The Washington times., 1924-06-25
.U.S.BR|NGSSUIT
To BREAK oil
TRUST
Attorney General Charges
Pooling Of invalid Patents
10 Monopoly
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Continued from First Page.)
agreements to restrain and monopo-
lie the interstate and foreign COM
merce in so-called cracked gasoline
and other commodities produced by
the cracking process.
In line with the decision OF the
Supreme Court in the sO-calIed
bath tub case the Attorney Cen
eral charges that the provisions Of
the various licensed agreements go
beyond what is necessary to protect
any legitimate rights Of the defen-
dants, even assuming the validity of
their asserted patent rights.
The petition does not concede
the validity Of such rights ana a.
leges that the procuring ana treat.
ing Of such patents az valid IL but
q device to lend color Of legality
to the combination, conspiracy and
monopoly. Mr.. Stone charges that
further that the defendants alleged
patent rights relative to minor I'm
provement % insignificant az TO at
ford no copsideraticnj for contracts
In restraint Of trade.
Agreements In Evidence.
"Seventy-nine licensed agreements
are set up as evidencing the combi-
nation, conpiracy and monopoly.
These agreements contain numerous
provisions affecting adversely the
production, transportation ana Gale
OF gasoline. keroene, naptha. and
other products in interstate ana for
eign commerce.
"The effect Of these agreements,
the Attorney General charges, has
been to pool q large number of
patents and alleged patent rights.
relative to minor improvements in
a long practiced art; to stop all
parties to the plan from in any
manner contesting the validity Of
said asserted patent rights; to bur-
den the interstate and foreign trade
and commerce in gasoline, kerosene
and other commodities, by levying
thereon heavy charges IN the guise
Of royalties; to provide for the per-
petuation Of the plan beyond the
life Of any of their existing patents
by providing for the pooling Of
after-acquired patents; to restrain
many Of the licensees In the amount
Of gasoline they may produce by
fixing q Limitation on production
or by imposing graduated scale Of
royalties, which penalized production
over q certain amount and makes
1t Improbable; to restrain inter
state and foreign trade ana com
merce by prohibiting directly large
supplies of gasoline and other un-
patented commodities In such com.
merce; and to secure to the defend
ant 4ho standard Oh Company Of
Indiana a virtual monopoly Of
trade and commerce in gasoline in
the fifteen States described In the
agreement az the Indian Company's
territory.
The secondary defendants, the at.
torney charged, who have become
parties to the combination by ac.
|cepting licenses from one or more
Of the primary defendants are the
Standard OH Company Of Kansas,
the Standard oil Company Of Ken
lucky, STANDARD Oil Company Of
Louisiana, Standard OH Company of
New York, Standard Oil Company
Of Ohio, Aetna Refining Company.
American Refining Company, Bea.
con Gil Company, Clayton OH Re.
finiug Company, Charles ;. De.
Ganahl Gelena Signal Oil Company
OF Texas, Glove Oil and Refining
Company, Grayshurg Oil Company.
Hickok Producing Company, Humble
OIL and Refining Company, the I'M
|perial Company, Ltd: Indian Re
filming Company. Industrial Rein.
Ing Company. Indiahoma Refining
Company, Interstate Refineries, III.
lott Jones and Company, Lion OH
and Refining Company, Magnolia
Petroleum Company, Miller Petrol.
cum Company, Omaha Refining
Company. Owl OIL Company, the
Petroleum Refining Company, Pro.
ducers' Pipe Line and Refining
Company, Pure OIL Company, Root
Retineries, Roxana Petroleum Cor
pcration. Sapulpa Refining Com.
pany, Southern Oil Corporation.
Sun Company, Tidal Refining Com.
pany, Tidewater OIL Company.
United States OIL and Refining Com.
pany, the Utah OIL Refining Com.
paly, Vacuum Oil Company, waite
Phillips Company, Waverly OIL
Works Company and the White
Eagle OIL and Refining Company,
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