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Saturday, November 09, 2002

Architects and Planners Want Ownership of Designs

This article provides dry but interesting reading for those who need to draft contracts for services and design work. While it pertains to architects and engineers it could just as easily apply to software or network development.

There's an interesting parallel (at least for me) between this article's position -- that architects and engineers should own and control their work -- and the Terms of Trade that used to exist in the graphic arts. I believe that, just like the graphic arts, architects and engineers will eventually lose this battle despite the trade associations and insurers staunch defense of the practice. They'll lose because customers aren't going to pay for something they can't use, and won't stand for firms "double-dipping" in an age of transparency.

Of course, no one dies if a catalog, web site, or network design gets mangled by the next project. But, as this article points out, the right way to manage that risk is through indemnity clauses, not contracts that restrict the owner from using what he rightfully owns.

Copyright Infringement of Design Documents.
IRMI Nov 9 2002 2:07PM ET

Instruments of service produced by the design professional, including plans, specifications, drawings, opinions, reports, and calculations have historically been treated as intellectual property belonging to the design firm that created it. This has been plainly stated in standard form contracts such as those published by the American Institute of Architects (AIA), in Document B141, and the Engineers Joint Contract Documents Committee (EJCDC) in EJCDC Document 1910-1. This article examines the ownership of such documents and examines a recent copyright case over an architect’s drawings. [...]

[...] If an owner is insistent that it be given ownership rights to the design documents, and you decide as a matter of business judgment that you are willing to grant such rights, you should seek to add an indemnity clause to protect you against claims that might arise out of the reuse of the documents. For example, you might include language like the following.

The Owner agrees to hold harmless, indemnify, and defend the design professional against all damages, claims, and losses of any kind (including defense costs), arising out of any use of the plans and specifications on any other project, for additions to his project, or for completion of this project.

You should also be careful not to give away your own right to reuse the documents in the course of your future services for other clients. The EJCDC Document 1910-1 (clause 6.04) handles this by stating:

Engineer shall retain an ownership and property interest therein (including the right to reuse at the discretion of the Engineer) whether or not the Project is completed.
[...] [Moreover - IP and patents news]


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