Womack+Hampton Architects, L.L.C. v. Metric Holdings Ltd. Partnership

102 F. App'x 374
CourtCourt of Appeals for the Fifth Circuit
DecidedJune 22, 2004
Docket03-50549, 03-50859
StatusUnpublished
Cited by3 cases

This text of 102 F. App'x 374 (Womack+Hampton Architects, L.L.C. v. Metric Holdings Ltd. Partnership) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Womack+Hampton Architects, L.L.C. v. Metric Holdings Ltd. Partnership, 102 F. App'x 374 (5th Cir. 2004).

Opinion

PER CURIAM: *

Appellant Womack+Hampton Architects, L.L.C. (‘WHA”) appeals from the district court’s grant of summary judgment against it on its copyright infringement claims. Two of the defendants below cross-appeal from the district court’s refusal to grant them attorney’s fees. We affirm both decisions.

Background Facts and Procedural History

From 1996 to 1998, WHA designed five different apartment projects for Appellee/Cross-Appellant Trammell Crow Residential (“TCR”). 1 For each project, WHA and TCR signed Owner/Architect Agreements (“Agreements”) that provided the terms under which WHA would work. Two paragraphs of these agreements are at the center of the parties’ dispute:

IX. OWNERSHIP AND RE-USE OF DOCUMENTS
*377 A. The Drawings, Specifications, and other documents prepared by the Architect for this project are the instruments of the Architect’s service for use solely with respect to this project and the Architect shall be deemed the author of these documents and shall retain all common law, statutory, and other reserved right [sic], including copyright.
B. The Owner agrees not to use, copy or cause to have copied, the drawings and specifications prepared for this project on subsequent phases or other sites without proper compensation to the Architect, which shall be based upon a mutually agreed upon of [sic] $150.00 per unit (base architectural fee), plus engineering services, plus contingent hourly charges and expenses for plan modifications necessary to adapt these plans and specifications to other sites.

Each agreement contained identical provisions, except that the stated base architectural fee for one of the projects was $250.

After all five projects were completed, TCR hired two different architecture firms, Chiles Architects, Inc. and SDT Architects, to design two projects—one in Austin (called The North Bend) and one in Plano, Texas (called Los Rios). In designing The North Bend, Chiles used some of WHA’s schematics. Similarly, in designing Los Rios, SDT used WHA’s schematics from an earlier project.

On September 30, 1998, after discovering TCR’s actions, WHA sent TCR a letter demanding that TCR pay the reuse fee set forth in the Agreement. The letter began:

As you know, Chiles Architects, Inc. has prepared, without our knowledge, Construction Documents for Trammell Crow Residential utilizing plans which are copyrighted property of Womack + Hampton Architects. In the past, on another development in Austin, an agreement was reached between Womack + Hampton Architects, Trammell Crow Residential and Chiles Architects allowing him to utilize our designs on that development for a Use Fee which is common in this industry. Unfortunately, no such agreement was requested nor exists for the use of our Windfern designs.
In an effort to rectify what is an improper use of our work product, we have contacted Mr. Chiles to reach a settlement agreement. We would like your cooperation and agreement to this offer of settlement ...
(4) Our original agreement with Trammell Crow Residential, Houston, for Windfern calls for a $150.00 per unit Re-Use fee for future use of our plans. Because of our long relationship with your company, and the fact that the plans were redrafted by Mr. Chiles, we are willing to accept one half of that amount, i.e. $75.00 per unit for a total Use Fee of $27,450.00. Any future reuse of this product will be priced per the original written agreement. 2

TCR replied by asking WHA to waive the base architectural fee of $150 per unit. TCR never paid any fee and contends that because it did not hear back from WTHA, it understood that WHA had agreed to waive the fee.

WHA originally sued TCR and Chiles and Chiles’s principal 3 for copyright infringement in the Western District of Texas. WHA filed an additional suit against *378 TCR, SDT, and SDT’s principals, 4 based on essentially the same issues, in the Southern District of Texas. The second case was transferred to the Western District and then consolidated with the original Western District case. Neither suit contained a claim for breach of contract, and WHA has repeatedly stated that it did not bring a contract claim.

TCR filed two motions for summary judgment. In the first motion, TCR argued that WHA’s damages were limited to the reuse fee contained in the Owner/Architect Agreements. The district court referred this motion to the magistrate judge, who recommended granting it. After the cases were consolidated, the magistrate issued an amended report and recommendation which expanded the same conclusion to the claims related to SDT’s use. WHA filed objections, but the district court accepted the magistrate’s recommendation.

Shortly- after the district court’s summary judgment order, TCR, Chiles, and SDT filed additional motions for summary judgment seeking dismissal of all of WHA’s claims. These motions contended that the contract permitted the reuse and that TCR’s failure to pay the reuse fee was only a breach of contract, not copyright infringement. The magistrate recommended granting this motion. The district court accepted the magistrate’s recommendation over WHA’s objections and granted summary judgment on all of WHA’s claims. WHA timely filed a notice of appeal. TCR and Chiles also moved for attorney’s fees. The district court denied these motions. TCR and Chiles cross-appeal from the denial.

We review the district court’s grant of summary judgment de novo. Honks v. Transcon Gas Pipe Line Corp., 953 F.2d 996, 997 (5th Cir.1992). The district court’s decision concerning attorney’s fees is reviewed for an abuse of discretion. Bridgmon v. Array Sys. Corp., 325 F.3d 572, 577-78 (5th Cir.2003).

Interpreting the Agreements

The parties agree that the reuse provision provides a copyright license. They disagree, however, about the scope and meaning of that license, as well as when it arose. Generally, licensing agreements, like other contracts, are interpreted under state law. Fantastic Fakes, Inc. v. Pickwick Int’l, Inc., 661 F.2d 479, 483 (5th Cir. Unit B 1981) (applying Georgia law to a license agreement and noting that “application of Georgia rules to determine parties’ contractual intent is not preempted by either copyright act nor does their application violate federal copyright policy”); see also Kennedy v. Nat’l Juvenile Detention Ass’n, 187 F.3d 690, 694 (7th Cir.1999) (“[njormal rules of contract construction are generally applied in construing copyright agreements”).

When interpreting unambiguous contracts, 5

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Bluebook (online)
102 F. App'x 374, Counsel Stack Legal Research, https://law.counselstack.com/opinion/womackhampton-architects-llc-v-metric-holdings-ltd-partnership-ca5-2004.