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That's a common misconception (in fact I once heard a mud hosting provider claim that all muds running on his servers technically belonged to him!). However please let me clarify that the above statement is NOT true - transfer of ownership requires a signature, and to own a copy is not to own the copyright.
As for the other points - well, this is a prime example of why builders (and coders for that matter) should provide written licenses for their work. Did the agreement give permission for Ostoles to use the area, or for SOTN to use it? I'm sure if I asked both of you, I'd get two different answers. It's not an easy situation to resolve (although either way, credit should be given).
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