Facts
- The Airport Authority of India (“AAI”” or “the applicant”) entered into a contract with Raytheon Company USA (RC) for “Automation Upgrade for third runway at IGI Airport, New Delhi.
- The contract involves RC supplying hardware, software and providing services in connection with installation. The cost of software was the major component of the contract.
- All the activities under the contract were performed outside India by RC and only some support activities relating to installation and site inspection tests were rendered in India.
- The contract specifically provided that the title and risk in the property (hardware and software) shall pass
on to AAI outside India. AAI was responsible for payment of import duties and customs clearances. - As regards software and documentation, the contract granted to AAI a non-transferable, non-exclusive, royalty free license for using the software only at Delhi.
- Software supplied by RC under the contract consisted of customer-off-the-shelf (COTS) software required to run the system (e.g. Acrobat Reader, Solaris operating system, Netscape, etc.) and RC’s ATC Automation application software (i.e. Autotrac) along with documentation.
- Facts regarding Autotrac ATC Automation software
– Copyrights in ATC Automation application software belonged to RC.
– The Autotrac ATC Automation software though was standardized software; it required site specific modifications/adaptations depending on the operational requirements of the concerned airport where it is installed.
– Modification/adaptation related to number of runways in use, number of radar sensors available, total air-space to be controlled, quantum of air traffic, etc.
– Therefore, in the instant contract, the said standardized software was customized to suit the site specific requirements of the IGI Airport, New Delhi.
Contentions of the Applicant
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