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Thomas Armat, Direct Examination. 2121
pictures will be furnished by the party of the first part without charge to the party of the second part. The party of the first part shall not be required to pay for any films taken by the party of the second part in excess of the number called for by the license account but shall have the option of taking such excess. In the event of the party of the second part failing to secure and turn over to the party of the first part a sufficient number of films to cover the license account the balance due by the party of the second part shall be paid in cash.
It is further agreed by the party of the first part that the name of E. Burton Holmes will not be used in any way directly or indirectly with the use or sale of films taken by E. Burton Holmes, party of the second part, without the written consent of E. Burton Holmes. The party of the first part makes this contract as the sole owners of the United States patents Nos. 586,953, 578,185, 580,749, 586,916 and 627,930 and it is understood that if the said E. Burton Holmes shall at any time hereafter use a machine that does not infringe any of the patents owned by the Armat Moving Picture Company or discontinue altogether to use any moving picture machine in connection with his lectures he shall not be liable to a royalty under this license, after such discontinuance. If the patents above recited shall be declared to be invalid by a court of competent jurisdiction this agreement shall terminate.
This license is granted with the understanding that the weekly payments mentioned in the body of this agreement shall not be for less than six months of each year, payable semi-annually.
IX WITNESS WHEREOF said parties have hereunto set their hands and seals on the day and year hereinbefore written, executing this agreement in duplicate1.
ARMAT MOVING PICTURE CO., [Seal.]
By
Thos Armat, Vice Presdt.
E. BURTON HOLMES. [Seal.]
Signed and sealed in the presence of
W. R. Stark,
Lyman O. Bourxique.