Custom Home Design - Copyright Issues

Hi There

We are working with two builders simultaneously to create a custom design while we knock down and rebuild. In essence, the builder had put our ideas and design on paper in order to calculate construction/site expenses, etc.

We were ignorant to begin with, believing that the design would be ours and that there would be no problems if we chose not to move on with one of them. At this point, the designs have been finished, and with the exception of a few small details (the interior bathroom's size, facade, and orientation), they are quite identical.

If we don't move forward with any one of them, are we in risk any copyright issues? Although I haven't talked to the builders yet, I know that they charge between $20K and $25K to utilise their design for construction if we chose to work with another building. They also know that I have been working with the other builder and that I would go forward with the builder who I feel offers the greatest value for the money—not the cheapest.

Also I would like to add that i had paid both the builders their intial deposit of $7500 and $5000 so they havent done it for free !

Comments

  • Your designs and sketches are yours. Once a builder transforms them and turns them into usable plans, they own the copyright to those plans, but you keep the rights to your own drafts.

    If you've supplied your drafts to both parties independently, and they have both created near-identical designs, then both builders would own copyright for their own plans but wouldn't stop you from using the blueprints already created/owned by the winning builder.

    The $20k would be essentially buying the rights to the plans from the selling company (as a draftsman/architecture only service) to take to any other third builder who hasn't created plans from scratch from your sketches. This doesn't seem to apply to your situation if both current builders have independently made designs to quote the job.

  • The claim for copyright violation is pretty hard to make stick at this scale, although in any case you can't copyright an idea (ie a building layout), you can only copy the implementation of that idea (eg the actual drawings).

    Because you've started from scratch with both builders, not taken one design over to another builder for them to copy, you have a reasonable argument that both designs are novel and therefore different works.

    What's more likely to happen, however, is that you might get sued for breach of contract.

    You are aware that they charge between $20K and $25K to utilise their design for construction if you chose to work with another builder, which is presumably part of a contract that you signed. Even if you didn't sign something, they would have a strong case that there is a verbal contract because you have utilised their design services knowing this information.

    You say that they know that you have been working with another builder, however if that's not something you have in writing from them it's going to be hard to make that stick if they deny ever having had that conversation.

    In any case, there might be an implied understanding that you were exploring a different design entirely, not having two different companies mock up essentially the same plan.

    Basically, the business model here is that the cost of design is built into the builder's construction prices. If you get them to knock up a design for you for "free", and then you chose to take that design to another builder, they're entitled to ask for compensation for the not insignificant amount of work they put into putting that together.

    It may not be worth their while taking you to court, but they might also decide to because builders tend to play hard ball with such things, in my experience, as they get burned too often providing services for free.

    • +1

      they would have a strong case that there is a verbal contract because you have utilised their design services knowing this information.

      The builder provides some basic design services up from ex gratis on the hope, but not guarantee, that the client will stay with them. This is not a verbal contract.

      they're entitled to ask for compensation for the not insignificant amount of work they put into putting that together

      Not unless it's a signed legal document they can't. And since the builder needs designs to even quote for a job, they can't place blame on the client for all the costs incurred.

      No court is going to entertain the idea that a builder would be entitled to funds for simply providing a quote to a client, especially with the absence of any paperwork to enforce their claim. The OP getting more than one builder to design & quote would reinforce this position, and having designs ultimately not pan out into builds is standard business practice across the industry.

  • Copyright on a home plan? Good luck…

  • +1

    Im gona go out on a limb and presume that the 'custom' sign is close to existing designs anyway given that most houses are very similar unless you get an architect and tell them to create something unique.

  • What's the quotes coming back at?

    I've found that quotes have come back much much higher than expected recently for custom to the point people have chosen not to proceed/sell existing house as is.

    • I've found that quotes have come back much much higher than expected

      Its not just custom, its building in general! Even volume builder 'quotes' are eye watering once all the extras are added in.

  • You pay them and they retain copy right? WOW

  • are we in risk any copyright issues?

    No risk if you file the copyrights first. It will take 3 months approximately.

    You can probably turn around and sue them if they use the design in another build.

    /s

  • Since you already paying $$$, why not pay another $5K and hire a copywriter lawyer?

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