Carson Inv. Co. v. Anaconda Copper Mining Co.

26 F.2d 651, 1928 U.S. App. LEXIS 3867
CourtCourt of Appeals for the Ninth Circuit
DecidedMay 28, 1928
Docket5228
StatusPublished
Cited by31 cases

This text of 26 F.2d 651 (Carson Inv. Co. v. Anaconda Copper Mining Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Carson Inv. Co. v. Anaconda Copper Mining Co., 26 F.2d 651, 1928 U.S. App. LEXIS 3867 (9th Cir. 1928).

Opinions

HUNT, Circuit Judge.

The Carson Investment Company and Miller, as trustee, appeal from a decree dismissing their complaint against the defendant appellee, Anaconda Copper Mining Company, for infringement of patents No. 1,149,495 (August 10,1915) and No. 1,302,307 (April 29,1919), both relating to reverberatory furnaces for smelting copper and other ores, issued to George C. Carson. Carson Investment Co. v. Anaconda Copper Co. (D. C.) 17 F.(2d) 815.

History of the patents will be found in the opinion in Carson v. American Smelting & Refining Co. (C. C. A.) 4 F.(2d) 463,. wherein, on appeal from the decree of the United States District Court for Washington (293 F. 771), we held that the two patents were valid, that they had been infringed, that injunction should issue, and that accounting should be had. The decree of this court reversed the decree of the District Court, and remanded, with directions to enter a decree in accord with the views expressed in our opinion.

In due course the ease went back to the District Court for Washington, and in accordance with the mandate of this court a decree was entered, sustaining the patents adjudged infringed,'awarding perpetual injunction, ordering an accounting of damages and profits, and referring the ease to a master to take the accounting.

In the present or Montana case the Carson Company, by a supplemental complaint, alleged the pendency of the above-mentioned case against the American Smelting & Refining Company and the decision and decree of the Circuit Court. of Appeals therein; averred that the machines and processes used [654]*654by the Anaconda Mining Company and alleged in the original bill of complaint to be infringements upon the patents in suit are substantially identical with the machines and processes used by the American Smelting & Refining Company, which were adjudged by the Circuit Court of Appeals to be infringements upon the patents in suit. It was further alleged that the patents involved and the issues raised in the suit of Carson v. American Smelting & Refining Co., supra, are the same as the patents involved and the issues raised in the present suit against the Anaconda Company; that, immediately upon the commencement of the suit of Carson v. American Smelting & Refining Co. in the District Court for Washington, the Anaconda Company, appellee herein, joined and cooperated with the American Smelting & Refining Company in the defense of that suit by employing and paying counsel to conduct, and who did conduct, the ■ defense thereof, by hunting up evidence and witnesses who testified in the case, by carrying on all the activities and exercising all the rights of a defendant, and by conducting the defense in conjunction and in co-operation with the American Company, to the same extent as they would have been entitled to do if the Anaconda Copper Mining Company had been named as a formal defendant therein, and had been charged in the eomplaint with infringement of the patent in suit; that the Anaconda Copper Mining Company continued to act cojointly and to co-operate with the American Smelting & Refining Company in the defense of said suit during all its stages and proceedings in the District Court of the United States for Washington, and in the matter of the appeal heretofore referred to in the United States Circuit Court of Appeals for the Ninth Circuit; that all of the aforesaid acts and doings of the Anaconda Copper Mining Company in respect to the defense of the suit of Carson against the American Smelting & Refining Company, both in the District Court for Washington and in the United States Circuit Court of Appeals for the Ninth Circuit, were had, taken, and done by the Anaconda Company openly and publicly, and to the knowledge at all times of the said Carson, whereby the Anaconda Copper Mining Company became a privy to and with the American Smelting & Refining Company, defendant in that suit, and bound by all the proceedings, orders, opinions, and decrees rendered therein, as fully and completely as if the Anaconda Company had been named as a defendant.

Defendant, answering, admitted that the patents were the same, and that the Anaconda Company had contributed money to the defense in the case in the District Court, but denied the other allegations.

When the present case was brought to trial, plaintiffs called as a witness Mr. Usina, who had participated in the examination of witnesses in the American Smelting & Refining Case and was an attorney of record for the defendant in the instant case. After a few preliminary questions, the court asked what was the object of the examination. Counsel for plaintiffs stated that it was to elicit facts showing privity by virtue of the agreement between the American Smelting & Refining Company and the Anaconda Copper Company as to a joint defense of the American Smelting & Refining Co. Case. Upon objection by defendant, the court ruled that the decree in the American Smelting & Refining Co. Case was merely interlocutory, was subject to change on appeal from the accounting, and therefore was not res adjudieata as against the American Smelting & Refining Company, or any one else. The witness was then directed to leave the stand, and counsel for the plaintiffs were not permitted to question him further. The court also rejected plaintiffs’ offer of a certified copy of the decree in the American Smelting & Refining Co. Case, which decree the District Court in Washington had entered pursuant to the mandate of the Circuit Court of Appeals. The trial was then proceeded with, and, after much evidence was heard, the patents were held to be invalid upon the grounds that they had been anticipated, that there had been prior use, and 'that certain alleged false and fraudulent misrepresentations had been made by Carson to the officials of the Patent Office during the pendency of his application for patent.

A clearer understanding is had by mention rf these additional facts: The suit of Carson v. American Smelting & Refining Co., supra, was instituted in the District Court in Washington in November, 1921. The Circuit Court of Appeals in February, 1925, made the order and decree above outlined. Carson v. A. S. & R. Co., 4 F.(2d) 463. Petition for rehearing was denied, and writ of certiorari was denied by the Supreme Court. A. S. & R. Co. v. Carson, 269 U. S. 555, 46 S. Ct. 18, 70 L. Ed. 409. The American Smelting & Refining Company then moved the Circuit Court of Appeals for permission to be granted to the District Court to consider a motion to reopen the ease for the purpose of allowing the introduction of certain newly discovered evidence, especially [655]*655pertaining to alleged prior use at Dollar Bay, Mich. Many affidavits filed in support of the application to reopen set forth that the newly discovered evidence was not known until after the decision of the court on the merits in February, 1925. This court held that the evidence outlined in the affidavits was not sufficient to operate as an anticipation, and on March 1, 1926, denied the application to reopen. Carson v. A. S. & R. Co. (C. C. A.) 11 F.(2d) 766. The American Smelting & Refining Company also applied to this court to abate the suit, on the grounds that Carson was not a proper party to maintain it, inasmuch as he had assigned the legal title to the patents to his attorney, John H. Miller, as a trustee. That motion was denied. Carson v. A. S. & R. Co. (C. C. A.) 11 F.(2d) 764.

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Bluebook (online)
26 F.2d 651, 1928 U.S. App. LEXIS 3867, Counsel Stack Legal Research, https://law.counselstack.com/opinion/carson-inv-co-v-anaconda-copper-mining-co-ca9-1928.