The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1918-12-14
NATIONAL BRIDGE
COMPANY CHARGED
WITH COERCION
Federal Charge Preferred
Against Indianapolis Firm
Was Once Forced to
Withdraw Bid From Rich
mond.

a formal complaint against the Ma
tional Bridge company Of Indianapolis,
has been issued by the Federal trace
commission, alleging that the company
tried to coerce bridge contractors ana
builders to pay large sums OF money
as royalties for alleged infringement OF
several patents.
The company, of which Daniel H.
Luten is president, made an applica-
ton to submit bid on the new Main
street bridge in Richmond. and with
drew, after severe pressure had been
brought to bear on It,
The Washington dispatch on the ac-
ton of the federal trade commission,
as well as statement of Luten made
at Indianapolis, follow:
WASHINGTON, Dec. 14.-Declaring
that it has reason to believe that the
concern is using unfair methods in
obtaining trade, the federal trade CON-
mission, lin the interest of the pub
lie" today issued formal complaint
against the National Bridge Company,
of Indianapolis, makers and sellers of
designs and working plans for the con-
struction of bridges. The complaint al
leges on information and belief as fol-
lows:
To Appear Jan. 20.
That Daniel B. Luten. who is in COM
plete control of the concern, in 1902.
filed in the United States patent office
an omnibus application relating to al
legged improvements in reinforced con-
crete bridges, which application was
finally rejected in 1911 as not present
ing patentable subject matter. BY re-
vising and redraftng the original ap-
plication he presented claims cover
ing features OF bridge construction
conceived subsequently. and succeeded
in obtaining. through divisional appli-
cation. about forty-six patents con-
tanning approximately 400 detailed
claims.
That with the intent, purpose and
effect of compelling and coercing
bridge contractors and builders to pay
large sums of money as royalties for
alleged infringement of of the several
patents, Luten, through the National
Bridge Company, and his attorney.
Frank Fl. Druley, of Chicago, obtained
about twenty-three consent DEGREES,
by agreeing with certain builders and
contractors to waive claims against
them for damages or to accept trivial
and used these consent DEGREES as
a basis for advertisements, which
we're circulated among bridge builders
md contractors, and in which 1t was
minated that the decree was entered
sfter full trial on the merits.
The firm has been cited to appear be-
fore the commission in Washington
on January 20, 1919.
TNDIANAPOLIS, Dec. 14-Daniel B.
Luten, president of the National
Bridge company, said today that the
charges made in the complaint OF
the federal trade commission, were
absolutely false" He said that his
company, which controls what is
known as the Luten patents, used In
the construction of reinforced concrete
bridges, had brought suit some time
ago against several construction COM
panies which had used the patents.
and which had failed to pay a royalty.
seeking TO collect the royalties due
it. Later, he said, the companies
which had been sued. requested the
National Bridge company to drop the
suits and agreed to pay the royalties,
which amount TO 10 per cent of the
contract price. He denied that the
National Bridge company had used
the consent" DEGREES as basis of
advertisements, and said that it never
had intimated that the DEGREES. in ia
vor of his company, had been entered
after a full trial had been held, as is
charged by the federal trade commits
sion. The National Bridge company
is a corporation, the Incorporate tors be-
ing Daniel B. Luten, his wife and his
sister.