OpenRoots

ORL-2.2

A consultancy or agency repackaging it, under ORL 2.2

Delivering client work using the Work, billing the client for services. Wrapping or bundling the Work and commercializing the package as the product. This resolves to the Root tier.

Tier

Root

Owed

Nothing. No fee, no report, no filing.

Sections in play

1.13, 1.7, 1.9, 2.1, 2.2, 4.1, 4.2, 4.3

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

Repackaging it

Wrapping or bundling the Work and commercializing the package as the product.

Rulings

4 questions resolved against the text.

clear

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

clear

Is anything owed?

Nothing. No fee, no report, no filing.

Sections 2.1

clear

Does this count as Production Use?

Yes. Wrapping or bundling the Work and commercializing the package as the product. Section 1.9 covers internal operation at operating scope and systems made available externally to customers or the public. Development, testing, evaluation, research, and personal non-revenue use remain outside it.

Sections 1.9

conditional

Is this a Competing Offering?

Yes if the value derives entirely or substantially from the Work itself. Section 4 applies to every Licensee, including Root. A larger independent product remains allowed, but selling, porting, repackaging, hosting, or redistributing the Work as the product requires a separate written agreement.

Sections 1.13, 4.1, 4.2, 4.3

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.

Same actor

Other situations for this party.