In Ankenman Associates Architects Inc v 0981478 BC Ltd, 2017 BCSC 333, the Supreme Court of British Columbia (the Court) awarded the petitioner, Ankenman Associates Architects Inc (AAAI), damages of $52,527.07 for the respondent’s copyright infringement where a licence conditional on payment of fees did not pass to the respondent through foreclosure proceedings.

AAAI, a small architectural firm, had originally prepared the copyrighted plans for Murray's Walk Development Ltd (MWDL), which later went bankrupt and failed to pay all of AAAI’s fees. The corporate respondent acquired MWDL's property, including the lands and the plans for the project, through foreclosure proceedings.

The issues in this petition were whether the respondents had acquired MWDL's right to use the plans by virtue of having purchased all of MWDL's property in the foreclosure proceedings, and whether AAAI was estopped from seeking damages in this petition because it was a respondent in the foreclosure proceedings and did not object at that time.

The Court concluded that any conditional implied licence granted to MWDL was implicitly revoked due to its failure pay the fees owed to AAAI, and was not capable of being transferred to the respondents. Alternatively, even if there were an implied licence, it would not be transferrable without the copyright holder’s consent. Since AAAI never consented to the transfer nor did they receive any payment, the Court found that the respondent did not have a valid licence to use AAAI’s copyrighted plans.

Further, the Court found that issue estoppel was not applicable as the issues raised in this proceeding by AAAI were not addressed in the foreclosure proceedings.  

Summary By: Sumaiya Sharmeen

E-TIPS® ISSUE

17 03 22

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