Wenatchee Rex Spray Co. v. Rex Co.

Appellees filed a bill in equity for the purpose of restricting the activities of the appellants with reference to the sale of a fly poison manufactured according to a formula developed, or discovered in 1922, by a research fellowship in the Mellon Institute of Pittsburgh, Pa., established in 1916 and renewed annually thereafter. This preparation was advertised and marketed under the trade-name and trade-mark of “Fly-Tox.”

It is stated by the appellants that the most important question involved in this litigation is the right to sell this preparation in Portland, Or., and the province of Alberta, Canada. The appeal is from an interlocutory decree defining the rights of the parties and .providing for an accounting in accordance with its terms.

In order to understand the rights of the parties to the preparation known as Fly-Tóx it will be necessary to state the facts showing the relations between them at the time of the Toledo agreement in 1916. Mr. F. O. Moburg had developed the formula for, and methods of manufacture of,- a fruit spray consisting of a solution of lime and sulphur. This product was very bulky, and was sold very cheaply in order to compete with other fungicides…