Lane-Wells Co. v. Schlumberger Well Surveying Corp.

We have here for decision whether the findings of the court are supported by the evidence; i. e. whether the licensor complied with its agreement whereby it might fix the minimum net prices to be charged by the licensee in using certain patented methods for logging oil wells.

Respondent, as owner of patented “systems and methods” for electrical logging of oil wells, was at all times herein mentioned, and had been, engaged in doing electrical logging by use of its patented methods some years prior to the contract with appellant. , By an unambiguous writing dated April 2, 1938, it granted to plaintiff a nonexclusive, nonassignable license to use such patented method, for which license plaintiff agreed to pay the royalties hereinafter mentioned. The con tract reserved to licensor the privilege of fixing the prices to be charged for the service by either party so "that neither party would have a price advantage over the other.” The licensee was forbidden to make any arrangement or rebate designed to diminish the benefits of the licensor; it was required to keep accurate and faithful records to show in detail the business done by use of the methods, the gross price charged, the rate…