Hercules Glue Co. v. Littooy

GRAY, J.,

pro

tem.

The complaint sought a decree compelling appellant to specifically perform his promise contained in the contract of the parties, dated December 26, 1928, by assigning to respondent a patent for a chemical formula, called “Fluxit 4-x”. The cross-complaint asked (1) an accounting of a joint venture, which it alleged had been created by the parties’ prior contract of August 27, 1924, (2) a declaration that respondent held, in trust for appellant, a patent for a formula, known as “Fluxit No. 1”, which appellant had previously assigned to respondent, and (3) the reasonable value of appellant’s services as an inventor. The controversy arose from the conflicting interpretations which the parties gave to the provisions of these contracts. Appellant appeals from the judgment which granted to respondent a decree of specific performance as prayed in its complaint and denied to appellant any of the relief requested by his cross-complaint. He accepts most of the findings of fact but claims a few are contrary to the preponderance of the evidence.

Before their association, the parties had separately engaged in the sale and manufacture, according to an unpatented formula, of a chemical compound, called a “spreader” from its use to spread insecticides, mixed with it, upon trees sprayed with the mixture. On August 27, 1924, they executed a contract wherein appellant agreed to devote his entire time for three years to the sale of respondent’s spreader in six northwestern states, to supply respondent with any

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information collected by him which would assist in the sale of spreaders and to assign the exclusive right to use the trade-name of his spreader and respondent promised to pay him a monthly salary of $200, traveling expenses and one-half of the profits on his sales. Disputes arose as to appellant’s claim for increased participation in the profits because of his efforts beyond the requirement of the contract in improving the composition of the spreader. On December 26, 1928, they executed a mutual release of all claims which each asserted against the other. At the same time, they entered into a second contract by which appellant was to be paid for five years a monthly salary of $250, traveling expenses and additional compensation figured on the quantity of spreader sold by either party. By the terms of this contract, appellant agreed that he would devote his entire time, knowledge, skill, best efforts and services to the work of respondent as it might direct; that all patents, processes or formulas, pertaining to spreader, which he invented, developed or perfected during his original and present employment, should be the property of respondent and that he would, on demand, execute any assignments, transfers or other instruments necessary to perfect respondent’s title thereto. He further agreed that he would not, during its life or subsequently, divulge to any person or use for his own benefit, any secret processes or formulas invented, developed or perfected by him or respond-dent between October 1, 1924, and the termination of the agreement.