"Copyright" is a property right recognised in Australian law as a part of what are known as "intellectual property rights". Copyright applies particularly to architectural plans and building.
Following previous successful copyright actions against Metricon Homes and Carlisle Homes, Porter Davis Homes has now had a third copyright victory against another builder, Dennis Family Homes.
Porter Davis Homes issued proceedings in the Federal Court of Australia against Dennis Family Homes alleging that Dennis Family Homes had infringed the copyright by copying the "alfresco quadrant" feature of the Porter Davis Homes design. That is, the combination of a rumpus, family, kitchen and meals areas around the alfresco, all under a single roof-line.
Justice Dodds-Streeton recognised that the creation of the house design incorporating an alfresco quadrant involved a prolonged and laborious design process sufficient to confer originality upon those designs. The Judge found that the alfresco quadrant designed and built by Porter Davis Homes was "both striking and distinctive" and differed significantly from houses which included an alfresco that pre-dated the design and construction of the Porter Davis Homes alfresco quadrant. Accordingly, Porter Davis Homes was found to hold copyright in both the designs and the homes of the alfresco quadrant.
The Judge also found that Dennis Family Homes had access to the Porter Davis Homes' designs and homes and would have been aware of the commercial success of the alfresco quadrant. It was held that Dennis Family Homes used this access to reproduce an almost identical alfresco quadrant.
The Judge therefore ruled that Dennis Family Homes had infringed the copyright which Porter Davis Homes holds in the designs and homes by reproducing the alfresco quadrant in their designs and subsequently building, marketing, promoting and selling homes constructed in accordance with these infringing designs.
The Federal Court decision means Porter Davis Homes will now be able to pursue damages or an account of profits (being a portion of the profits it has earned for each individual house built and sold according to its design) from Dennis Family Homes, as well as its legal costs and interest.
This decision, like the previous decisions in the cases against Metricon Homes and Carlisle Homes, draws on the Copyright Act 1968. Material that is protected by copyright includes drawings and sketches of house plans, blueprints and floor layouts. This is especially relevant to architects, designers, draftsmen, builders and others in the building industry who need to remain aware of the legal consequences of referencing or reproducing a competitor's design.
A final note of warning to Managing Directors and Product Development Managers – it may not just be the company which is found liable for copyright infringement; it could also be you. In the case of Metricon, the Court held that both the Managing Director and the Product Development Manager had authorised the copying of the alfresco quadrant and so were personally liable to Porter Davis Homes for copyright infringement.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.