In the District Court of the United States, for the Eastern District of Pennsylvania, the United States of America, petitioner, vs. Motion Picture Patents Company, et al., defendants (1913)

Record Details:

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II. N. Marvin, Direct Examination. 1-47 style, owing to very considerable fluctuations in the supply. There was a tremendous amount of litigation — almost everyone who was permanently engaged in the occupation of producing motion pictures, and some who were importing, were being sued under various patents that were owned by different owners, which patents covered different elements in the apparatus employed in the production and exhibition of motion pictures. This continual fighting in the Courts, with the uncertainties attending it, acted to deter producers from increasing and regulating their output. It kept the renters or distributors of motion pictures in a continual uncertainty, because they were unable to tell from day to day what their sources of supply would be. It deterred exhibitors from increasing their investments in theatres, and it deterred others from going into the business of operating theatres, because of the uncertainties attendant upon the sources of supply of motion pictures. The owners of the several patents were repeatedly warning the public that their patents were about to be sustained, and that they were about to prevent some persons from continuing in the occupation, and the general result was rather chaotic, and the conditions were very discouraging to the advancement of the art. By Mr. Kingsley: Q. Were you at that time connected with the Biograph Company? A. I was. Q. In what capacity were you connected with that company? A. I was Vice-President. Q. Were you familiar with the business of the Biograph Company? A. Yes, I was. Q. At that time did you, as a producer of motion pictures, consider it safe to make large investments under the conditions then existing? A. I did not. Mr. Grosvenor: It is understood that my objection, made at the beginning of this line of questioning, applies to all questions along this line, so that I will not have to repeat it, on the ground that it is going into the economic conditions, and not anything that is directly material to any of the issues in this case.