Evidence study no. 25 of the motion picture industry (1933)

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Background of the Industry <$> <^ ^> <^> 27 of producing, distributing, and exhibiting pictures. The electrical interests, moreover, have brought strong financial backing to the industry. In the latter part of November, 1932, however, the Radio Corporation of America, General Electric, and Westinghouse dissolved their far-reaching agreements and complicated intercompany stockholdings. Immediately thereafter, the United States Government withdrew the antitrust suit which the Department of Justice had had pending against these and other important corporations. The patent situation is still considerably involved. Exhibitors are allowed to use any type of equipment which gives adequate sound reproduction, although it is within the discretion of the licensee to determine whether or not satisfactory reproduction exists. Numerous suits and counter suits have been filed, one of the most significant being that of Fox and Tri-Ergon. In the latter part of 1932, there were on file in the United States District Court at Wilmington, Delaware, 16 suits growing out of patent claims which involved leading motion picture and radio companies. Some decisions have been handed down, but the status of these rights as between the alleged owners of the patents is still far from clear.