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copyright and liquidation...???

  • 11-04-2011 11:41am
    #1
    Registered Users, Registered Users 2 Posts: 275 ✭✭


    here's a subtle one....

    photographer takes photos for a company and is not paid by the time company goes into receivership and subsequently liquidation.... as an unsecured creditor he gets nothing... but

    the company is sold and the new owners continue to use the images....

    where does the photographer as copyright holder stand...??

    The images aren't the property of the the original company, and so liquidator cannot sell them to cover fixed charges....


Comments

  • Registered Users, Registered Users 2 Posts: 13,381 ✭✭✭✭Paulw


    Normally, the photographer retains copyright, unless he assigns/sells the copyright to the company.

    The photographer would need to review the terms of the original contract, and see who owns the copyright.


  • Registered Users, Registered Users 2 Posts: 275 ✭✭jaybeeveedub


    sorry I wasn't being clear...

    in the example the photographer would have retained copyright, merely licensing the use of the images to the original company...

    does the "new" company retain the rights to use the images, despite the photographer remaining unpaid....

    in a similar vein to unsecured creditors goods being sold by a liquidator to cover fixed charge debts, with the unsecured creditor getting nothing...


  • Closed Accounts Posts: 25,848 ✭✭✭✭Zombrex


    What is sold on to the new company is the license to use the photographs, and as such the cost of paying for the license is passed on as well.

    The photographer should direct the bill to the new company, though in a real world case it is unlikely that the new company would take assets that have not already been paid for (ie take on debt the old company owed) unless they really wanted it.


  • Registered Users, Registered Users 2 Posts: 275 ✭✭jaybeeveedub


    would that place a duty on the liquidator to identify which debts the purchaser would take the company clear of and those that they would remain liable for?

    does that make the sale of a license as opposed to a chattel somewhat like a Romalpa clause?

    I know McMahon J, held that contractual liens are not registerable charges, but there seems to be very little caselaw( and on that basis probably few instances( re Antigen ?? )of companies being sold in such situations) or coverage in texts of such a situation arising


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