The United States of America, petitioner, v. Motion Picture Patents Company and others, defendants (1912)

Record Details:

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72 OKIGINAL PETITION, EXHIBIT 3. expenses in excess of said twenty thousand dollars ($20,000) during any such year to be borne and paid by the Licensor unless the Licensor and the Licensee and the several additional licensees hereinafter provided for should hereafter mutually agree otherwise. 20. It is mutually covenanted and agreed by and between the Licensor and Licensee that the Licensor may grant other licenses under said reissued Letters Patent Nos. 12037 and 12192 and said Letters Patent Nos. 629063 and 707934, so far as the use of the inventions thereof in cameras is concerned, said licenses to be in writing and not to exceed nine in number, seven to be to the persons and corporations mentioned in paragraph c as having license agreements with the Edison Company, one to the Edison Company, and one to George Kleine, of Chicago, Illinois (except by a majority vote of the Licensee and the nine other licensees, or such of them as may at the time be licensees, on the basis of one vote for each thousand running feet of new subjects, on film of a greater width than approximately one (1) inch, offered for lease or sale in the ^Herritory aforesaid" by such Ucensees during the year preceding the taking of such vote), and not to be granted or continued upon term.s, conditions, or stipulations which are in any respect more favorable to the licensees named therein than those set forth in this agreement (except to the Edison Company, and it shall only be more favorable to it in the matter of the payment of royalties to the Licensor) , and in the case of the license to George Kleine it shall be so restricted as to prohibit said Kleine from manufacturing negative m_otion pictures in ''the territory aforesaid," and from^ manufacturing from imiported negative motion pictures positive motion pictures, and importing positive motion pictures in all more than three thousand ''running feet of new subjects" per week: Provided, however , That if any of such additional nine licenses should be terminated during the continuance of this agreement, then and in each such case the Licensor may grant a license in writing to some other motionpicture manufacturer, but not on terms, conditions, or stipulations which are more favorable as to such new licensee than those set forth in this agreement.