OpenRoots

ORM-2.2

A consultancy or agency using it in a larger product, under ORM 2.2

Delivering client work using the Work, billing the client for services. The Work is one component and customers principally pay for substantial independent functionality. This resolves to the Root tier.

Tier

Root

Owed

Nothing. No fee, no report, no filing.

Sections in play

1.7, 1.9, 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

Using it in a larger product

The Work is one component and customers principally pay for substantial independent functionality.

Rulings

3 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. The Work is one component and customers principally pay for substantial independent functionality. 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

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 forbids imposing a user ceiling, a regional exclusion, or an output-training restriction downstream where this licence imposes none. That prohibition is the point of the instrument.

Same actor

Other situations for this party.