|
(Published by the Idaho Business Review, April
2008)
In many respects, imitation is an
integral to a competitive free market system.
Regarding building design, it would be naïve to believe that architects
and owners do not look to other projects for ideas and inspiration. For example, individuals often tour model
homes, scour home design magazines and troll the internet for design ideas to
incorporate into their personal “dream homes.”
However, intellectual property rights limit the more egregious forms of
copying architectural works. Therefore,
everyone involved in construction projects should remain mindful of
intellectual property rights issues, including copyright infringement.
In
1990, Congress established a new category of copyright protection for
architectural works. The Copyright Act
now includes “architectural work” defined as “the design of a building as
embodied in any tangible medium of expression, including a building,
architectural plans, or drawings. The
work includes the over-all form as well as the arrangement and composition of
spaces and elements in the design, but does not include individual standard
features.” 17 U.S.C. § 101. Thus, copyright protections encompass both
the plans for a residence as well as the actual house itself.
Not
all copying constitutes copyright infringement.
Copyright infringement requires both ownership of the copyright and
“infringement,” meaning copying of the protected elements of the work. The unprotected elements include ideas,
concepts and processes. Similarly,
elements dictated by external factors (such as building codes) are not afforded
protection. However, if appropriation of
both the protected elements and the particular expression occurs, copyright
infringement may be found.
Copyright law protects the right of an
author to their original expression, perhaps a fictional novel, but others may
build freely upon the ideas and information conveyed by the novel. Distinguishing ideas from their particular
expression grows a bit convoluted when the copyrighted work consists of an
architectural project. Ideas regarding
general placement of functional elements, routing traffic flow, construction
methods, and principles of engineering can be copied without legal
consequence. However, appropriation of
both these ideas and the architect’s expression of them constitutes copyright
infringement. The test for expression of
ideas is whether an ordinary reasonable person would find the total concept and
feel to be substantially similar.
Since
the extension of copyright protection to architectural works, copyright owners
have asserted infringement claims based upon a variety of residential and
commercial projects, including homes, restaurants, and hospitals. Importantly, infringement does not require
actual copying architectural plans.
Rather copying can be inferred based on an opportunity to view and copy
a building. For example, such access
might include touring a model home and taking pictures, followed by
construction of a home that bears a “substantial similarity” to the model home.
In
general, registration with the U.S. Copyright office prior to infringement is
not required. However, prior
registration may enhance the damages available to remedy infringement. Generally, architectural plans do not need to
display a copyright notice. However,
such a notice may deter infringement and afford additional protections in some
foreign countries. As such, copyright
notices should be included on plans as a matter of practice. A copyright notice includes the year during
which the work was first published, the name of the copyright owner and the
copyright symbol, “©”.
Ascertaining
the actual monetary damages, if any, that result from copyright infringement
can prove elusive. The basic rule is to
calculate the revenue that would have accrued but for the infringement. Often this requires expert analysis delving
into losses that may include lost profits, licensing fees, or the computation
of a reasonable royalty reflecting the hypothetical fair market value
associated with the use the copyrighted work.
In many circumstances, a copyright owner can elect to seek statutory
damages ranging from $750 to $30,000 per infringing copy and may be entitled to
an award of attorney’s fees and costs.
Statutory damages can be up to $150,000 per copy for infringements
deemed to be “willful”.
In
many infringement cases, the litigation costs far exceed the actual
damages. Federal courts are vested with
exclusive jurisdiction over copyright cases.
As such, one must “make a federal case out of it.” With this in mind, the defense of copyright
infringement claims can prove very expensive and time consuming. Beyond litigation costs, the defense of an
infringement claim usually necessitates a significant time commitment for all
parties involved. This may include time
expended to meet with counsel, review records and documents, testify at
discovery depositions, attend mediations and to prepare for and testify at
trial. In the end, a construction
project that involved alleged infringement that occurred years ago can
significantly distract your attention and take away time from present
projects.
Everyone
involved in construction projects should remain mindful of copyright
infringement issues. A bit of due
diligence regarding architectural works can avoid expensive litigation. For example, ascertain the source and obtain
the right to use architectural plans.
Commonly, the architect retains the ownership of plans, including both
the right to copy these plans and to create “derivative works” based upon the
plans. A reuse or licensing fee paid to
an architect is money well spent to compensate a professional for their
services and to avoid the risk of a copyright infringement claim. Likewise, while the emulation of ideas will
always be common in the design of buildings, this should be coupled with
innovation so that the resulting expression does not bear a substantial
similarity to someone else’s project.
Jason
G. Dykstra is an associate with the law firm Meuleman Mollerup LLP with a focused
practice in the areas of commercial litigation and business succession
planning. Jason can be reached at
208.342.6066, or
This e-mail address is being protected from spam bots, you need JavaScript enabled to view it
, more information at www.lawidaho.com.
|