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 (1912-1913)

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76 Edison Manufacturing Col and Pathe Fkeres. imported by them, only by the sale thereof, or by shipment thereof abroad, (including the insular possessions of the United States and Alaska) and will not dispose of the same by loaning or renting them to pthers, nor use them for the purpose of giving exhibitions thereof for profit directly or indirectly; it being expressly understood and agreed, however, that they shall be at liberty to give exhibitions of such positive motion pictures without profit, directly or indirectly, and to possible or prospective purchasers thereof. (19) The Licensor further covenants and agrees that it will, during the continuance of this agreement, protect, as far as possible, i he Licensee against the competition of infringers of said reissued (Letters Patent numbered 12,037 and 12,192, and each of them, and that when it is notified or otherwise obtains knowledge of any such infringements, it will promptly institute suits against such infringers and thereafter diligently prosecute the same to final hearing and decision; all expense connected with the institution and prosecution of such stiits to be borne by the Licensor, which shall also be entitled to receive and apply to its own use all recoveries had therein for damages and profits. The Licensor and Licensee further mutually covenant and agree that if said reissued Letters Patent numbered 12,037 and 12,192, or either of the claims of the latter or any of claims 1, 2 and 3 of the former, should be held to be invalid by a court of last resort, or not to be infringed, in any suit on said Letters Patent, then, and in such case, the Licensee may at once terminate this agreement and the license thereby granted, by giving notice of its election so to do to the Licensor. The Licensor and Licensee further mutually covenant and agree that the Licensor may, at its own expense (except as hereinafterprovided), during the continuance of this agreement, institute and prosecute suits against any Licensee under said reissued Letters Patent numbered 12,037 and 12,192 for any breach .or violation on the part of such Licensee of the covenants respecting prices at which positive motion pictures shall be sold in the "sales territory a foresaid'5 and also for violation of any of the other terms, conditions or stipulations entered into by such Licensee; that the Licensor shall at the end of each year, counting from the 20th day of June, 190S, render to the Licensee ami the other licensees hereinbefore provided for. a statement in writing showing in detail all legal expenses incurred by it during such year in the prosecution of