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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320 William HL Swanson, Direct Examination. less litigation over this thing, and perhaps always would be, but that the success of the entire matter depended upon the commercial organization. Q. State whether or not anything was said about using the license agreements under patents, as the method of forming the combination? Do you recall anything about that? Mr. Caldwell: That question is objected to. Of course, my understanding is, that this stipulation relating to objections to the testimony, applies to all conversations upon which you have interrogated the witness, and are about to interrogate him? Mr. Grosvenor: I am willing to concede it as you understand it. Mr. Caldwell: All right. The stenographer repeats the question. A. Yes, sir. Q. What was said? A. I came here as a committee of one representing all of the Edison film exchanges in Chicago. Q. You came here to New York, you mean? A. Yes. And for the purpose of seeing Mr. Dyer; we in Chicago having faith in their estimated authority under their patents. I arrived on Saturday. I do not recall the date. I called up Mr. Dyer at Orange, New Jersey, in an effort to make an appointment with him to discuss conditions under those patents, which we purposed to make to him. He said he was going hunting, and he would not be back until Monday. He wanted to know if I would not remain until then, and I said no, but I would submit the proposition to him over the telephone. I said, "We in Chicago have decided that we will combine our business, and make the Edison Company a present of one-half of all our interests, in all our combined businesses, if they can show us where they can shut out the independent competition we are now having in Chicago." He said that was a great idea, he had not thought of it, but he would work it out as soon as he came back from his hunting trip, and he thought very likely it would be accomplished, and it later was, except that they bought the exchanges out altogether.