Source: https://supreme.justia.com/cases/federal/us/374/174/
Timestamp: 2019-04-26 04:35:11+00:00

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Justia › US Law › US Case Law › US Supreme Court › Volume 374 › United States v. Singer Mfg. Co.
The United States sued to restrain appellee, the sole American manufacturer of household zigzag sewing machines, from conspiring with two of its competitors, an Italian manufacturer and a Swiss manufacturer, to restrain interstate and foreign trade in the importation, sale and distribution of such machines in this country. The evidence showed a course of dealings between these three manufacturers, including the cross-licensing of their patents on a nonexclusive, world-wide and royalty-free basis and ultimately the sale and assignment to appellee of an American patent owned by the Swiss manufacturer, in order that it could be enforced more effectively in the United States against Japanese manufacturers of such machines, who were underpricing appellee and the Italian and Swiss manufacturers. The District Court dismissed the complaint.
Held: on this record, there was a conspiracy to exclude Japanese competitors, in violation of § 1 of the Sherman Act, and the judgment is reversed. Pp. 374 U. S. 175-197.
(a) In concluding that no conspiracy was established on this record, the District Court applied the wrong standard as a matter of law. Pp. 374 U. S. 192-193.
(b) The course of dealings disclosed by this record shows that appellee and the Italian and Swiss manufacturers had a common purpose to suppress the competition of Japanese machines in the United States through the use of the patent which appellee obtained from the Swiss manufacturer and under which the Swiss and Italian manufacturers were the sole licensees. Implicit in such a course of dealings was a conspiracy which violated § 1 of the Sherman Act. Pp. 374 U. S. 192-196.
This is a direct appeal from the judgment of the United States District Court for the Southern District of New York, 205 F.Supp. 394, dismissing a civil antitrust action brought by the United States against the Singer Manufacturing Company to prevent and restrain alleged violations of §§ 1 and 2 of the Sherman Act, 15 U.S.C. §§ 1 and 2. The complaint alleged that Singer combined and conspired with two competitors, Gegauf of Switzerland and Vigorelli of Italy, to restrain and monopolize and that Singer unilaterally attempted to monopolize interstate and foreign trade in the importation, sale and distribution of household zigzag sewing machines. The District Court dismissed after an extended trial, concluding that the charges were without merit. The United States appealed under § 2 of the Expediting Act, 15 U.S.C. § 29, but has abandoned its claim as to attempted monopolization. We noted probable jurisdiction in light of the fact that, unless we did so, the parties would be deprived of any appellate review in the case. 371 U.S. 918. We have examined the record (1,723 pages) in detail, as is necessary in these direct appeals, [Footnote 1] and, upon consideration of it as well as the briefs and argument of counsel, have concluded that there was a conspiracy to exclude Japanese competitors in household zigzag sewing machines, and that the judgment must be reversed.
The details of the facts are long and complicated. The amended and corrected opinion of the District Court includes not only a description of the sewing machines involved and their operation, but also an analysis of the patents covering them. We shall, therefore, not relate the facts in detail, but satisfy ourselves with the overriding ones.
"concerns only the United States trade and commerce arising from the importation into the United States of a particular type of household sewing machine known as the 'machine-carried multi-cam zigzag machine.' 205 F.Supp. at 396. The zigzag stitch machine produces various ornamental and functional zigzag stitches, as well as straight ones. The automatic multi-cam zigzag machine, unlike the manually operated zigzag and the replaceable cam machine, each of which requires hand manipulation or insertion, operates in response to the turning of a knob or dial on the exterior of the machine. While the multi-cam machines involved here function in slightly different ways, all are a variant of the same basic principle."
1960 domestic sales of multi-cam machines amounted to approximately $46 million per year, in each of which years such sales accounted for about 45% of all its domestic sewing machine sales.
also contained provisions by which each of the parties agreed not to bring any infringement action against the other "in any country," or institute against the other any opposition, nullity or invalidation proceedings in any country. In accordance with this agreement, Singer withdrew its opposition to Vigorelli's patent application in Brazil, and Vigorelli later (1958) abandoned a United States interference to the Johnson application which cleared the way for the Johnson Patent to issue on December 2 of that year.
May 31, 1952. If this was true, Singer could use its Harris reissue patent only to oppose through interference the allowance of broad claims to Gegauf. It therefore made preparation to negotiate with Gegauf, first approaching Vigorelli in order to ascertain how the latter had induced Gegauf to grant him a royalty-free license and drop any claim of infringement. Singer made direct arrangements for a conference with Gegauf for April 12, 1956, and the license agreement was made April 14, 1956.
"in order to fight against this Japanese competition in their building a machine that in any way reads on the patents of ourselves and of Bernina [Gegauf] which are in conflict. [Footnote 3]"
"obtain protection against the Japanese machines which might be made under the Gegauf patent; this sprang from a fear which Singer had good reason to believe to be well founded."
"underlying, dominant and sole purpose . . . was to settle the conflict in priority between the Gegauf and Harris patents and to secure for Singer a license right under the earlier patent,"
ibid., it is significant that no such overriding purpose was found to have been disclosed to Gegauf.
"not to do anything, either directly or indirectly and in any country, the result of which might restrict the scope of the claims of the other party relating to the subject matter of the above mentioned patents and patent applications."
"each undertakes, in accordance with the laws and regulations of the Patent Office concerned, to facilitate the allowance in any country of claims as broad as possible, as regards the subject matter of the patents and patent applications referred to above."
"the amical assistance of its patent attorneys for the defense of any of the above mentioned Gegauf patents or patent applications against an action in cancellation."
The agreement made no mention of Singer's Perla or Johnson applications, the existence of which Singer did not wish Gegauf to know.
"what appeared to us to be proper action was for each one to prosecute his own patents and take care of any cases of infringement that might appear. [Footnote 4]"
"Upon learning that there could be no joint action by the three companies who have been mentioned in prosecuting patents against all others in the field, that subject was dropped. . . ."
"At this point, it should perhaps be mentioned that Mr. Stanford and I have discussed between ourselves whether we should say anything to Mr. Gegauf about our feeling that we could prosecute his patents that will be issued sometime within the next few months in the United States better than perhaps he could if we owned them, but we had decided not to say anything to Mr. Gegauf about this at this time."
course, under such an arrangement, have to give a license to Gegauf under the patent that he would turn over to us. Mr. Stanford believes that he would be able, before the patent is issued, to rewrite the claims and make it stronger than it now is, and that it is a fact that, being in the United States, we would be better able to prosecute any claims against this patent than would Mr. Gegauf."
party that Singer could best handle the patent situation if we owned the Gegauf U.S. Patent. Think it will bear fruit. This suggestion, with the U.S. attorney situation, is pressure in the right direction."
"the question of the advantage of the American Singer Company's being in possession of the different patents which might be useful in defence of sewing machines with multiple cams. . . ."
"is today effectively willing to transfer his patent application in the U.S. to the Singer, without regard or with little regard to the financial side of the matter."
"made informally known to Mr. Vigorelli that the withdrawing of the Vigorelli application in the U.S. would be greatly appreciated, to prevent the issuance of a printed patent wherein the fact that the Van Tuyl patent exists will be made known to third parties;"
"drop any direct means adapted to protect his machines in the U.S., but he is quite sure that Singer will take care of the protection of the machines of the general type of interest by making use of the owned Harris and Gegauf patents. "
"We agree that something should be done against Japanese competition in your country, and maybe South America, and are therefore looking forward to your early reply."
"since . . . interference proceedings are usually time-consuming and costly to the parties involved, it would appear that it would be advantageous for us to settle the interference between ourselves, rather than to continue the proceeding and rely on the United States Patent Office finally to award a priority;"
and, finally, Singer suggested that the attorneys for the parties in the United States get together with a view to settling the interference. Singer abandoned its interference on March 15, 1957, and the Gegauf claim was taken verbatim from the Singer Harris reissue claim.
terms of claims which may be awarded in the United States with respect of the aforementioned Singer and Gegauf patents. A proper enforcement of these patents may make it necessary to instigate patent suits against each of the importers in the United States, of whom there will perhaps be many. I think you will agree with me that neither one of us alone can protect himself most effectively. [Footnote 6]"
"while it had no objection 'to making an agreement with Singer, in order to stop as far as possible Japanese competitors in the United States market,' it was willing to do so only under certain conditions."
and that was why Singer was willing to pay."
"advanced the argument that, if stopped by Singer in the United States, the Japanese manufacturers would run to Europe; to this, Singer answered that a greater risk was run in Europe if Singer were not permitted to first stop infringements in the United States. . . . Singer continued 'to drive home the point' that Gegauf stood to benefit more by enforcement of the patents in the United States because the 'Brother Pacesetter' machine, a big selling and patent infringing Japanese-made machine, was in direct competition with the Gegauf machine, for both machines were of the free arm type."
Finally, Gegauf assigned to Singer its application and all rights in the invention claimed and to all United States patents which might be granted under it for $90,000. The accompanying agreement provided that (1) Singer would grant Gegauf a nonexclusive royalty-free license to sell in the United States sewing machines made in Gegauf's factory in Switzerland; (2) Singer would not institute, without the consent of Gegauf, legal proceedings asserting the patents when issued against Pfaff in Germany or Vigorelli in Italy with respect to machines manufactured in their home factories; and (3) Singer would not make a "slavish" copy of Gegauf's Bernina machine.
F. The Gegauf patent issued on April 29, 1958, and Singer filed two infringement suits against Brother, the largest domestic importer of Japanese machines. It also sued two other distributors of multi-cam machines, those actions terminating in consent decrees. Finally, in January, 1959, eight months after the patent was issued, Singer brought a proceeding before the United States Tariff Commission under § 337 of the Tariff Act of 1930, 19 U.S.C.
§ 1337. It sought an order of the President of the United States excluding all imported machines coming within the claims of the Gegauf patent for the term of the patent, naming European as well as Japanese infringers. Singer alleged that the tremendous volume of imports from Japan of household sewing machines, other than automatic zigzag, had eliminated all domestic manufacturers save itself and one small straight stitch part-time concern. It further alleged that the increasing volume of infringing imports similarly threatened to result in the curtailment and ultimate cessation of manufacturing operations in the United States in automatic zigzags, with heavy loss of highly paid and skilled labor and large capital investment. At the time of the filing, Singer alleged, foreign-made machines, "primarily from Japan," were being imported to the extent of 50% of the entire Singer sales of automatic zigzag machines in this country; it represented that the automatic zigzag machine is its most important product, and that it sells for a minimum price of $300; that infringers from Japan sell at no firm price, the average being $100 less than Singer's price, but often far below that figure; and that the minimum price in Japan for export is $40 to $54.
During the hearing on its complaint, Singer was asked whether Pfaff was licensed under the Gegauf patent. Singer replied in the negative, but became skeptical, and, believing that it might "have a better chance of prevailing before the Tariff Commission," decided to ask Gegauf to revise the agreement, which originally excepted Pfaff and Vigorelli from enforcement proceedings, except on consent of Gegauf. The latter agreed on condition that Phoenix, a German manufacturer which was a party-defendant in the proceedings, be substituted.
First, it may be helpful to set out what is not involved in this case. There is no claim by the Government that it is illegal for one merely to acquire a patent in order to exclude his competitors; or that the owner of a lawfully acquired patent cannot use the patent laws to exclude all infringers of the patent; or that a licensee cannot lawfully acquire the covering patent in order better to enforce it on his own account, even when the patent dominates an industry in which the licensee is the dominant firm. Therefore, we put all these matters aside without discussion.
What is claimed here is that Singer engaged in a series of transactions with Gegauf and Vigorelli for an illegal purpose, i.e., to rid itself and Gegauf, together, perhaps, with Vigorelli, of infringements by their common competitors, the Japanese manufacturers. The Government claims that, in this respect, there were an identity of purpose among the parties and actions pursuant thereto that, in law, amount to a combination or conspiracy violative of the Sherman Act. It claims that this can be established under the findings of the District Court.
machines, which manufactured only straight stitch machines on order for a single domestic customer.
against common competitors" and Gegauf's fears that, if Singer stopped the Japanese infringements in the United States, they (the Japanese) would go to Europe, where Gegauf was not in as good a position to stop them, were unfounded because a greater risk was run in Europe if Singer were not permitted to first stop infringements in the United States. Finally, the court found that (7) Singer was determined "to drive home the point" that Gegauf stood to benefit more by enforcement of the patents in the United States because the "Brother Pacesetter" machine, a big selling and patent infringing Japanese-made machine, was in direct competition with the Gegauf machine in the United States. As the trial court put it, "[t]he point apparently reached home" -- Gegauf ultimately assigned the patent for only $90,000, much less than its original asking price and much less than Gegauf believed it would realize annually from a license grant. Gegauf's beliefs as to the inadequacy of the monetary consideration were well founded, since Singer received more than twice that amount in a two-year period from the one license it granted under the Gegauf patent. That license, incidentally, was to Sears, Roebuck & Company, which imported machines from Europe.
"[t]he undisputed facts support no conclusion other than that the underlying, dominant and sole purpose of the license agreement was to settle the conflict in priority between the Gegauf and Harris patents. . . ."
as a question of law, the court's inference that the attitude of suspicion, wariness and self-preservation of the parties negated a conspiracy. See United States v. Line Material Co., 333 U. S. 287, 333 U. S. 297 (1948); United States v. Masonite Corp., 316 U. S. 265, 316 U. S. 280-281 (1942); United States v. General Electric Co., 80 F.Supp. 989, 997-998 (S.D.N.Y.1948).
"[b]ecause of the nature of the District Court's error, we are reviewing a question of law, namely, whether the District Court applied the proper standard to essentially undisputed facts."
achieve the common purpose of enforcement "equally advantageous to both" Singer and Gegauf and to Vigorelli as well. [Footnote 8] What Singer had refused Vigorelli, i.e., acting "in concert against others," was thus achieved by the simple expedient of transferring the patent to Singer.
in the United States through the use of the patent, which was secured by Singer on the assurances to Gegauf and its co-licensee, Vigorelli, that such would certainly be the result. See Federal Trade Comm'n v. Beech-Nut Packing Co., supra. Singer cannot, of course, contend that it sought the assignment of the patent merely to assure that it could produce and sell its machines, since the preceding cross-license agreement had assured that right. The fact that the enforcement plan likewise served Singer is of no consequence, the controlling factor being the overall common design, i.e., to destroy the Japanese sale of infringing machines in the United States by placing the patent in Singer's hands the better to achieve this result. It is this concerted action to restrain trade, clearly established by the course of dealings, that condemns the transactions under the Sherman Act. As we said in United States v. Parke, Davis & Co., supra, 362 U.S. at 362 U. S. 44, "whether an unlawful combination or conspiracy is proved is to be judged by what the parties actually did, rather than by the words they used."
Moreover this overriding common design to exclude the Japanese machines in the United States is clearly illustrated by Singer's action before the United States Tariff Commission. Less than eight months after the patent was issued, it started this effort to bar infringers in one sweep. As an American corporation, it was the sole company of the three that was able to bring such an action.
When it appeared that the references to Pfaff in the assignment agreement threatened the success of the Tariff Commission proceeding, Gegauf consented to the deletion of Pfaff from the agreement. This maneuver was for the purpose, as the trial court found, of giving Singer "a better chance of prevailing before the Tariff Commission" in its efforts to exclude infringing machines. 205 F.Supp. at 427. While the tariff application was leveled against nine European, as well as the Japanese, competitors, the allegations were clearly beamed at the infringing Japanese machines, to which Singer attributed the destruction of all American domestic household sewing machine companies save itself. As the parties to the agreements and assignment well knew, and as the trial court itself stated, "by far the largest number of infringers of the Gegauf patent and invention were the Japanese." 205 F.Supp. at 418.
monopoly. By aggregating patents in one control, the holder of the patents cannot escape the prohibitions of the Sherman Act."
United States v. Line Material Co., supra, at 333 U. S. 308. That Act imposes strict limitations on the concerted activities in which patent owners may lawfully engage, see United States v. United States Gypsum Co., 333 U. S. 364 (1948); United States v. Line Material Co., supra; United States v. National Lead Co., 63 F.Supp. 513, aff'd, 332 U. S. 332 U.S. 319 (1947), and those limitations have been exceeded in this case.
The judgment of the District Court is reversed, and the case is remanded for the entry of an appropriate decree in accordance with this opinion.
Whatever may have been the wisdom of the Expediting Act in providing direct appeals in antitrust cases at the time of its enactment in 1903, time has proven it unsatisfactory. See, e.g., Gesell, A Much Needed Reform -- Repeal the Expediting Act for Antitrust Cases, in 1961 N.Y. State Bar Ann. Antitrust L.Sym. 98 (CCH). Direct appeals not only place a great burden on the Court, but also deprive us of the valuable assistance of the Courts of Appeals.
"Unless we are able to come to some agreement with Vigorelli, we will, of course, institute proceedings in Italy in due time, seeking to invalidate such patent as Vigorelli has received, and we will do the same thing in France and other countries in accordance with the proper procedure in each country. This litigation will undoubtedly result either in the cancelling of their patent and patent applications, or, at any rate, severely limit the claims. On the other hand, if we were to refrain from instituting such proceedings, and if we were to withdraw the Brazilian opposition, their applications might develop into rather broad patents which would have a dominating position in the industry. We ourselves hold some patents and have patent applications pending which would make trouble for Vigorelli if we were engaged in litigation with them, or which would greatly strengthen and broaden the patent situation if our position and theirs could be pooled by some mutual agreement."
Letter from M. C. Lightner, Singer President, to W. P. Evans of Singer's Italian Corporation, September 12, 1955.
"that they would probably be locked in interference very shortly; that Gegauf was ahead of us, and that I was very much afraid that Gegauf was going to win the interference; that I was sorry, because I felt that, if we had the claims and were able to keep them in the Harris patent, we would be able to enforce them better than could [Gegauf] if he had a patent. . . ."
"if Singer, who was a corporation in the United States, owned the Gegauf patent, and they would rather have Singer own it than have Gegauf, because they thought that we could enforce it better, or were in a better position to enforce it."
"You are no doubt aware that, recently, the many Japanese sewing machine manufacturers have brought out a large variety of ornamental stitch machines which would appear to come within the terms of claims which may be awarded in the United States with respect of the above Gegauf and Singer patents. We have reason to believe that all of the very many United States sewing machine importers will wish to deal in such Japanese ornamental stitch machines, and that patent suits against each of these importers may be necessary if our respective patents are to be enforced."
"Your [sic] may agree with us that, under the terms of our present agreement, neither party is in a position effectively to protect itself through patents in the United States with respect to this threatened competition, particularly when the competing machines are copies after both Bernina and Singer models."
Since we have concluded that the entire course of dealings between the parties, including the cross-license agreement, establishes a conspiracy or combination in violation of the Sherman Act, we need not and do not pass on the Government's contention that the cross-license agreement and the interference settlement are illegal apart from the other circumstances present here. As to this question, see Note, 31 Geo.Wash.L.Rev. 643 (1963).
In addition, though the parties do not discuss the effect of the final arrangement, it would permit both Gegauf and Vigorelli to sell machines under the patent in the United States. The fact that this might be consequential is indicated by the statistic that, in 1959, Europe furnished 16% of the machines sold in the United States.
"[a] finding is 'clearly erroneous' when, although there is evidence to support it, the reviewing court, on the entire evidence, is left with the definite and firm conviction that a mistake has been committed."
Id. at 333 U. S. 395. The evidence here, including many findings of the trial court, clearly compels the conclusion that the parties' concerted activities were motivated by a common purpose, and the court's conclusion to the contrary must be regarded as clearly erroneous. United States v. United States Gypsum Co., supra; see Pacific Portland Cement Co. v. Food Mach. & Chem. Corp., 178 F.2d 541 (C.A.9th Cir. 1949).
There are two phases to the Government's case here: one, the conspiracy to exclude the Japanese from the market, and the other, the collusive termination of a Patent Office interference proceeding pursuant to an agreement between Singer and Gegauf to help one another to secure as broad a patent monopoly as possible, invalidity considerations notwithstanding. The Court finds a violation of § 1 of the Sherman Act in the totality of Singer's conduct, and intimates no views as to either phase of the Government's case standing alone. Since, in my view, either branch of the case is sufficient to warrant relief, I join the Court's opinion, except for footnote 1 with which I disagree.
which dominated the multi-cam field, an aspect of this case which in itself raises serious questions, in my view, and which is saved by the Court for future consideration. See p. 374 U. S. 189, supra.
More must be said about the interference settlement. In 1956, Singer's "Harris" multi-cam zigzag reissue-patent application was pending in the United States Patent Office; Gegauf had an application pending at the same time covering substantially the same subject matter, but enjoying a nine-day earlier priority date. See 35 U.S.C. § 119. In the circumstances, it appeared to Singer that, between Singer and Gegauf, Gegauf would have a better claim to a patent on the multi-cam zigzag, at least on the broad and thus more valuable claims. But it was by no means certain that either of them would get the patent. In cases where several applicants claim the same subject matter, the Patent Office declares an "interference." This is an adversary proceeding between the rival applicants, primarily for the purpose of determining relative priority. But a party to an interference also can, by drawing additional prior art to the attention of the Patent Office which will require the Office to issue no patent at all to anyone, see 37 CFR §§ 1.232, 1.237(a); cf. 35 U.S.C. §§ 101-102, prevent his rival from securing a patent which, if granted, might exclude him from the manufacture of the subject matter. 35 U.S.C. § 154. Gegauf, after Singer approached it to negotiate an agreement before the Office declared an interference, feared that Singer might, in self-defense, draw to the attention of the Patent Office certain earlier patents the Office was unaware of, and which might cause the Gegauf claims to be limited or invalidated; Singer "let them know that we thought we could knock out their claims, but that, in so doing, we were probably going to hurt both of us."
the parties were not to attack one another's patent applications "directly or indirectly," not to do anything to restrict one another's claims in patents or applications, and to facilitate the allowance to one another of "claims as broad as possible." In August, 1956, the Patent Office declared the anticipated interference. Singer and Gegauf settled the interference pursuant to their prior agreement: Singer withdrew its interfering claims and, in April, 1957, the Patent Office dissolved the interference proceeding before it had ever reached the litigation stage. 37 CFR § 1.262. Eventually, the Gegauf patent issued, and was sold to Singer as part of the concerted action to exclude the Japanese which is involved in the first branch of the case, supra, p. 374 U. S. 197.
and the patent clause subverted. United States v. American Bell Telephone Co., 128 U. S. 315, 128 U. S. 357, 128 U. S. 370; see Katzinger Co. v. Chicago Metallic Mfg. Co., 329 U. S. 394, 329 U. S. 400-401; Cuno Engineering Corp. v. Automatic Devices Corp., 314 U. S. 84, 314 U. S. 92; Great Atlantic & Pacific Tea Co. v. Supermarket Equipment Corp., 340 U. S. 147, 340 U. S. 154-155 (concurring opinion). Whatever may be the duty of a single party to draw the prior art to the Office's attention, see 35 U.S.C. § 115; 37 CFR § 1.65(a); Bell Telephone, supra, at 128 U. S. 356, clearly collusion among applicants to prevent prior art from coming to or being drawn to the Office's attention is an inequitable imposition on the Office and on the public. Precision Instrument Mfg. Co. v. Automotive Maintenance Machinery Co., 324 U. S. 806; see H.R.Rep.No.1983, 87th Cong., 2d Sess. 1, 4 (Rep. on Act of October 15, 1962 Pub.L. 87-831, 76 Stat. 958). In my view, such collusion to secure a monopoly grant runs afoul of the Sherman Act's prohibitions against conspiracies in restraint of trade * -- if not bad per se, then such agreements are at least presumptively bad. Compare Mitchel v. Reynolds, 1 P.Wms. 181, 191-192, 24 Eng.Rep. 347, 350-351. The patent laws do not authorize, and the Sherman Act does not permit, such agreements between business rivals to encroach upon the public domain and usurp it to themselves.
* The Court has already held similar agreements contrary to public policy and unenforceable. In the "patent estoppel" cases, the Court found that public policy favors the exposure of invalid patent monopolies before the courts in order to free the public from their effects. Thus, a licensee may not be prevented from attacking the validity of his licensor's patent. Sola Elec. Co. v. Jefferson Elec. Co., 317 U. S. 173; Scott Paper Co. v. Marcalus Mfg. Co., 326 U. S. 249; Katzinger Co. v. Chicago Metallic Mfg. Co., 329 U. S. 394; MacGregor v. Westinghouse Elec. & Mfg. Co., 329 U. S. 402; United States v. United States Gypsum Co., 333 U. S. 364, 333 U. S. 387-388.
It should be noted that the present agreement involved a specific promise not to attack one another's patents directly or indirectly, in addition to a promise to cooperate in interference proceedings.
A mere reading of the exhaustive opinion below will show that the District Court in dismissing the Government's case did not, as this Court now holds, fail to recognize that a concerted use by Singer and Gegauf of their patents in pursuit of a common purpose to thwart Japanese competition would violate the Sherman Act. Rather, the District Court found that such a violation had not been made out.
and that their supposed inconsistency can be made to rest on nothing more substantial than a play on the word "sole" in the basic finding. The further circumstance that it was only Singer's "secondary" purpose that was disclosed to Gegauf goes not to the question of "consistency," but rather to the sufficiency of the lower court's ultimate finding that no illegal concert of action had been shown between Singer and Gegauf.
Nor does anything to which the Court points in the Gegauf patent assignment and Tariff Commission episodes (ante, pp. 374 U. S. 191-196) lend support to this transparent effort to ground reversal on a question of law so as to escape the necessity of coming to grips with the only true issue in this case: are the District Court's findings of fact -- which, if accepted, would put an end to the Government's case -- "clearly erroneous"? Again, the various bits and pieces which the Court has called from this lengthy record go not to the consistency, but to the sufficiency of the findings.
In my opinion, the District Court's findings are invulnerable to attack under Rule 52(a) of the Federal Rules of Civil Procedure. The mere fact that one or more of the members of this Court might have made opposite findings if sitting at nisi prius does not, of course, serve to justify reversal of a District Court's findings under the "clearly erroneous" rule. United States v. Yellow Cab Co., 338 U. S. 338, 338 U. S. 341-342.

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