Velsicol Corp. v. Hyman

103 F. Supp. 363, 91 U.S.P.Q. (BNA) 329, 1951 U.S. Dist. LEXIS 3759
CourtDistrict Court, D. Colorado
DecidedDecember 6, 1951
DocketCiv. No. 3369
StatusPublished
Cited by9 cases

This text of 103 F. Supp. 363 (Velsicol Corp. v. Hyman) is published on Counsel Stack Legal Research, covering District Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Velsicol Corp. v. Hyman, 103 F. Supp. 363, 91 U.S.P.Q. (BNA) 329, 1951 U.S. Dist. LEXIS 3759 (D. Colo. 1951).

Opinion

KNOUS, District Judge.

This is an action to obtain equitable relief. The plaintiff prays that it be adjudicated the owner of the formulas, processes and products embodied in certain patent applications listed in the complaint; that the defendant be ordered to assign these applications and all his interests therein to the plaintiff; that the defendant be required to disclose to the plaintiff all other discoveries and inventions which the former may have made while in the employment of the latter and that he assign his interests therein to the plaintiff; and that the defendant be restrained from using or revealing to strangers any of these formulas, processes, products, patents and patent applications.

After the defendant had answered, the plaintiff filed a motion for summary judgment which is now under consideration.

The following are the pertinent admitted facts of the case:

1. This Court has jurisdiction to litigate the issues.

[365]*3652. The plaintiff was organized in Illinois in 1931 to develop, produce and market chemical products.

3. The defendant was a director and vice-president of the plaintiff from the time of its organization until his resignation, September 13, 1946.

4. The defendant was director of research and general manager of the plaintiff from the time of its organization until his resignation September 13, 1946.

5. Many discoveries were made in plaintiff’s laboratories since its organization. The inventors always assigned all patent applications for these discoveries to the plaintiff.

6. In July, 1945, a dispute arose between the parties concerning the right of the plaintiff to have assigned to it a patent application filed by the defendant.

7. The Superior Court of Cook County, Illinois, found that the defendant had executed and delivered to the plaintiff an agreement which is set forth on pages 2 and 3 of the amended complaint. The Supreme Court of Illinois affirmed this finding.

8. In 1944, valuable discoveries were made in the plaintiff’s laboratories. Drs. Herzfeld and Lidov and Mr. Bluestone filed patent applications on these discoveries as co-inventors, on March 5, 1945, under Serial No. 581,172 and on January 5, 1946, under Serial No. 639,416.

9. The above applications were assigned to the plaintiff and the assignments recorded in the U. S. Patent Office.

10. The defendant filed the following patent applications as inventor:

On July 25, 1945, Application under Serial No, 607,078;

On January 26, 1946, Application under Serial No. 643,759;

On February 16, 1946, Applications under Serial Nos. 648,204 and 648,205.

Corresponding foreign patent applications were also filed by the defendant as inventor.

The defendant claimed to be the owner of the processes covered by these applications.

11. The plaintiff brought suit in Illinois to have the defendant assign the above patent applications to it.

12. The plaintiff won that suit.

13. The Supreme Court of Illinois affirmed the judgment.

14. The opinion of the Supreme Court of Illinois is by reference a part of the complaint in the present case.

15. On October 14, 1946, the defendant filed as inventor patent applications Nos. 703,101 and 703,102.

These applications cover the same inventions as the Herzfeld, Lidov, Bluestone applications Nos. 639,416 and 581,172.

All four of these applications are still pending in the U. S. Patent Office and interferences have been set up by reason of the conflicting claims.

16. The Hyman applications Nos. 703,-101 and 703,102 (see paragraph 15) cover discoveries made in plaintiff’s laboratories while the defendant was general manager of the plaintiff and while Herzfeld, Lidov and Bluestone were employed as research chemists by the plaintiff.

17. The plaintiff has demanded that the defendant assign applications Nos. 703,101 and 703,102 to it, and the defendant has refused to make the assignment.

18. The defendant left the employment of the plaintiff on September 13, 1946, and later organized Julius Hyman and Company which produces insecticides under management of the defendant, near Denver, Colorado.

19. Lidov, Bluestone and Segel worked as research chemists for the plaintiff under the supervision of the defendant prior to September, 1946.

20. Later they left the plaintiff’s employment and went to work for Julius Hy-man and Company.

21. Lidov, Bluestone, Herzfeld and the defendant filed patent application No. 764,-002 as co-inventors on July 26, 1947. Lid-ov, Bluestone and Herzfeld assigned this application to the plaintiff, but the defendant has refused to do so. The application is still pending in the patent office.

[366]*36622. In December, 1947, Lidov, Segel and the defendant filed patent application No. 794,204 as co-inventors. Lidov and Segel assigned this application to the plaintiff, 'but the defendant has refused to do so. The application is still pending.

23. In August, 1948, Lidov, Segel and the defendant filed patent application No. 43,153 as co-inventors. Lidov and Segel assigned this application to the plaintiff, but the defendant has refused to do- so. The application is still pending in the patent office.

24. The discoveries covered by applications Nosi 764,002, 794,204 and 43,153 (paragraphs 22, 23 and 24) were made in the laboratories of the plaintiff while Herzfeld, Lidov and Segel were research chemists there and under the general direction of the defendant. The plaintiff has unsuccessfully demanded that the defendant assign the applications to it.

25. Late in 1944 the defendant, as general manager of the plaintiff, assigned Kleinman to the problem of finding methods of production of certain organic sulphur compounds.

26. Kleinman was employed by the plaintiff as a research chemist.

27. In December, 1946, Kleinman filed patent applications Nos. 717,597 and 717,-598 and assigned the applications to the plaintiff.

28. In November, 1946, the defendant filed patent application 707,337 as the first inventor of the discoveries covered by the Kleinman applications. (paragraph 27)

29. The defendant has refused to assign application No. 707,337 to the plaintiff.

30. All the applications mentioned it paragraphs 25 through 29 are still pending in the patent office.

31. Application 707,337 (paragraph 29)' was based on discoveries made in the plaintiff’s laboratories and while Kleinman was employed by the plaintiff as a research chemist under the general direction of the defendant.

The defendant has thus admitted that the discoveries or inventions covered by every one of the patent applications which are the subject matter of this suit were made in the laboratories of the plaintiff at a time when the defendant was general manager and director of research of the plaintiff.

The relationship of the parties herein during the employment of Julius Hyman by Velsicol Corporation and the duties and obligations which Hyman bore to the latter have been finally adjudicated on two prior occasions. Velsicol Corporation v. Hyman, 405 Ill.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Boyertown Oil Co. v. Osan Manufacturing Co.
514 A.2d 938 (Superior Court of Pennsylvania, 1986)
Winbourne v. Eastern Air Lines, Inc.
632 F.2d 219 (Second Circuit, 1980)
Winbourne v. Eastern Air Lines
632 F.2d 219 (Second Circuit, 1980)
Nemitz v. Norfolk and Western Railway Co.
287 F. Supp. 221 (N.D. Ohio, 1968)
Saccomano v. Palermo
411 P.2d 22 (Supreme Court of Colorado, 1966)
Hyman v. Regenstein
258 F.2d 502 (Fifth Circuit, 1958)

Cite This Page — Counsel Stack

Bluebook (online)
103 F. Supp. 363, 91 U.S.P.Q. (BNA) 329, 1951 U.S. Dist. LEXIS 3759, Counsel Stack Legal Research, https://law.counselstack.com/opinion/velsicol-corp-v-hyman-cod-1951.