Background:

• GEREC filed a copyright infringement action against Canmec Industrial Inc., and Rio Tinto Alcan Inc. sought to examine Cyril Chatron, an engineer from GE Hydro France (a French affiliate of GEREC), for discovery, claiming he was an "assignor" of copyright.

Legal Issues:

1. Whether Rio Tinto could examine Cyril Chatron as an assignor under Rule 237(4) of the Federal Courts Rules.
2. Whether Rio Tinto could be granted leave to examine Chatron under Rule 238 as a non-party with relevant information.

Court’s Analysis and Decision:

• The court found that under subsection 13(3) of the Canadian Copyright Act, GE Hydro France, as Chatron’s employer, was the initial copyright owner, not Chatron himself.
• The court held that Canadian copyright law applies to the determination of initial ownership, regardless of the nationality of the author or the location of work creation.
• Rio Tinto’s motion to examine Chatron was dismissed, with the court finding that it failed to establish the necessary criteria for examination under Rule 238.

Outcome:

• Rio Tinto’s motion to examine Cyril Chatron was dismissed, as he was not considered an "assignor" under the applicable rules, and Rio Tinto did not demonstrate the necessity to examine him as a non-party.
• Rio Tinto was ordered to pay costs of $3,000 plus reasonable disbursements to GEREC.