Memorandum for the the Motion Picture Patents Company and the General Film Company concerning the investigation of their business by the Department of Justice / submitted by M.B. Philip and Francis T. Homer. (1913)

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In tho case of Indiana I>'a ruf actur i ng Company vs. J. I. Case Threshing Machlno Company, 154 :~\ F.,, 365, the plaintiff owned certain pioneer pntcnts for pneumatic straw stackers , and aij the Court of Appeals said: "As patents for iaiproyeinentfj vero issued frora time to time appellant bought them up, in the znain, until now it owns practically ail of the patents that pertain to thia art.'* At the time of the suit, the plaintiff waa not buildin^j stackers for tho trade. Its business was in granting licenses anu obtaining royulties there nder. It was contended by the defendant tlmt in view of the largo number of licenses, and the fact t)iat tho pl-ii.tiff had a large number of patents, all the makers of threshinji machinery having come Into the syste;;', tl^sis waa violativo of the Sherraan Act. The Court said: "The Public could not force it (the plaintiff) to license another to rnuke its device. If it had stopped wlthi tie first license to Gaar, :")Co tt ^^ Co., appellee apparently concedes that tho Sherman Inw *«uld not have boor, violstod. x x x x Tho contracts and tho luslnesoeo of these licensees are separate. But if, as a condition of enjoying the inventions, appellant had required tho liconseoj to forn a. pool or cwl Inat Ion frr controlling the price m d output of tho 'patented article, tho public would not have been injured, and consequently tiio Jherman low would not have been violated. Rubber Tire \.heol Co. v-. Liiwaukee :.ubber •;/ork8 Co., 154 Fed. 3 5b," So far it ic clear th:it tlie rc+ ' " '-^ ' ■* » '^ ntents -21