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 (1914)

Record Details:

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Petitioner's Exhibit No. 259. 2555 It admits that the proofs in the Eberhard Schneider case were closed on Feb. 5, 190G, but alleges that even before the closing of his proofs said Schneider had ceased infringing operations, or at least to a material extent, and that said Schneider lias not since resinned same. That the Kleine Optical company, or persons or corporations acting in concert with it, have recently concluded an arrangement under which efforts are to be made to force said Schneider snit to a final hearing; and complainant agrees to proceed with that suit, provided defendant will admit its privity therein and be bound by the results thereof. Complainant, however, wishes to avoid, if possible, the prosecution of a suit against an inactive defendant, unless the result, if favorable, can have some substantial effect. That under the said camera patent suit was brought against the Selig Polyscope company, which was not pressed until after the decision in the Biograph case, and on May 7, 1907, after argument, Judge Kohlsaat entered an injunction restraining Selig. Discusses Claims of Complainant. Complainant claims that it is impossible to make motion picture films without violating the Edison patent, and after the decision upholding the Edison patent all manufacturers in this country, with one exception, sought licenses from the Edison Manufacturing company, and were granted same. Between October, 1907, the date of the second decision sustaining the validity of re-issue letters patent in the camera, and March 1, 1908, when the said licenses became effective, complainant was endeavoring to bring about an amicable arrangement with such other manufacturers, under which they might be licensed, and for this reason refrained until on or about March 1, 1908, from bringing new suits under said re-issue letters patent on the film. Complainant further says that it has no knowledge that the parties mentioned in said petition of defendant against whom suits have been instituted by complainant are customers of the Kleine Optical company, and that moving picture films embodying the Edison patent are imported into this country in large numbers by, and may be obtained from, many other parties than said Kleine Optical company; that the Kleine Optical company is not a manufacturer of mov