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)

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1 2946 Warejejn R. Palmer, Cross Examination. Q. Did you remain in their employ after you sold out? A. No. Q. Well, had your exchange, prior to the sale to the General Film Company been making or losing money? A. It had never made any money. It had always lost it. Q. Were you satisfied with the price which you received? A. We were. Q. At that time did you regard the exchange business as a stable business? A. We always regarded it as a very hazardous business. Cross Examination by Mr. Grosvenor: Q. Mr. Palmer, the General Film Company has not paid you the entire amounts which you are to receive for your property? A. Not yet. Q. How much of the deferred pa}rnients remains unpaid ? A. About |3,000, I believe. Q. You commenced doing a film rental business in 1908? A. 1908. Q. Who were the owners of the business? A. It was a copartnership owned by Mr. R. M. Mock and myself. Q. How much did you put into it? A. We started with no capital. We rented film from various exchanges in New York, and sub-rented it in the western New York territory. Q. Then, as you gradually expanded and got a little more money, you expanded some more? A. That is the idea. Q. And gradually built up the business? A. Built up a business very gradually, and finally did put in some real capital. Q. How much did you put in? A. About a thousand dollars. Q. In July, 1910, you had been doing business about two years? A. About two years. Q. And in that two years, this business which you have described as an unprofitable business, had grown from nothing, to be of a value of $20,000, is that right? A. It had, yes. Q. Have you made many ventures in the business world that have been equally successful in two years? A. This business venture was not successful.