Philco Products Ltd. v. Thermionics Ltd.

Philco Products Ltd. v. Thermionics Ltd.

The Court held that the Langmuir patent lacked patentable subject‑matter as a combination of known elements (invalid as to Philco Products Limited), whereas the Freeman patent constituted a novel and useful combination and was valid and infringed; allegations that the patent assignments were procured by an illegal price‑fixing combine did not divest the patentees of statutory rights to bring infringement actions under Patent Act ss.54‑57; and a licensed jobber's contractual admission of validity estopped it from challenging the patents.

Citation
[1943] SCR 396
Parties
Appellant / Defendant: Philco Products Limited; Appellant / Defendant: Cutten-Foster & Sons, Limited; Respondent / Plaintiff (assignee): Thermionics Limited; Respondent / Plaintiff (licensee): Canadian Marconi Company; Respondent / Plaintiff (licensor / Assignor): The Canadian General Electric Company Ltd.; Respondent / Plaintiff (licensor / Assignor): Canadian Westinghouse Company, Ltd.; Respondent / Plaintiff (licensee): Rogers-Majestic Corporation, Ltd.
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
17 May 1943
Procedural Posture
Patent Infringement Appeal / Appeal to the Supreme Court of Canada From Judgment of the Exchequer Court of Canada
Outcome
Appeal allowed in part and dismissed in part: Langmuir patent declared invalid as between Philco Products Limited and respondents (appeal allowed in that respect); Freeman patent held valid and infringed (appeal dismissed); Cutten‑Foster & Sons estopped by contract and liable for infringement; assignments...
Legal Topics
Patent Validity, Patent Infringement, Anticipation, Assignment of Patent Rights, Restraint of Trade / Combines, Estoppel by Contract, Enforceability of Patents Despite Illegality
Source Language
English

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Parties

Philco Products Limited

Appellant / Defendant

Cutten-Foster & Sons, Limited

Appellant / Defendant

Thermionics Limited

Respondent / Plaintiff (assignee)

Canadian Marconi Company

Respondent / Plaintiff (licensee)

The Canadian General Electric Company Ltd.

Respondent / Plaintiff (licensor / Assignor)

Canadian Westinghouse Company, Ltd.

Respondent / Plaintiff (licensor / Assignor)

Rogers-Majestic Corporation, Ltd.

Respondent / Plaintiff (licensee)

Procedural Posture

Patent Infringement Appeal / Appeal to the Supreme Court of Canada From Judgment of the Exchequer Court of Canada

  1. 1 Whether Langmuir patent disclosed patentable subject‑matter or was anticipated
  2. 2 Whether Freeman patent disclosed patentable subject‑matter and was anticipated
  3. 3 Whether the appellants infringed the patents

Ratio Decidendi

The Court held that the Langmuir patent lacked patentable subject‑matter as a combination of known elements (invalid as to Philco Products Limited), whereas the Freeman patent constituted a novel and useful combination and was valid and infringed; allegations that the patent assignments were procured by an illegal price‑fixing combine did not divest the patentees of statutory rights to bring infringement actions under Patent Act ss.54‑57; and a licensed jobber's contractual admission of validity estopped it from challenging the patents.

Court Disposition

Appeal allowed in part and dismissed in part: Langmuir patent declared invalid as between Philco Products Limited and respondents (appeal allowed in that respect); Freeman patent held valid and infringed (appeal dismissed); Cutten‑Foster & Sons estopped by contract and liable for infringement; assignments...

Orders

  • Appeal dismissed in part and allowed in part
  • Judgment of the Exchequer Court of Canada varied accordingly