The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-06-23

the decision was reached in May of
this year in another patent case where
identically the same questions were in
volved, there was a full ~ench, and
the reversal of the decision of a year
ago was made by a vote of = five to
four.
A Case in Point.
But just when the public is to reap
the benefits of this decision is proble-
NAUTICAL. One Topeka merchant who
handles a patented article for which
there is a big demand these days and
which he is forced to sell at profit
to himself of 100 because of his ironclad
contract with the manufacturer who
holds all the patents under which this
article is produced, wrote to this man
ufacturer shortly after the recent de-
cision of the supreme court. He called
his attention to this decision and told
the manufacturer that he proposed to
sell the article in question at a price
that would give him any profit he
cared to take. And he got a reply by
return mail that if he attempted to
sell at prices other than those in his
contract, an injunction would be sued
out against him to prevent him from
doing so. So this is pretty good evil
dence that the monopolies and con-
Germs which put out patented articles
and fix the prices at which they are
to be sold have no intention of accept
ing the dictum of the supreme court
in the premises but are going to make
some kind of a further fight so that
they can continue their business in the
same arbitrary way that they have
been.
'Of course that letter made me
change my mind for the time being"
added this business man, and he con-
tinued, My business has not the re-
sources to fight a suit with a con-
Germ that has millions behind 1t. But
some of the big retailers in metropoli-
tan centers that have unlimited re-
sources are going to accept that de-
cision of the supreme court at its face
value. and will be in position to car
ry on a suit to find out just how much
longer the retailers are to be held un-
der the avarious heel of the mono
poles that put out patented articles
Prices Fixed by Patentee.
Another business man called atten-
ton to the fact that talking machines,
sewing machines, safety razors. a
couple of lines of pianos, ETC., were
among the patented articles that are
retailed in Topeka in which the SELL
ing price to the public is fixed by the
holds the patents, which is one and
the same thing.
The Talking Machines.
He discussed the talking machine |
situation in an interesting manner. AS
is generally known, all of the talking !
makes are put out by three big con- |
Germs. They may be in a combine and |
they may not. But their methods of |
doing business are the same. They sell |
a talking machine to a retailer under
a contract that permits him to sell it
only at the price they name. The
same holds true of talking machine
records. And the price fixed for the |
retailing of these machines is gener-
ally at a 100 per cent profit. A $500 |
machine, say cost the retailer 500,
but under his contract with the man
ufacturer, he cannot sell it for pen
ny less than $500.
Now 1 don't care for a profit of
500 on such a machine." said the
merchant. II would be glad to take
a profit. of $25 or $50. But the COM
pany says no. I must sell it for $500
or l must not sell it at all. Now if 1 |
to sell ten machines Where 1 now sell
one. Everybody is beginning to want
talking machines these days. They
are becoming necessity for home en-
and amusement. And
there are many people who would not
feel like putting 5000 In a machine,
that would De willing to pay $125 for
one. And the same situation prevails
in respect to the cheaper machines.
Nor am I allowed to sell old and out
of date machines that I may have in
stock at a penny less than the price
fixed for their sale when I bought
them, no matter now many years ago |
that may have been, unless 1 get the
specific permission of the company
from which I purchased them. But
the company does not fix prices in ad-
vance on such machines. It only
makes them in specific cases where
there is a prospective customer for a
particular machine of antique vintage.
So 1 can't even advertise my old ma
chimes in stock for sale at reduced
prices. I can only boost the new ma-
q |
looking for a talking machine and
spots an old one, or I show him one,
and she shows an inclination to buy it,
then I can get price from the
for which I can sell that
machine.
And the Records, Too.
tAnd in the matter of records
have $500 worth of old ones in stock
hat it is next to impossible for me to
sell. Many of them are out of date
serviceable. I might be able to sell
hem for 10 cents a piece. They
would be worth about that much. But
can't sell them for a cent less than
IN them at the time they were pur-
chased. Neither will the company
AXE them back. So under present
conditions I have an $500 dead horse
IN my hands.
But the talking machines are not
he only patented articles where the
conditions of sale are similar. There
ire many others, and the people are
being robbed right and left, not by the
'etailers as many of them are accuS-
omed to think, but by the manufac-
urers of these patented articles who
nave been able up to the present time
o dictate the prices at which these
articles may be sold. How much
onger they will be able to do business
r this arbitrary fashion in view of /:
he recent decision of the supreme
court remains to be seen. And know
hat many other merchants in Topeka
md all over the country as well as
myself will welcome the day when that
decision actually come into effect, and