t^l^ ^1 : S . Cd'i'^r^ ' •' '^ /io m I it *.e. The following Bill for the re-extension of the Patent of William Woodworth, originally issued on the 27th day of December, 1828, pass ed both houses of Con- gress on the 25th February, 1845, to take effect from and after the 27th day of December 1849 .• n^sr-i s. 121. IN SENATE OF THE UNITED STATES. February 10, 1845. Mr. Phei.i's, from the Committee on Patents and the Patent Office, re- ported the following bill ; which was read, and passed to a second read- ing. A BILL To extend the patent heretofore granted to William WOODWORTEI, Be it enacted by the iSenate and House of Represen- tatives of the United States of Am,erica in Congress as- sembled, That the patents granted to William Wood- worth, on the twenty-seventh day of December, in the year one thousand eight hundred and twenty-eight, for Ms improvement in the method of planing, tonguing, grooving, and cutting into mouldings, or either plank, boards, or any other material, and for reducing the same to an equal width and thickness, and also for facing and dressing brick, and cutting mouldings on, and facing seve- ral other substances, a description of which is given in a schedule annexed to the letters patent, granted as afore- said, be and the same is hereby extended for the term of seven years, from and after the twenty-seventh day of De- cember, in the year one thousand eight hundred and forty- nine ; and the Commissioner of Patents is hereby direei3-^ ed to make a certificate of such extension in the name of the administrator of the said William Woodworth,. and to append an authenticated copy thereof to the origi- nal letters patent, whenever the same shall be requested by the said administrator or his assigns. Which Bill having been signed by the President,, be- came a law. The following is the Opinion of the Hon. Daniel. Webster, late Secretary of State of the United States^ upon the construction of the eighteenth section of the Act of Congress o^f July 4, 1836. aUESTION. Does the extension of a patent under the Act of Con- gress of the 4th of July, 1836, accrue to the benefit of the inventor or patentee, his executors and administrators, or does it extend for the term of the extension, the rights and privileges of assigness, under the original patent? I had occasion to consider this question last year, and came to the conclusion that unless in the assignment itself provision was made that the assignee should have an in- terest in any extension of the patent, which might after- wards take place, his right terminated with the original Patent. I am still of that opinion. It appears to me that an opposite construction would de- feat the main object of the 18th Section of the Act of Con- gress. The object of that section is to secure to the Pa- tentee, a reasonable remuneration for the time, ingenuity and expense bestowed on the invention, and the introduc- tion of it into use. An account is to be taken under oath^ of loss and profit accruing to him by reason of such mven- ton. The loss may be any loss which may happen with- out neglect or fault on his part ; and the failure or bank- ruptcy of assigness, by which he may have lost a part — perhaps the greater part of his expected profit, may itself be a loss within the provision of the law. Hs-*fni5^ 3 - ' (^ 3 Trie whole expense is to be borne by the Patentee, and it is quite optional with him whether he will apply for an •extension or not. The assignees cannot compel him to ^pply for an extension, nor apply themselves, in his name without his assent ; nor can they apply in their own name. This shows that they have no pre-existing right to an ex- tension. The privilege to be derived from an extension is not that for which the assignees have paid their money, or any part of their money. They have bought nothing but ■an interest in the original patent. The case would be free of doubt, I think, but for the latter clause of the 18th Section, which declares that the benefit of the renewal shall extend to assignees according to their interests therein. Their interest in what ? Clear- ly in the extension, as I think, and they may have an in- terest in the extension ] that is, they may have stipulated originally for the benefit of an extension, if any should be granted. Or if the terms Hheir interest therein^^ be considered to mean their right to use the thing patented, the result is the same, because the extent of their interest on their pur- ■chase, if they have purchased the right of using the thing patented, for fourteen years, and a privilege of fur- ther use, in case of extension, then of course the right con- tinues. But if they have purchased the right for fourteen years only, then they have no interest in the extension and no interest in the use of the thing patented. This construction, as it seems to me, gives a sensible meaning to all parts of the provision of this 1 8th Section, while a different one would defeat the main purpose in- tended by it. I cannot therefore hesitate to adopt it. DANIEL WEBSTER, OPINION OF THE HON. SAMUEL PHELPS. i,ate a Judge of the Supreme Court, and a Senator of the United States from the State of Vermont. My opinion is desired as to the true construction of the 18th section of the act relating to Patents, approved on the 4th of July 1836, and particularly as to the effect of the following clause introduced near the conclusion of the sec- tion, viz. " and the benefit of such renewal shall extend to assignees and grantees of the right to use the thing patent- ed, to the extent of their respective interests therein." This clause has it seems received from gentlemen of high legal reputation, including some of the Judges of the (Su- preme Court, not only different but inconsistent and con- flicting constructions. On one hand it has been contended^ that an assignee, or grantee of theright secured by the patent takes by virtue of this Clause the same right and interest in the extended patent which he had in the original^ and that by force of the statute alone, without refer- ence to the interest of the parties as it may be gath- ered from the contract. Those who adopt this construction consider the expression " to the extent of their respective interests therein," as having reference, not to the duration but the quantum of interest assigned or granted, and as intended merely to distinguish between an assignment of the whole right and interest of the patentee on the one hand, and, on the other, of a fractional or aliquot part of that right, — an interest limited to a particular territory, and an interest limited to a particular mode of employment as a mere right to use the thing patented, to make and use without the right to vend, or to make and vend without a right to convey the exclusive privilege to others. Another class adopt the contrary construction, and insist, that an assignee or grantee of a right or interest in the orig- inal patent takes nothing in the extended patent, unless his contract gives it to him, either expressly or by fair le- gal intendment. They understand the word interest as used in the statute in its most comprehensive sense, and as importing not merely the quantum or extent of his right in the original patent, but a right in the extended patent as such, created by some act of the patentee. They therefore argue, that, if he have acquired from the patentee, no right in the extended patent there is no interest upon which the clause can operate. They say that if the right originally conveyed be limited by the parties, in its duration, to the term of the original patent, the interest ceases with that term ; — that the purchaser, has no interest in the extended patent, and that " to the extent of his interest therein" means to no extent at all. There is still a third construction given to this clause which takes a medium between the two extremes. Those who adopt it distinguish between an assignment of the pa- tent either in whole or in part, and a mere right or license to use the thing patented. They hold that the effect of the clause we are considering is limited to the latter ; — that all conveyances of the exclusive right under the first patent, whether in whole or in part, whether to be held in com- mon with the patentee, or solely and exclusively within a particular district, cease to have effect by the expiration of the original term unless the contrary was intended by the parties, but that the statute does give to a contract for the use merely an extension and effect beyond what the par- ties contemplated, and does protect the purchaser in the continual enjoyment of that right beyond the period for which it was originally purchased. It is much to be regretted that a clause having so im- portant a bearing upon the operation and effect of the Act, and involving such important considerations, should have been so equivocally expressed ; and that a statute confer- ring exclusive privileges often of great value, should have left it a matter of doubt, uncertainty and litigation, to whom those privileges belong. It certainly was an easy matter to have given to this clause a form which would have expressed, in language free from doubt or ambiguity, the provisions which are attributed to it by either of the constructions mentioned. I confess that in endeavoring to form an opinion as to the intent of Congress in this portion of the act, 1 have de- rived very little aid from criticising its phraseology. Had that intent been to give to the Assignee, &c., by force of the renewal, the same interest in the extended term which he held in the original patent by contract with the patentee, it was easy to say so. On the contrary, if the intent had been to give the benefit of the renewal to those only who had derived from the patentee an equitable interest in the renewal, it might have been as easily expressed. The act does in express terms extend to assignees and grantees ; but then comes the qualifying clause, " to the extent of their respective interests thereinP Now as between the two constructions first mentioned, the whole controversy hangs upon the import of this qualification, and that import de- pends upon the precise meaning which we attach to the word ' interest.^ That word is susceptible of a more en- larged or limited meaning. In general, the term in its technical import includes all the elements or ingredients which serve to make up a legal estate or interest. Of these time or duration is often essential. It is so clearly when, from the nature of the property, its value depends upon duration, and with respect to the exclusive right secured by a patent, the original limitation of it to fourteen years and the subsequent extension of it to twenty-one years, shows that in all cases, so long as the right exists, its dura- tion is an important element of value. The word may indeed have a more restricted and limited signification ; but as a general rule, I think a word should be understood in its more comprehensive sense, unless there be something in the context to qualify its import. I see nothing in this instance to have that effect. The object of the act is indeed to revive and resuscitate a right about to expire by lapse of time, and thus to prolong it for the benefit of all interested, the question still recurs, who has an interest ? And how can he be said to be interested whose right has expired by its own limitation ? There is another difficulty in the phraseology of this clause. Whether the word HhereirC has reference to the '■thing 'patented) or the h^ighf to use it, or to the '■renewaV is not very clear. Here are three antecedents to which it may apply. If it be applied to the last antecedent, the language would not be very accurate. What is the thing patented ? The patented machine ? If so it is difficult to affix any definite meaning to the expression. Is it the in- vention or discovery ? If it be the language is not legally correct. The interest of the patentee or his asignee con- sists in the exclusive privilege created by the patent. It is this right which constitutes the legal property, and which is the object of the contract which creates the right of the purchaser.- We must go back to the word ^^righf^ for an antecedent. The provision will then read thus, " the ben • efit of the renewal shall extend to assignees, &c. of the right to use,