Entitlement to a design

The Federal Court, Spender J, has allowed Courier Pete’s appeal from the Registrar’s ruling that, while Courier Pete owned ARD 310528, ARD 312217 and 312218 were owned by Metroll.

Section 13 of the Designs Act 2003 prescribes who is entitled to a design.

Collymore was employed by Metroll as its factory foreman making water tanks and the like. The Registrar found that it was no part of his duties to be creating new designs for rainwater tanks and Collymore had in fact made the first design on his own time at home. Hence, following an assignment to Collymore’s own company, Courier Pete, Courier Pete was the owner. However, the Registrar found that Collymore made the two later designs pursuant to an order from his boss at Metroll, Mr Harland. Thus, the Registrar found that Metroll was the owner.

Spender J upheld the Registrar’s finding in relation to the first design. (A significant factor in this was Metroll’s failure to call the other members of the tank making team to back up Mr Harland’s claim that the team was working on the design before the application to register the first design was lodged.)

Spender J considered that Mr Harland’s direction to Mr Collymore to make up what became the second and third designs had to be considered in all the circumstances. On the evidence, his Honour found that Mr Collymore had made it clear before he agreed to carry out Mr Harland’s direction that he, Collymore, would do so only on condition that he retained ownership in the designs and Mr Harland accepted that a royalty would be payable on use of the design. Thus, he retained ownership.

Courier Pete Pty Ltd v Metroll Queensland Pty Ltd [2010] FCA 735

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