Morse Arms Manufacturing Co. v. United States

16 Ct. Cl. 296
CourtUnited States Court of Claims
DecidedDecember 15, 1880
StatusPublished
Cited by6 cases

This text of 16 Ct. Cl. 296 (Morse Arms Manufacturing Co. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morse Arms Manufacturing Co. v. United States, 16 Ct. Cl. 296 (cc 1880).

Opinion

Davis, J.,

delivered the opinion of the court:

The plaintiffs claim as assignees of the inventor and patentee of a patented article. Their original petition was filed Decern-[298]*298ber 9, 1874. At tbe same term tbe defendants answered by a general traverse and by setting up tbe statute of limitations.. Tbe plaintiffs then filed an amended petition, upon wbicb they now rest.

Tbe amended petition sets forth that tbe claimants are a corporation existing under tbe laws of New York, and that at a date not given, but wbicb must have been prior to September-13, 1858, tbe plaintiffs’ assignor agreed that if experiments with bis patented article should prove to be successful tbe United States might use the invention, paying therefor such sums as-tbe same might reasonably be worth, and that tbe United States, through their Secretary of War, agreed that such remuneration-should be made in case of their using it; that on tbe 13th September, 1858, tbe inventor granted tbe defendants, by a written license, permission to manufacture and use tbe patented article-to a limited amount at a fixed rate of royalty; that on tbe lltk ' February, 18C0, by another written license, made in pursuance-of tbe original agreement, be granted them permission to further manufacture and use it for a limited amount at a fixed but different rate of royalty; that fresh experiments, begun after tbe war, resulted in an order made July 26, 1866, under wbicb tbe manufacture was made for wbicb compensation is now demanded; that Congress provided in 1873 for the adoption of' a breech-loading system of muskets and carbines, upon tbe recommendation of a board to be appointed by tbe Secretary of War; that tbe board recommended tbe Springfield system, wbicb embraces tbe said inventions; and that by tbe act of Congress, supplemented by tbe action of tbe board after trial as contemplated by tbe original agreement, the defendants adopted tbe inventions and thereby became bound to pay for them such sums or royalties as they are reasonably worth, and that on or about tbe 25th July, 1870, the inventor assigned to tbe claimant bis patents and all tbe licenses or agreements thereunder.

At tbe December term, 1878, tbe defendants filed a special plea, denying tbe inventions by tbe plaintiffs’ assignor, and giving notice that at tbe trial they would show that tbe things-claimed as new were known prior to tbe alleged invention. This-plea was stricken out on the plaintiffs’ motion after bearing.

Tbe defendants now file three further~pleas, wbicb tbe plaintiffs move to strike out. Tbe first is tbe plea that there is no-such corporation. Tbe law is well settled that a corporation [299]*299claimant is not to be required to prove its incorporation, unless the allegation thereof is specially traversed (Hebrew Congregation, &c., v. The United States, 6 C. Cls. R., 245), and that the general issue admits the competency of the plaintiff to sue in a corporate capacity. Society for Propagation of the Gospel v. Town of Pawlet, 4 Pet., 480.)

The defendants’ general traverse was, therefore, a waiver of' the special defense of mil tiel corporation. It is unnecessary for as to decide whether the right was revived by the amendments ; because, in any event, the time allowed for pleading specially by section 1 of Article III of the Rules has gone by..

The second plea is in substance that no part of the inventions described in the patents is embodied in any of the manufactured articles for which royalty is claimed. The claimants say that this should be stricken out, because it has already been in substance alleged in the general traverse, and because it will prejudice, delay, and embarrass the fair trial of the action. We-will consider this in connection with the nest branch of the- • motion.

In their third plea the defendants set up that the alleged inventor was not the real inventor of the patented articles, but-that the same were known before his alleged invention to others,, and were described in various printed publications, as set forth in the plea. The claimants'allege that this is the same matter pleaded at the December term, 1878, and stricken out by order of the court, and that it is framed to prejudice, embarrass, and delay a fair trial.

Some allegations in the plea which was stricken out at the-December term, 1878, differed substantially from those in the • present plea. The action of the court at that time is therefore no precedent for its duty now.

The allegations in both pleas, that they tend to prejudice and embarrass the claimants at the trial, grow out of the notices, which the defendants give of the evidence which they propose-to introduce at the trial in order to invalidate the claimants’ patents. The real question before us is, therefore, whether such evidence is admissible in defense.

The claim now in suit is founded upon an alleged license-made in 1858 by the inventor to the defendants to use his alleged inventions; and an alleged agreement then made, that in case-the defendants should use them they would pay what such use-[300]*300was reasonably worth; and the allegation that after 1866 the defendants took them into use, and that they are reasonably worth the sum demanded.

Now, whether this claim is to be regarded as set up ulider the original license, or as set up under an implied contract of license, the defendants in either case, as the pleadings stand, are not precluded from denying the originality of the invention. For if the patent is worthless, the use of the invention does not injure the patentee. (McKeever v. The United States, 14 C. Cls. R.., 396.) "The taking of a naked license or permission to work under a patent does not, without some recitals or covenants amounting to an admission, estop the licensee from denying the validity of the patent, or the fact of infringement, if he is sub-subsequently proceeded against. (Curtis on Patents, § 215.)

The claimants cannot be damaged in the remotest way by a •notice of the proof which the defendants will offer on these points. In corresponding cases in other courts a defendant is required to give such notice. (Eev. Stat., § 4920.) We are unable to see how a like course here can prejudice or embarrass the claimants, or how it can embarrass or delay the fair trial of the action.

Some questions of jurisdiction have been discussed. We refrain from expressing an opinion upon these questions in the present stage of the case.

The first branch of the claimants’ motion is allowed, and it is ordered that the defendants’ plea that the plaintiff ought not to have or maintain this action, because there is no such corporation, be sticken out; and as to the second, third, and fourth •branches of said motion, relating to the defendants’ said second and said third pleas, it is ordered that the motion be denied.

The foregoing opinion was read, and the orders in accordance therewith entered on the 7th March last. On the 28th of that month the claimants’ counsel moved for a rehearing of this ■motion. Upon this motion, on the 4th of April—

The claimants ask a rehearing on their motion to strike out three special pleas interposed by the defendants. They take mo exception to our action on the first plea. They say in their [301]

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