MCALEER
v.
UNITED STATES

U.S. | 1893-12-04
No. 108
150 U.S. 424 Supreme Court of the United States (1893) Caution
Also reported at: 37 L. Ed. 1130 · 14 S. Ct. 160 · 1893 U.S. LEXIS 2393 · SCDB 1893-053
Cited by 22 cases

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Synopsis

A skilled government mechanic who invented an improvement to machines while employed by the Treasury Department sought compensation for the government's use of his patented invention, arguing that his rights under an assignment should terminate upon his discharge. The Supreme Court affirmed that the written assignment executed by McAleer, which granted the government the right to make and use machines containing the patented improvement for the full patent term in exchange for one dollar and other consideration, constituted a complete and binding contract that could not be varied by any alleged oral agreement limiting the government's rights to the duration of his employment. The Court held that government employees who develop inventions while using government resources and tools in the course of their employment implicitly grant their employer an irrevocable license to use such inventions, and any written assignment further solidifying such rights cannot be defeated by parol evidence of contradictory terms.


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Opinion of the Court
Mr. Chief Justice Fuller,

Mr. Chief Justice Fuller,

after stating the case, delivered the opinion of the court.

• The Court of Claims held that this case fell within the rulings, made by that court in Solomons v. United States, 22 C. Cl. 335, 342, and Davis v. United States, 23 C. Cl. 329. In the first, of these cases, Clark, Solomons’ assignor, chief of the Bureau, of Engraving and Printing, was assigned the duty of devising a stamp, and did so. There was no agreement or understanding between the officers of the government and Clark concerning the right of the government to use the invention, or the remuneration, if any, which should be paid for it, and no express license to use the invention was given by him to the government, nor any notice prohibiting its use by intimating that he would demand a royalty. The Court of Claims held “ that while the government did not obtain a specific interest in the patentA nor a monopoly of the invention, nor a right to share in the profits thereof, nor to exclude other persons from the use of it, nevertheless it acquired the right to • manufacture. and use the stamp in its révenue service without liability to the inventor.”

In the second case, Davis was foreman of the machine and foundry division of the. Ordnance Department of the Washington Navy Yard, and invented and received a patent for a vent-closing firing attachment. The cost of experiments was paid by the United States, and the patents were taken out under the advice of. the chief of the Ordnance Bureau, and after they were issued the Navy Department paid him a sum of money to reimburse him for the expense incurred in securing them as a royalty for' the right to' their use. The Court of Claims held that he could not recover, and reiterated, as the principle announced in Solomons’ case, “ that every public' officer being in some measure or degree a guardian of the public welfare, no transaction growing out of his official services or position can be allowed to enure to his -personal benefit, and, that from such transactions, as in the cases of guardian and ward, or trustee and cestui c[ue trust, the law will not imply a contract.”

It is argued that the devising of the stamp by Clark came within the scope of his official employment, and, similarly, that Davis was employed for the specific purpose of doing what in fact he accomplished in making his invention, whileMcAleer was. not employed to invent and did not accept a royalty in satisfaction of his claims.

The case of Solomons subsequently came before this court, Solomons v. United States, 137 U. S. 342, 346, and the judgment of the Court of Claims -was affirmed, .Mr. Justice Brewer, -delivering the opinion of 'the court, said : “ If one is employed to devise or perfect an instrument, or a means for accomplishing a prescribed result, he cannot, after successfully accomplishing the work for which he was employed, pleád title thereto as against his employer. That which he has been employed and paid to accomplish becomes, wheri accomplished, the property of his employer. Whatever rights as an individual -he may have had' in a,nd to his' inventive powers, and that which the}^ are able to accomplish, he has sold in advance to his employer. So, also, when one is in the employ of' another in a certain line of work, and devises an improved method or .instrument for doing that work, and uses the property of his employer and the services of other employés to develop and 'put in practicable form his invention, and explicitly assents to the use by .his employer of such invention, a jury, or a court trying the facts is warranted in. finding that he has so far recognized the obligations of service flowing from his employment and the benefits resulting from his use of the property, and the assistance of the co-employés of his employer, as to have given to such employer an irrevocable license to use such invention.” And M’Clurg v. Kingsland, 1 How. 202, was cited as decisive.

In the case at bar, as clearly summarized by the Court of Claims, the invention was made while petitioner was in the employment of the government as a skilled mechanic, whose duty it was to secure the most efficient service from the machines in his care, to keep them in repair, .and to apply such improvements .as experience might suggest. While so employed he devised the improvements in question, to be applied to the machines then under his charge as a machinist; doing the vrork largely in office hours and entirely with government tools and machinery; and' he took out the patent at the solicitation of the bureau officers, and at the expense of the government. This, was in 1875; he was discharged in i877; the device was not used until T870, and-before it worked efficiently required certain mechanical changes, which were perfected and applied by government machinists, using government tools and -material. Three days after the issue of the patent he executed the assignment set forth, in the findings, whereby he covenanted, “for the sum-of óné dollar and other valuable consideration to me (him) paid ” by the United States Treasury Department, that that department and its bureaus should have “the right to make and use machines containing the improvements claimed in said letters patent to the full end of the term for which said letters patent are granted.” But it is said that there is a distinction between the right to use and the use of an invention, and that in this instance, while the right to use was absolute, the actual. use was to be • compensated for by-the continuous employment of McAleer in accordance with a contemporaneous agreement to that effect between him and the superintendent of the bureau. We do not regard this position as tenable. The instrument constituted a contract fully, executed on both sides, which-gave the right to the Treasury Department, without liability for remuneration thereafter, to make and use the machines containing the patented improvement to the end of the term for which the. letters were granted. It was a complete legal obligation in itself, with no uncertainty as to .the object or extent of the engagement, and could not be defeated, contradicted, or varied by proof of any collateral parol agreement inconsistent with, its terms. Seitz v. Brewers' Refrigerating Machine Co., 141 U. S. 510.

The .agreement that McAleer’s “assignment should hold good only during plaintiff’s employment in said Bureau of Engraving and Printing and not longer,” was thus incon- , sistent and must be' regarded as in defeasance and not as .imposing a condition precedent to the use, the right to which had been completely granted for good and valuable consideration.

Moreover, the petition does not seek recovery for breach of . any such collateral agreement, but proceeds upon an implied agreement under the licenses. We think the Court of Claims properly held that the case came within their previous rulings, which, as we have seen, were' in accordance with the decisions of this court, and that the instrument executed by McAleer secured by covenant the right to use the device in the Treas-' ury Department, which right would, under the circumstances,’ have otherwise been implied.

Judgment affirmed.


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Citator

Cited By

  • United States v. Dubilier Condenser Corp, 289 U.S. 178 (U.S. 1933)
    …shop-rights, that is, the free and non-exclusive use of "a patent which results from effort of its employee in his working hours and with material belonging to the. Government. Solomons v. United States, supra, pp. 346-7; McAleer v. United States, 150 U.S. 424; Gill v. United States, supra. The statutes, decisions and administrative, practice negate the existence of a duty binding one in the service of the Government different from the obligation of one in private- employment. . [*193] ' Third. When the…
  • Standard Parts Co. v. Peck, 264 U.S. 52 (U.S. 1924)
    …ements he is merely doing what he was hired to do.” The Circuit Court of Appeals rejected this test. It conceded, however, that the deduction of the District Court was sustained by Solomons v. United States, 137 U. S. 342; McAleer v. United States, 150 U. S. 424, and Gill v. United States, 160 U. S. 426, and if correct, required the affirmance of the decree of the District Court. And the court admitted that there was no later declaration than that of those cases, nor any criticism of it. The court, neverthe…
  • Gill v. United States, 160 U.S. 426 (U.S. 1896)
    …no claim for remuneration for the use of the patent, saying that he-did not desire to disturb his friendly relations with the firm, might be presumed to have recognized an obligation to permit them to use the invention. In McAleer v. United States, 150 U. S. 424, there was an express license by an employe in the Treasury Department, to such department and its bureaus, of a right to make and use machines containing the improvements of the patentee to the end of,the -patented term, and it was held that this a…

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