over. Since it increases the possibility that you'll lose your chance at repeat business from this client, I hope you charged extra for turning over the files. What does your contract say?
As a minimum, a freelance design contract should specify ownership of the artwork -- including original digital files -- as well as ownership of preliminary designs.