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themselves; in which
in ad alty, the cost of collecting the same and dition to the profit
of a proper supervision over the extent ulator, he gets the normal business profit of the licensee's use should be rememon manufacture of the whole machine. bered; and every royalty contract which Sometimes a patent can be divided into grants an exclusive right should contain separate rights. If so, the patentee can a clause guaranteeing an annual miniprobably get nearly as much from the mum payment, lest the licensee, having purchaser of each single right as that got possession of the patent, should put purchaser would pay him for all the it away unused and no royalty accrue. rights put together. The Goodyear rubber patent was thus divided, the owner
Specimen Problems licensing one concern to make rubber Let us consider three different kinds shoes, another clothing, another tubing,
of inventions : another combs, etc. Again, it is im
First. Some article of general useportant whether much or little capital is say a shipping tag. This can be made needed, and whether there is a continu and sold by the inventor himself, if he ing expense. A telephone system has
wishes. The article is salable to nuto be constantly supervised by experts, merous consumers all over the country, while an artificial sidewalk can be sold and can be supplied from a central faconce for all. The latter, being essentially tory. The total probable sales can be esa local business, can wisely be divided timated, and from them the total profit; into territorial rights or licenses; the thus a valuation for the patent can be telephone can also be divided, or can be arrived at with a fair degree of accuracy. worked as a unit.
If the patentee wishes to work it himThe patent may be sold for a lump self, but lacks capital, he can sell some sum or a royalty. On the principle that territorial rights, and thus raise capital a bird in the hand is worth two in the to work the remaining territory himself. bush, an inventor will sometimes get If an offer of a lump sum is made for the more by selling his invention for a lump patent, he can judge whether it is adesum at the start. As a rule, however, quate. If inadequate, he can afford to the main profit from a patent is derived wait, even though he does only a small by the person who holds and exploits it business in the meantime; the patent will year after year. In return for this be more salable rather than less as time greater chance of gain, this person has to goes on and as the invention becomes stand the risk of loss in case a substitute better known. and non-infringing device is subsequently Second.-Suppose the invention to be invented ; and he has to bear the financial one of the new kinds of rapid-cutting burden and risks of carrying on the busi tool steels. Such a patent may be worked ness. The article, possibly, may be of by making and selling tools, or by selling short-lived vogue, like "Pigs in Clover," the patented steel to makers of tools, or though immensely profitable while it by licensing one or more concerns to lasts; or the patent may be proved to be
make the steel itself. Inventions of this invalid.
character are so new that the scope of Sometimes a patentee can sell separate the market for them and the real value territorial rights in each state or county. of the invention cannot be accurately There are nearly 3,000 counties in the judged at the present day. All that is United States. Suppose county rights known about the future of such steels were sold at $10 each, with provision for is that the demand for them will ula small royalty on sales. The inventor timately be enormous. Which particular would net a comfortable sum whether kind will live in the fight, and how low any sales of the articles were subse- profits will be cut, it is too early to esquently made or not.
timate. Hence, if a man sells such a The patent can be worked on a royalty patent for a lump sum, he must sell it at basis with very little capital. The pat what may prove to be a sacrifice. If he entee must have enough to take the nec delays, or if he sells on a rovalty basis, essary steps towards placing the patent he may get a larger sum; but he takes and looking after it. In fixing the roy the chance of seeing his possible profits
fly away because of a cheaper and non
Volunteer Assistants infringing process subsequently invented. The inventor who survives the first
Third. — Suppose the invention be a fortnight after the grant of his patent new kind of armor-plate. This may be without an acute attack of“swelled head," an immensely profitable invention ; but it is a rarity-or else he has had previous
experience. Iardly is the patent issued
when the postman nu. Whalen..
begins bringing '1113/1904, him mail by the Deer Sir,
bushel, from all
States, and even 7
from Canada and ano. Na
Europe, praising the invention and declaring it is just
what the public you
have been longing for, with a yearning that could not be uttered and the writers respectfully solicit the privilege of selling the patent upon a small commission.
One such missive-at first
glance appearing to aw
be a hand-written postal card, is illustrated herewith, the sender's name being removed. Close inspection,
however, shows cour
that this handwriting is really not written, as it looks, but is printed by
some lithographic For, 727, 278.
process, except the address, the date,
and the number of FACSIMILE OF Postal CARD SENT TO PATENTEE BY AN "AGENCY."
the patent. These
are inserted by is an article which the inventor cannot hand in an ink closely matching that make himself, and for which there are in which the rest of the card is printed. but few possible purchasers. He is The reader will also perceive, upon close practically obliged to take the best offer inspection, that the handwriting of the he can get without delay; for, if a better inserted portions differs from the rest; armor-plate be devised, his market will but ordinarily a person receiving the be gone, it being a cardinal principle of card would not notice this. The errors naval architecture to use only the very in spelling in the lithographed portion best.
add to the illusion. Many recent patentees
I noticed in the official
a device like you're cell it for cash, Jean dispose of it for you, either in State rights Royalty
giltight. I enduet the largest patent exhibition in belieaqp.Darly well and favorably know all over the audacit ime by return nucil, and send the fra Thallet erst of manufacturing, utoil prices, aber whget
want fch your pa
chance to dispose of your patent if you list it with me at my exibition Parlors for the riwensters eafitaliste mail.ride fime who are ealling daily
to select articlea
Youre avery trulys.
will recognize this illustration as a re
“Working" the Inventor production of a card which they also re
The confident inventor is sometimes ceived, except that each found his own “worked” as follows: name, date, and number in the place here A firm of "bankers and brokers," with occupied by another. The wording of an impressive letter-head, write that they the card will fit any sort of device. Of are in the business of promoting and course, the recipient is not aware that financing new inventions, and would like the same flattering statement is mailed to take hold of Mr. X's patent, as it looks to a large number of other patentees each profitable. They suggest forming a corweck. Does anyone believe that this poration, say of $100,000 capital stock, “agent” has actually "had an inquiry” giving the majority of the stock to the for the devices of all of them ?
patentee. The broker will do all the busiAs a matter of fact, this particular pat
ness of incorporating, and will not ask ent relates to an improvement in the for any fee until the company is successmail-boxes used by the Government for fully under way, but will then receive a collection of letters at street corners, etc. commission on whatever stock he sucTo say that the sender of the postal card ceeds in selling. This idea is so plausible has "had an inquiry for a device like that the victim assents. Then the broker yours" and "can dispose of it for you, explains that in order to make the scheme either in state rights, royalty, or out a success it is necessary for some big right," is absurd. Undoubtedly this im Trust Company to act as trustee. The provement will be of great benefit to the broker will arrange all that; but $500 public in each State, if the Government will be necessary to pay the Trust Comadopts it; but it is not the sort of thing pany for its services, and to pay for prefor which "state rights” can be sold. paring the papers, opinion of the Trust
Subsequent correspondence showed Company's counsel, etc., etc. This also that the agent" was anxious to receive a is plausible; the client advances the preliminary registration fee of ten dollars, money; and a corporation is formed. upon receipt of which he would try to After long delay, the client becomes imsell the patent; and would ask no pay for patient, and is finally informed by the his services unless a sale were effected. broker that it has proven impossible to So far as the author of this paper knows, sell any stock, because no investors were that would be done sincerely; but there satisfied with the proposition. Result:is a suspicion that a comfortable living client $500 out; broker $300 in. Somecan be made from registration fees alone, times the Trust Company "wrinkle" is even if the efforts to sell are unsuccess left out, but the effect is the same. ful. For instance: Suppose that only The moral is—Deal only with thorten patentees each week out of the weekly oughly trustworthy people. Don't be crop of five hundred, more or less, are in misled by appearances.
This does not duced to send the “agent" ten dollars
mean that no agent or broker may
be emeach. Figure it out.
ployed, or no corporation formed. SalesThis is mentioned merely as a type of manship and the art of negotiating are the offers a patentee receives. Other specialties just as much as the art of "agents" desire to procure Canadian and stone-cutting or of oratory; and freforeign patents for the inventor, always quently the formation of a corporation at bargain prices, and usually accom is the very best way to finance a patent. panied by testimonials having a strong —Only, don't be gullible. Inventors and savor of quack medicine advertisements.
men of genius are proverbially poor busiThe patentee ought to remember the advice previously given :
How to Sell Services really worth having, cost
One method of selling a patent or getmoney.
ting capital is as follows:Men who are really competent do not First. Find a
man with sufficient need to cut rates.
money. Advertise, if necessary. A man A matter worth doing at all is worth who is familiar with the particular busidoing right.
ness to which the invention relates will
most easily appreciate the true value of the right to use the invention as freely
as if he owned the whole of it, and to Second. Make him understand the in license others to use it, but with no check vention and see the value in it. A clear on competition between the owners, and drawing helps in this, with a simple neither having any right to share in the printed description. These should be profits made by the other. A better way neat, accurate, and clear. In addition, is to have a title stand in the name of and far more convincing, is a working a single person—a trustee, if need be; and specimen, or what is sometimes called a to have the intended rights and duties "working model."
of the respective parties clearly deThird. Most convincing of all is the fined in the instrument. record of actual manufacture and sales From the Buyer's Standpoint showing clearly what it costs to build
All patents issued are presumed to be the thing, how it can be sold, and how valid ; but the Government does not guarwell it appeals to the public. No argu antee their validity, and a seller of a patment is so conclusive as the fact of pro ent cannot wisely give such a guarantee. fits actually made. Therefore, get a The official search may have overlooked business started; capital will then come some anticipating patent. Frequently the in and spread the business over the coun prior art contains somewhat similar detry. Atwood, the inventor of the sun
vices which the Examiner did not have burner and straight chimney, having occasion to mention, but which materially failed to induce manufacturers to place affect the scope of the patent in question. his improvements on the market, bor Consequently every buyer of a patent rowed the money to have his patented should have an exhaustive search of the articles made, and then himself peddled records made, and an expert opinion as the same from an open wagon around to the scope and validity of the patent. the streets of Chelsea, Massachusetts. In
If he and all the public are free to make eight years thereafter, he had accumu some device equally good, which is dislated seven or eight hundred thousand closed by the search and is not covered dollars out of his invention.
by the patent, he is foolish to pay money Fourth. A man who is by temperament for the patent. Every intending comor experience a salesman or solicitor can
petitor ordinarily makes a similar search sell goods and get capital where another in order to find, if possible, a law ful comman would fail. The assistance of such peting method. The buyer should also a man is valuable.
have a search of the title records made, Fifth. If you have a good article and just as in the case of real estate. your efforts are unsuccessful at first, If an invention proves commercially don't give up. Be diligent. Keep ever successful, a host of infringers spring lastingly at it.
up—people who seek either honestly or When a sale or agreement is about to dishonestly to obtain for themselves some be consummated, a lawyer should in of the fruits of the invention. The patvariably be consulted to prepare the pa entee, on proving his case, may get a writ pers-a lawyer having experience in of injunction from a Circuit Court of the dealing with patent rights. The dangers United States, restraining any such perare too great to justify unskilled persons son from infringement, and awarding to in preparing the papers themselves. Spe the patentee the damages he has suffered, cial warning must be given against the and the profits which the infringer has use of the form of assignment of an un made. If the infringer continues, the divided interest in Letters Patent, con Court will fine or imprison him as for tained in the appendix to the "Rules of contempt of court. The getting of an Practice” published by the Patent Office. injunction consumes a number of months, That form is, no doubt, sufficient for its and sometimes years; but when the purposes, and a pitifully large number validity of a patent has once been esof the patents issued each week are as tablished, the Court will grant injunction signed in that way. The objection is that promptly, and the patentee remains in this form of assignment results in each command of the field during the remainperson, assignor and assignee, having ing life of the patent.
Principles and Mechanical Details of the Various
By S. H. BUNNELL
HE various practical applications device to conditions of moderate speed
and very light pressure.
The Centrifugal Blower per square inch. To produce the required
By taking advantage of the tendency supply of air with proper pressure and
of revolving particles to fly away at a economy, numerous types of compres
tangent, a fan blower of better efficiency sors, each having its peculiar and appro
and a wider field of usefulness is afpriate field, have been designed. These
forded. Particles of air whirled around are, in the order of the pressure pro; by the blades of the disc fan merely fly duced :—the disc fan, the centrifugal out and press against the casing; but the blower, the positive blower, the blowing centrifugal blower converts this action engine, the direct-acting compressor, and
into useful compression through the prothe compressor with crank and flywheel. By the operation of all these, the same
is produced—the delivery of a quantity of air under an increased pressure and correspondingly increased temperature, and the subsequent rapid loss by the air of its excess of temperature, with a proportionate decrease in volume. Most of the problems in the design of compressors are created by the heating of the air during compression and by the effects so produced upon the apparatus.
The Disc Fan The disc fan, corresponding to the marine screw propeller in action, is useful for producing a flow of air of considerable volume but with almost inappreciable increase of pressure. It is thus suit
Disc WHEEL able for purposes of ventilation in expelling foul air, gases, or smoke, or for removing dust, fine shavings, and waste vision of a spiral casing around the fan, particles from woodworking and grind- in which the air whirled off by the blades ing machines. The power expended in
of the fan is deflected and conducted revolving the fan goes in great part to into a discharge pipe leading off from wards whirling the air current around the casing. The blower therefore conin the fan casing and pipe—a waste of sists of a fan with radial or sometimes effort which limits the application of this curved blades which stand parallel to the