Gray Tool Co. v. Humble Oil & Refining Co.

92 F. Supp. 722, 87 U.S.P.Q. (BNA) 241, 1949 U.S. Dist. LEXIS 1814
District Court, S.D. Texas·Decided April 19, 1949·No. Civ. No. 2747·Published·Cited by 1 cases

Opinion

KENNERLY, Chief Judge.

This is a suit by Gray Tool Company, plaintiff, against Humble Oil & Refining Company, defendant, charging infringement of Patents Nos. 2,082,413, 2,117,444, 2,ISO-887, and 2,241,333. Defendant has filed its Motion for Summary Judgment, basing it wholly and solely upon the Pleadings, Depositions and Affidavits, etc. filed by plaintiff herein.

In presenting such Motion, defendant stands upon Carbice Corp. v. American Patents Develop. Corp., 283 U.S. 27, 51 S.Ct. 334, 75 L.Ed. 819; Leitch Mfg. Co. v. Barber Co., 302 U.S. 458, 58 S.Ct. 288, 82 L.Ed. 371; Morton-Salt Co. v. G. S. [723] Suppiger Co., 314 U.S. 488, 62 S.Ct. 402, 86 L.Ed. 363; Mercoid Corp. v. Mid-Continent Investment Co. et al., 320 U.S. 661, 64 S.Ct. 268, 88 L.Ed. 376; Mercoid Corp. v. Minneapolis-Honeywell Regulator Co., 320 U.S. 680, 64 S.Ct. 278, 88 L.Ed. 396; B. B. Chemical Co. v. Elmer A. Ellis et al., 314 U.S. 495, 62 S.Ct. 406, 86 L.Ed. 367; Id., 1 Cir, 117 F.2d 829; Paul E. Hawkin-son Co. v. Dennis, 5 Cir, 166 F.2d 61; American Lecithin Co. v. Warfield Co, 7 Cir, 105 F.2d 207; Lincoln Electric Co. v. Linde Air Products Co, 6 Cir, 171 F.2d 223; Philad Co. v. Lechler Laboratories, Inc., 2 Cir., 107 F.2d 747; and contends that plaintiff is using and/or attempting to use the patents in suit to establish a monopoly on the sale of articles or equipment not covered by such patents, and, therefore, plaintiff’s suit should be dismissed.

At the oral hearinS of defendant’s Motion- defendant filed a statement of the material facts which it says are established by the record and upon which its Motion for Summary Judgment is based.1 Later plain[726] tiff filed its Reply thereto.2 An. examina- defendant’s contentions convinces me that tion and consideration of the record and defendant is right and that the record shows [728] that-plaintiff is, as defendant contends, attempting to establish a monopoly, etc., or has done so.

But plaintiff standing chiefly upon Haw-kinson v. Dennis, supra, strenuously contends that even if this be true, the Motion for Summary Judgment should not be granted, but that the case should be fully tried on the merits. I think this Motion for 'Summary Judgment in this case presents only a question of law. It comes within this wording in Hawkinson v. Dennis 166 F.2d 62: “In patent infringement cases, however, the patent being a public grant made in the interest of the public, and the public interest being always present, courts have been quite liberal in allowing infring-ers, and even licensees, to escape being brought ' to book for their infringement. If, therefore, the district judge was right in the conclusion that it was established as matter not of fact but of law, that isi by undispitted evidence and the inescapable inferences to be drawn therefrom, that plaintiff had been and still was misusing its patent, the judgment ought to be affirmed, without prejudice, of course, to plaintiff’s right to again sue when it can show that it has purged itself of wrongful uses and practices.”

I think the record in this case shows it to be indisputably true that plaintiff is misusing the patents in suit.

Defendant’s Motion for Summary Judgment will, therefore, be granted. Let Decree be drawn and presented.

Footnotes

“Defendant submits that the following material facts are established by those parts of the record referred to, and that these facts, standing alone reveal, that Plaintiff is attempting to use the patents in suit to establish a monopoly on equipment not covered by the patents in suit, and that under the authorities the Complaint should be dismissed:

“1. Producers of oil such as Defendant are supplied with oil well completion equipment by a number of competing manufacturers, and Plaintiff is one of these manufacturers.

“This fact is established by paragraph • 7 of the Complaint which includes the following statement: ‘That in this industry producers of oil such as Defendant are supplied with oil well completion equipment by a number of relatively small competing manufacturers; that Plaintiff is one- of such manufacturers.’

“2. Manufacturers in competition with Plaintiff are selling equipment to Defendant, and other producers of oil, for use in the combinations and methods patented by the second, third and fourth patents in suit.

“This fact is established by the testimony of Mr. Mueller appearing in his deposition pages 146-148: (Mr. Mueller is President of the Plaintiff, and pat-entee of three of the patents in suit).

“ ‘Q. Mr. Mueller, with reference to this ASA Series System that you have been talking about and the combinations of the patents, your company, the Gray Tool Company, manufactures some of the elements, .isn’t that true, and other elements are manufactured by other companies? A. Yes, sir.’

“Mr. Mueller also testified:

“ ‘Q. Your company is engaged in selling the elements that you manufacture not only to the Humble, the defendant in this case, but the various other major oil companies, isn’t that true? A. Yes.

“ ‘Q. And your competitors are likewise engaged? A. Yes, sir.’

“3. Oil producers who purchase equipment from Plaintiff for use in the combinations and methods covered by the second, third and fourth patents in suit have an implied license as a matter of law to use the same in the said patented combinations and methods.

“4. Oil producers who purchase equipment from Plaintiff’s competitors for use in the combinations and methods covered by the second, third and fourth patents in suit do not have any implied license as a matter of law to use the same in the combinations and methods patented by Plaintiff’s second, third, and fourth patents in suit.

“5. Plaintiff has not granted licenses to all who would practice the alleged methods and use the alleged combinations covered by the patents in suit regardless of whether equipment is purchased from Plaintiff or its competitors.

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Gray Tool Co. v. Humble Oil & Refining Co., 92 F. Supp. 722, 87 U.S.P.Q. (BNA) 241, 1949 U.S. Dist. LEXIS 1814 (S.D. Tex. 1949).

92 F. Supp. 722 (Gray Tool Co. v. Humble Oil & Refining Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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