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(►ftlic I \itciits ( '(>. ( l^\)ls. :*» IS :{;■);■).) 'Tl ic | ) |-i iici j )a 1 modilir.-it ion is tli;il llic iii;iiiiir;M-1 iirci's .-ire iio longer (MHiipcl I(m1 hy llic ;iL!,i'<'('iii('iit to | m rcli.Msc tilrii from one iii.iiiii t'.-icl u rcr ol' Mini. Pi'ior to this modilicat i(»n, wliicli is contained in the a^rci'incnt of fJunc (), H)lL\ the inainit'act ni'crs had hccn conipelI(Ml to pnrchasc all their film t'l'oni the l^astnian Ko(hik Co.
Another inoditication (Aiis. foL iM^) also contained in the agreement of June (), 1912, divests Licensees of all voice in the licensing and cancellation of licenses of rental exchanges. This provision is iimnaterial for the reason that at the time it was adopted all the licensed exchanges had been put out of business through cancellation of their licenses or had been acquired by the General Film Co. Furthermore, the Patents Co. is merely the instrumentality of the manufacturers and is controlled by them, and, therefore, as the Patents Co. retains the power of cancellation, the manufacturers in effect have the same power.
Some of the exhibitors put on the stand by defendants testified that they were using at times independent films, indicating that the defendants had relaxed the rule prohibiting the licensed theaters from exhibiting unlicensed pictures. But as stated above, ]\[r. Marvin testified on January 25, 1913, six months after the filing of the petition in this case, that the rule was being enforced. (I, 129, fol. 1.)
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