Plastering Development Center, Inc. v. Perma Glas-Mesh Corp.

371 F. Supp. 939, 179 U.S.P.Q. (BNA) 838, 1973 U.S. Dist. LEXIS 12425
CourtDistrict Court, N.D. Ohio
DecidedAugust 3, 1973
DocketCiv. A. C 70-610 Y
StatusPublished
Cited by3 cases

This text of 371 F. Supp. 939 (Plastering Development Center, Inc. v. Perma Glas-Mesh Corp.) is published on Counsel Stack Legal Research, covering District Court, N.D. Ohio primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Plastering Development Center, Inc. v. Perma Glas-Mesh Corp., 371 F. Supp. 939, 179 U.S.P.Q. (BNA) 838, 1973 U.S. Dist. LEXIS 12425 (N.D. Ohio 1973).

Opinion

MEMORANDUM OPINION AND ORDER

CONTIE, District Judge.

The facts of the instant case are as follows:

The Plaintiff is an Illinois Corporation and is basically a patent holding company, closely related to McNulty Brothers Company, a large lathing and plastering contractor, whose offices are in Chicago and other cities across the country. Defendant is an Ohio Corporation, and is in the business of coating fabrics of a variety of materials and reselling them to contractors, distributors and other customers in a variety of businesses.

Plaintiff owns U.S. Patent No. 3,391,037 relating to a method of covering the joints between wall panels of an interior wall. In 1964 Mr. McNulty got the idea of using a pressure sensitive fiberglass mesh tape as a joint reinforcement in thin coat plastering. He attempted to have this tape produced by several companies but was turned down by all of them. He finally persuaded an employee of Johns-Manville, one Mr. Richard Kucera, to supply him with some tape. In the meantime experimental work had begun (as early as 1962) in the laboratory of McNulty Brothers Company and its subsidiary, Plastering Development Center, companies which had considerable background in research and development in the plastering field.

Thin coat plastering was known as early as T922. However, the pressure sensitive fiberglass mesh tape was not introduced into the market until after McNulty’s invention. United States Gypsum Company (U.S.G.) did not introduce the pressure sensitive fiberglass joint reinforcing tape until March of 1967, which was well after the first commercial use of this tape by McNulty Brothers Company, said event occurring in 1966 and approximately three years after the McNulty patent application was filed. After the McNulty patent issued, U.S.G. signed an agency agreement with Plastering Development Center in which U.S.G. paid royalties to the Plastering Development Center for the sale of rolls of pressure sensitive fiberglass tape.

In the same time period two other major companies were interested in developing a better 'method of reinforcing joints. Minnesota Mining & Manufacturing Company (3M Co.) began its efforts to find a better system on or be *942 fore December of 1960. It was not until May of 1962 that the idea of a pressure sensitive fiberglass mesh tape arose. 3M therein filed a patent application describing said tape. The evidence in the instant case illustrated however that by April of 1963 3M had given up its efforts to perfect and patent pressure sensitive mesh tape.

The other company that was interested in the field of joint reinforcement was National Gypsum. Testimony indicated that said company did not begin experimenting with pressure sensitive fiberglass mesh joint reinforcing tape until after it received a sample of the 3M tape in June of 1962. Defendant, Perma Glas-Mesh Corporation began selling non-adhesive fiberglass mesh tape at least as early as 1960. But it was not until 1969 that Perma Glas began selling its pressure sensitive fiberglass tape designated by them as “Type 209A”. This was after the commercial introduction of the U.S.G. pressure sensitive mesh tape. It is plaintiff’s allegation that the defendants have induced others to directly infringe upon their patent, and that they are therefore liable to the plaintiffs in this suit.

Defendants have raised several defenses. They first assert the invalidity of Patent No. 3,391,037 under Title 35, U.S.C. Sections 102, 103, 112 and 132. They also assert Plaintiff has been guilty of misuse of the patent in question and finally assert that plaintiff’s conduct violates the anti-trust laws of the United States in that they are attempting to control the sale of an unpatentable commodity.

The court first addresses itself to the validity of plaintiff’s patent. Title 35, U.S.C. Section 102 provides that:

“A person shall be entitled to a patent unless—
(a) The invention was known or used by others in this country, or patented or described in a printed publication in this or a foreign country, before the invention thereof by the applicant for a patent, or
(b) The invention was patented or described in a printed publication in this or a foreign country or in public use or on sale in this country, more than one year prior to the date of the application for patent in the United States, or .
(e) The invention was described in a patent granted on an application for patent by another filed in the United States before the invention thereof by the applicant for patent, or .
(g) Before the applicant’s invention thereof the invention was made in this country by another who had not abandoned, suppressed, or concealed it.
In determining priority of invention there shall be considered not only the respective dates of conception and reduction to practice of the invention, but also the reasonable diligence of one who was first to conceive and last to reduce the practice, from a time prior to the conception by the other.”

Before considering the relevant legal arguments in relation to this section, the court shall first make finding of facts in relation to the 3M Work and the National Gypsum work during the early 1960’s.

3M was engaged in a program to develop a one-day dry wall joint treatment process. One Mr. Wegwerth was the developer of a compound composition and a fiberglass tape having pressure sensitive adhesion thereon and these developments were subject of applications for patent in both the United States and Canada. However, the United States application was ultimately abandoned in favor of a continuation in part which did not include the descriptive matter concerning the fiberglass tape having a pressure sensitive adhesive. The testimony indicated and this court so finds that the work by the 3M Company was not public, nor was it perfected. Further, the court finds that the 3M work was experimental and eventually was abandoned in the United States. Evidence was received in regards to field testing by 3M of a pressure sensitive mesh tape. However, this court finds that said field *943 tests were conducted on an experimental level and were basically held to be confidential. Evidence was also received which demonstrated that field tests made by the 3M Company were unsuccessful as cracking generally resulted from the use of their tape. This court finds that the work using the 3M tape fell far short of the standards that 3M would accept as far as using their product on the market. The last field test use of the pressure sensitive tape made by 3M was made in November of 1962.

The court finds that the 3M tape was used with a solvent type joint compound which dried out rather than set, and further the 3M tape did not use the idea of applying plaster with the pressure sensitive tape. Evidence was received and this court so finds that the 3M Company itself classified its work as experimental and that said work was eventually abandoned. Testimony was taken from one Mr. Humke who stated that at the very latest by April of 1963 3M had given up its efforts to produce a pressure sensitive mesh tape.

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Bluebook (online)
371 F. Supp. 939, 179 U.S.P.Q. (BNA) 838, 1973 U.S. Dist. LEXIS 12425, Counsel Stack Legal Research, https://law.counselstack.com/opinion/plastering-development-center-inc-v-perma-glas-mesh-corp-ohnd-1973.