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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22 Harry N. Marvin, Direct Examination. Company and the Armat Company. " A. It was not considered desirable that the stock should get scattered. Q. Is the stock of the Patents Company held by a trust company to-day under this provision, Paragraph 14 of the agreement, being Exhibit 2, to the petition in this case? A. I believe it is. Q. Is the stock of the Patents Company which is owned by the Biograph Company held by the same trust company to-day under a similar provision incorporated in the Biograph agreement? A. I think so; I think all of the stock is held by the same trust company. Q. And what is that trust company? A. I believe it is the Empire Trust Company. Q. Now, this agreement in Paragraph 15, provides: "It is further mutually covenanted and agreed that, upon the termination of this agreement for any of the foregoing causes, or any other cause, all of the right, title and interest in and to the said reissued United States Letters Patents Nos. 12037 and 12192 shall be reassigned by the Patents Company to the Edison Company for and in consideration of the sum of one dollar ($1.00)." Those two reissued patents are 12037 and 12192 and were the patents transferred by the Edison Company? A. Yes. Q. Now, what was the purpose of incorporating in this agreement a provision of this character, that is, permitting the retransfer to the assignor of the patent, provided the Patents Company discontinued business or the licenses were terminated? A. That was to protect the interest of the licensor in the event of the dissolution of the Patents Company. Q. Has that provision of the agreement been changed since 1908? A. No. Q. Now, is there a similar provision respecting the patents that were assigned by the Biograph Company to the Patents Company? A. Yes. Q. So that if this agreement should be terminated the patents under the agreement would be reassigned to the Biograph Company in consideration of one dollar? A. Yes. Counsel for defendants admit that Exhibit #, of the petition is a true copy of the license agree