ORD-2.2
A consultancy or agency discovering you are in breach, under ORD 2.2
Delivering client work using the Work, billing the client for services. You realise an obligation was missed, and it may have been missed for some time. This resolves to the Root tier.
Tier
Owed
Nothing. No fee, no report, no filing.
Sections in play
1.7, 10.1, 10.2, 10.3, 2.1, 2.2
Who and what
The situation being resolved.
Actor
A consultancy or agency
Delivering client work using the Work, billing the client for services.
under 2M USD
Situation
Discovering you are in breach
You realise an obligation was missed, and it may have been missed for some time.
Rulings
3 questions resolved against the text.
Which tier applies?
Root. Delivering client work using the Work, billing the client for services. Below $20,000,000 in trailing revenue, or within an exempt category, no Canopy royalty applies. Sections 4, 6, 8, and 10 still bind every Licensee.
Sections 1.7, 2.1, 2.2
Is anything owed?
Nothing. No fee, no report, no filing.
Sections 2.1
What happens on breach?
Thirty days to cure from written notice, under Section 10.1. Reinstatement is available on curing and paying what would have been owed, with interest, unless you have already had rights terminated for the same Work within twenty-four months. Downstream recipients who remain compliant are unaffected by Section 10.3.
Sections 10.1, 10.2, 10.3
Cautions
What this situation gets wrong most often.
Revenue is measured across entities under common control, per Section 1.4. A parent company above the threshold makes its subsidiary a Canopy Licensee regardless of that subsidiary's own turnover.
Section 8.3 of ORD requires a withdrawal of consent to propagate to any derivative you have distributed. Whether that is operationally achievable at depth is a published open question.
Same actor
Other situations for this party.
Non-normative. Where this and the licence text disagree, the licence text applies.