and that the President of the Republic will endeavor to interest the President of São Paulo in affording some assistance to the American groups concerned with the Itararé-Fartura Railway. How successful his representations may prove I cannot prophesy because Dr. Julio Prestes is seriously offended by the character of the telegram which the interested bankers addressed to him on March 1 last, as well as by the statement that "We request Your Excellency's immediate reply since we desire to avoid the necessity of bringing the matter to the attention of our State Department at Washington" a copy of the text of which telegram formed schedule No. 4 of the exposition which Messrs. Curtis, Mallet-Prevost, Colt & Mosle submitted to the Department under date of March 22.10 President Prestes considers the quoted words to be a threat which no group of foreign bankers has the right to address to a selfrespecting foreign government, and that after their wide international experience in dealing with foreign governments it is surprising that the bankers interested in the railway should have employed them. In his recent annual message to the State Legislature, President Prestes has referred to the relations of the State Government with the Itararé-Fartura Railway and the text of these references, both in English and Portuguese, I have the honor to enclose.10 They elucidate the viewpoint of the State Government, and may assist the Department in adjusting its relations to the matter in hand. I have [etc.] EDWIN V. MORGAN 832, 51 Sa 6/128 The Secretary of State to Field, Glore & Co., International Acceptance Bank, Baker, Kellogg & Co., and Ulen & Company WASHINGTON, July 28, 1928. SIRS: I beg to acknowledge the receipt of your letter of July 17, 1928, regarding your claim against the State of São Paulo, Brazil. As stated in a telephonic conversation of July 20 with Mr. F. Abbott Goodhue, President of the International Acceptance Bank, Incorporated, regarding the subject of the letter, the Department can establish no connection between your grievance against the State of São Paulo and the flotation of a loan of that State. With reference to your statement that the State is known to be in default, it was also pointed out that the Department has never undertaken to pass on the merits of your complaint against the State, but, at your request, has merely used its good offices to bring about a settlement of the matter satisfactory to both parties. I am [etc.] For the Secretary of State: FRANCIS WHITE Assistant Secretary ASSISTANCE OF THE DEPARTMENT OF STATE IN PROTECTING PATENT RIGHTS OF THE SYMINGTON COMPANY IN BRAZIL FROM INFRINGEMENT BY BELGIAN FIRM 832,542 Symington Co./3 The Secretary of State to the Chargé in Belgium (Reed) No. 92 WASHINGTON, February 29, 1928. SIR: The Department transmits herewith copies of a letter dated February 15, 1928, and its enclosures from Mr. Ernest F. Mechlin, General Counsel for The Symington Company,12 manufacturers of railway equipment in regard to the alleged infringement by Societe Anonyme des Ateliers de Construction de Familleureux of Familleureux, Belgium, of the patents covering equipment designed, patented and manufactured by The Symington Company. It will be observed from the enclosed letter that the Symington equipment mentioned was adopted and made standard equipment by the Paulista Railroad and the Central Railroad of Brazil and that negotiations are now in progress looking to the adoption of the equipment by other Brazilian railroads; that the Central Railroad of Brazil ordered from the Societe Anonyme des Ateliers de Construction de Familleureux 150 freight cars specifying that they be equipped with the Symington equipment designated: "1. Symington Farlow draft attachments with Symington tandem spring draft gears in accordance with railway drawing No. 1512. "2. Symington journal boxes and Symington patented malleable iron torsion spring lid with latest improved split pin"; that the Societe Anonyme des Ateliers de Construction de Familleureux represented to the Brazilian railroad officials that it would have the Symington equipment manufactured in Belgium under a license from The Symington Company; that this representation was false, no such license having been issued by The Symington Company or requested by the Societe Anonyme des Ateliers de Construction de Familleureux; that it is understood that the equipment is now in process of manufacture; that as a result of this piracy and false representation, The Symington Company's interests will be seriously injured unless measures are taken to prevent the unauthor"Not printed. ized manufacture in Belgium of the equipment under discussion until recognition of the rights of The Symington Company and the payment to them of adequate compensation is assumed. The Societe Anonyme des Ateliers de Construction de Familleureux is specifically representing that the cars being furnished for the Central Railroad of Brazil will be equipped with the Symington equipment called for in the specifications, whereas the equipment actually about to be furnished are unauthorized imitations of the genuine Symington equipment and the Belgian company is therefore not only pirating the patent right of The Symington Company and falsely representing that the equipment is being manufactured under a license issued by The Symington Company, but they are using the trade names of The Symington Company without the authority of that company and to its detriment. The action of the Societe Anonyme des Ateliers de Construction de Familleureux seems clearly to contravene the provisions hereinafter quoted of the Convention for the Protection of Industrial Property signed at Washington on June 2, 1911, to which the United States and Belgium are parties.18 Article 8 of the Convention reads as follows: "Trade names shall be protected in all the countries of the Union without the obligation of filing, whether it be a part or not of a trademark." Article 10 contains the following provisions: "All the contracting countries agree to assure to the members of the Union an effective protection against unfair competition." In view of the reprehensible actions of the Societe Anonyme des Ateliers de Construction de Familleureux and the treaty violations involved therein and the loss resulting therefrom to The Symington Company, you will please bring this matter to the attention of the Foreign Office and inquire whether it will not be possible for the Belgian authorities to take action with a view to preventing the violation by the Belgian company of the treaty rights of these citizens of the United States. I am [etc.] 832.542 Symington Co./4 No. 1342 For the Secretary of State: The Secretary of State to the Ambassador in Brazil (Morgan) WASHINGTON, March 9, 1928. SIR: The Department transmits herewith copies of a letter dated February 15, 1928, and its enclosures from Mr. Ernest F. Mechlin, 14 General Counsel for The Symington Company, manufacturers of railway equipment, in regard to the alleged infringement by the Societe Anonyme des Ateliers de Construction de Familleureux of Familleureux, Belgium, of the patents covering equipment designed and manufactured by The Symington Company and patented under the laws of Brazil. It will be observed from the enclosed letter that the Symington equipment mentioned was adopted and made standard by the Paulista Railroad and the Central Railroad of Brazil and that negotiations are now in progress looking to the adoption of the equipment by other Brazilian railroads; that the Central Railroad of Brazil ordered from the Societe Anonyme des Ateliers de Construction de Familleureux 150 freight cars specifying that they be equipped with the Symington equipment designated as: "1. Symington Farlow draft attachments with Symington tandem spring draft gears in accordance with Railway drawing No. 1512. "2. Symington journal boxes and Symington patented malleable iron torsion spring lid with latest improved split pin"; that the Societe Anonyme des Ateliers de Construction de Familleureux represented to the Brazilian railroad officials that it would have the Symington equipment manufactured in Belgium under a license from The Symington Company; that this representation was false, no such license having been issued by The Symington Company or requested by the Societe Anonyme des Ateliers de Construction de Familleureux; that it is understood that the equipment is now in process of manufacture; that as a result of this piracy and false representation The Symington Company's interests will be seriously injured unless measures are taken to insure the protection to which they are entitled under the patent laws of Brazil and under the provisions of the Convention Relating to Inventions, Patents, Designs and Industrial Models signed at Buenos Aires on August 29 [20], 1910,15 to which the United States and Brazil are parties. In ordinary circumstances The Symington Company could enforce its rights by judicial proceedings in Brazil designed to prevent the entry into that country of railway cars bearing the pirated devices of the patentee but the Department is advised that such action would be ineffective in this case because the Brazilian Government is financially interested in the Central Railroad of Brazil and that accordingly no embargo may be placed on the shipment of cars containing the infringing equipment. 14 Not printed. 15 Malloy, Treaties, 910–1923, vol. 111, p. 2930; see also Foreign Relations, 1910, pp. 21-22, 38-41, 49-52. In view of the gross violation of the rights of The Symington Company by the action of the Societe Anonyme des Ateliers de Construction de Familleureux and the inadequacy of any remedy by judicial proceedings by the Company, you are requested to bring this matter urgently to the attention of the Foreign Office and to request that action be taken by the appropriate Brazilian authorities. with a view to preventing the entry into Brazil of the shipment in question until the rights of The Symington Company under the laws of Brazil and the Treaty of 1910 above mentioned have been adequately recognized and due compensation paid them by the infringers of the patents mentioned. I am [etc.] For the Secretary of State: 832.542 Symington Co./6 The General Counsel of The Symington Company (Mechlin) to the Secretary of State WASHINGTON, March 22, 1928. SIR: I wish to advise that the Brazilian situation, brought to your attention by my letter of February 28th, 1928,16 has been adjusted to our satisfaction in the following manner: Familleureux, the Belgian manufacturer, has recognized the validity of the Brazilian patents owned by the Symington Company and has agreed to pay us a royalty for the right to manufacture and import into Brazil Farlow tandem draft gear attachments and journal box lids. Permit me to express to you and to the Department the deep appreciation of the officials of the Symington Company for your kind offices in our behalf, without which we would not have been able to carry the matter to its present satisfactory conclusion. Yours respectfully, ERNEST F. MECHLIN 832.542 Symington Co./9 The Ambassador in Brazil (Morgan) to the Secretary of State No. 2978 RIO DE JANEIRO, March 24, 1928. [Received April 13.] SIR: Replying to the Department's instruction No. 1342, of March 9 last (File No. 832.542-Symington Co./1[4]), relating to the affairs 16 Not printed. |