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)

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Samuel H. Shirley, Direct Examination. 2285 three ten-day reels and lie gets three ten-day reels the entire year around every day in the year; and his opponent, we try to sell him the same service, and give him tne opposite three. For instance, on Monday we give him Edison, Biograph and Kalem, and we give his competitor the other three reels, and the following Monday we reverse the order and give the competitor the Biograph, Edison and Kalem and give him the same makes the other man had, and, therefore, give him an equitable distribution of the different manufacturers. Q. In that way do you avoid any conflict of service? A. Yes, sir. Q. And any repeaters? A. Yes, sir. Q. Do you find that that alternating system is satisfactory to your customers? A. Entirely. Q. If you have a customer dissatisfied with the pictures which you have included in his program, do you change them for him? A. Yes, we are very glad to, but it has to be with the understanding he has to know it is something else that has not been shown by his competitor, in order not to give him something that has been repeated. Q. He must give you reasonable notice in advance? A. Yes, sir. Q. Just how active is the competition between you and the other companies you have named, in your territory? A. There are from five to six customers changing every week, back and forth, and we get in close touch with them. Q. You mean by that, they are getting five or six of your customers every week and that you are getting five or six of theirs? A. Yes. Q. And it is about an even swap? A. Yes, sir. Q. You have solicitors on the road? A. One. Q. What are his duties? A. To solicit orders for films, sell supplies and machines and to inspect machines; that is, lie goes in and sees that they are properly adjusted, and if they are not, he calls the attention of the manager of the house to it, and sees that the machine is all in shape. Q. Do you know whether a license was granted by the Motion Picture Patents Company to Mr. Calehuff, to operate an exchange in Harrisburg, Pa. A. Yes, sir. Q. Do you happen to know whether that license was afterwards cancelled? A. I believe it was.