Dunks v. Grey
Decision Date | 14 September 1880 |
Citation | 3 F. 862 |
Parties | DUNKS v. GREY. [1] |
Court | U.S. District Court — Eastern District of Pennsylvania |
Thomas J. Grier and George W. Dyer, for complainant.
John E Shaw, for respondent.
Rule to show cause why attachment should not issue against respondent for contempt in not obeying a preliminary injunction restraining him from manufacturing and selling articles infringing complainant's patents. Upon the return of the rule the matter was, by agreement of counsel, referred to a master, who found the following facts:
The respondent, Truman N. Grey, had been, in 1876, the general agent in Philadelphia of H. W. Ladd, a spring-bed manufacturer of Boston, Mass., who had a branch store in Philadelphia. In that year respondent took into his employ his minor son, E. H. Grey, then about 14 years of age. In 1877 the business of the branch house declined, and in order to revive it respondent began to make trips and sell goods throughout the adjacent territory, leaving his son, by direction of Mr. Ladd, in charge of the Philadelphia store. As these trips proved successful, they were gradually increased in number and duration, until they occupied a large portion of respondent's time. Meanwhile the son had developed a talent for business, and had, with the consent of his father, gradually assumed the general management of the business of the Philadelphia branch, conducting the correspondence, fixing prices, planning his father's trips, etc., until in 1880, although only 18 years of age, he was performing all the duties of general manager, while his father acted only as traveling salesman. The son's salary had been from time to time increased by Mr. Ladd, until, in 1879, it was raised above that of his father. No written agreement, and no express verbal agreement, was ever made between the father and son, or between either of them and Mr Ladd, in reference to the character or duration of the son's employment, but all three parties had, for at least a year and a half before this suit, acted as though the son were the general manager, and the father only traveling salesman. The son was unmarried and lived at home with his father, but was allowed to receive and spend his own salary and paid board to his father.
The complainant, after bringing suit in Philadelphia against Mr Ladd, and failing to obtain service therein, brought suit against respondent and obtained a preliminary injunction restraining him from selling articles infringing complainant's patents. After service of this injunction, respondent, in his employment as traveling salesman, refrained from personally manufacturing or selling the articles included in the injunction, but his son, acting as agent of Mr. Ladd, continued to carry on their manufacture and sale. Respondent advised his son not to do this, but on learning from his son that the latter intended to disregard this advice, he made no remonstrance and no attempt to interfere by the exercise of his parental authority. Two questions arose before the master: First. Whether respondent was the real head of the Philadelphia branch and the alleged agency of his son merely a fraudulent device to evade the injunction. On this question the master found in favor of respondent. Second. Whether the respondent was answerable for the acts of his son. On this question the master found that the son was still within his father's control; that while there was an emancipation so far as to vest in the son the property in his wages already earned, and the right to receive future wages, at least until some act of revocation on the part of the father; yet that the evidence did not show an intention on the part of the father to wholly emancipate the son from parental control.
As to the law applicable to these facts the master found as follows:
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