Standard Sewing Mach. Co. v. Leslie

118 F. 557, 55 C.C.A. 323, 1902 U.S. App. LEXIS 4556
CourtCourt of Appeals for the Seventh Circuit
DecidedOctober 7, 1902
DocketNo. 831
StatusPublished
Cited by16 cases

This text of 118 F. 557 (Standard Sewing Mach. Co. v. Leslie) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Standard Sewing Mach. Co. v. Leslie, 118 F. 557, 55 C.C.A. 323, 1902 U.S. App. LEXIS 4556 (7th Cir. 1902).

Opinion

BAKER, Circuit Judge,

after making this statement of the case, delivered the opinion of the court.

If the state court had no jurisdiction, fhe federal court acquired none by removal, even though the defect was that the action should have been brought in the federal court in the first place. That the state court had jurisdiction of the subject-matter of the counts for wrongfully failing to make the required number of machines and for wrongfully refusing to surrender the patents after demand plaintiff in error does not controvert, but contends that since these counts, though not dismissed, were not supported by evidence, they cannot be considered; that the subject-matter of the remaining count was not within the jurisdiction of the state court; and that, as soon as this state of things became apparent, it was the duty of the federal court to dismiss the action. If it be conceded that jurisdiction depends solely on the count for royalties, nevertheless we think the motion was rightly denied. Plaintiff in error admits that if it and Leslie agreed on the construction of the patents the case of Albright v. Teas, 106 U. S. 613, I Sup. Ct. 550, 27 L. Ed. 295, would be decisive, but insists that their contention over the applicability of the prior art and its effect in limiting Leslie’s claims transmutes the cause into one of exclusively federal cognizance. In any action upon contract for royalties, the plaintiff produces the contract, his patents, and the machines made by the defendant. The contract being proven, the question is, do the defendant’s machines embody any of the essential principles covered by the patents? To determine this, it is necessary both that the patents and the defendant’s machines be construed. Otherwise no intelligent comparison can be made. So the plaintiff introduces evidence on both points, but only to sustain his one contention, that the defendant has failed to pay a sum due under the contract. The interpretation of the patents as well as of the machines is necessary to a proper construction of the contract, but obviously is only incidental to that one purpose. The patents are construed, not as independent grants to which the defendant is a stranger, but as a part of the contract into which he entered. Now if, under a plea of the general issue, the defendant chooses to controvert the plaintiff’s evidence only on the one point, and not on the other, how can it logically be said that the defendant’s partial denial has changed the nature of the plaintiff’s cause of action? A reduction of the contention to this form is, we think, its sufficient answer.

To solve the questions presented by the remaining assignments, it is necessary to understand the former decisions in this cause; for it is a familiar ánd entirely righteous rule that a court of review is precluded from agitating the questions that were made, considered, and decided on previous reviews. The former decision furnishes “the law of the case” not only to the tribunal to which the cause is remanded, but to the appellate tribunal itself on a subsequent writ or appeal. Roberts v. Cooper, 20 How. 467, 481, 15 L. Ed. 969: “There would be no end to a suit if every obstinate litigant could, by repeated appeals, compel a court to listen to criticisms on its opinions, or speculate of chances from changes in its members.”

In Sewing Mach. Co. v. Leslie, 24 C. C. A. 107, 78 Fed. 325, it was ruled that the court’s charge to the effect that the company could not [560]*560refuse to surrender the patents and at the same time escape the pay.ment of royalties by altering the form of its machines was erroneous, that the company was not limited to making machines employing the Leslie patents, and that royalties were to be paid only on such machines as did embody some essential principle covered by the patents. That ruling, right or wrong, was binding on the parties not only in the trial court, but also in this court in subsequent proceedings. The decision, however, did not undertake to say in advance what kind of evidence the company might use to support its denial of royalties due.

In Leslie v. Sewing Mach. Co., 39 C. C. A. 314, 98 Fed. 827, as already stated, the court charged the jury in effect that under the prior art there was no room for the application of the doctrine of mechanical equivalents to the company’s models, and. directed a verdict for the company. The judgment was reversed qn a record that contained the plaintiff’s case, but did not disclose the evidence of the prior art on which the trial court had ruled that the plaintiff’s case was incontrovertibly overcome. The court said: .

“When a finding has been directed in favor of the defendant In a case, and the bill of exceptions, though not purporting to contain all the evidence, contains a statement of evidence in behalf of the plaintiff sufficient on every issue to have justified' a verdict in his favor, the rule (that the bill of exceptions must contain all the evidence) manifestly ought not to apply, especially if it be apparent that the action of the court was the result of a misapprehension of the bearing and force of the proof adduced. It is plain that there was such an error in this case. Upon the evidence set out in the bill of .exceptions the plaintiff was entitled to recover on one paragraph of the declaration a stipulated sum for each machine manufactured by the defendant, if those machines involved ‘any of the essential principles covered by the patents.’ The question was taken from the jury because in the judgment of the court, as stated in its charge, the claims of each of the patents ‘are restrictive by the terms of the patents, and, in view of the clearly shown prior art, to such an extent that the doctrine of mechanical equivalents cannot be invoked in this case.’ That was to treat the case as if there were no contract between the parties, and the question were simply of infringement by a wrongdoer. * * * The contract is explicit, and in our opinion excludes any inquiry into the prior art for the purpose of limiting the scope of the patents. It contains the express stipulation that Leslie ‘shall not be held to guaranty the validity of said patents or any of them, or to protect said second party against infringement • thereof, but all royalties hereunder shall cease upon the date of a decree of any court of competent jurisdiction declaring the invalidty of said patent or patents’; and it is further provided that the ‘second party shall not be obliged to make rotary shuttle sewing machines like any model that has been or may be constructed or settled upon as a standard, but it may from time to time make such changes as may seem to it expedient; but no such alteration or change shall relieve the second party from the payment of royalties, as hereinafter provided, so long as the machine made by it involves any of the essential principles covered by the patents of the first party.’ This last expression clearly means that changes or alterations which should introduce only equivalents of the original elements should not relieve the second party from the payment of the stipulated royalties, and like the other provision that all royalties should cease on the date of'a decree declaring the invalidity of the patents is inconsistent with the proposition of the court that' the doctrine of mechanical equivalents could not be invoked in the ease. To the same effect in our former opinion we said: ‘Leslie was unwilling to guaranty the validity of his patented inventions, or to protect the company in their use should they prove to infringe upon another’s protected rights.

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Bluebook (online)
118 F. 557, 55 C.C.A. 323, 1902 U.S. App. LEXIS 4556, Counsel Stack Legal Research, https://law.counselstack.com/opinion/standard-sewing-mach-co-v-leslie-ca7-1902.