United States of America v. Motion Picture Patents Company and others (1914)

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10 Mr. Aiken, Vol. IV, 2333, fol. 1, testified that the manufacturers did not have anything to do with the preparation of the rule. In view of these facts how can it be urged that this requirement was a legal and reasonable condition imposed by the patentee upon the use of a patented article. It was not imposed by him but by others, and yet failure to meet this requirement was the sole excuse offered by defendants for the cancellation of a number of licenses. See principal brief of defendants, p. 150 (Philadelphia Film Exchange), p. 152 (American Film Exchange), pp. 152-153 (Duquesne Amusement Supply Company), etc. The list printed as Appendix A to defendants' principal brief (pp. 418 et seq.) enumerates the following exchanges whose licenses were cancelled "because the exchange was not leasing the required minimum quantity of licensed motion pictures": Page. American Film Service 418 Eugene Cline & Co., Chicago 419 Eugene Cline & Co., Salt Lake City 419 Harry Davis, Pittsburgh 420 Harry Davis, Buffalo 420 Harry Davis. Philadelphia 421 Duquesne Amusement Supply Co.. Norfolk. Va 421 Kay Tee Film Exchange, Los Angeles. Cal 423 Philadelphia Film Exchange, Philadelphia 428 United States Film Exchange. Chicago 433 This was the sort of condition that was condemned by the Supreme Court in Montague v. Lowrie, 193 U. S., at page -±7. In that case