Jorgensen Bros. v. Commerce-Pacific, Inc.

Denison-Johnson, Inc., a Minnesota, corporation and still plaintiff in the trial court, owns two patents on closed face spinning reels which are used by fishermen. It manufactures spinning reels in the United States. Jorgensen Brothers are a partnership with their principal place of business at Pleasanton in the Northern District of California. Jorgensens apparently import closed face spinning reels from Japan for the American market. Jorgensens pay no royalty to Denison and claim the Denison patents are no good.

Legal action began with a suit by Denison against Jorgensens claiming-that the latter were using and selling spinning reels which invade the patent rights of the former. The usual accounting and injunction were requested.

Jorgensens’ main defense to the complaint seems to be its assertion that the Denison patents are invalid. But Jorgensens did not rest with mere defense. They counterattacked with a counterclaim back at Denison and off to the side at Commerce-Pacific, Inc., a California corporation (and appellee here) with its principal place of business in Los Angeles in the Southern District of California. Prior to the filing of the counterclaim, Commerce was not yet…