Gravitas Blog

Since our last how to we work remotely blog post we have designed many more projects remotely. Here is our updated map with new projects in Saskatchewan, Missouri, Kentucky, and lots of homes in between. We like having clients who become friends all across the country. We love what we do, but having our fingers on the pulse of the nation makes it all the more interesting.

One issue that we constantly run into while designing custom homes, is copyright.  We go to great lengths to respect the hard work individuals, and companies have invested in the creation of their designs.  We often have clients come to us with plans ripped from magazines and they say they want this kitchen, or this exterior.  This is where we have to inform them that we can’t just rip an idea off, or just change it 17%, and we’re okay.  It is our responsibility to educate the client on the law, and create an artistically, and intellectually unique design, that does not rely on some else’s work.

I recently had the pleasure to attend a presentation by Boise based attorney Stephen Nipper presented by the local chapter of AIGA American Institute of Graphic Arts¹.  While the specifics of the presentation had to do with Graphic Design and the like, the underlying law for it, and for architectural design is the same.  I will split this post into two.  Being a lawyer, we covered a lot of ground in the hour long presentation.  In summation, here is what I learned:

When a client hires our company to design their home, what is purchased is basically the paper that the design is printed on, with the lines on the page.  That is, unless the “artistic content” is sold as defined in the contract with that client.  I will run down with you my understanding from Stephen Nipper.  In his preamble, he was quick to point out that this was not legal advice, and your particular circumstance may vary, but by and large, it is good information.

Copyrights are created at the instance it is fixed in a tangible medium.  A mark or registration is not necessary.  If you do register the plan, you need to do it before it is published, or within 90 days after it appears in “print” (publishing electronically is considered the same as the printed page).  If the plan is registered, it enables you to seek higher statutory penalties, if an infringement occurs.  Damages range from $750-$30,000 (and $100,000 if it is a willful infringement).  You can also collect the attorneys fees associated with protecting the copyright.  If the plan is not registered, then you have to show what the loss/gain is.  This can be much more difficult to prove.  A registration creates a public record, and puts everyone on notice that you consider this to be proprietary information.  A registration also must occur before a suit is filed.

The designer of a plan is by default the owner of it (except if the designer is an employee, then the company owns the copyright), unless it is changed by the contract, or is a “work for hire” situation.

Copyright is referred to as a “bundle of sticks” situation, where each of the following rights exist independently, and need to be addressed separately.  Copyright includes:

1. Derivative rights: manipulating the design in such a way as to create something new.
2. Distribution rights: rights to print, sell, or otherwise distribute the plan
3. Performance rights: right to perform the copyrighted material in public (on hold music)
4. Display rights: right to display the copyrighted material in public (in a lobby, for instance)
5. Right to Reproduce: duplication of the plan either singularly, or in multiple copies

Ignorance of the fact there is a copyright in place is not insulation from lawsuit for infringement.  The largest thing to change though, is the magnitude of the penalties.  If it can be proven that there is ignorance to the existence of the the previous plan, then of course willful infringement is not on the table.  Also, there is a maximum of $200.00 per infringement, versus the $750-$30,000 penalty.  Also, just because you don’t make a profit on stealing someone else’s design, does not mean you can’t be sued for the damages that the copyright holder experiences.

The idea that if a plan is changed X%, it no longer is copyrighten by the original designer, is a myth.  We often hear that if you change some designers plan by 17%, it’s okay to use.  I don’t know where that number came up, but I’ve heard it more than once.  The definition that is used by the court is if the two designs are “Strikingly Similar.”  That injects a degree of subjectiveness to the interpretation.  So care must be taken, if you use a plan as inspiration, that it is not only noticeably different, but that it is not strikingly similar.

Typically, a copyright lasts for the length of the authors life, plus 70 years.  I am not sure how this works in regards to a company, or 25 years from publication, or 125 years from creation.

I’ll finish up what I learned on the next post.  All in all, an educational experience.

>Mark

There are quite a few myths about log homes that are circulating among folks who are already having enough problems with sorting log facts from fiction.  Here’s my take on one of the biggest myths in the log home industry – How to get the “final“  total price of a log home from a manufacturer.  Time and time again, when I was selling log homes, customers would ask me to verify how to come to the final price on their new log home – to take the log package price and multiply it by 4, to take the advertised SF of a plan and multiply that by $150 a square foot, to see what the maximum they qualified for and add 10-25%.  The short answer to that question is – it depends.  Not very reassuring.  Here’s why.  Using multiplier won’t work because every log home manufacturer’s components package is different.  Company A’s product may be pre-cut, contain fastening hardware, with doors and windows.  Company B’s product may contain only the raw, random length wall logs and other log components.  If you use a static multiplier for either package, you’re going to get some fictional number that won’t do your budget any good.  There are just too many factors involved in getting an accurate job cost to just throw out “just multiply the log package price by “x” and you’ll have your budget.”  That won’t even get you in the ball park.  If someone gives you that advice, politely thank them and run the other direction.

When someone gives you an estimate of “x”  dollars per sqaure foot – take a few more mintues to ask this person some follow up questions.  If you are talking to a local builder, and your project is going into his territory, you might have a starting point to begin working out the details on your budget.  As you get close to selecting a builder/supplier, be sure to talk to some of their recent references, and be candid about your budget concerns – how close was this person to the original budget proposed (barring change orders).  Talk to the banks that they worked with.  Check them out with the Better Business Bureau or the State’s Attorney Generals office.  This is most likely the biggest financial investment you’ll make in your life – take the time to make sure the people you involve are capable and trustworthy.

If you are at a Log Home Show, and you get a quote of “x” dollars per square foot – I’d take that information with a grain of salt, unless they are truly a local builder.  Quite of a few of the log home companies travel across the country to the log and timber home trade shows, and they just don’t have the local contacts to give out accurate building costs.  For example – If you were to attend a Denver, CO show, depending on where your were building in the state of Colorado, your square foot building costs could range from $150 a SF to $300 a SF and up, for the EXACT SAME LOG HOME PLAN!  To get accurate figures, your best bet would be to work with some of the local businesses and trades from your building area.

In order to get any accurate budget information, you’ll need to start with a good and detailed set of plans.  If you’ve already decided on a manufacturer, and you’d like to proceed with their designs, be sure to take a look at a set of their final construction documents.  Make sure everything is spelled out.  Get your builder’s opinion on them – can he build from them.  Any information that’s left out is time and money on the job spent figuring it out.

The best way to take charge of your budget is to come into things fully prepared.  If you use an independent design firm, like Gravitas, you are calling the shots from the beginning.  You can go through the design process – including and many or as few of the log and timber components you like.  I say this because, the log and timber frame companies are in the business of selling wood.  It’s only natural for them to try to include as many components into your log package as they can – sacrificing elements of your design and budget to pad their sales figures.  With an independent design firm, you get the elements you want, where you want them.  Some people want to see log and timber everywhere – others only want log walls, with drywall and plaster to break up the exposed woodwork. Either way, you get the design elements you want.  The biggest advantage is that when you shop around, you have the power.  The log home companies are all bidding on the same set of plans, and they know you’re out there shopping around.  It’s in their best interest to give you the best price possible in order to stay competitive.  An independent set of plans forces them to sit down and dissect your house in order to get accurate figures.  When the preliminary bids come in – you’ll have the ability to compare the apples to apples.  Only when you decide on a manufacturer, should you begin the Final Construction Document phase of your plans.  By waiting until you choose a manufacturer, the designer can then incorporate the specific details pertinent to their particular construction system (thru-bolt, lags, mechanical settling devices, etc) into your plans set, giving more than enough details for the builder to generate an accurate budget for your new log house.

Bottom line is, if you don’t have a detailed set of plans – specific to not only your building site, but to your tastes and budget, how can you expect to get anyone to give you any sense of how much things will cost.  A good set of plans may run several thousand dollars, and if they’re done right and they are thorough, they can end up saving you thousands in the end.  Like it or not, you’re paying the same $$ when a builder and his crew are standing around trying to “figure out” a detail as you are when they are hard at work, building your dream home.  Doesn’t it make sense to arm them with the best information and plans?

Hope this was helpful.  Let me know if you have any questions.

Happy stacking!

Paul

With my last post, I wanted to give you some background on myself and my experience in the Log Home Industry.  I hope that if you have any questions at any time during this series, you’ll either leave comment or contact me.

First things first – one of the most important things during the whole process of building your log home is going to be the architectural design of it.  This home will most likely be the most expensive thing that you’ve ever financed, and you want to make sure that everything fits your lifestyle perfectly, and I believe that using an independent design firm is the best way to achieve this.  I’m obviously a strong advocate for independent designers (this is what I do for a living).  Here are my reasons for encouraging you to think outside the box.

Nearly every log home manufacturer has some sort of catalog of their “signature” floor plans.  Don’t get me wrong, these are a great starting point.  These generic plans give you a basic sense of space and aesthetics, and can also give you a starting point on pricing out one of their packages.  Sometimes a company will even claim that if you purchase your log package from them, the plans are free!  Here’s the problem with that – someone had to get paid for the plans, one way or the other.  If they promise that the plans are free, then they’ve just buried the cost somewhere in your log package price.  Be sure to check and see what it would cost to modify one of the stock plans.  I sold log homes for nearly three years, and I can’t think of one instance where someone came in off the street and said that they wanted our “model A” plan, with absolutely no changes.  This also goes with people I worked with who’d been in the industry since the early 70′s.

Here’s what I think is the biggest problem with working with a company’s stock plan.  It’s extremely difficult to take that plan and shop it around (copyright issues aside).  Every manufacturer packages their product differently.  Some of the differences are:  pre-cut logs vs. random length, grade of logs and poles, is the fastening hardware included, milled vs. handcrafted logs, on-site technical support, shipping costs, sales tax, various degrees of building materials – doors, windows, floor decks, roofing material, log siding, stains and finishes, just to name a few.  This is where having your house designed by an independent design firm has it’s advantages.  Not only is the house uniquely designed to fit your lifestyle, but its also designed to include (or exclude) as many of the log components you want.  Manufactures make the bulk of their money on the logs, so it’s only natural that they might push as much product on you as possible (to help offset the costs of their “Free” design department).  When you come through the door with your design work done independently (not your final construction documents – those should wait until you settle on a manufacturer), every log home producer is bidding on “the exact same set of plans”.  This allows you to get a closer apples to apples comparison, and you can see why one company may be $15K less than another (no hardware, random length vs. pre-cut and hardware included).

One thing most folks don’t think about when shopping stock log home plans is will this home work in my jurisdiction.  A stock plan may work perfectly fine off the shelf if it’s build in mid-western Kansas where the snow load can be 20PSF.  Now take that same stock plan and drop it it in Aspen, Colorado where it’s not unheard of to have a 150PSF snow load.  We’re talking about completely different structural components necessary for either homes.  Different roof systems, foundations – structurally speaking, different houses.  A 10 inch diameter spruce/pine ridge beam in Kansas could turn into a 22 inch diameter douglas fir ridge beam in Colorado.  By using an independent design firm like Gravitas, you’ll have your house specifically designed for your jurisdiction, conforming to the local codes and building department’s requirements, the first time around.  It will also be much easier to track and manage your building budget with a set of plans specifically designed for you, opposed to something that’s generically detailed out and vague.

These are just a few ideas to think about when designing your log home.  When you figure that your home may cost $300K and up to build, it’s well worth spending a relatively small amount to prepare a set of quality construction documents, specifically designed to your needs, and your location, and they communicate how to construct your dream log home?  This will reduce the number of surprises that tend to come up during the construction process, and often save you more than the cost of drawings because everything is thought out, and it doesn’t conform to a generic client.  If you have any thoughts or comments for me, please feel free to do so.

Happy stacking!

Paul