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Question:

Fardhu Enterprise had approached Liyana and Farouk to participate as authors of a manuscript for welding technology manuals which would be published by Fardhu Enterprise and meant for use in diploma courses of Malaysian vocational colleges. All the parties were receptive and attended a meeting at Fardhu Enterprise's office to finalise their joint efforts to produce the publication of the manuals. At the close of the meeting, the parties executed four sets of letters of commissioning prepared by Fardhu Enterprise for the publication of the manuals. After the execution of their respective commissioning letters, Liyana and Farouk proceeded to produce their manuscripts, two meetings and multiple email communications continued between them. Liyana and Farouk were paid in advance royalty payment amounting to RM2,500 per person by Fardhu Enterprise. Having received the manuscripts from Liyana and Farouk, Fardhu Enterprise reviewed them and notified Liyana and Farouk to revise 11 of the 20 manuscripts, however there was no response from Liyana and Farouk. Fardhu Enterprise was verbally informed by Liyana that both of them were no longer interested to jointly publish the books. Fardhu Enterprise then notified Liyana and Farouk by email that the revision on the 11 manuscripts be put on hold which caused the printing of the books to be suspended. There were subsequent correspondences between Fardhu Enterprise and Liyana and Farouk where they were demanding for their royalties. In the meantime, the Liyana and Farouk and Amru Sdn Bhd were in communication and the former handed over the manuscripts of many of the books for publication by the latter. Unsatisfied with this, Fardhu Enterprise sued Liyana and Farouk for copyright infringement claiming that the ownership of the copyright reside with him. Discuss.