Carter v. Rice
Opinion of the Court
MEMORANDUM OPINION
Thomas G. Carter brought this suit as owner of a patent entitled “Positive Clutch”, the subject matter of which concerns the high speed gear of certain motor vehicle transmissions.
The subject matter of the patent is for the purpose of preventing certain Chevrolet standard transmissions from jumping out of gear into neutral while under load. The patented device consists of a main drive shaft which has external helical splines or flutes and a clutch sleeve or synchronizing drum which has corresponding internal
As previously noted, defendants admit that their patent reads on plaintiff’s device and that if the patent is valid then they have infringed. Their principal attack on the patent’s validity is by prior use, more than one year prior to the patent application, of material, which is the subject matter of the patent. Such prior use will, of course, invalidate the patent. 35 U.S.C. § 102(b).
The significant dates to consider for this prior use contention are:
1959-60 Defendants claim they began grinding main drive shaft
1961 Defendants claim they began grinding synchronizing drum.
February 14, 1963 One year prior to date of plaintiff’s application
February 14, 1964 Plaintiff files patent application
November 30, 1965 Patent granted.
Defendants’ burden in showing invalidity by prior use is normally a heavy one. Defendants must overcome the rebuttable presumption of validity given to a patent issued by the patent office. Radio Corporation of America v. Radio Engineering Labs, 293 U.S. 1, 55 S.Ct. 928, 79 L.Ed. 163 (1934). 35 U.S.C. § 282. There are three reasons however, why I conclude defendants have met this burden. Initially, I am convinced that defendants simply offered sufficient and credible evidence to rebut the presumption of validity. Second, I believe that the presumption of validity which attaches to a patent was greatly weakened in this case. If it can be shown that the patent office was not shown or did not consider additional prior art then the presumption of validity is weakened if not destroyed. Ag Pro, Inc. v. Sakraida, 474 F.2d 167 (5th Cir. 1973); Stamicarbon, N. V. v. Es-cambia Chemical Corporation, 430 F.2d 920 (5th Cir. 1970). I believe defendant made such a showing. Third, I conclude that the subject matter of plaintiff’s patent was obvious as a matter of law.
Where the presumption of validity has not been weakened, proving prior use one year or more before a patent application is difficult. Oral testimony alone, is inherently suspect where there is such a challenge. As the Supreme Court observed:
“. . . In view of the unsatisfactory character of such [oral] testimo*477 ny, arising from the forgetfulness of witnesses, their liability to mistakes, their proneness to recollect things as the party calling them would have them recollect them, aside from the temptation to actual perjury, courts have not only imposed upon defendants the burden of proving such devices, but have required that the proof shall be clear, satisfactory and beyond a reasonable doubt. Witnesses whose memories are prodded by the eagerness of interested parties to elicit testimony favorable to themselves are not usually to be depended upon for accurate information. The very fact, which courts as well as the public have not failed to recognize, that almost every important patent, from the cotton gin of Whitney to the one under consideration, has been attacked by the testimony of witnesses who imagined they had similar discoveries long before the patentee had claimed to have invented his device, has tended to throw a certain amount of discredit upon all that class of evidence and to demand that it be subjected to the closest scrutiny.” The Barbed Wire Patent, 143 U.S. 275, 12 S.Ct. 443, 36 L.Ed. 154. (1891).
The Fifth Circuit has held that prior use must be proved beyond a reasonable doubt and has noted that as a practical matter, oral testimony alone, without supporting written documents, fails to show prior use as a matter of law.
Defendants offered their own testimony as well as that of others to show prior use. As corroboration, they offered sales receipts from their business records to come within the “supported by writings” rule. Zachos v. Sherwin-Wil-liams Company, supra. Plaintiff contests the sufficiency of the sales receipts and asserts that they do not adequately bolster the oral testimony of defendants’ witnesses. The Fifth Circuit considered an analogous situation in Kiva Corporation v. Baker Oil Tools, Inc., 412 F.2d 546 (5th Cir. 1969). In Kiva, the Court held job tickets prepared by a third party to be sufficient corroboration for his testimony. The important factors were that the witness was disinterested and that
“. . .He was not imagining that he invented the tools. His testimony was neither contradicted nor impeached. Indeed, it was not disputed. His testimony is not improbable on its face. There is nothing to indicate that he was a perjurer. The jury believed his testimony. Therefore, we believe the job tickets as so identified were “writings” in compliance with Zachos. .
Kiva Corporation v. Baker Oil Tools, Inc., 412 F.2d 546, 552 (5th Cir. 1969).
In the case sub judice, the documentary evidence supporting the oral testimony consists of receipts prepared by defendants or other persons in their normal course of business. I do not believe that this fact, taken alone, discredits them completely. Aside from their being prepared in the regular course of business, they pertained to events which concerned disinterested persons who in turn testified as to the transactions referenced. The oral testimony substantially meshed with the sales receipts. There is no evidence to cause the Court to believe that the receipts were not authentic or did not accurately relate to actual events about which witnesses clearly and convincingly testified.
The evidence overwhelmingly shows that defendants were grinding gear devices in some manner prior to 1963.
There is yet another reason, why I believe the patent is invalid. This is because I conclude that the subject matter of the patent was obvious at the time the patent application was filed. The strongest evidence in this case shows defendants and others, grinding the main drive shaft for some time prior to 1963. There can be no doubt of this. I did not consider for purposes of prior use whether this use alone, that is, of only the main drive shaft constituted sufficient prior use to invalidate it under 35 U.S.C. § 102(b). Rather, my focus is that use of the ground main drive shaft to prevent the gear from jumping out, made plaintiff’s device obvious in the light of prior art. Examining the device for obviousness, I note that “. . . while the ultimate question of obviousness is one of law, . this issue nevertheless lends itself to the following basic factual inquiries: (1) the scope and content of the prior art, (2) the differences between the prior art and the claims at issue, and (3) the level of ordinary skill in the art.” Gaddis v. Calgon Corporation, 506 F.2d 880, 884 (5th Cir. 1975). Here, the credible evidence shows prior art to include a main drive shaft. The purpose of such grinding was the same as declared in plaintiff’s patent. The scope is the same. I find the differences between the way plaintiff grinds his main drive and defendants’ grinding to be of no moment. There is little if any distinction. The level of ordinary skill in the art is widespread. There is ample testimony showing several individuals concerned with the high speed gear jumping-out problem and making attempts remedying the difficulty. Considering all these factors, I conclude that in February 1964, the subject matter sought to be patented, i.e., grinding gear elements, was obvious to a person having ordinary skill in the art. Cf. White v. Mar-bel, Inc., 509 F.2d 287 (5th Cir. 1975).
Considering defendants’ counterclaim under the Sherman Act, the Court is persuaded that defendants have failed to establish that plaintiff willfully and deliberately failed to disclose pertinent art to the patent office.
The above constitutes findings of fact and conclusions of law in this matter. Defendants’ counsel will submit an order for judgment consistent with this opinion within twenty days of entry.
. United States Letters Patent No. 3,220,522.
. There have been different articulations of a party’s burden of proof in establishing invalidity. Zachos v. Sherwin-Williams Co., supra, indicates beyond a reasonable doubt standard. Another way of stating the burden is to say evidence of prior use must be “clear and convincing”. Cf. Metal Arts Co. v. Fuller Co., 389 F.2d 319 (5th Cir. 1968). In any event, it is clear that the quantum of proof is much greater than by a mere preponderance of the evidence. Hobbs v. United States, 451 F.2d 849 (5th Cir. 1971).
. The Court in Kiva Corp. v. Baker Oil Tools, Inc., supra, at 553, agreed that the District Court is “ . . . not required to discard
. These two witnesses fit squarely within the Kiva standards. They were both disinterested. They were not imagining that they invented the device. Their testimony was essentially uncontradicted and unimpeached. It was not improbable on its face. Kiva Corp. v. Baker Oil Tools, Inc., supra, at 552.
. L. J. Foley testified that he also began grinding gears similar to plaintiffs prior to 1963 and that he had in fact sold said devices to third persons including the witness Win-field.
. Most of the receipts cover the years 1961-62. The oral testimony, uncontradicted, is that defendants were grinding the main drive shaft since 1959 and began grinding the synchronizing drum in 1961.
. Defendants did not even clear this first hurdle, much less did they make out the other elements necessary to show violation of the Sherman Act.
Reference
- Full Case Name
- Thomas G. CARTER, Jr. v. Sam RICE and Donald W. RICE
- Status
- Published