Standard Oil Co. v. Southern Pac. Co.

54 F. 521, 4 C.C.A. 491, 1893 U.S. App. LEXIS 1477
Court of Appeals for the Ninth Circuit·Decided February 3, 1893·No. No. 16·Published·Cited by 4 cases

Opinion

MORROW, District Judge.

This is a bill in equity, filed in the circuit court for the northern district of California, charging infringement of letters patent No. 216,506, for an improvement in oil cars, granted to M. Campbell Brown, June 17, 1879, and assigned to complainant. The original bill was filed November 4, 1889, against the Southern Pacific Company alone. The purpose of the bill was to restrain the railroad company from using or transferring in any way any railroad cars embracing the improvement described in complainant’s patent. On filing the bill, a bond in the sum of ?5,00G was given by the complainant, as required by the court, and thereupon a preliminary injunction was issued. November 26, 1889, [522] the complainant proceeded to take testimony in support of the bill. *On the 2d day of December, 1889, the Southern Pacific Company filed an answer admitting the averments of the bill, and alleging, among other things, as follows:

“Avers that it does not now, and never did, own any of the cars alleged by complainant to be an infringement upon complainant’s patent, and that it does not now, and never did, own any interest therein; avers that it has not in its possession, or under its control, any such cars. And for a further, separate, and distinct answer and defense, defendant avers that it is a common carrier, for hire; that, as such, it is accustomed to receive and transport over its railroad cars belonging to other corporations and individuals; that, under the laws of the United States, it is required to receive all cars, without discrimination, and transport the same; that it has not the means for discovering or ascertaining whether cars offered to it for transportation are infringements on patent rights or not; that, immediately upon receipt of notice from complainant, this defendant notified the owners of said cars complained of that it had received such notice, and that it would transport no more of such cars unless secured against all losses and damages by said owners; that said security has not been given; and that defendant has neither received nor transported any of such cars since the date of complainant’s notice.”

December 5, 1889, WMttier, Puller & Co. filed a petition entitled “Petition for Interpleader,” in wbicb it is alleged, among other things:

“That said firm of Whittier, Fuller & Oo. is now, and has been for about thirty years last past, engaged in conducting and carrying on a large wholesale and retail business in paints and oils in the city and county of- San Francisco, state aforesaid; that the magnitude of its business renders it necessary for said firm to ship into -this state, from the eastern states, large quantities of petroleum and other oils; that in order to make such shipments, and to supply its said trade with oils, your petitioners have had constructed, at a large expense, several cars which are especially adapted for containing, storing, and transporting petroleum aud other oils in bulk; that its custom has been to have said cars filled with oils in the eastern states, and the cars so filled were delivered as freight to one of the transcontinental lines of railway to he transported and delivered in San Francisco; that during the month of October, 1889, your petitioner was notified by the Standard Oil Company, an eastern corporation, that it claimed that your petitioner’s said cars were an infringement upon a certain United States letters patent which was issued to one M. Campbell Brown on the 17th day of June, 1879, and which said Standard Oil Company claimed had been assigned to, and was the property of, said corporation; that your petitioner immediately took legal advice in the matter, and was advised, after careful investigation, by competent authority, that no infringement upon said letters patent existed; that on the 2d day of December, Í889, your petitioner was notified that two of its said oil cars had been delivered by the Atchison, Topeka & Santa Fe Railroad Company, at Mojave, in the state of California, to the Southern Pacific Company, for carriage to San Francisco, Cal., hut that said Southern Pacific Company refused to haul or deliver said cars; that, in the course of correspondence with the said officials of said Southern Pacific Company, your petitioner learned that an action in equity had been commenced in this court by said Standard Oil Comiiany against the Southern Pacific Company for infringing upon the said letters patent issued to said M. Campbell Brown, and claimed to be owned by said Standard Oil Company. But this was the first information your petitioner had of the existence of such suit. * * ⅜
“Your petitioner further represents to your honors that said defendant, the Southern Pacific Company, has not now, and never lias had, any interest whatever in said cars, further than to haul them from place to place in the capacity of a common carrier; that said cars belong to, and are the property of, your petitioner; that your petitioner is fearful that the said suit now pending, above referred to, is a collusive suit between said complainant and respondent, and that it is the intention of said parties to collusively obtain, a decree of this [523] honorable comí adjudging and declaring your petitioner’s said cars to be an infringement, upon said letters patent issued to said Brown, and claimed as being the property of said Standard Oil Company, without permitting your pe-tioner to defend its rights in the premises; that your petitioner is ready, able, and wining to defend its right to malte, use, and maintain said cars; that your pe til loner is desirous of making answer to the complaint filed herein, and to produce proof on the issues made in said case; that, unless your petitioner be granted the privilege of interpleading in said suit, it is liable to suffer irreparable damage and loss, and will be deprived of the use of Its property, without being permitted to malee any defense in said action whatever. Wherefore, your petitioner prays that said cause bo opened, and that your petitioner be permitted, to interplead in said action by filing an answer to the matters! set forth and charged against said cars in the bill of complaint herein, and that it be permitted to produce proof in support of the matters-it may set forth in its said answer.”

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Standard Oil Co. v. Southern Pac. Co., 54 F. 521, 4 C.C.A. 491, 1893 U.S. App. LEXIS 1477 (9th Cir. 1893).

54 F. 521 (Standard Oil Co. v. Southern Pac. Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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