Los Angeles herald., 1910-02-13

even the payment of this sum did not
altogether eliminate future jeopardy of
our interests.
One of the results of our patent in
| vestigation was the realization of the
fact that the Columbia Motor Car
company of Hartford, Conn.,, had what
might be termed a corner on prac-
tically all good automobile patents. We
considered these patents such a menace
to the security of our business that we
Immediately opened negotiations with
the owners of the Columbia Motor Car
company, who, we discovered, were
very confident in the strength of their
position. They had invested large sums
of money in this branch of their busi-
ness and under advice of good counsel
had purposed to use these patents as
a controlling factor in the automobile
industry, having been awaiting the de-
cision in the Selden litigation.
To us 1t seemed desirable for the
good of the Maxwell-Briscoe Motor
company and the industry as whole
to have control Of the patent situation
obtained by a company that would
have enormous facilities for manufac-
ture and distribution, and 1 advised
the United States Motor company to
purchase the Columbia Motor Car COM
pany.
10000 Cars Year
The Maxwell -Briscoe Motor company
has reached a point where it produces
20, 900 automobiles during single year.
Yet it is true that in producing this
number of cars we always have been
and still are dependent upon other
manufacturers who either produce
rough or finished parts or furnish the
numerous extraneous components of
complete motor car.
l. In fhnVafnYa UUharnaG
a small concern might find it compat-
ible with considerations for its future
welfare to run the risks incident to
producing cars under such circum-
stances. the wider scope of our own
business makes such course very
undesirable not only for ourselves but
for our dealers. Even if 1t should be
feasible to make contracts Tor raw
materials and supplies ever so binding,
it is practically impossible to have de-
liveries focus in a way not attended
with vexing and expensive delays.
An automobile is composed of from
900 to 400 different parts, discounting,
of course, the bolts, nuts, ETC., but
even the smallest parts count in the
completion of the car
Contracts must be made, necessarily
for all the materials required for the
years product, and the nearer to a
finished state the parts are purchased
in the greater is the risk of delay and
disappointment.
AT no time has there been an at
tempt on the part of the Maxwell con-
tingent to deny that the delivery of
Maxwell cars for 1910 has been unduly
slow-a circumstance by which the
company has been hampered as much
as the individual dealer.
The explanation for this is found in
the failure or inability of makers of
component parts to fulfill their con-
tracts. 1t has been the policy of the
Maxwell -Briscoe Motor company
which was dictated by the experience
Of former years, to carry as great a |
stock of materials as it was possible to
obtain. To be sure, this is some !
what expensive proceeding, although |
Il NAV be argued that the materials
are as good as wheat In the bin. AT
the same time the greater part OF tnese
raw materials could have been dis
tributed in the shape of complete cars
had the Maxwell -Briscoe Motor COM
pany during the year controiied those
elements of production Whlch ieli
short of their expectation.
The United States Motor company
and through 1t the Maxwell-Briscoe
Motor company will be In posltlon
to control nearly everything that en-
ters into the production OF an automo-
bile-at least those things which the
manufacturer regards as
his raw material
By controlling the raw material sup
ply the companies constituent to the
United States Motor company can pro-