Defining Proptech
The rapid digitization of the built environment has transformed real estate from a traditionally asset-heavy industry into a veritable data-driven ecosystem. The technology driving this transformation is commonly referred to as "proptech", an umbrella term commonly understood to comprise different streams: fintech (facilitates the trading of real property); the shared economy (matches users of space to sellers of space through apps and websites); contech (solutions for the design, planning and construction of buildings); legal tech (streamlines real estate transactions); and smart buildings (optimizes the operation and management of buildings).
Proptech is often powered by artificial intelligence (AI) and the Internet of Things (IoT). Proptech solutions rely heavily on and generate significant amounts of data, and proptech companies are often built on innovative technologies, including proprietary software, algorithms, databases, construction methods, and business models. Protecting these innovations is crucial given the fast-paced nature of technological advancement and the highly competitive proptech industry.
This blog will explore the evolving Canadian landscape in proptech, describing certain categories of patents filed over the last ten years, highlighting some recent patent litigation and setting out some strategic considerations, both for companies seeking to protect their technology and for industry participants evaluating, licensing, or investing in these tools.
Proptech Patents
As proptech transforms how buildings are built, managed, and valued, securing innovation through patent protection has become increasingly important. Companies are pursuing protection across a broad range of technologies, and Canadian filing data reflects this momentum. By analyzing the "IPC" codes associated with patent filings, which is a standardized global framework to categorize inventions by technical field, between 2016 and 2026:
- Over 270 Canadian patent applications were filed relating to systems for managing building energy consumption (IPC "G06Q 50/06"). This category includes energy monitoring platforms, smart meter analytics, HVAC optimization systems, predictive energy modeling and other tools aimed at improving building efficiency and sustainability.
- Over 240 Canadian patent applications were filed relating to information technology systems used for managing sale and transfer of real estate assets (IPC "G06Q 50/16"). These filings broadly cover digital marketplaces, property listing systems, lease and transaction processing platforms and data-driven tools for pricing and asset management.
- Over 190 Canadian patent applications were filed relating to computing systems for managing and monitoring building construction (IPC "G06Q 50/08"). These filings often concern construction project management software, site monitoring systems, scheduling and logistics platforms and digital tools that integrate real-time data into construction workflows.
Accordingly, these figures demonstrate that proptech innovation is not isolated to a single niche, but span multiple segments of the real estate and construction ecosystem. As the sector continues to evolve, patent activity is likely to remain a key indicator of where technological development and competitive focus are heading, which will provide a competitive advantage to those who develop, deploy and enforce such technologies.
Proptech Patent Litigation
As patent filings have accelerated, there has also been an increase in proptech patent litigation.
One of the earliest proptech cases was dTechs EPM Ltd v British Columbia Hydro and Power Authority, 2023 FCA 115, where the patent at issue related generally to "monitoring usage of utilities, such as electrical, for alteration in normal patterns of consumption of utilities and more specifically, to a system of detection of patterns indicative of theft of electrical utilities, such as in the indoor cultivation of marijuana". In the end result, the infringement action was dismissed and many of the patent claims were held invalid.
Another early case was Greenblue Urban North America Inc v Deeproot Green Infrastructure, LLC, 2023 FCA 184, where the technology at issue pertained to a system designed to foster tree growth in urban environments. The patents at issue were found to be both valid and infringed and an injunction issued.
In Solucore Inc v KJA Consultants Inc (T-2620-25), the patent at issue is generally directed to the management and assessment of elevator and escalator systems to ensure optimal performance. By Order dated February 16, 2026, the Federal Court struck the Statement of Claim with leave to amend because it did not adequately define the issues, provide sufficient notice as to what activities are alleged to infringe the patent, or enable the defendants to plead intelligently in response. The Plaintiffs have until March 18, 2026 to file a Fresh as Amended Statement of Claim.
Most recently, Verifi LLC v Giatec Scientific Inc (T-3901-25) pertains to technology regarding a delivery system and method for monitoring properties of concrete in a rotating container and Strata Innovations v Yude Rain Ecological (T-720-26) relates to modular structural cells to support load-bearing surfaces while providing void space for retaining soil and water. These cases are still in the pleadings stage.
Conclusion
As companies continue to file proptech patent applications and as those applications mature to issued patents, we expect proptech patent litigation and litigation regarding other forms of intellectual property (IP) to accelerate and increase infringement risk of all verticals in the real estate industry. Any companies dealing in this space will increasingly require IP literacy alongside technical, legal and commercial due diligence.
- For consumers of proptech (landlords, developers, asset managers, lenders and public authorities): risks centres around data ownership, licensing scope, indemnification, customization rights, integration with existing systems and residual rights to improvements.
- For proptech companies: due consideration for how to protect (or avoid infringing) IP rights is critical. Overlooking IP strategy leaves companies vulnerable to claims of infringement of competitors' IP, exposes them to loss of competitive advantage and trust in the market, and can result in diminished valuation at exit.
Bennett Jones