Recent discussions on the abolition of patents for inventions in the United Kingdom, France, Germany, and the Netherlands
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RECENT DISCUSSIONS ON THE ABOLITION OF PATENTS FOR INVENTIONS IN THE UNITED KINGDOM, FRANCE, GERMANY, AND THE NETHERLANDS.
Evidence, Speeches, and Papers in its Favour BY
Sir WILLIAM ARMSTRONG, C.B.; M. BENARD, Editor of the “Siècle” and “Journal des
Economistes;” Count Von BISMARCK; M. CHEVALIER, Senator and Member of the
Institute of France; M. FOCK; M. GODEFROI; Mr. MACFIE, M.P., Director, or
Member, of the Liverpool, Edinburgh, and Leith Chambers of Commerce and Merchants’
House of Glasgow; Sir ROUNDELL PALMER, M.P., late Attorney-General, &c.; Right
Hon. LORD STANLEY, M.P., Chairman of the late Royal Commission on Patent-Law;
JAMES STIRLING, Esq., Author of “Considerations on Banks and Bank-Management,”
“Letters from the South,” &c.; and others.
WITH SUGGESTIONS AS TO INTERNATIONAL ARRANGEMENTS
REGARDING INVENTIONS AND COPYRIGHT.
LONDON:
LONGMANS, GREEN, READER, AND DYER.
1869.
“La legislation des brevets d’invention peut avoir l’effet d’entraver notre commerce d’exportation,
et de priver l’industrie nationale de débouches utiles.... Un brevet est un privilége
et un monopole. Pour que le monopole puisse être reconnu par la loi, il est indispensable
qu’il repose sur un droit certain ou sur une utilité publique parfaitement établie. Le peu qui
précède suffit ce me semble a démontre que l’utilité publique n’existe pas.... Le brevet
d’invention a-t-il pour base un droit positif? Il semble pourtant que non....
“Telles sont les réflexions qui sont venues à un certain nombre d’hommes éclairés depuis
quelque années et qui ont l’assentiment d’un bon nombre d’hommes des plus notables parmi
les chefs d’industrie. Elles ont de l’écho dans touts les pays civilisés, et en Angleterre pour
le moins autant qu’en France—(1) Elles ne tendent à rien moins qu’à renverser le système même
des brevets d’invention, sauf à rémunérer par une dotation spéciale tout homme ingénieux qui
serait reconnu, après un certain temps d’expérience, avoir rendu à la société un service signalé
par quelque découverte. C’est ainsi qu’il a été procédé en France à l’égard des inventeurs de la
photographie.”—From the Introduction to the “Rapports du Jury International de l’Exposition
1862, publies sous la direction de M. Michel Chevalier, President de la Section Française.”
“Selon moi donc, le char du progres social doit être mu par l’industrie et dirigé par l’esprit
chrétien. Il s’arrête à défaut de travail, il déraille à défaut de charité.... Et s’il est
prouvé que c’est industrie qui nourrit l’humanité, que c’est elle qui la chauffe et la préserve
contre toutes les intemperies, n’est il pas juste de dire que pousser au développement du
travail, comme nous nous proposons, répandre dans l’esprit des travailleurs des idées qu’ils
peuvent féconder pour arriver à une invention, a un perfectionment, a un nouveau procédé
quelconque diminuant le prix de ce qui entretient la vie, que c’est là, messieurs, de la bienfaisance
par excellence.”—President’s Opening Address of the Industrial and Scientific Society
of St. Nicolas, 1866.
To all who are serving their generation as employers
and employed, in the Arts, Manufactures, and
Trades, of Leith, Musselburgh, and Portobello, and
have seen and felt the evils inherent in the present
State method of dealing with Inventions, these pages
are inscribed,—with congratulations that in the front
rank of statesmen, as well within the Cabinet as
beyond it, there are earnest advocates of that emancipation
of British productive industry from artificial
restraints which is the needful accompaniment and
the complement of free trade;—and in hope that
public attention will now at length be turned towards
procuring such a solution as will satisfy at same time
all just pretensions of meritorious inventors and men
of science.
My own bulky contribution to the attack on the
last stronghold of monopoly is to be regarded as but
a rough-and-ready earthwork thrown up by a pair of
willing hands in front of powerful artillery whose every
shot is telling. It comprises the jottings and materials
which I collected for a speech intended to be delivered
on 28th May, when proposing a motion in favour of
abolishing Patents for Inventions.
Notwithstanding imperfections in execution, the
present compilation may acceptably supply a desideratum
and prepare the way for further discussions, and
especially for the Committee which Her Majesty’s
Government continue to view with favour and will
heartily support.
R. A. M.
June 9, 1869.
While in the hands of the printer, fresh matter has, through the
kindness of honoured fellow-workers in the cause, reached me almost
daily, part of which is added. The reader will find in this accession to
the testimonies on behalf of freedom of industry, besides some new
arguments, such a striking concurrence and oneness in the principles
enunciated, and even in the illustrations made use of, as, coming from
various quarters independently, may fairly be regarded as presumptive
proof of their accuracy.
The Government has been so good as agree to produce, in conformity
with a request from Parliament, any documents in possession
of the Foreign-office which show the reasons or motives of the Prussian
and Dutch Governments for proposing the abolition of Patents in
Germany and the Netherlands. The adoption in the latter country of
abolition pure and simple, without (so far as I can see) the slightest
indication of a substitute, may well reconcile professional inventors and
all who unite with them to the propositions with which I close my
“speech.” Now that the continental stones are dropping out of the
arch which forms the System of Patents, the rest cannot long keep
their place. The antiquated fabric may be expected to tumble. For
public safety, the sooner Parliament and all concerned set themselves to
take it down, the better.
A communication from Professor Thorold Rogers, and remarks on a
recent Review, are given herewith, the former on account of its value
as a vindication of economic truth and justice, the latter by way of correcting
the reviewer’s accidental mistakes.
The Daily News, in a leading article on the 27th July, having
attached importance altogether undue to a small meeting called under
peculiar circumstances on the 24th, which was supposed to express
opinions and wishes of artisans and operatives,[1] I addressed letters to
that influential paper, which will be found in its issues of the 29th, 30th,
and 31st. Of course Sir Roundell Palmer, who did the promoter of
the meeting the honour to take the chair, had not, any more than
myself, the smallest connexion with its origination and arrangements.
Appended are suggestions and information regarding Copyright,
which came in my way while in the press about Patent-right, and
which may be useful if international negotiations are contemplated for
one or other or both of these kindred subjects.
I hope imperfections of translation, which I regret, and errors of the
press, for which I take blame without correcting them, will be indulgently
pardoned, as well as faults entirely my own in the unaccustomed
part of advocate and compiler.
July 31.
⁂ No rights are reserved. Mr. Macfie will be glad to be favoured,
at Ashfield Hall, Neston, Chester, with a copy of any transcripts made
or any printed matter illustrating the question of Patents.
[1] When members of “Inventors’ Associations” ask mechanics to
join a crusade against freedom of industry, the best rejoinder is to ask
a statement in writing to show how it can be for the interest of the
millions to perpetuate fetters for the sake of investing a few hundred
individuals with a chance of obtaining personal advantage by means of
the power of fettering.
LETTER FROM PROFESSOR THOROLD ROGERS.
My dear Sir,—.... The fact is, no one, I presume,
wishes to say that an inventor is undeserving and should
go unrewarded. All that the opponents of the Patent
system do say is, that the present machinery gives the
minimum advantage to the inventor, and inflicts the
maximum disadvantage on the public. Besides, in
ninety-nine cases out of a hundred, the patentee is only
a simultaneous inventor with a number of others, who
lose their labour and ingenuity because one man happens
to get in first....
It has always seemed to me that the weakness of the
inventor’s case lies in the fact already alluded to, that he
rarely is the sole inventor. Hence the fundamental distinction
between Invention and Copyright, though I am
no fanatical admirer of the latter privilege.
Now, if a law can confer a right on one person only by
inflicting a wrong on a number of other persons, it is
intrinsically vicious, and cannot be defended on the
ground of its intentional goodness.
Yours faithfully,
James C. Thorold Rogers.
July 29.
REMARKS ON A RECENT ARTICLE.
The Westminster Review for July contains an article
on Patents. Its proofs should have been corrected
with more care. In my answer to question 1947 in
the Royal Commission’s Report, the word “patented”
in the following the Review misprints “neglected:”—
As a matter of fact, patentees have patented things of so little
value.
And in question 1954 a worse mistake is made by
substituting “some” for “none” in the following:—
There being 400 Patents now in existence affecting your trade,
none of which are made use of by you.
I have right also to complain of mistakes which do
not originate with the printer. The following opinions
and arguments imputed to me I disclaim:—
Had Mr. Macfie said this, we should not have been surprised. It
closely resembles his contention that a book should be protected because
it is something tangible, whereas an invention is something which, if not
invisible, is in the nebulous condition of an idea.
What I wrote will be found below, page 241. My
argument is, that the subjects of Copyright being
tangible can be identified as the author’s production,
and nobody else’s; and that the subjects of Patent-right
being modes or plans, belong to the region of ideas
which may easily occur to anybody besides the first
inventor.
Again: the reviewer says of Lord Stanley:—
The latter, while supporting Mr. Macfie on the main issue distinctly
repudiated his leading arguments.
This would be strange if true, seeing I coincide in
all his Lordship’s arguments. How, then, can he,
twelve pages further on, say again:—
As for Lord Stanley, he did not hesitate to dissent from Mr. Macfie’s
arguments, while giving a qualified support to his motion.
Perhaps I should object to the following representation:—
It has been proposed to replace Letters Patent by grants from
the national purse. This is to revert to an obsolete custom. During
the eighteenth century it was fairly tried, and the result should serve as
a warning now. Seventy thousand pounds were distributed among
plausible inventors in the course of fifty years. The advantage to the
public was nil. The encouragement given to impostors was the only
tangible result. Johanna Stephens obtained 5,000l. for disclosing the
secret of her cure for the stone. A Mr. Blake got 2,500l. to assist
him in perfecting his scheme for transporting fish to London by land,
while a Mr. Foden was greatly overpaid with 500l., “to enable him to
prosecute a discovery made by him of a paste as a substitute for wheat-flour.”
Give a man a sum of money for his invention, and you run the
risk of paying him either too much or too little. Give him a Patent,
and you secure the invention for the public, while his remuneration in
money is absolutely determined according to its value.
The system of State-rewards has not been tried.
The reviewer’s cases do not apply. The scheme
that I submit could never be abused so as to sanction
such follies. It may not be a generous and royal way
of dealing with inventions, but it is equitable and safe;
whereas, pace the reviewer, the remuneration from a
Patent is not at all “determined according to its
value” (that of the invention).
This interesting article is remarkable for what it
omits rather than what it contains. Like almost every,
if not every, defence of Patents which I have seen, it
ignores the grand objection to Patents—their incompatibility
with free-trade. From the beginning to the
end there is not in the article the slightest allusion to
the hardship they inflict on British manufacturers in
competing with rivals in home, and especially in
foreign, markets. Reformers of the Patent system fail
to realise this—that no conceivable mere improvement,
even, though it should clear away the present encumbrance
of a multiplicity of trifling Patents, can be more
than an alleviation of the mischief now done. The
remaining few would be the most important and valuable
ones, and therefore the most burdensome, because
those which, on account of the heavy royalties that
will be legally claimed, must subject British manufacturers
to the largest pecuniary exactions—exactions
that they cannot, but their rivals often would, escape.
The writer of the article has a way of pooh-poohing
adverse arguments, even when he mentions them.
That no two men produce the same book is true. It is almost as
difficult for two men to give to the world two inventions identical in
every detail, and equally well-fitted to subserve the same end. Much
has been said about the ease with which this may be done, but
authentic proofs are lacking of this having been done on a large scale.
And
Again, then, we ask for proofs of the allegation that six men are
often on the track of the self-same invention.
Why, the simultaneousness, or rapid succession, of
identical inventions is notorious.
He goes in the face of the strongest evidence when
he says—
It is doubtful even if these objectionable Patents do any real harm.
An invention which will answer no purpose is simply useless, whether
it be patented or not.
And, elsewhere,
The truth must not be blinked that, if a multiplicity of worthless
Patents be an evil, if the profits of manufacturers are diminished owing
to the battle they have to fight with patentees, if the bestowal of
Patent-right be the source of mischief and the occasion of pecuniary
loss, the like complaint may be laid at the door of Copyright, and
its abolition might be demanded with as great a show of fairness.
How lightly he can regard arguments of his opponents
is also seen in the following passage:—
Another of Lord Stanley’s objections is that the right man hardly
ever gets the reward. As he puts it, litigation being costly, and the
grant of Patent-right merely amounting to permission to take legal
proceedings against infringers, the poor man has no chance of
asserting and defending his rights. “If a poor inventor took out a
Patent, and the Patent promised to be productive, in nine cases out of
ten he was obliged to sell it to some one who could command capital
enough to defend it in a court of law.” We submit this proves
nothing more than that the poor inventor, in nine cases out of ten,
deserves our pity. But then, if these nine inventors are unfortunate,
that does not justify the ill-treatment of the tenth.
The source of the writer’s idea, that cessation of
Patents is ill-treatment, lies in the assumption which
pervades the whole article, that to inventors belongs
property in inventions—i.e., exclusive right of property;
or, in other words, right to require the State to use its
power to prevent other persons from doing what they
do, and what every other man has a natural and
inalienable right to do.
Still further: shutting his eyes to the difficulty of
mollifying the grievance of invention monopoly by
means of “compulsory licences,” which the Royal
Commission declared they found no way of rendering
practicable—and, I add, if practicable, would be no
cure of the evils, which are radical—he writes—
If to this were added a system of compulsory licences, the amount
of royalty to be determined by a tribunal, in the event of the parties
failing to come to terms, nearly all the really serious and valid
objections to the working of a Patent-Law would be obviated.
Yet, believing himself the friend of the public, in
spite of all the strong arguments against his views
and the little he himself adduces for them, he very
complacently tells us—
Speaking on behalf of the public, we maintain that a Patent-Law
is necessary in any uncivilised community, because, without its protection,
industry cannot flourish, and ingenuity can have no scope for
its triumphs.
The reviewer can hardly have consulted any practical
man when he pronounces it—
absurd to plead that a Patent has been infringed in ignorance,
when it is certain that the ignorance, if not wilful, is wholly inexcusable.
Undoubtedly, infringements often are not acts done
blamelessly in ignorance; still, I would be surprised in
most cases if the infringer knew he was infringing.
He is not likely to know it in making trivial improvements,
for how can he know without subjecting himself
to no small trouble and expense, such as ought
not to be laid upon him.
There is an important point as to which the reviewer
and I perhaps differ, “the extent to which Letters
Patent give a monopoly in ideas.” The fact is, that
the whole breadth of a principle is patentable, provided
any single mode of applying it can be specified.
The reviewer, adverting to the changes which have
taken place in the Law of Patents since the days of
Elizabeth, characterises them as “changes towards
greater freedom of action on the part of the State, and
greater liberty of choice on the part of the people.”
This, I confess, I do not understand, except so far
as it may mean there has been less and less control
exercised by the State, and more and more
advantage taken of this supineness by all sorts of
persons. I am quite prepared to admit that in my
speech I have exhibited rather a popular than a strictly
legal and logical view of the meaning and legitimate
applicability of the words in the statute, “nor mischievous
to the State by raising prices.” All that I
maintain is this,—that the spirit of the proviso is
opposed to any individual Patent that keeps prices up
at a level below which, if there were no grant, they
might, by the natural progress of industry, be expected
to fall, and to a Patent system that characteristically
has that effect and is also chargeable with
“hurt of trade” and “generally inconvenient.”
SPEECHES AND PAPERS ON THE ABOLITION OF PATENTS.
The following petition, which Mr. Macfie had the
honour to present, contains the motion which gave
occasion for the speeches that form the principal part
of this compilation:—
To the Honourable the Commons of the United Kingdom of Great
Britain and Ireland in Parliament assembled.
The Petition of the Newcastle and Gateshead Chamber of
Commerce
Humbly sheweth,—
That your petitioners have had many opportunities of becoming
acquainted with the working of the laws under which Patent-rights
are granted to inventors in the United Kingdom.
That your petitioners are informed that notice has been given in
your honourable House of a motion in the following words:—
“That in the opinion of this House the time has arrived
when the interests of trade and commerce, and the progress
of the arts and sciences in this country, would be promoted
by the abolition of Patents for inventions.”
That your petitioners, believing the proposed total abolition of
Patent-Laws will be of great benefit to the country, are most desirous
that the above-named resolution should be adopted by your
honourable House.
Your petitioners, therefore, humbly pray that the said motion may
pass your honourable House.
And your petitioners will ever pray, &c.
NOTES OF SPEECH OF MR. MACFIE, M.P. — New System of Rewarding Inventors and Promoting the Publication of Inventions.
Mr. Macfie, after apologies founded partly on the
circumstance that, so far as he knew, this was the
first occasion when the policy of granting Patents
for Inventions had been discussed in Parliament,
proceeded to say, that manufacturers could not be
indifferent to improvements. It is indeed significant
that they do dislike Patents, while they appreciate
and honour inventors, even those inventors who claim
from the State exclusive privileges, some of whom have
the glory of being among the greatest benefactors of
mankind.
In considering the important subject which he now
brought forward, he submitted that it is not the
interest of inventors, nor even the interest of manufacturers,
of agriculturists, of miners, nor of shipping,
that this House should consult, but those of the nation.
The question to be considered is, do Patents, on the
whole, promote our national welfare?
Another principle on which he proceeded is, that
there can be no property in ideas. The Creator has
so constituted nature that ideas can be held in common,
which is not the case with things material.
Letters Patent for inventions have been instituted in
order to confirm to certain persons, and deprive every
other person of, the common, natural right to act on
the ideas or knowledge there patented. These exclusive
privileges, while they last, are, of course, property.
Further: It is a recognised principle, that the State
is not bound to grant Patents. These are grants
dictated by royal favour. In the words of Stephens’
Commentaries: “The grant of a Patent-right is not
ex debito justitiæ, but an act of royal favour.” Every
Patent is a voluntary transference by the State to
an individual of power for fourteen years to tax at
pleasure other persons for making or doing the thing
patented; aye, if he likes, to prohibit or withhold
the thing altogether.
Patent-right must not be confounded with Copyright.
The latter stands on perfectly different grounds,
and can be advocated and upheld, as he (Mr. Macfie)
himself does, in perfect consistency with disfavour for
the former. There can be no rival claimant to the
authorship of any particular book; many persons may
honestly and indisputably claim originality in an invention.
The true similarity between these two
subjects of privilege is not between the book and the
invention or machine, but the book and the specification
of the invention. When you buy a Murray’s handbook,
a book on medicine, or a commercial guide, you
are at liberty to act on information you find in it, and
to travel, trade, or prescribe, according to the directions
you find there. But mark the contrast in what
Patent-Law creates. When you buy a specification,
you know it tells only of certain things that you are
not at liberty to do.
Lastly: I acknowledge that it is legitimate to legislate
with a view to promote or protect trade. The
interference, however, which is now wanted is not a
return to the old protective system of discriminative
duties, but the clearing away of evil laws, and especially
deliverance from the bondage and wrongs involved
in Patent monopolies.
For the origin of our definite Patent legislation we
go back to the famous statute of James I. of England.
At that time the people of this kingdom were in a
state somewhat resembling our present state. They
were desirous to extend trade and introduce new
arts and manufactures. Parliament was powerful and
hated monopolies, under which the people had been
writhing. These it reprobated in the spirit of the
jurists of antiquity. While by that statute it swept
away all other monopolies, it permitted, or tolerated,
that the Crown should grant the exceptional privilege
for “the sole working or making of any manner of new
manufactures within this realm, to the true and first
inventor and inventors of such manufactures, which
others at the time of making such Letters Patent and
grants shall not use, so as also they be not contrary to
the law nor mischievous to the State, by raising prices
of commodities at home or hurt of trade or generally
inconvenient.”
The House will keep steadily in view the wholly
different condition of commerce and the arts at that
time. When these monopolies were spared, trade was
very far from being developed. The field of commerce
was still in a great measure clear and unoccupied.
The kingdom was, commercially as well as geographically,
detached from the continent. The operations of
trade and the arts were slow, were conducted on a
small scale and on rude systems, and yielded large
profits. Exports to foreign parts were inconsiderable.
There were no periodicals to give information as to
anything new in the arts and sciences. Under such
circumstances, if new kinds of business were to be
established, it was not unreasonably thought safe, or
even needful, to allure by promise of exclusive
privileges. The very reverse are our present circumstances
and condition.
May I be allowed now to call particular attention to
the Act. Anybody may see that it authorised exclusive
privileges as something exceptional, something almost
loathed, as “monopolies.” The House may remember
how, in conformity with this view, Patents used to be
construed by the judicial bench with a leaning against
them. It was clearly not contemplated that they
were, as they are now, to be had at a comparatively
easy price, by a very simple course of procedure
organised to hand, at an office established and with
machinery ready to be set in motion for the
purpose. A rigid testing examination, or severe, perhaps
somewhat adverse, scrutiny was implied. They
were granted for England only, then containing a small
population, and requiring not very much for its supply
of any new article. Moreover, the coveted privilege
was a concession of no more than leave or right to
“work” or “make” (not vend), and that within the
kingdom, which, although it is the only thing the Act
allows Patents to be granted for, is not required
now-a-days. The right was conferrible only on the
patentee himself; whereas now-a-days, and perhaps
from the first, the usage is altogether different;
for the patentee is now allowed to transfer his
right, by licence, to others: that is, to vend his
“invention,” taking the noun, not in its sense of a
thing made, but of a method, or idea, or right to
make or do a thing. Without this licensing, it is of
consequence to remember, the monopoly would be too
grossly and glaringly bad to be defensible or maintainable.
There is another contrast: by the words of the
statute nobody could be patentee but only the true
and first inventor. Besides, the subject of a Patent
clearly was to be something palpable and visible—something
that admitted not of doubt as to what it was or as
to its being novel—something respecting which there
could be no fear whatever that it would interfere with
any already existing trade. Above all, a process or
operation, especially in a trade that already existed,
does not appear to be contemplated by the statute.
How entirely and sadly different is the present practice
in this respect. Let me first quote from Brande’s
Dictionary the opening definition that shows how
naturally, and as it seems, unconsciously, writers speak
of “processes,” as the great or only subject-matter:—
“The word Patent is commonly used to denote a privilege accorded
to an inventor for the sole use of some process by which an object
in demand may be supplied to the public; or some product already
familiar to the public may be made more easily and efficiently.”
So the commencement of a Paper on Patents, in the
last volume of the Proceedings of the Association for
the Promotion of Social Science—in the following
words, “The point asserted in the following paper is,
that in a grant of Letters Patent, the subject of the
grant is a ‘process,’ and not ‘product’”—shows as
decisively the complete change that has taken place,
and, let us not forget it, without consent of Parliament,
who indeed have never been consulted. The
alteration of the practice, which is nothing less than a
new law—a law diametrically opposed to the spirit of
the statute—is the work of the courts of judicature.
Better principles might have been expected to prevail,
for how just is the following reflection, taken
from the most important “Treatise on the Law of
Patents:”—
“Every member of the community receives many benefits from the
society in which he lives, and he is therefore bound, by every means in
his power, to advance its interests. And it seems to be but reasonable
that he should be expected to promote the public weal by putting the
community in possession of any discovery he makes which may be for
the public good.”
The observations I have been making are founded
on the words of the statute. It is possible, and perhaps
I may say probable, that outside of the statute there
was an influence drawing in an opposite direction,
which found expression in the Letters Patent. If
these were scrutinised, it is not unlikely even the earliest
would be found not to contain the strict conditions
and limitations which are laid down in the Act. An incidental
proof of this tendency I notice in one Patent which
has met my eye, where, though the duration of the
Patent in England was confined within the permitted
period of fourteen years, the duration in Ireland,
which was not subject to the limitation, was in same
grant made so long as between thirty and forty years.
I do not find, in the excellent Chronological Index
issued by Mr. Woodcraft on behalf of the Patent-office,
anything at all to indicate that desire to
favour trade was the motive for granting Patents
even after the statute was passed. On the contrary, a
money consideration seems to have been customary.
The Crown stipulated for yearly payments of various
amount, some of these being fixed sums, others a
tenth, or three-tenths, or a quarter, or a half, of the
clear benefit. In one case 4d. per bushel of salt was
claimed. In another case 6d. per 100lbs. of bones
was stipulated for. In another I find 5s. per ton of
metal stipulated. All this is suggestive, but not less
the condition, introduced occasionally, that the articles
manufactured should be sold at moderate rates. The
moderate rates appear to have been sometimes
defined, e.g., 100 seals of a new kind were to be sold
for 1d. Similar and more stringent care was taken
when Copyright first became the subject of systematic
legislation, to prevent the monopoly from making
books dear. All such precautions have, in our modern
unwisdom, disappeared. Grotius requires under monopoly
a restriction on price.
One thing, I presume, may be regarded as certain,
that neither in the Act nor in the Letters is there
any vestige of the modern political heresy that an
invention may be legislated for as in any sense property.
Even the high-sounding phrase, “the rights
of inventors,” appears a recent introduction.
It is not forty years since the greatest number of
persons allowed to participate in a Patent was five.
This limitation was a lingering remain of the traditional
character of Patents, as monopolies which ought not to
be provided with facilities for extension but rather
be confined within the narrowest bounds.
It is proper I should now prove from that and other
authorities in law, what is the correct interpretation of
the word “manufactures” in the statute, on whose
meaning so much depends. My quotations will
exhibit progressive development—a thing justly
viewed with suspicion, whether its sphere be the
ecclesiastical or the legal. What I now bring under
notice, taken in connexion with the startling perversion
of the words “first and true inventor” and the
setting at nought the letter and spirit of the words
“to make within this realm,” matches the whimsical
and ruinous sophistications we smile at in the “Tale
of a Tub.”
My first appeal is to Sir E. Coke’s “Institutes:”—
“If the substance was in being before, and a new addition made
thereunto, though that addition made the former more profitable, yet
it is not a new manufacture in law.”
That by a manufacture was meant something so
definite as to involve or imply an art in the sense of a
trade, will be seen by another quotation which I make
from Serjeant Hawkins, who says—“the King may
grant the sole use of an art invented or first brought
into the realm.” So also in “Bacon’s Abridgment.”
The Court of King’s Bench held—
“A grant of the sole use of a new invented art is good.... This
is tied up by the statute to the term of fourteen years; for after that
time it is presumed to be a known trade.”
Mr. Hindmarch writes—
“It was long doubted whether a mode, method, or process of itself,
and apart from its produce or results, could legally be made the subject
of a Patent privilege.”
After citing cases, he adds—
“These cases show clearly that a process of manufacturing, separate
and apart, may be made the subject of a Patent privilege.”
Mr. Coryton, in his volume on “The Law of
Letters Patent,” expresses his mind thus plainly:—
“On the assumption that a Patent confers a monopoly, it follows
directly that the subject-matter of the Patent must be a material thing,
capable of sale,[2] and cannot be either an improvement, principle,
method, process, or system. In other words, the subject-matter must
be, as it was originally defined, a ‘new manufacture.’ A thousand
evils have arisen from affixing other than the literal interpretation to
the terms,” &c.
He quotes Justice Heath, who said—
“That which is the subject of a Patent ought to be vendible;
otherwise it cannot be a new manufacture.”
So Tyndal—
“That it is a manufacture can admit of no doubt: it is a vendible
article, produced by the art and hand of man.”
Mark from the words of Justice Buller, on the same
occasion, the sentiment which was permitted to prevail
and neutralise the statute:—
“Few men possess greater ingenuity, or have greater merit. If
their (Boulton and Watt’s) Patent can be sustained in point of law, no
man ought to envy them the profit and advantages arising from it.
Even if it cannot be supported, no man ought to envy them the
profit,” &c.
We come to C. J. Eyre:—
“According to the letter of the statute, the words ... fall very short ...
but most certainly the exposition of the statute, so far as usage
will expound it, has gone very much beyond the letter. ‘A deliberate
surrender,’ comments Mr. Coryton, ‘of judicial power in favour of an
accumulation of popular errors.’... Later judges, following in the same
course, have striven rather to regulate the inconsistencies they found,
than to address themselves to the cause and thus prevent the possibility
of their recurrence. Writers on this subject have on this head
followed in the course indicated by the Bench.”
A practical commentary, and a confirmation of Mr.
Coryton’s views, are furnished by the fact that the
number of Patents granted in the six reigns preceding
that of Geo. III. was only 540 in 85 years, or less
than 6½ a-year; whereas now a greater number is
granted daily.
The actual administration of Patents is exhibited to
us by a Return which the House has been good enough
to order on my motion. That return shows how the
rate of multiplication has increased, especially in
Scotland and Ireland.
There have been granted for—
England.
Scotland.
Ireland.
In England for the Colonies.
In 1650—None.
1700
2
1750
7
1800
96
13
2
6
1825
250
62
33
87
1850
523
227
531
191
1866
2,121
2,121
2,121
none
1867
2,292
2,292
2,292
none
There were in operation in the United Kingdom at
the end of last year no fewer than 11,369.
The House is aware that the Patent-office makes a
classification of Patents. The classification for 1866,
the latest year that could be given in the Return,
shows that there are nearly 300 classes, and there were
Patents granted that year affecting those classes to the
number of more than thirty each on the average. Taking
the manufacture and refining of sugar as a test of other
classes, the Return shows that in that trade there were
granted more than thirty “affecting processes or
operations” (without including hundreds of others of a
more general character, to which manufacturers of all
sorts are subjected, as, for instance, Patents for
motive power, heating, &c.). Many noteworthy matters
will meet the eye of any person who examines the
Return, such as the following: For medical, curative,
and similar “revelations,” there were granted about 80;
for improvements tending to safety, nearly 350;
affecting food, about 400; affecting steam-boilers,
about 160; steam-engines, about 120.
But we have yet to consider the most material
points in the Act. To these I now call attention.
The conditions or limitations which the statute makes
necessary are extremely significant. They are in
these words—“Not contrary to the law nor mischievous
to the State, by raising prices of commodities
at home or hurt of trade or generally inconvenient.”
On these words Sir Edward Coke remarks—
“There must be urgens necessitas and evidens utilitas.”
What might be understood by being “generally inconvenient”
in the statute, and how little disposition
there was to render that disqualification a dead letter,
we may gather from the following extract, which shows
that saving of labour was in those early days, so far
from being a recommendation, an inconvenience. Hear
the same authority:—
“There was a new invention found out that bonnets and caps might
be thickened in a fulling mill, by which means more might be done
than by the labours of fourscore men who got their living by it. It
was ordained by an Act, 7 Edward VI. c. 8, that bonnets and caps
should be thickened and fulled by the strength of men, and not by a
fulling mill, for it was holden inconvenient to turn so many labouring
men to idleness.”
On which passage Mr. Farey (a gentleman eminent on
Patent questions), who quotes it in an elaborate review
of Patent-Law at the end of the Blue Book of 1829,
the Report of the Committee on Patents for Inventions,
makes the following remarks: “If this decision had
been followed, it would have set aside every Patent
for invention.” True, and the more’s the pity, perhaps!
Let us hail the admission.
Sir Edward explains, and I read, the whole passage
that I have cited, not as a lawyer might who wished
to ascertain whether by oversight in drawing the Act
or by the malleability and elasticity of language it
could be interpreted even non-naturally to suit a purpose,
but as honest, blunt Englishmen would understand
it, as the English gentlemen who passed the
Act must have understood it and meant the Crown to
understand it. I submit, Mr. Speaker, that at this
moment, and by this statute, and according to the
common law which this statute declares, Patents are
illegal which raise prices or hurt trade. The framing
of the sentence leaves no doubt whatever that the
antecedent to the words “they be not contrary to the
law nor mischievous to the State, by raising prices of
commodities at home or hurt of trade,” are these
words, “Letters Patent and grants of privilege.” The
preceding section contains the same words. That
section was introduced in order to shorten the duration
of Patents granted previously, and to nullify any
that raised prices or hurt trade. It is plain that the
intention of Parliament and of the Sovereign was to
allow no monopoly to exist whose effect would be
either to interfere with the extent or efficiency of
industrial occupations, or to make prices, even of the
new manufacture or commodity, dearer under the
restriction than they would be without it. Even so late
as the last century, the consistency of monopoly with
cheapening of prices was believed in. As an example,
I have been told that when the Paraphrases of the
Church of Scotland were issued, the monopoly was
given to a particular printer, with this purpose expressly
stated.
What language can be plainer than that of the
statute? As that statute is still the charter of our
commercial freedom and the chart by which we may
discover the track we must follow in order to our return
to the open and safe, and as its sound limitations are still
the law of the land, I am entitled at the outset to contend
that they ought to be put in force. They have
been utterly neglected, and the nation suffers much
from the neglect. As to this, hear my witnesses. I
produce them chiefly from the following Blue-books:
That issued by the Committee of this House which sat
in 1829, that issued by the Committee of the House
of Lords which sat in 1851, and that issued by the
Royal Commission in 1865. Here remark the strange
failures of expectations that characterise the proceedings
of Parliament in regard to Patent-Law. The
Committee of 1829 recommended that they should be
allowed to continue their investigations next Session,
but they appear not to have been allowed. After the
inquiries of 1851 there was, as a Petition which I
have perused, presented to this House, shows, an
understanding that the whole subject would be inquired
into; but this never has been done down to this
day. A Commission was indeed appointed in 1862, but
they were confined to the question of the “working”
of the laws. Indications were given, both before and
after it, that the question of the policy of these laws
should be examined into. The Liverpool Chamber
of Commerce repeatedly urged this; e.g., in March,
1862, when that body petitioned the House thus:
“They therefore pray that your honourable House
will appoint a Select Committee to inquire into the
policy and operation of those laws.” But the matter
is still in abeyance, and, notwithstanding promises in
a Royal Speech, legislative action is suspended.
To proceed: Mr. Lennard in this House, in April,
1829, declared his opinion—“It was not desirable to
facilitate overmuch the obtaining of Patents by any
reduction of expense.”
So Sir Robert Peel, in the interest of the manufacturers
of Lancashire, Cheshire, and Yorkshire, deprecated
cheapening of Patents and their consequent
multiplication. At that period another member objected
even to the publishing of specifications, because
“It enabled persons to carry the invention abroad, where, of course,
the Patent article was made, the foreign market shut against the real
invention, and the undue benefit granted foreigners of having the
free use of the invention fourteen years before the patentee’s
countrymen.”
The House will observe that the complaint here is
not that we were hurt in British markets—for these
the protective system of duties closed—but that we lost
our hold of foreign markets.
Sir Mark Isambard Brunel, the eminent engineer,
told the Committee of 1829:—
“I have had several Patents myself; I think that Patents are like
lottery offices, where people run with great expectations, and enter
anything almost.
“And if they were very cheap, there would be still more obstacles
in the way of good ones. I think the expense of Patents should be
pretty high in this country, or else, if it is low, you will have hundreds
of Patents more yearly, and you would obstruct very much the valuable
pursuits.”
That Patents are, indeed, a lottery in respect to the
uncertainty whether the patentees draw a prize or a
blank, I refer to the words of Mr. Curtis before the
Royal Commission:—
“We have taken out a number of Patents, and frequently those to
which we have attached the least importance have become the most
valuable, and, on the contrary, those from which we have expected
large things we have reaped comparatively no advantage.”
Mr. Coryton says in a note:—
“The opinions of the witnesses examined before the Committee of
the House of Commons in 1829 were almost unanimous to the effect
that Patents should not be too cheap, lest the country should be inundated
with them.”
Among my private papers, I find in 1851 the
Manchester Chamber of Commerce expressing the
same fear in a letter to Mr. F. Hill, a portion of which
I now present:—
“It is considered by this Board to be a primary axiom that every
Patent granted is, during its exclusiveness, a limitation to a certain
extent of the general rights of the people, and that in those Patents
which have reference to manufacturing processes there may be a
disturbance of the general industry of the people. This Board would,
therefore, deprecate a too great facility in the obtaining of Patents. If
the cost be made cheap, every trifling improvement in every process of
manufacture would be secured by a Patent. In a few years no man
would be able to make such improvement in his machinery, or processes,
as his own experience may suggest, without infringing upon
some other person’s Patent. Endless litigation would follow, and the
spirit of invention in small matters would be rather checked than
encouraged.”
The realisation of these fears, as well as the inconsistency
of our practice with the conditions which our
forefathers, more wise than the present generation,
imposed, will be seen from the specimen extracts
which I will now read, begging that it be remembered
a very large reduction in the cost of Patents was made
in 1852. The House will pardon me if it finds these
extracts are not arranged with any rigid regard to
order, but form a too rudis indigestaque moles.
The following prove that there is a natural tendency
to excessive multiplication of Patents, and to the
making of the same inventions, and of inventions
directed to the same end, or moving on the same
line, by a number of persons at or about one and the
same time.
This very week you read in the papers a judgment
given by the Lord Chancellor, which contains the
declaration that a person in specifying an invention
may be held as preventing “the loss for a year or more
to the public of the fruits of the ingenuity of many
minds which commonly are working together in regard
to the same invention.”
The Journal of Jurisprudence says well:—
“The rights of the inventor are also liable to interference of another
kind. A rival manufacturer invents independently the same machine,
or one involving the same principle. He is then, by natural law, at
liberty to publish his invention without regard to the rights of the first
inventor, seeing that he did not acquire his knowledge of its powers
from the latter, and experience proves that, in point of fact, the same
processes are frequently discovered by different individuals independently
of each other. In an age of mechanical invention, an inventor
cannot deprive the world of a new process by keeping it a secret. He
can at most only retard the progress of discovery by a few years....
We submit that the fundamental principle of any legislative contract
between inventors and the public should be, that the right of using the
invention should be open to all Her Majesty’s subjects. Exclusive
privileges, conferred for the purpose of enabling patentees to divide
their profits with a few favoured manufacturing establishments, are indefensible
upon any recognised principles of economy. Patents are in
fact, as they are in law considered to be, trading monopolies; and the
interests of the public imperatively require that, as monopolies, they
should be swept away.”
Mr. Webster, Q.C., a high authority, says:—
“I mean the discovery, for instance, of some chemical property, or
the application of some property, of matter of recent discovery, or a
certain effect, for instance, in dyeing; that becoming known as a
chemical law, then persons rush to obtain Patents for different applications
and different modifications of it.”
See by my next quotations how great is the
obstruction the multiplication of Patents creates, or, in
the words of the Act, the “general inconvenience”
they occasion.
Mr. James Meadows Rendel, Civil Engineer, in
1851:—
“During the twenty-five years that I have been in practice, I have
frequently felt the inconvenience of the present state of the Patent-Law,
particularly with reference to the excessive number of Patents
taken out for frivolous and unimportant inventions, which I think are
much more embarrassing than the Patents that apply to really
important inventions.
“I have found them interfere in a way that very much embarrasses
an engineer in carrying out large works, without being of the
slightest advantage to the inventors, excepting that in some cases a
man who takes out a Patent finds a capitalist (however frivolous the
invention) who will buy the Patent, as a sort of patent-monger, who
holds it, not for any useful purpose, but as a means of making claims
which embarrass persons who are not prepared to dispute questions of
that sort. I think that in that way many Patents are granted which
are but of little benefit to the real inventor, serving only to fill the
coffers of parties who only keep them to inconvenience those who
might have occasion to use the particular invention in some adjunct
way which was never contemplated by the inventor.
“After you have designed something that is really useful in
engineering works, you are told that some part of that design interferes
with some Patent granted for an entirely different purpose, and
which might in itself be frivolous, but important in the new combination;
and one has such a horror of the Patent-Laws, that one evades
it by designing something else, perhaps as good in itself, but giving
one infinite trouble, without any advantage to the holder of the
Patent. I have frequently found this to be the case.”
Mr. W. S. Hale, candle manufacturer, said in 1851,
in answer to the question—
“At present they are obstructions to you?—Decidedly.
“You say that, practically, you have found the existence of Patents
in themselves useless—a great obstruction to the introduction of
inventions which would otherwise have been of value?—Certainly.
“The great objection which I conceive many parties have to introduce
real improvements arises from useless Patents. I am in treaty
now for one or two which in themselves are useless, yet they contain
the germ of something, and it is worth my while, if I can get them for
a small sum, to purchase them; but directly you make application for
a Patent of that description, it becomes very valuable all at once; the
party conceives you are desirous of possessing yourself of it, and that
you will be inclined to give anything for the use of it.”
In like manner Sir William Armstrong answered
this question, put in 1864—
“Is it within your knowledge that considerable inconvenience does
exist in those branches of business with which you are most conversant
from the multiplicity of Patents?—Most certainly, and great obstruction.”
So also Mr. James Spence, of Liverpool, a well-known
correspondent of the Times during the American
war, said—
“It is difficult for a manufacturer to move in any direction without
treading on the toes of some sort of a patentee.”
Likewise Mr. Montague E. Smith, Q.C., M.P.,
said:—
“In several cases in which I have myself been counsel, very great
inconvenience has arisen from the multiplicity of Patents which an
inventor has had to wade through to see that he has not been anticipated.”
How truly did Sir W. Armstrong observe to the
Commission—
“You cannot grant a monopoly without excluding other persons
who are working upon the same subject.”
Again:—
“Here the State grants to an individual a monopoly, and therefore
the public are at his mercy.”
Mr. J. S. Russell, who himself has taken out a
good many Patents, speaks more specifically:—
“There are a great many Patents of that kind taken out for boilers
of steam-engines, and boilers of steam-engines admit of a very enormous
variety of shape and proportion without damaging their
efficiency.... The consequence is, that I have not defended any of
my own. I have never made of mine more than a mere registry of
priority of invention. I have not made mine a source of money, but I
have suffered in this way from Patents: I have gone on, in the course
of my business, doing my ordinary work, and I have found other
people taking out Patents for what I was doing without calling it an
invention, and then prosecuting me under the Patent they had taken
out for my own inventions, and it appears that there is nothing to
prohibit them from doing that.”
This I can from experience endorse. He is then
asked—
“If you were able to prove that you had been carrying on an
invention, whatever it might be, at the time when the person claiming
to hold a Patent for it took out his Patent, would not that relieve you
from all difficulty in the matter?—It would only give me the pleasure
of defending a law-suit.”
Mr. Curtis, engineer, Manchester, said:—
“Many parties in trade have made alterations without being aware
of their being patented, and when they have used them for a length of
time, they have found that the patentee has come upon them and
made a claim for Patent-right.”
Mr. Platt, of Oldham, whom you are happy to see
as a member, said:—
“I think that there is scarcely a week, certainly not a month, that
passes but what we have a notice of some kind or other of things that
we have never heard of in any way, and do not know of in the least,
that we are infringing upon them, and the difficulty is to get at any
knowledge. We may be now infringing, and may have been infringing
for years, and a person may have been watching us all the time, and
when he thinks that we have made a sufficient number he may come
down upon us, and there is no record. A very large number of
Patents are now taken out for what is termed a combination of known
things, and known things for the same purpose, and the descriptions
of those Patents are generally so bad that it is impossible to tell the
parts that are actually patented; in matters of that kind it has become
a very serious question as to conducting a large business.”
In 1851, Sir William Cubitt spoke of an inventor of
filters:—
“After he began to supply his customers, he received notice from a
house in Liverpool that he would be prosecuted; he received intimation
of legal proceedings against him for interfering with his, the
Liverpool man’s, Patent. I have some of those filters. The manufacturer
of these things, who had no Patent, came to me to consult me
upon the subject. I at once saw how the case stood, having regard to
the specification of the Liverpool patentee, that he (the latter) had
taken out a Patent for that which another man had before done, so
exactly that the words of the specification and the drawings fitted the
first man’s invention, which was without a Patent, therefore his Patent
would have been null and void. I advised my friend to write to the
patentee to inform him of the fact that he had taken up a case which
he could not support, and that he himself was infringing upon the
invention of the first man, who had no Patent; that brought the
Liverpool man to me, I having been referred to as having one of
these filters in use. I explained to him that I had had the patent
filter of the other man for two or three years. Then what was to be
done? I advised my friend, who was in fact one of the Ransomes, of
Ipswich, to tell the Liverpool patentee if he did not come to some
arrangement of a business-like nature, he himself would have to
become the prosecutor, and to sue out the ‘scire facias’ to make him
prove his Patent-right, which is an expensive legal proceeding, and
very troublesome to a patentee. I believe they have since made some
business arrangement; but that shows how Patents may be, and are
frequently, taken out for things which have been previously invented.”
As to the bad effects of Patents, I quote again from
Mr. Scott Russell:—
“The unlimited power given by a monopoly to an inventor has this
practical effect at present, that when an invention has been made the
subject of a Patent, everybody shrinks from it, everybody runs away
from it, everybody avoids it as an unlimited evil, because the person
who has the monopoly can subject you to a most expensive prosecution,
and can charge you a most inconvenient sum for what you have done,
and can punish you in every way for having touched his invention.”
Mr. Grove says it is natural that people should
yield to the holder of the Patent, for, if
“He has a letter from a patentee saying, ‘You are infringing my
Patent;’ I do not believe that the tradesman would go to the expense
of litigation with the patentee, and for this reason, it is the patentee’s
interest to give a very large sum of money to support his Patent. His
Patent, although for a very trivial thing, may, taking the vast extent
of sale, be a very lucrative affair, and therefore it is worth his while to
lay out a large sum of money to support his Patent. It is not worth
the while of the opponent, because he has only a little stock which
affects him; the patentee has his whole interest consolidated in the
Patent. All those who might oppose the Patent are a scattered body,
namely, the public generally, not one of whom has any strong interest
in opposing the Patent; and I believe that that has been very much
worked by patentees, particularly in a small and comparatively
frivolous and perhaps an all but useless invention. The public is a scattered
body, not one of whom has sufficient interest to meet with equal
force the patentee.”
Mr. Platt, M.P., presents the following case, to
show how unprincipled people use the power which
the law gives them, and how, even with a good case,
if they but knew it to be so, people in business are
led to succumb to extortion:—
“The fourteen years of the Patent had expired, and five years, so
that it was nineteen years from the date of the Patent before the action
that I now speak of was commenced. It was commenced by the parties,
and I may say that the person who was the original patentee was a
person of no money whatever; but he persuaded some party, I believe
some lawyer, to advance some money in order to take up this case. I
know that many machine-makers, rather than contest the case, absolutely
paid the money—the different sums of money that were demanded
of them. I came up this afternoon with a gentleman in a
train from Manchester, who mentioned this case to me, and who stated
that one of his own clients offered as large a sum as £2,000 in one case, to
settle the matter. I found that the system was to attack the smaller men,
and by that means to extract money in different ways, and there have been
a number of instances in which parties have paid in that way. Although
not attacked in this instance myself, a neighbour of mine was;
I looked over his evidence, and I told him that I thought I could
amend it very much, and I told him further that I would be a party to
the expense. I said, let me take the case in hand, which I did. Now,
nineteen years is a very long time for a machine, and this machine was
of a very valuable kind; hundreds upon thousands had been made
during the nineteen years, and if this person could have established
his claim to a Patent-right, he would have made a very large sum of
money, so large as to be almost incalculable. It so happened that I
recollected, when it was brought to my memory, that we had made a
number of those machines long before the date of that Patent, and the
difficulty then was to prove that such a machine had been made, for in
nineteen years, speaking of cotton machinery, such machines would
probably all have been broken up, scarcely any were to be found in the
country; but it so happened that in one instance a very large firm of
manufacturers in Preston, of the name of Horrocks, Miller, and Co.,
had two or three of these machines still left. I got Mr. Miller to
come up to London, and we brought one of these machines with us.
It was taken into court, and in a moment their own witness admitted
that this was precisely the same thing that the other parties had been
paying royalty to this man for, and the case was at once abandoned
by Mr. Webster, who was then conducting it.”
Sir W. Armstrong told the Commission:—
“Another great evil of the Patent system is this, that an invalid
Patent really answers the purpose of protection almost as well as a
valid one. I believe that there is not one Patent in ten which would
bear scrutiny, and the mere name of a Patent often answers all the
purpose. Nobody will face the litigation necessary to get rid of it.
“In very many cases people prefer to pay black mail rather than
undergo the expense of a law-suit?—In almost all cases; I know that in
my own experience, if I find that a man has a Patent which I am satisfied
is not a valid one, I would rather go out of the way to avoid any
conflict with him.”
So also Mr. Curtis:—
“I have in one or two cases given £200 to a party for the use of
an invention in which I have told him at once that what we used
was not an infringement in any shape or form; but rather than run
the chance of going to a tribunal where I was fighting with a man
of straw, I have consented (thinking it was prudent to do so) to
pay £200.”
Mr. Woodcroft, in keeping with all this, testified—
“I know of existing Patents which are but old inventions, as old as
the hills.”
The following extract from the Transactions of the
National Association for the Promotion of Social
Science presents another illustration of the mischief
the Patent system works:—
“The Patent in question having been purchased for a trifle by Mr.
Foxwell, its merits were subjected to close scrutiny, and the specification
being found to be defective in some respects, but possessing the
quality of elasticity from the vagueness of its phraseology, it was
resolved to improve it under the Disclaimer and Amendment Act.
After undergoing a compound operation analogous to pruning and
grafting, it was found to embrace almost every kind of shuttle sewing
machine. In other words, it was hoped by the possession of this
invaluable Patent to control nine-tenths of the sewing machine
trade of Great Britain. Fired with this idea, Mr. Foxwell commenced
legal proceedings against a well-known sewing machine manufacturer
for compensation for an alleged infringement of his amended
Patent, and at the third trial succeeded in driving his opponent into
a compromise, whereby the sum of £4,250 was paid in liquidation of
all demands. Encouraged by this success, he, through his solicitor,
apprised the trade of his intention to levy royalties on the users
of all needle and shuttle machines other than those manufactured by
his licences, and, failing to bring many to his terms, he filed bills
in Chancery against 134 defaulters.”
Mr. Abel, of Chancery-lane, in a recent pamphlet,
writes thus, to show how, in self-defence, Patents
require to be taken:—
“In many cases an inventor takes out Patents for immaterial
improvements that he is continually making in his processes or
machinery, merely for the purpose of indisputably publishing those
improvements, in order thereby to prevent the chance of his being
debarred from the use of the same, through a Patent being obtained
for them by somebody else.”
The following statement is authenticated by Mr.
Grove:—
“I had at one time great doubts about it, but things have arrived at
a dead lock. The Courts now really cannot try these cases. We have
at these very sittings three Patent cases made remanets because they
cannot be tried; they interfere too much with other business. We
have at this moment going on a Patent trial which is now in its fourth
day. We have had within, I think, a week another trial of a Patent,
which lasted seven, and a third which lasted five days. During the
time that these Patent cases have been going on there have been heavy
Patent arbitrations going on, two of which I can speak to myself; one,
I think, lasted seventeen days, and the other, which involved a very simple
issue, lasted six or seven days. Those arbitrations went on contemporaneously,
and the cases were obliged to be tried by arbitration because
the Courts could not try them; it would have occupied too much
public time. While these cases have been going on several Patent
cases have been also ready for argument in banco, and one has been
postponed.”
On this part of the subject I again cite Mr. Platt:—
“There being an adjournment, for example, for a fortnight or three
weeks, is there constantly a fresh burst of evidence to meet the difficulty
raised at the last meeting?—Yes, it is so; and that prolongs
the case very much; in fact, the case that I have in my mind now I
have no doubt will cost the parties a sum of £4,000 or £5,000. I cannot
see how it is possible for the verdict to be against them, for it has
been a frivolous and vexatious proceeding from the beginning, and
with the idea of extorting money.”
And Mr. Scott Russell:—
“In your experience have you not seen a great number of dishonest
litigants, plaintiffs who bring actions in the way of persecution, and
defendants who desire to destroy a Patent, and where one or other of
the parties for the most part acts in bad faith, trying to injure his
adversary in any way that he can?—I should say that the greater
number of Patent cases are cases of oppression.
“Have you known cases of oppression where the patentee has been
the oppressor?—Yes, frequently.
“Have you known cases of patentees with a good Patent, and in
which there has been what may be called a dishonest attempt to
destroy it?—Yes, I have known both on a very large scale; for
example, there was the great hot blast case. I was engaged in that
from the beginning in the capacity of arbitrator; and in that great
hot blast case the whole litigation arose from the ironmasters, who
were making enormous sums of money, wishing to get rid of a very
small Patent rate per ton, which had accumulated to an enormous
sum in consequence of the success of the Patent. The expenses in
the hot blast Patent case amounted, I should think, to more than
£100,000.”
In the celebrated capsule case, the expenses have
been somewhere about half of that enormous sum.
In another case, about three-quarters of it. How true,
then, is the following, from Chambers’ Cyclopædia:—
“When a Patent has been granted, if it is of such a nature as to
lead to competition, infringements are almost matter of course; and
the only mode of discovering and checking the infringement is so
ineffective that inventors generally pass their lives in constant
litigation, fighting a succession of imitators, who often have nothing
to lose by defeat, and therefore entail all the greater burden on the
legitimate manufacturer. It has been said that not more than three
per cent. are remunerative. A Royal Commission has lately been
engaged in inquiries as to the best mode of remunerating inventors
and improving the law with reference to infringement; but it is
doubtful how far the subject is capable of being put on a better footing,
so many difficulties being inherent in it.”
And how many of these pernicious Patents do honourable
members think have been repealed? Allow me, as
to this, to quote Mr. Grove—
“... Very few Patents have been repealed, and, generally
speaking, the patentee has been victorious.”
And the Commissioners’ Report:—
“Number of Patents repealed by scire facias from
1617 to October, 1852
19
“Number of Patents repealed by scire facias from
October, 1852, to December, 1861
None.”
A natural question suggests itself, Who is to get a
Patent, since in many cases there is a plurality of
almost simultaneous inventors? Listen to the words
of Mr. Webster, Q.C., author of well-known books on
Patent-Law:—
“I have frequently had brought before me five or six Patents for
the same thing within two or three years, or perhaps even within a
year. I remember a remarkable case of a Patent for an improvement
in railway wheels, where there were as many, I think, as six Patents
almost within six months.”
Sir W. Armstrong shows that sometimes the chief
benefit of inventions goes to the wrong parties:—
“A person obtaining a Patent for a crude invention prevents other
persons from entering upon the same ground unless at their own peril,
and I have known cases where, in the ignorance of the existence of a
Patent, improvements have been made, and practical value given to
an invention which has been previously patented, and then that
patentee has come forward and said, ‘That is my invention, and you
must pay me for using it.’ Other people have given additional value
to his Patent, that is to say, they have made improvements which he
can appropriate to his Patent, and in that way it gives it an additional
value. The mere conception of primary ideas in inventions is
not a matter involving much labour, and it is not a thing, as a rule,
I think, demanding a large reward; it is rather the subsequent labour
which the man bestows in perfecting the invention—a thing which
the Patent-Laws at present scarcely recognise.
“But you are unable to do so, because you cannot interfere with the
Patent over it. Do you find practically that that clogs the progress of invention?—I
will take one of my own inventions. I will take an hydraulic
crane, for example, which I will suppose that I do not patent, and I will
suppose that another person invents an improved valve and applies it
to hydraulic cranes, and that he patents that improvement upon
hydraulic cranes; clearly the result of that is, that if it gives an
improved character to the whole machine he will obtain the monopoly
of the machine, because he has a Patent for the improvement, and
that carries with it the machine itself.”
Mr. Webster shows how it is that men of science,
the real discoverers, miss reward:—
“The number of inventions brought out by purely scientific people
I believe to be very few, and for this reason: purely scientific people
want practical knowledge to enable them to carry out their own
ideas; the mass of inventions, I have no doubt, are made by workmen,
or persons of skill and science engaged in some actual manufacture.”
Mr. I. K. Brunel tells—
“Cooke and Wheatstone derived, I believe, a large sum of money
from the electric telegraph; and I believe you will find fifty people
who will say that they invented it also. I suppose it would be difficult
to trace the original inventor of anything.”
Sir W. Armstrong speaks regarding that frequent
case—
“An idea which is present to the minds of very many persons at the
same time. Without any reference to his competency to develop
that idea, and to give it practical value, he is allowed to have a monopoly
of it, and thereby to exclude all other persons.”
He points out that—
“As soon as a demand arises for any machine, or implement, or
process, the means of satisfying that demand present themselves to very
many persons at the same time, and it is very unfair, and very impolitic
I think, that the person who gets first in the race to the Patent-office
should have the means of preventing all others from competing with
him in the development of that particular means of process.”
Mr. Grove, Q.C., eminent in science as in law, hints
at a remedy:—
“I am speaking of classes of inventions which, if they may be called
inventions at all, would inevitably follow the usual course of trade and
the fair scope which every man should have for modifying or improving
his commodity. I would not shut out the public from those things. I
would exclude from Letters Patent those changes which would naturally
follow in the ordinary uses of the machines. I would not prohibit
a tradesman from exercising the same ordinary skill in using his
machine as we should all be expected to exercise in anything which we
happened to make or from changing its form.”
Another question as naturally thrusts itself forward,
How far have we benefited by having more Patents?
Although the Act of 1852 has greatly multiplied the
number, Mr. Woodcroft, the intelligent head of the
Patent-office, gives the following answer:—
“There has been no considerable increase of bonâ fide Patents
compared with the old law?—No.”
Very suggestive are the following observations of
Mr. Grove, as showing which are the kinds of invention,
so-called, that pay best, and how absurd, if people
would reflect, they must consider our present mode of
rewarding and stimulating invention:—
“A Patent may be an extremely valuable invention; for instance,
the manufacture of aluminium is of the utmost importance, but it was
of very little trade value for a long time. When aluminium was
first made what I may call a practical manufacture, it was of no value
to any tradesman at all; it would take probably ten or twenty years
before such a thing could have any approach to practical value. On
the other hand, the most frivolous Patent—the turn of a lady’s hat,
the cutting of a shirt-frill, or a new boot-heel—may be of very
considerable value, from the number of bootmakers all over the
country who would have to order it, every one of whom would pay
an extremely trifling licence duty, and therefore the Patent would be
a very good Patent to the patentee. In my judgment those are not
good subjects for Patents, and there the opponent would have no
interest equivalent to that of the patentee to meet him.
“Although I know that the Law Courts have come step by step to
include a greater number of inventions, yet I should not call an
improvement in a shirt-frill, that is to say, a peculiar method of
cutting the little puckered linen which is sewn and used for shirt-frills,
or a particular shape of the brim of a lady’s hat (I am speaking
of existing Patents), a proper subject for a Patent.”
The following is from the evidence of Sir Francis
Crossley, Bart., M.P.:—
“A Patent was taken out for simply putting india-rubber at the
end of a glove, so as to make it tight round the wrist; that might have
been considered a frivolous Patent, but I believe that it was thought
to be a very good one in the trade, and it was new and useful.”
So Mr. Richard Roberts, of Manchester—
“In the case of an improved button, the Patent pays very well.”
Of another class of illegitimate Patents, Mr. Newton,
the eminent Patent Agent, says:—
“Patents for obvious applications.—I may take for instance the use
of alpaca for covering umbrellas. There is no invention in it.”
In 1851 Mr. Carpmael was as distinct and condemnatory:—
“A multitude of things for which Patents are granted have no
invention in them; in nineteen cases out of twenty, if there were cheap
Patents, they would be for things which already exist, and people
would only use Patents for the purpose of advertisement and publication.
“If you grant a Patent, and give to a man the means of advertisement,
for a small sum of money, he will not investigate it in the
slightest degree in the world; he does not inquire, and does not wish
to inquire, but he goes and spends his money, and then he advertises,
because the Patent appears to give him a standing different from his
competitors in the same way of business.”
In 1829 Mr. Farey, Patent Agent, went further:—
“I have urged the utter worthlessness of their Patents, but they did
complete the specification; they have sometimes acknowledged, and
said perhaps they might nevertheless sell the Patent to some one who
did not know that fact.”
Mark now how Patents hinder progress in manufacture.
Hear Mr. Brunel:—
“Take the Electric Telegraph Company. I believe we should have
had that telegraph much improved, and that it would be working much
cheaper, and that we should have had it all over the country, but for
the misfortune they laboured under, of having Patents which they were
obliged to protect; and they were obliged to buy up everybody’s inventions,
good or bad, that interfered technically with theirs. I firmly
believe that they have been obliged to refrain from adopting many
good improvements which they might have introduced themselves, but
did not, because they were afraid that it might shake their Patent; and
I believe that the stoppage put to inventions by this state of things is
far greater than would result from secrecy.”
The same is certified by Sir W. Armstrong:—
“I am quite satisfied that a very great number of inventions which
have remained inoperative for years and years, many of which I could
easily name, would have been brought to perfection very much sooner
if it had been open to all the intellects of the country to grapple with
the difficulties of them.
“May we take it that under the present system, if a man has obtained
a Patent with little or no inquiry, although that Patent would not
stand investigation if opposed, yet if the patentee is content to impose
a moderate tax upon those who want to use his invention, they will
pay that sum without its being worth anybody’s while to contest it?—Yes.
“Do you believe that the cases of that kind are very numerous?—Very
numerous, and the cases are still more numerous in which the existence
of a monopoly simply has the effect of deterring other persons
from following up that particular line of improvement.”
Another effect is the restraining of publication.
Hear Mr. Richard Roberts’ thrilling representations:—
“I have a list of something like 100 inventions that I should have
patented thirty or forty years ago, but for the cost.
“I could mention one by which many lives would have been saved if I
had had a Patent for it.
“I very rarely make models, but I had one made for this. It was
made many years ago. I invented it in 1830, and I mean to say that,
if it had been put into practice, things would not have happened which
have happened, and which have caused the loss of many lives, as connected
with railways.”
I adduce this evidence to prove that inventions
actually made are kept back just now. I don’t require
to go far for a party who has two or three small inventions
(not connected with his own line of business);
but—such is our “system”—no ready means to publish,
and so has for years kept them back. But a more
remarkable instance is present to my mind. Since
about twenty years the same party, having been then
consulted by an employé of a house near Birmingham,
is the reticent possessor of an inventor’s secret. That
inventor’s name he does not know. His invention is
ingenious, and may be practicable. It affects an article
of universal consumption, and, so far as I know, has
never been patented or thought of by anybody else
than he who confided the secret, nor introduced to use
by him, although, in my opinion, sufficiently promising
to be worthy of attention.
One of the ways in which Patents hurt trade is
shown by Mr. Platt:—
“Are there not some large manufacturers who like to keep the monopoly
of a Patent in their own hands, who obtain money and go on
manufacturing without granting licences to others?—Yes.”
Sir W. Armstrong testifies to this power to refuse
licences:—
“Is it not the case that such possessor could refuse you a licence, and
so prevent you from making the improvements altogether?—Certainly
he could.”
Lord Chelmsford confirms the legality of this procedure:—
“If he chooses to work the Patent himself exclusively, it is only doing
what the law permits him to do.”
Where there is not downright refusal, Sir W.
Armstrong shows that patentees ask too much:—
“I have known patentees very exorbitant in their demands for
licences—far beyond the merits of their inventions.
“In that case the power of fixing an exorbitant price, really preventing
the use of the article altogether, operates very disadvantageous
to the public?—No doubt of it.”
So Mr. Newton:—
“The claims of patentees are very frequently, and I may say generally,
excessive, and beyond the real value of their inventions; but
there may be cases in which new conditions of things arise, and the
invention, if invention it may be called, becomes a matter almost of
necessity, and the public must have it. The case which has been put,
I think, is a very strong one, in which a public company or a large
capitalist buys up all the existing Patents, and thereby acquires a
power which may be exceedingly oppressive.
“... I have seen much folly in the refusal of licences. I introduced
the sewing machine into this country. I sold it for a small
sum, and I offered some years afterwards to the owner of the Patent
as much licence-money as 10l. per machine, and that was refused.
“A poor man invented and patented the making of ‘cock-spurs’
(supports for dishes and plates while submitted to furnace heat) by
means of dies, and established a small business upon the manufacture.
Some years later a gentleman improved upon the invention so
far as to make the cock-spurs 500 at a time instead of singly. The
earlier Patent being brought to his notice, he desired to make terms
with the original inventor, and offered him a liberal sum, together
with the sole right to sell the new manufacture in his own locality (the
potteries). He could not, however, be brought to accept these, or
indeed any terms; but, contrary to advice, commenced an action for
the infringement, and was cast by reason of an unimportant claim in
his specification being untenable.”
As a preventive of this abuse, and almost as a sine
quâ non in the Patent system, “compulsory licences”
have been proposed (see the proceedings of the Social
Science Association, 1858, 1860, ’61, ’62, ’63, ’64), but
the Royal Commission has reported against them as
impracticable.
No wonder, then, that it is said the system hurts
inventors themselves, even those inventors who are
patentees:—
“Nothing could work greater injustice qua the inventors themselves
than the present Patent-Law does. Many most meritorious inventors
under the present Patent-Law are utterly ruined, enrich others, and
never pocket a farthing themselves; therefore the present law is as
unjust as a law can be in its practical working.”
Listen to the elder Brunel:—
“Almost invariably when the Patents come before the public, the
beneficial interest in them is not held, to any great extent, by the
original inventor, but that it has changed hands many times before it
comes out before the public. I should say that, in the majority of
cases, the original inventor gets little or nothing. In most cases the
original inventor has a very small beneficial interest left in it, and in
most cases I doubt whether, even in Patents that are saleable, he is
much the gainer on the whole, taking into account his previous loss
of time and money.”
Sir W. Armstrong points out how, and how much,
poor inventors suffer:—
“I have every week letters from inventors, and I dare say you have
the same; I have scores of them. Poor men very often come to me
imagining that they have made some great discovery. It is generally
all moonshine, or, if it looks feasible, it is impossible to pronounce
upon its value until it has passed through that stage of preliminary
investigation which involves all the labour, and all the difficulty, and
all the trouble. Many a poor man is ruined by fancying he has made
a discovery which, by means of a Patent, will bring him a fortune.
He loses all relish for his usual pursuits, and sacrifices his earnings
to a phantom.”
Mr. Spence agrees:—
“I do not believe that any system of law could be devised which
would enable a poor inventor in this country to fight his own battle.
He can only fight it by interesting some capitalist, more or less
wealthy, in the probable promise of his invention; the result is, as
all know, that some ninety-eight out of every hundred Patents
end in loss to the parties and are worthless to the public.”
Mr. Grove leads to the same conclusion from another
point:—
“If the patentee himself was a wealthy man and a large manufacturer,
having 20, 30, or 40 Patents in his possession, he would struggle to
the utmost to maintain his Patent; he would retain the ablest advocates
and the ablest scientific witnesses; and there would be no chance of
repealing the Patent unless the person opposing it had something like
an equality of purse to go into the field. You never could get the
battle fought if one side was wealthy, without the opposite party having
something like equal powers to oppose him.”
Mr. Brunel thus states his conclusion:—
“I believe them to be productive of almost unmixed evil with respect
to every party connected with them, whether those for the benefit of
whom they are apparently made, or the public.”
I proceed to call attention to the effect of Patents
as seen and felt in Government establishments. Before
doing so I quote experience in a private shipbuilding-yard.
Mr. Hall, the eminent builder of the Aberdeen
clippers, says:—
“As the sailor with his pockets full is a prey to the crimps, so is a
ship-contractor a prey to Patent-mongers—patent windlasses, patent
reefing apparatus, patent blocks, patent rudders, patent chain-lifters,
patent capstans, patent steering gear, patent boat-lowering apparatus,
patent paints, and numberless others, all attempting to hook on to the
poor contractor. This would be no grievance, were we not aware
that most of them are patent humbugs.”
Like many others, he thinks it very doubtful whether
the inventor
“Would not be as well without a law which still allows the strong
to prey on the weak.”
The following is from the evidence of the Duke of
Somerset:—
“I appear to bring under the notice of this Commission the great
inconvenience to the Admiralty of the present state of the law. The
inconvenience consists in the apparent facility with which persons
can obtain Patents covering a very large number of different inventions
under one Patent. For instance, there is a Patent which one
gentleman obtained some years ago in building ships for a combination
of wood and iron. Now, it is almost impossible to build
ships in these days without a combination of wood and iron. Therefore
a Patent of that kind, where it is wide-spread, as it is in this case,
brings us continually under difficulties with this patentee. Whenever
we apply wood and iron, he is watching to see whether or not his
Patent is invaded, and he complains and says that different improvements
which we have made without any notion of his Patent have been
infringements of his Patent rights.... We do not know what Patents are
now lying dormant; we never move without knocking against several.
I think that we are stopped at every turn.... In the case of the screw-propellers
the Admiralty, in 1851, purchased five different Patents,
hoping that they should have peace by that means, but they had all
sorts of claims afterwards; they were told that they had infringed
different Patents, and they have had to pay for other Patents since.
“Persons run and take out a Patent for what they think is going to
be done in that way. There are a great many in the case of iron
ships. I think that when the Warrior was built there were five or
six persons who all said that their Patents were infringed, though I
believe that, when the Warrior was designed, none of their Patents
were known to the designer, and they had never been used.... They
showed me different forms of shot which had been made in the Arsenal
a great many years ago, but all of which had since then been patented
by different persons, who claimed these forms of shot under their
Patents.
“Then there are cases of disputed claims by rival inventors, which
are embarrassing to a department; we do not know who has a claim
to a Patent, and sometimes when we buy a Patent of one person we
are told that we have done a great injustice to another. I remember
that when we paid for the Griffith patent screw, which was cutting
off a small portion of the screw, I had repeated letters from Sir
Howard Douglas, telling me that it was a great injustice to him;
that he had invented all this, and that his fame was diminished, and
that his rights were taken from him by the Admiralty, who had most
unjustly and unfairly paid Mr. Griffith. Those cases are continually
arising, and of course they are very inconvenient for a department:
they not only take up a great deal of time, but they very often prevent
some very desirable process being gone on with.”
Admiral Robinson said—
“There have been twelve upon the construction of ships since 1861.
Mr. Bush
Construction of ships.
Mr. J. Clare
Construction of ships.
Mr. P. Drake
Construction of ships.
Mr. A. Lamb
Construction of ships.
Mr. W. Rae
Keels, stern posts, &c.
Mr. Thomas and Col. De Bathe
Mr. G. Clarke’s target.
Mr. Truss
Animal fibre. Armour plates.
Mr. Beslay
Preservation of iron.
Capt. Wheatley
Position of guns in ships.
M. De Lapparent
Carbonising timber.
Commander Warren
Bow rudder.
Mr. Feathers
Construction of ships.
Messrs. Woodcraft, Smith, Ericsson, Lowe, Blaxland, and Mr. Currie.
Purchase of Patents for screw propellers.
Capt. Carpenter
Screw propeller.
Capt. Trewhitt
Disconnecting apparatus.
Mr. Griffith
Screw propeller.
Mr. J. O. Taylor
Screw propeller.
W. Ireland
Cupola.
Messrs. Laird and Cowper
Trimming coals in ships.
——
Distilling apparatus in ‘Defence.’
“In those cases the patentees claimed compensation for
infringement?—Yes; and it was necessary for the Admiralty to have recourse
to their solicitor, and to enter into a very long correspondence.
“It is very possible that you may infringe upon these Patents without
knowing it?—Constantly. The inconvenience which the Duke
of Somerset has mentioned resulting from Patents applied to shipbuilding
is so very great that it is scarcely possible to build a ship,
being a combination of wood and iron (and you always have some of
each in a ship), without treading upon somebody’s Patent; and I am
entirely of opinion that the Patents are drawn up for that especial
purpose, without any idea of their being practically applied for the
benefit of the public, but only that the patentee may lie in wait for a
colourable evasion of his Patent taking place.”
Now I present the evidence of General Lefroy,
deputed by the War-office:—
“The expectations of patentees are very extravagant, generally
speaking, and prior to trial it is very difficult to determine at all what
is the value of an invention. As an example, a gentleman some time
ago made a great improvement in cooking apparatus, and he assessed
his own reward at a large portion of the whole saving in fuel which
might be effected by the application of this improvement to an enormous
extent upon the whole military consumption of the Crown,
which would have come to many thousands of pounds. Such an
improvement should not be assessed by the value to the Crown, but
by what it cost the originator in intellectual labour or previous experiment,
and its importance in a large sense.”
Let me next cite Mr. Clode, Solicitor to the War-office:—
“If he has not the power either of keeping those improvements
perfectly secret, or of securing them to himself by Patent, then the
War-office authorities are placed in the position of having in all probability
to pay private individuals for inventions or improvements
actually made by their own officers.”
Next Mr. Abel, F.R.S., Head Chemist to the War
Department:—
“In your experimental inquiries, when you have happened to fall
upon any discovery, you have not been much annoyed by claimants
saying that they have had precedence of you?—Not at all, and it is
to that that I referred in my first answer. We do not meet practically
with those embarrassments during experiments, but we may
meet with them in applying the details of improvements. For
instance, I am at present engaged upon the working out of the application
of gun cotton, the whole details of which application were
communicated as a great secret to this Government by the Austrian
Government.... While every care was taken by this Government
to keep them secret, a Patent was taken out in this country for the
whole improved process of the manufacture.”
Mr. Clode again:—
“Some time after I commenced these experiments, while they remained
a perfect secret, and while every care was taken by this Government
to keep them secret, a Patent was taken out in this country for
the whole improved process of the manufacture.... One of them who is
present is experimenting upon gun cotton, but it is with him a matter
of extreme embarrassment to know how to deal with the subject; if
he discloses by way of specification all that he knows, he sends the invention
or discovery he has made away to the winds—the very night
that it is put upon the file it goes to Paris, Dresden, Berlin, and
elsewhere. If he does not do that, he is afraid that some man
will find out precisely what he has in view, and put a Patent on the
file, and tax the Government in that way. So that we are upon the
horns of a dilemma.”
If I were now to stop, and say not a word more, I
might trust to the candour of the House for an admission
that the case against Patents is proved, on the
ground that the conditions of the Statute of Monopolies
have been systematically violated, these violations
being of the very texture and vitals of the institution.
But I proceed. If the House permit, I will now
advert to the new phases the question has assumed
since the inauguration of free trade, understanding by
that term le libre échange, and not la liberte du travail.
The pernicious effect of home Patents on trade with
our Indian empire, is stated thus by Mr. Rendel, in
1851:—
“As engineer to the East India Railway, we had a little inconvenience
the other day; we wanted to manufacture articles patented
in this country, and we would have had to pay Patent-rights; it was a
question whether we had not better buy the iron in India, and avoid
the Patent-rights. Those cases, I think, are constantly occurring.
The Patent-Laws not being applicable to India, people will not unfrequently
order things to be manufactured in India to avoid the licence
dues in this country; and the consequence was that I made an
arrangement with the patentees at about one-half of the ordinary
charge for the Patent in this country.”
In 1851 it was proposed, and in 1852 an Act was
passed, to limit British Patents to the United Kingdom,
with exclusion of the Colonies. This change
was desired by an influential and intelligent portion
of the West India Association. Their conduct contradicted,
and their experience proves the fallacy of, the
allegation so confidently made and repeated in spite
of its futility, by some interested or else ignorant
parties, that inventions thrive most where Patents
exist—i.e., where trade is trammelled with prohibitions
or burdened with royalties. The home sugar refiners
exclaimed against an exemption which, being partial,
operated against their trade. The following is an
extract from one of the petitions presented by that
body:—
“That, so far as regards home manufacturers and producers, such
a change of the immemorial usages of the kingdom is virtually a
bestowal on parties carrying on the same businesses in the colonies of
a right to use patented inventions fourteen years sooner than they.
“That if, at any time, the British Parliament might have put home
manufacturers on such an unfavourable footing, surely this cannot
be supposed under free-trade and equalised duties, when they must
task their utmost energies, and adopt every improvement in mechanism
and processes, in order to maintain their ground.
“That the use of future Patents, at the rates that have been freely
paid by sugar refiners for Patents granted before now would subject
each sugar house, of average size, to a payment of about £3,000 a
year.
“That to exempt their competitors in the colonies from such a tax
(for tax it is, payable by order of, though not to, the State) is really
to give them a bounty of that very large amount.
“That, in so far as patent fees may be considered a premium for
stimulating improvements, an equal share of the benefit is enjoyed by
the colonists, who, therefore, should bear a due share of the burden.”
Soon after that time, protection having ceased, the
unfairness of burdening British manufacturers came
more vividly into sight. How can they compete with
Prussia and Switzerland? Here is evidence regarding
those countries. From a Prussian witness:—
“I am a member of the Board of Trade and Commerce, and at the
same time a member of the Patent Commission.
“Will you be good enough to state what is the system adopted in
Prussia with regard to protection to inventions?—We have the principle
in our country to give as much liberty as possible to every
branch of industry and art, and, considering every sort of Patent as
an hindrance to their free development, we are not very liberal in
granting them. We merely grant a Patent for a discovery of a
completely novel invention, or real improvement in existing
inventions.”
From an important Swiss witness:—
“There is no want of persons to import them into Switzerland,
although those persons thus importing them obtain no monopoly?—When
a Patent is taken out in France or England, the process is
published; therefore it becomes the property of the public in Switzerland;
the Swiss have access to the French or English Patents.
“In that way the Swiss have the benefit of the invention without the
charge of the licence?—Yes.
“And so far they have an advantage?—Certainly.
“When inventions in the watchmaking trade are made in France,
are they immediately introduced into Switzerland?—I should think so,
if they are useful.”
How, I ask, can British manufacturers compete with
Prussia, which prudently grants less than 100 Patents
in a-year; or with Saxony, which grants only about
134; or the Netherlands, which grant only about 42?
Rather, I may ask, how can they compete with other
countries in general, even those that grant Patents
freely, seeing that it is not incumbent on the British
patentee to take a Patent in any other country whatsoever;
seeing also that, unlike some countries which
grant Patents, we in most cases do not terminate the
currency of those we grant at the time when the
Patents taken elsewhere expire? Honourable members
will understand how serious is the disadvantage under
which our manufacturers, and with them, of course, the
labourers and artisans who co-operate in manufactures,
are placed if they are precluded from using inventions
which their continental rivals may use. When licences
are given by patentees, the disadvantage is lessened,
but not very greatly. The House will agree when it
hears how enormous are the royalties sometimes
exacted. For a set of inventions in the iron trade,
which is not the subject of Patents in Prussia, a single
firm is said to be paying at the rate of £16,000 every
quarter. Let me quote from a leading article in the
Engineer:—
“Owing to the invalidation of his Austrian Patents, Mr. Bessemer
derives no pecuniary benefit from the working of his inventions in that
country. This is also the state of things in Prussia, whose really
iniquitously-managed Patent Commission have refused to give Mr.
Bessemer any Patent at all. The great Prussian steel works there
manufacture Bessemer steel unweighted by any royalty. We regret
this, not merely for Mr. Bessemer’s sake, but also on public grounds.
Our steel makers are thus heavily handicapped in the industrial race
with royalties of from one to even three pounds per ton.”
See a confirmation of this in the following piece of a
private letter:—
“The very heavy royalty payable under Bessemer’s Patent does, to a
very great extent, prevent English manufacturers competing on the
Continent for steel rails; but, from the accidental circumstance of
continental manufacturers being obliged to buy a considerable portion
of their raw material from this country, we have not been exposed to
competition in England, as the cost of carriage backwards and forwards
about equalled the benefit which the Germans enjoyed of paying no
royalty.”
The sugar-refiners, in a printed document before me,
put the case, convincingly no doubt to all who will
consider how small is the percentage margin of profit
in great businesses:—
“If, for any invention, French producers of refined sugar should
have only royalties of one per cent. ad valorem, while the British
should have to pay royalties of five per cent., it is obvious the Patent-Law
may in effect impose on the latter a most onerous differential
duty.”
In that trade I myself, shortly before my retiring
from commerce, paid £3,000 for a year’s right to use
a new process, which proved unworkable, and had to
pay a solatium of £1,000 for leave to discontinue it.
The agricultural interest should not remain indifferent.
Mark what was told the Commission by Mr.
Reeve, Registrar to the Privy Council. In Mr.
Bovill’s Patent there was charged a royalty of 6d. a
quarter on all the corn ground in Great Britain by
millers who thought it desirable to adopt his plan.
Obviously the royalty in that case had the effect of a
protective duty leviable for individual benefit, and
enabling foreigners to undersell in the British markets.
And what title to this power had Mr. Bovill? He
was not the inventor. Another case is exhibited in
the following extract from a private letter with which
I am favoured, from a highly respectable quarter:—
“Patents have become so numerous and so various, that it is not
safe to use any piece of machinery, or make any variation without
first making a careful search to ascertain whether it is not protected
by a Patent. The Patent-Law has also been the cause of much litigation,
there being very few Patents of any real worth but have had
to go through the ordeal of the Law Courts, and there can be little
doubt that injustice has frequently been done both to patentees and to
the public. A case of considerable hardship connected with our own
trade occurred regarding the application of the exhaust to grinding
purposes. It was clearly proved at the trial that the machine for
which the patentee claimed protection had been in public use in Denmark,
where it had been seen by a Glasgow miller, who erected a
similar machine on his premises in Glasgow, but hastily threw it aside
without putting it to a proper test prior to the date of the Patent,
but it was held that no profitable use having been made of the
machine by the Glasgow miller, the Patent was good and perfectly
protected. In our opinion a Patent obtained in such circumstances
should never be allowed to stand, and if some means could be devised
for ascertaining the circumstances beforehand, it should never be
granted. The trade suffered very considerably in consequence of this
Patent being sustained, and the consequence was, that although the
patentee was not the original inventor, he pocketed a very large sum of
money.
“A more recent instance has occurred, however, of a large sum being
pocketed by parties not the inventors of the article patented. We
can, however, only give you the figures as popularly reported, without
vouching for their accuracy, and in relating the story we shall endeavour
to reply to your queries seriatim. 1st, The patented article is a
machine for dressing millstones by means of a black diamond, or piece
of ‘bort,’ instead of by the hand with picks. It was originally
patented in France by the party said to be the inventor, and shortly
afterwards was patented by him in this country. 2nd and 3rd, A
Leith commission agent (a German) and an Edinburgh miller saw the
machine in the Paris Exhibition of 1867, and induced the patentee
to bring it over to Scotland for trial, and ultimately they, in conjunction
with a third party, purchased the patentee’s right for
the whole kingdom for £4,000. 4th, These parties immediately
put the machine in the market, and it was at once seized hold of
by speculators, who readily gave most extraordinary sums for it.
One party is said to have paid £40,000 for the right for a dozen
counties in England; another £15,000 for three counties; and another
£20,000 for some counties in Ireland: the whole sum realised by the
original purchasers amounting, it is said, to upwards of £150,000.
5th, The consequence is, that such enormous sums having been paid by
the speculators, the trade can only get the use of the machine by
paying a most exorbitant price, and hitherto it has remained all but a
dead letter. We cannot give you in round numbers the amount
expected to be realised by the speculators, but the price originally
charged by them would have yielded four or five times the amount
they paid if the whole trade had become purchasers. This machine
has not yet been the subject of litigation, but there is every probability
that it soon will be.”
But I can reproduce a case where the effect was far,
far worse, communicated to me in a private letter:—
“The patentee of the Howard series of improvements in sugar-refining
granted licences to houses in Liverpool and Hull, with a condition in
each case that he would not grant a licence to any party carrying on
business within seventy miles of either town. A sugar refiner of long
standing, established in Sheffield, applied for a licence, and was refused
for the reason above stated, Sheffield being just within the prescribed
distance. The consequence was, he had to carry on his manufacture
for nearly fourteen years on the old system; and during this period
sustained great losses by working, which he, as well as parties cognisant
with the facts, attributed to the disadvantage he was compelled to carry
on under. His fortune disappeared, and he became insolvent.—I am, &c.
“Sheffield, December 17, 1863.”
This distressing result will, I trust, drive home the
conviction that, great as is the evil of multiplying
Patents, it would be but a mitigation not worthy of being
looked to as a cure, to get the number lessened.
If in an earlier part of this address I have shown
that the condition not to produce “general inconvenience”
has been preposterously set at nought, surely
these passages prove no less conclusively that there
has been equal disregard of the condition not to “hurt
trade.” I will satisfy myself, and I hope the House,
with one extract only to prove what I apprehend is the
rule rather than the exception, that Patents offend
against the other condition, not to “raise prices.” It
is from a paper read by Mr. Lowry Whittle before the
Statistical Society of Dublin:—
“I was informed lately of a case in the North of England where a
successful patentee produced a machine at the cost of £200 for working
in the linen trade. On this machine his royalty is £1,000.”
I may give one instance from my own experience,
where the pretensions of the applicant for a Patent were
equal to about a farthing a pound on all the sugar that
the process perfected. The House may understand the
hardship this would inflict on the population when told
that it was for the use of a single process only, or rather
of a machine invented by another, an engineer firm, who
had overlooked, and not included in their Patent, its
applicability to sugar. My experience in that case was
very instructive. Pardon my introducing a few particulars.
I have no reason to think the idea of applying
the machine to the refining of sugar was original; on
the contrary, it had been already made practical on the
Continent. Nor was the idea patented by my friend
alone; on the contrary, to several persons it had
occurred, by some (I forget how many) it had been
patented. One of my partners and I had a good deal
of travelling in England and Scotland, when we discovered
the first patentee of the application at length. We
traced the indubitable priority home to a good neighbour,
whose office was within a bow-shot of a sugar-house of
which I myself was managing partner. He told me,
when I called about his Patent, that he had not
attended to it for years. I regret to be able to add that
he was afterwards led, by representations which I will
not characterise, to part with his privilege—it was really
a very valuable one—for a most inadequate consideration,
to a person who had applied for a parasitical Patent
for something, the value of which could not be
substantiated. Perhaps the worst of all is, that the
really most meritorious person, the patentee of the
machine, got comparatively little advantage from its new
but natural application. A coalition was formed whose
terms violated one of the conditions to which I have
called attention, by charging an exorbitant price for the
machines, and, what is the greatest mischief of Patents
as now administered, by further charging high royalties
proportioned to the quantity of work they did.
Now will the House consider why it subjects the
nation to all this inconvenience, loss, and expense?
It is not because without it we would miss many
important inventions. The groundlessness of such a
fear has already been indicated with sufficient plainness.
The House can hardly doubt, from its individual
acquaintance with what goes on in the world, and from
the extracts I have troubled it with, that whatever
argument in favour of maintaining a Patent system
may be founded on the claims of inventors, the material
interests of the nation would suffer little from the
cessation of Patents as a stimulus. Unquestionably,
if the system induces some inventions to be made and
published, it deters others. What we gain is a matter
of doubt. That much inconvenience is inflicted by it,
and much disadvantage and very heavy burdens, is no
matter of doubt. It is a case in which we have to
balance the positive disadvantages against the supposed
advantages. To enable the House to weigh these, by
seeing how few inventions we would lose by total
abolition, a few more quotations may be permitted.
Very significantly Mr. Richard Roberts answers:—
“Would the absence of Patents for inventions, in your judgment,
have any effect in producing secret trades; or have you had any opportunity
of judging whether non-patented inventions are used much in
secret trade?—I do not think there is much secret trade, but I know
this, that no trade can be kept secret long; a quart of ale will do
wonders in that way.”
Let me adduce Mr. Woodcroft:—
“Do you think there is any natural tendency or propensity in inventors
to keep to themselves their inventions, or have they a natural
tendency to make them known?—The natural tendency of an inventive
mind is to make the invention known.”
I now adduce the late able Mr. Fairrie:—
“You believe that the same energy of mind would be displayed, and
the same anxiety to make new discoveries felt, whether there were this
hope of protection or not?—I think so; in the case of manufacturers
certainly. I think the great bulk of improvements proceed from the
manufacturers themselves, and not from mere inventors.”
Hear Colonel Reid, so well entitled to speak:—
“Supposing the law were so modified as to make the acquisition of a
Patent easy and simple, and to provide for the publication at the
earliest possible period, do not you think there would be more inducement
to the disclosure of the secret under such a system than if all privileges
of the kind were abolished?—I am inclined to think that the advance
in improvement in all our arts would be greater by leaving them
entirely unshackled.”
Sir W. Cubitt was asked—
“Have you ever been an inventor yourself?—Yes, of many things;
but a patented inventor of but one.
“You have taken out a Patent?—I took out a Patent in the
year 1807.
“Has your attention been at all directed to the advantages or disadvantages
of the present system?—Yes, it has been drawn to the
subject very frequently indeed; but the more it was drawn to it, and
the more I saw of it, the less I approved of it; but with that disapproval
I could not satisfy myself how to devise anything much
better; whether to make alterations, or whether to do away with
Patents altogether would be best, I can hardly determine.
“Will you state, generally, your objections to the present system?—The
objections to the present system are the very advanced state
of scientific and practical knowledge, which renders it difficult to secure
anything. The principles of mechanism being very well known
and very well understood, inventions involving exactly the same
principle and to effect the same object may be practically and apparently
so different, that Patents may be taken out for what is only
a difference in form, intended to produce the same effect, without
there being any difference in principle.”
So Sir W. Armstrong:—
“My firm conviction is, that if there was no artificial reward for invention
you would have just as much as at present.”
Mr. Grove perhaps goes at least part of the way:—
“The Patent is to encourage invention; if, therefore, you would get
the same inventions as we now get without Letters Patent, I would have
no Letters Patent at all. I believe that, with respect to the minor
class of inventions, you would get them.”
Mr. Platt also has his doubts:—
“Is not almost every Patent which is now granted a Patent for an
improvement?—A great many Patents are granted for things which
are no improvement at all.
“I would simply limit the Patent-Law to that extent. I think there
are so many Patents granted that it is a great question with me, I confess,
if Patents for these combinations are to be granted, whether it
would not be better to abolish the Patent-Laws altogether, as it
becomes such a nuisance in conducting a large business.”
How emphatic was Mr. I. Kingdom Brunel:—
“Do you think that there would be an equal inducement for a
man to turn his attention to improvements if there were no Patent-Laws,
as compared with the present state of things, which lead him
to the expectation and hope that he will obtain some exclusive advantage
from the discovery of some new improvement?
“I feel certain of it; I have felt it very strongly, and it always
struck me as surprising that it was not seen by everybody else; but
we have so long been in the habit of considering that the granting of
an exclusive privilege to a man who invents a thing is just and fair,
that I do not think the public have ever considered whether it was,
after all, advantageous to him. My feeling is, that it is very injurious
to him.
“My impression is, that in every class of inventions you would
practically in the end have a more rapid supply and increase of inventions
than you have now; I believe that men of science, and all
those who do it for pleasure as well as for profit, would produce more,
they would be less interfered with by existing Patents, and they
would really produce more; I believe that the working class, the
smaller class of inventors, would introduce very much more. With
respect to that class of inventions, which I believe to be very few in
number, though they are talked of very much, which really involve
long-continued expenses, I believe they would probably be brought
about in a different manner. I wish, however, to have it understood
that I limit my observations to the present state of things. I do not
wish to express any opinion as to what might have been formerly the
effects of Patents, or whether they did originally encourage inventions
or not. I believe that in the first place they are very prejudicial,
on the whole, to a large class supposed to exist of inventors, and
principally from these circumstances: the present state of things is
this, that in all branches, whether in manufactures or arts of any
sort, we are in such an advanced state, and every process in every
production consists of such a combination of the results of the improvements
which have been effected within the last twenty or thirty
years, that a good invention now is rarely a new idea.”
So likewise Mr. James Spence:—
“The evils of the present system are serious. There is a charm in
the name of a Patent which entices large numbers of men to neglect
their own affairs in pursuit of some phantom. Where intellectual
power exists of an inventive character, it will develop itself without
any spur; it is, indeed, irrepressible in its nature. To such minds the
stimulus of a Patent is superfluous.
“Besides the progress of the arts, another change has occurred which
affects this question. Formerly improvements made slow progress,
and unless an inventor were protected for many years he had little
chance of recompense. Now the power of advertising is so great and
intelligence is so diffused, that any really useful invention can be
brought immediately into operation and profit. Were Patents abolished,
any one with an invention of value could find a manufacturer to take it
up. It is true it would be open to the rest of the world as soon as
found out, but the manufacturer would obtain the first start of all
others, in itself a profit. Under the present system the legal protection
breaks down in practice. The moment a specification is published,
competing manufacturers strain their wits to contrive how to reach the
same result through other means or modifications; in other words,
how to infringe. Against this the patentee has no remedy, except proceedings
at law of the most costly nature.
“No change can be proposed in Patent-Law that will not be open to
objections based on individual cases of hardship; but, on a comprehensive
view of the subject in all its bearings, I hold that it would benefit
the country to abolish the system in toto. Manufacturers would be
relieved from present perplexity, delusions would no longer be kept up
by excitement, an enormous waste of money would be stayed; and
whilst the mass of worthless Patents would disappear, any of real value
would be taken up on its merits and produce sufficient remuneration
to the inventor.”
The Report of the Commission, founded on the
evidence of which I have shown the general character,
contains the following just observations:—
“The majority of witnesses, however, decidedly affirm the existence
of practical inconvenience from the multiplicity of Patents. It is
clear that Patents are granted for matters which can hardly be considered
as coming within the definition, in the Statute of Monopolies,
of ‘a new manufacture.’ It is in evidence that the existence of these
monopolies embarrasses the trade of a considerable class of persons,
artisans, small tradesmen, and others, who cannot afford to face the
expense of litigation, however weak the case against them may seem
to be; and a still stronger case is made out as to the existence of
what may be called obstructive Patents, and as to the inconvenience
caused thereby to manufacturers directly, and through them to the
public.
“Other instances will be found in the evidence of particular manufactures
and branches of invention which are so blocked up by Patents,
that not only are inventors deterred from taking them up with a view
to improvement, but the manufacturer, in carrying on his regular
course of trade, is hampered by owners of worthless Patents, whom it
is generally more convenient to buy off than to resist. The evil also
results in another practice, having the same obstructive tendency—namely,
that of combination amongst a number of persons of the
same trade to buy up all the Patents relating to it, and to pay the
expense of attacking subsequent improvers out of a common fund.
From a comparison of evidence, it cannot be doubted that this
practice prevails to a considerable extent. We must also conclude
that when the obstruction is not to be got rid of without the expense
and annoyance of litigation, in a large majority of cases the manufacturer
submits to an exaction, rather than incur the alternative.
“We desire to call special attention to the evidence given by the
First Lord of the Admiralty, and by various witnesses on behalf of
the War Department, showing the embarrassment which has been
caused to the naval and military services by the multitude of Patents
taken out for inventions in use in those departments.
“It has long been the practice, founded on judicial decision, to
consider that the use or publication of an invention abroad did not
deprive that invention of the character of ‘a new manufacture within
this realm.’ It appears to us, and is generally admitted in the
evidence, that the present facilities of communication subsisting
between all parts of the world have done away with the only valid
reason for such a construction of the words of the Statute of
Monopolies. The object of allowing such Patents might fairly be, in
an age of slow international communication, to encourage enterprising
persons to go in search of, and to introduce to this country, useful
processes employed abroad, but not otherwise likely to be adopted
here, for the want of which we should long have been behind other
nations. It does not, however, seem worth while to continue the
same facilities now, when foreign inventions are most frequently
patented in this country and in their native land simultaneously;
especially, as we are well informed, that one result of the practice is
to encourage unscrupulous persons to steal the inventions of
foreigners and to run a race with the legitimate owner to get them
patented here.”
The extracts which I have culled sufficiently prove
that, in the opinion of men selected because they were
competent to speak with authority on account of their
character, ability, and experience, our Patent system
is “generally inconvenient” and is “hurtful to trade.”
Being so, it is inconsistent with the conditions on faith
of which, while other monopolies were prohibited by
the Act, it was spared. But I rest my case on absolute
evils, without regard to that inconsistency. I am sure
nobody can go over the evidence as a whole, or even
those scraps of evidence which I have presented—I
am well aware in a very promiscuous and ineffective
manner—without becoming convinced that the trade
and manufactures of this country are seriously obstructed,
fettered, retarded, harassed, and burdened,
sometimes demoralised, often wronged, or even robbed,
by the multitude and vexatious character of Patents,
and by the claims and conduct of patentees;—that
these Patents, though very numerous, in general
possess little merit, yet often produce large revenues,
the result of exactions from persons who use
them, to the assignees, rather than to the original
grantees,—that the uncertainty of receiving a good
return (in place of which experience shows there is,
in most cases, disappointment or even positive loss),
and the utter incongruity existing between the earnings,
where there are any, and the merits of inventions,
render the system of Patents an exceedingly
unsatisfactory way of stimulating invention or rewarding
inventors;—and that there is wide-spread dissatisfaction
with things as they are, yet despair of amendment,
among the most intelligent of those portions
of the community for whose benefit the system is
plausibly represented to exist.
The evidence goes to show that the poor man and
the working man suffer in two ways. Such cannot
bring their inventions into play for want of capital,
and they could not, even if it were in that respect
different, make head against rich infringers who are
able by the costliness of law proceedings to set them at
defiance. I might allege, also, that while the expenses
of patenting are clearly too heavy to suit the circumstances
of the poor, there is little or no favour shown
by any influential witnesses to propositions for reducing
them, because of the tendency that a suitable
reduction would have to still further multiply Patents.
Surely this indicates sufficiently that there is something
radically wrong in the principle on which we
proceed.
Allow me, while adverting to the case of the
poor, to express my belief that the Patent system
has an effect on wages which demands the serious
consideration of the friends of working men. I believe
it helps to keep wages low. The abolition would work
in this manner: whenever, in any establishment, an
improvement is introduced, the fact of its use becomes,
of course, speedily known throughout the establishment
and in other establishments. The employés who
in their ordinary occupations must come to know
what the improvement is and how to work according
to it—for this is a matter of necessity, especially now
that operations are conducted on a large scale, with
the indispensable aid of men intelligent and independent—very
soon find they are in request. To
prevent their leaving, they are offered an advance,
which itself in its turn may be outbid. The rise which
indisputably would result in the case of individuals
will, in my opinion, tend towards a general rise. If I
am correct in my anticipations, operatives and artisans
are much injured by Patent-Laws. But independently
of this hypothetical advantage, a good system of dealing
with inventors will be beneficial directly to operatives,
by removing from trade the present hindrances.
Having seen how little store there is set on Patents
by eminent engineers, by manufacturers, and by the
public services, let me appeal to eminent statesmen.
Among these I name foremost the apostle of free-trade.
Mr. Cobden told me, many years ago, that he was
opposed to Patents; and at a later period, Oct., 1862,
he wrote:—
“I have a growing doubt of the value and justice of the system,
whether as regards the interests of the public or the inventors.”
Lord Granville, then Vice-President of the Board of
Trade, the Chairman of the Committee on the Patent
Bills, told the House of Lords, on July 1, 1851—
“The last witness was the Master of the Rolls, who, notwithstanding
the experience he had had as one of the law officers of the Crown in
administering the Patent-Laws, and although he took charge of the
first Bill which the Government proposed on the subject, was
decidedly of opinion that Patent-Laws were bad in principle,
and were of no advantage either to the public or inventors....
All the evidence that had been brought before the
Committee, both of the gentlemen who were opposed to the
system of Patents and those who were most strongly in favour of
it, had only tended to confirm his previous opinion that the whole
system is unadvisable for the public, disadvantageous to inventors,
and wrong in principle. The result of the experience acquired by the
present Vice-Chancellor and Lord Chief Justice of the Queen’s Bench
had raised great doubts in their minds as to whether a law of Patents
was advantageous. The Chief Justice of the Common Pleas likewise
had written him a letter, which he authorised him to make what
public use of he pleased, declaring his concurrence in his opinion that
a law of Patents was neither advantageous to the public nor useful
to inventors.... The only persons, he believed, who derived any
advantage from the Patent-Laws were members of the legal profession.
Except perhaps warranty of horses, there was no subject which
offered so many opportunities for sharp practice as the law of Patents.
As regards scientific men, too, the practice of summoning them as
witnesses on trials respecting Patents had an injurious, if not a demoralising,
effect.... They sometimes allowed themselves to be
betrayed into giving a more favourable opinion of the merits of an
invention than was strictly accurate.”
Lord Harrowby judiciously said, in reference to the
proposition then for the first time made to exempt the
Colonies from the incidence of British Patents—
“The colonial refiner would be enabled to avail himself of every new
invention in the manufacture of sugar, to the prejudice of the home
refiner, who would have to pay for the Patent-right.”
Lord Campbell—
“Having been some years a law officer of the Crown, had some
experience as regarded the question at issue, and he begged to say
that he entirely approved of the view of his noble friend, Earl
Granville.”
Sir James Graham, on Aug. 5 of the same year, observed—
“There was also evidently great division of opinion among Her
Majesty’s Ministers upon this subject. The Vice-President of the
Board of Trade, in the House of Lords, when introducing this Bill,
expressed a decided opinion adverse to the principle of Patents altogether.
The noble Secretary for the Colonies (Earl Grey) agreed
with the Vice-President of the Board of Trade, and now it was found
that the advisers of the Crown had put an end altogether to Patents
in the colonies. Was it right, then, to continue a system in England
which had been condemned in principle by the advisers of the Crown?
And were they to legislate upon a question which the divisions in
Her Majesty’s Council rendered still more doubtful?”
Mr. Cardwell, sensibly and patriotically,
“Would remind the House of the case of the sugar-refiners of
Liverpool, who complained of this part of the Bill.”
I need not quote Mr. Ricardo, whose lamented death
prevented him from urging the present subject as he
intended. Allow only the following observations of
Mr. Roche, who on the same occasion—
“Entirely agreed that the Patent-Laws should be abolished altogether.
They might depend on it that nine-tenths of the Patent
inventions, under any law that could be passed, would be nothing less
than so many stumbling-blocks in the way of improvement.”
Here is an extract from the proceedings of the British
Association at Glasgow:—
“Mr. Archibald Smith was convinced that a majority of scientific
men and the public were in favour of a repeal of the Patent-Law,
and he believed its days were numbered. He held it was the interest
of the public, and not the patentees, that should be consulted in the
matter. This was a growing opinion amongst lawyers and young
men of his acquaintance.”
I revert to the injurious influence of Patents in
incapacitating manufacturers to compete with their
foreign rivals, and am able to submit Continental testimony
that such is the inevitable effect. The following
lengthy quotation will suffice from M. Legrand, Auditor
of the Council of State of France:—
“There is in this institution not only an obstacle to the development
of home trade, but also a shackle on foreign commerce.
“The doors which we open by our Treaties of Commerce may by
means of Patents be closed.
“Let an invention be freely worked in Belgium; if in France it be
patented, Belgian produce cannot enter there. Let the contrary be
the case; we cannot export to Belgium the production which is free
with us, but patented at Brussels.
“Let us suppose, for example, that a new colour is patented alone
in France, and that the patentee only permits the manufacture of the
colour on payment of a high royalty: this colour will become dear, to
the profit of the patentee alone, and the detriment of all; its exportation,
or the exportation of articles dyed with this colour, into a country
where the manufacture is free, will become impossible, because in that
country they will begin to fabricate it, and its price will be diminished
to the extent of the royalty exacted for it by the patentee.
“The French producer will necessarily be placed in such a situation
that he will be unable to sustain any foreign competition.
“It is of consequence, so far as it depends on legislators, to place
those countries on the same footing who unite in the peaceful, beneficent
struggle of competition.
“But with the sound notions which prevail amongst persons of
intelligence, it is evident that the uniform solution to which every one
would adhere cannot be one which would recognise Patents.
“The making all discoveries free is the system which alone would
have the chance of being adopted by all nations.
“It would certainly put an end to more injustice than it would
originate.”
I had the pleasure of being present at a numerously-attended
meeting of the Economists of Germany held
at Dresden in 1863, which almost unanimously adopted
a resolution against all Patents; quite in harmony, I
may say, with formal resolutions of commercial and
industrial associations in that country and France.
The House must long ago have been prepared for the
following conclusions, which close the Royal Commission’s
Report on the Law relating to Letters Patent for Inventions:—
“That in all Patents hereafter to be granted a proviso shall be
inserted to the effect that the Crown shall have the power to use any
invention therein patented without previous licence or consent of the
patentee, subject to payment of a sum to be fixed by the Treasury.
“While, in the judgment of the Commissioners, the changes above
suggested will do something to mitigate the inconveniences now
generally complained of by the public as incident to the working of
the Patent-Law, it is their opinion that these inconveniences cannot
be wholly removed. They are, in their belief, inherent in the nature
of a Patent-Law, and must be considered as the price which the public
consents to pay for the existence of such a law.”
This is signed by Lord Stanley, Lord Overstone,
Sir W. Erle, Lord Hatherley, Lord Cairns, H. Waddington,
W. R. Grove, W. E. Forster, Wm. Fairbairn.
The public understood this to mean that the Commission
were by no means satisfied that there should
be any longer any Patent-Law at all. The Journal
of Jurisprudence gives it this interpretation.
But I can adduce a higher and more authoritative
exposition with regard to the views of at least the
noble Lord the Chairman of the Commission. When
the question was put as to legislation in conformity
with the Report, Lord Stanley told this House on
June 10, 1865:—
“The House ought first to have an opportunity fairly and deliberately
of deciding upon that larger question which had not been
submitted to the Patent-Law Commission—viz., whether it was expedient
that Patents for invention should continue to be a part of the
law.”
We all know there is in general society, and even
among politicians and men in business, an acquiescence
almost amounting to approval of Patents in the abstract.
Its existence I attribute to unacquaintance with
actualities. I acknowledge that when the more able
advocates of the system state their reasons, these look
conclusive enough, and would be so if there were but
one side of the case. What we, their opponents,
claim is that our objections be met. This, I apprehend,
cannot be done without, at least, leaving so
much inevitable evil confessed as must turn the scale.
Some of these arguments that we hear are futile and
far-fetched enough to deserve to be repeated. Admitting
obstructiveness, a Chancery-lane writer pleads thus:—
“This very prohibition causes others to exert themselves to invent
different means by which the same or a better result may be obtained
than by the invention which they are prevented from using, except by
payment, and the result is competition, in the highest degree beneficial
to trade, and an unceasing advancement and striving.”
Really no better is the reasoning of an official
witness, who told the Commission:—
“Three-fourths of the Patents, Inventions of Englishmen.—Three-fourths
of the applications for Patents, or thereabouts, are for the
inventions of Englishmen; the remaining one-fourth are for the
inventions of foreigners, for the most part Frenchmen and Americans.
The country in which inventions are of the highest value will draw
inventions to it from all others, and so long as any one country protects
inventions by Patent, so long must all countries protect. Were
England to abolish protection of inventions, inventors would carry
their inventions to other countries. Switzerland does not protect, and
consequently the Swiss take their inventions to other countries.”
Why? What harm though the British inventor
should go abroad to patent or even to work his
invention? He must specify it in the country he goes
to; and cannot, will not, our artisans at once avail
themselves, and revel in the free use, of what he there
records? Call our nation’s not rewarding him a piece
of doubtful policy, or want of generosity; but banish
the notion that our trade will suffer. It will gain.
But there are defenders of very different calibre:
Mr. MacCulloch,[3] Sir David Brewster, Mr. John Stuart
Mill. It is meet I should inform the House what are
their arguments. I find them succinctly stated and
well put in Mr. Mill’s “Political Economy.” I will
read the whole of that gentleman’s observations, interlacing,
for brevity’s sake, very short and unargumentative
dissents, if not replies:—
“The condemnation of monopolies ought not to extend to Patents,
by which the originator—”
Does Mr. Mill know that many an invention is
patented by some person who is not the originator, but
only the first promulgator in Britain; still more often,
who is not the only originator?
“of an improved process—”
I have already shown that the law, rightly read, can
hardly be said to sanction the patenting of a “process.”
“is allowed to enjoy, for a limited period, the exclusive privilege of
using his own improvement.”
Which means, the privilege of debarring all other
people—some of whom may, after him, or at the same
time as he, or even before him, have invented it—from
doing what he is, and they also should be, allowed to do.
“This is not making the commodity dear for his benefit, but
merely postponing—”
For his benefit, and still more frequently and surely
for the benefit of a multitude of other individuals, who
have less claim, or no claim at all.
“a part of the increased cheapness, which the public owe to the
inventor—”
But not to him only, for he invents often along with
others, and always in consequence of knowledge which
he derives from the common store, and which he ought,
as its participant, to let others share, if doing so does
himself no harm.
“in order to compensate and reward him for the service.”
The real service, if it be “service,” is the communicating
his knowledge.
“That he ought to be both compensated and rewarded for it, will
not be denied;”
But it does not follow, surely, even in Mr. Mill’s
logic, that he should be invested with monopoly
powers, which “raise prices” and “hurt trade,” and
cause “general inconvenience.”
“and also, that if all were at once allowed to avail themselves of
his ingenuity, without having shared the labours or the expenses
which he had to incur in bringing his idea into a practical shape—”
But which, very likely, were trifling, and if heavy,
were incurred for his own sake, and may have produced
benefits to himself that sufficiently compensated all.
“either such expenses and labours would be undergone by
nobody—”
Which is a wild assumption.
“except very opulent and very public-spirited persons.”
The former are numerous; the latter ought to be; and
the service is one the nation may well expect of them.
Why should not there be innumerable Lord Rosses,
Sir Francis Crossleys, Sir David Baxters, and Sir
William Browns, promoting beneficent commerce by
their generosity; and why should not manufacturers
systematically combine as an association to procure
through science and experiment every possible improvement?
“Or the State must put a value on the service rendered by an
inventor, and make him a pecuniary reward.”
And why should we not prefer this alternative?
“This has been done in some instances, and may be done without
inconvenience in cases of very conspicuous public benefit.”
Well: that is a great deal; but why not in cases
that are not conspicuous?
“But in general an exclusive privilege of temporary duration is preferable—”
Now, mark the only reasons adduced:—
“because it leaves nothing to any one’s discretion—”
That is, I suppose, Mr. Mill, to avoid trusting anybody—the
danger from doing which is imaginary, or at
least avoidable—would let the nation remain subject to
proved frightful inconvenience and loss.
“and the greater the usefulness, the greater the reward—”
Which, Mr. Mill rightly thinks, is what ought to be, but
it is not and cannot be what happens under Patents;
for, on the contrary, rewards depend mainly on the
extent of use and the facility of levying royalties.
“and because it is paid by the very persons to whom the service
is rendered, the consumers of the commodity.”
Here Mr. Mill appears to regard, and it is right he
should, manufacturers as mere intermediates. Well:
can they shift the burden which they, in the first instance
exclusively bear, from their own shoulders to those of the
consumer? Perhaps they could have done so before the
inauguration of Free Trade; but since that time, the
thing is impossible, and so will it ever be until the day
arrive when either Patents shall apply to all countries,
and in all countries exactly the same royalties shall be
charged for their use, or else they are abolished.
“So decisive, indeed, are these considerations, that if the system of
Patents were abandoned for that of rewards by the State, the best
shape which these could assume would be that of a small temporary
tax imposed for the inventor’s benefit—”
Would he in general get it? And, let me ask, how
collected—how distributed?
“on all persons making use of the invention.”
A thing impossible, however, even for conspicuous
inventions; and to which there is the further fatal objection
that there must be none but such recognised, which
might be unfairness, as it certainly would be partiality.
If, as indicated, a tax on all users and consumers, will
not grants from the Exchequer be in the main fair
enough as to incidence?
“To this, however, or to any other system which would vest in the
State—”
Why the State? Why not let inventors decide?
“the power of deciding whether an inventor should derive any
pecuniary advantage for the public benefit which he confers, the objections
are evidently [!] stronger and more fundamental than the strongest
which can possibly be urged against Patents. It is generally admitted
that the present Patent-Laws need much improvement.”
It is not admitted that they can be made satisfactory,
do what we will; and I contend that no extent of
mere improvement can overcome the objectionableness
of the restraints and burdens inseparable from the
system.
“But in this case, as well as in the closely analogous one of Copyright,
it would be a gross immorality in the law to set everybody free”—
Why, everybody is naturally free, and would continue
free if the law did not step in and cruelly take their
freedom away, doing which is the real immorality.
“to use a person’s work”—
A fallacy—to use, it may be, his thoughts, which, as
soon as they are communicated, are no longer his only—and
not at all to use his “work” in any proper sense.
“without his consent, and without giving him an equivalent.”
As if consent were needed to use one’s knowledge,
and as if there could or should be any equivalent.
“I have seen with real alarm several recent attempts, in quarters
carrying some authority, to impugn the principle of Patents altogether;
attempts which, if practically successful, would enthrone free
stealing under the prostituted name of free trade, and make the men
of brains, still more than at present, the needy retainers and
dependents of the men of money-bags.”
As to “free stealing,” hear what the greatest political
economist of France thinks—
“C’est dans une mesure la même question que le free trade.”
As to the “money-bags,” Mr. Mill plainly is not
aware that the dependence he deprecates is the invariable,
almost the inevitable, consequence of a Patent
system.
I am extremely sorry to differ on a question of
political economy from Mr. Mill. But with all due
respect I submit that he has not, when writing the
passage which has now been given in extenso, realised
what a Patent is in practice. It is the price at which
the State buys a specification. The purchase is a compulsory
one, with this peculiarity, that whereas the
inventor may or may not offer to sell—for he is left at
perfect liberty, as in a free country he ought to be,
whether to patent and reveal (sell) or not—yet if he do
offer, it is the State, the maker of the law, which,
through the Sovereign, voluntarily puts itself under
compulsion to accept the offer, and—with a defiant
violation which the frequency of the deed in my view
makes flagrant of sound principle—pays not out of
public revenues or any funds over which it has legitimate
control, but out of the means of private individuals,
reached and extracted either in the form of
exceptional profits on goods the monopolist makes, or
by his levying of a tax called royalties on any of his
fellow-subjects whom he may of grace, if they comply
with his demands, associate with himself as sharers of
the monopoly.
Such opponents’ impulses are excellent, but their plan
is incompatible with actual pre-existent interests. They
omit to take into full account the conditions of the everyday
world which the statesman has to do with, and might
not unprofitably call to mind a story or parable of juvenile
days wherein certain wise men were represented as, after
due counsel, placing a favourite bird within high and close
hedges in order to gratify their tastes and enjoy melodious
notes all the year round. The conditions of winged existence
had not been taken into account; theory and sentiment
could not be reduced to practice. Favouritism,
constraint, and isolation, being contrary to nature, failed.
The nightingale loved, needed, sought, and found freedom.
To recall another book of youthful days. Think
of Robinson Crusoe, and the many new inventions his
peculiar position required and elicited. Let me suppose
the neighbouring islanders saw for the first time
in his hands a cocoa-nut turned into a cup, in his hut
potatoes roasting in the fire, in his garden guano used
as manure. What would they have thought of
Christianity and civilization, if he, anticipating the
pretensions of modern inventors, had alleged, on the
ground of first use, exclusive property in these manufactures,
processes, and applications, and had debarred
the imitation for fourteen years? The unsophisticated
savages would have said, “We understand and allow
your claims to possess what you yourself make, but
we do not understand, and we dare not allow, your
claim to possess what we make ourselves. You are
welcome to learn what we shall learn, and to do whatever
you see us do. We cannot sell for money the
odours that rise from the fruits that sustain our life;
should we forbid to pick up and plant their seeds that
we throw away? Should we grudge the runnings
over from the brimming cup of knowledge which
heaven puts into the hand, and the froth at the top
which the wind blows away?” Heathens are pleased to
even work at what is good for all according to opportunity.
The fact is, the right of inventors is too shadowy
to have any recognisable existence where there is not
a submissive society to vend to or trample on, and
a complaisant state to compel their submission.
If he were a member this night present with us,
I would appeal to Mr. Mill as a philosopher. Seeing
that the world is so framed that whereas acquisitions of
material property or things cannot be possessed in
common without the share or enjoyment of each person
being lessened or lost, it is universally possible that
any number of persons, however many, can possess
and use, without any diminution of individual enjoyment,
knowledge or ideas in common, do not wisdom and
humanity justly interpret this as an indication that
to interfere is to oppose the order of nature?
Let me appeal to him as a moralist. Seeing that to
so interfere with the communication and enjoyment of
knowledge or ideas by limiting the power and right to
apply inventions to use is to withhold that whereby one
man, without loss to himself, may benefit his fellows, do
not ethics favour the philanthropic course which accords
with the course that Nature indicates?
I appeal to Mr. Mill as a political economist. Seeing
that the order of nature and the promptings of philanthropy
are favourable to the communication of inventions
and their free use, is it the part of a State to provide
for the gratification of the selfish principle in man by
legislation framed to endorse, and facilitate, and almost
to necessitate it?
I appeal to Mr. Mill as a statesman, and ask,
Is it consistent with enlightened policy to place
manufacturers in such a position, that they are constantly
tempted to conceal improvements they are
using, from fear to discover that they are infringing?
Does he know so little of mankind, that he
expects them, the poorest as well as the richest, to employ
(and this would be requisite) suitable agents to
search whether any improvement they mean to adopt
is already the subject of a Patent that renders its adoption
illegal, and also to institute inquiries as to who,
and where, in the wide world, is the holder of the Patent
or Patents, whom in that case he must first negotiate
with and sue for a licence? Does Mr. Mill
think a manufacturer’s time is so free from absorbing
occupations that he can attend to the daily transactions
of the Patent-office, so as to inquire whether such and
such a mysterious application is an unintended, it may
be, but in result an effectual, ousting him from use of a
process that he is about to introduce or has already in
operation? Yet these are the superhuman efforts and
gifts which compliance with, and subjection to, any
Patent system presupposes and requires.
Is it nothing in the eyes of this legislator, whose
absence from this House is so generally regretted, that
by means of the Patent-Laws there are thrown loose on
men in trade thousands of individuals whose interests run
counter to those of society, men trusted with letters of
marque to prey, not on foreign commerce, but on British?
Is it a small matter, that, having surrendered the principle
of discriminating duties leviable by the State for national
purposes, we continue to expose those from whom this
protection is withdrawn to an ever-increasing burden of
taxes, in favour of individuals, levied without State
control or any regard to equality? Does Mr. Mill conceive
it is short of recklessness to continue to stimulate
invention by rewards which often turn out ruinous to
those whom they are meant to favour, and which bear not
the smallest proportion to the cleverness, the beneficial
results, the cost of elaborating, the merits or the wants of
the inventor, and scarcely to the originality and legitimacy
of the claim of whoever is the applicant? Is he
aware that the advantage reaped by inventors, sometimes
very large, is obtained at so frightful a cost that, as
some persons believe, for every pound which actually
reaches him the country loses to the extent of one
hundred pounds? Surely we are asked to obtain our
stimulus by a folly (only his was voluntary, and not
habitual) like that of the fabulous sailor who, for the sake
of a tumbler of rum, swallowed the bucketful of salt
water amid which the dangerous stimulant had by accident
fallen. I honour the candour of Mr. Mill, and I
hope yet to have his concurrence in my views. He
cannot have reflected on and realised actual facts. One
illustration more, and this of another difficulty which I
commend to his attention and that of any honourable
gentlemen who have been carried away along with him,
I give by narrating an incident in my late canvass.
A deputation of the trades of Scotland did the candidates
the honour of submitting to us a very judicious
list of questions. One of these concerned the Patent-Law.
They asked, would I support a motion for
reducing the cost of Patents? I answered I would,
because I think the cost too high for the working
man; but I added that I would rather see Patents
swept away. One of the deputation properly animadverted
on the hardship this might inflict, and he
instanced the case of his brother, who had invented an
improved apparatus for use on board ship. I rejoined
that I accepted the case as sufficient to confirm the conviction
that Patents are on the whole not good, but bad,
for working men or any men. My reasoning was substantially
this: In order to reap his reward, the inventor
is required or expected to visit every ship or shipowner
at the port, and endeavour to get the apparatus
understood, believed in, and adopted; and not at
Leith only—at every Scotch port, every English port,
and every Irish port. But not to let British shipowners
suffer by the inequality of paying, while rivals
use without paying, and at the same time to promote
his own interests, the inventor must take out Patents in
France, Belgium, Holland, and all maritime countries
and their colonies. After he obtains these many
Patents he has to sell his apparatus at all the ports of
those countries. The first thing obvious is, that to do
a tithe of that work the inventor must relinquish his
own business, which is the solid beef in the mouth of
the dog in the fable, for the delusive shadow in the
water. But never mind that in the meantime: after
the business is relinquished, there remains the insuperable
difficulty of conducting a business so much beyond
the power of man as that I have sketched. He might
of course attempt to overcome that by appointing
agents to manufacture abroad or act abroad for him;
but where is the capital to hazard on so great an
enterprise? If he were as rich as a Rothschild, has
he the gift of tongues to enable him to correspond in
all languages? And if he had, how can all this work,
requiring simultaneity, be done at once? The end, of
course, must be, at the very best—the Patents, if,
indeed, actually taken, are sold for a trifle, and the
persons who secure them, which they only do if
valuable, in their turn sell, for a trifle too; so that the
lucky inventor gets but little out of the tens of thousands
or hundreds of thousands of pounds which the
public are made to bear the burden of. Ex uno disce
omnes.
I am unwilling to leave this part of my theme without
adverting to a point which deserves some attention—I
mean the tendency the Patent system has to
lower the tone of men of science. In a quotation from
Lord Granville it is seen to be more than insinuated
that the sacred claims of truth are in danger of being
compromised by the evidence men of science are asked
and tempted to give in courts of law. But the evil of
Patents begins in the laboratory and the closet; for there
is felt the impulse to conceal anything new and likely
to be useful, in order to patent; so that a conflict is
generated between, on the one hand, the theory of the
academic chair which supposes in the very name
“university” universalism, community of knowledge,
and on the other, law-created personal interests, whose
nature it is to stifle the man of science’s inherent desire
to spread knowledge and exchange thoughts in order to
benefit mankind.
But Mr. Mill presents an alternative. I, for one,
have no objection to see it considered. I have long
advocated State rewards; they cannot be condemned
on principle; they are sanctioned by another philosopher.
When I say that I had the honour long ago to
receive the following from M. Chevalier, I am sure of
this House’s attention.
Extract of a Letter from M. Michel Chevalier to Mr. Macfie.
“The Patent system, as constituted in all countries where it is
established, is a monopoly that outrages liberty and industry. It
has consequences that are disastrous, seeing there are cases where it
may stop trade for exportation and even for home consumption,
because it places manufacturers who work in a country where Patents
are established at a great disadvantage in competing with others who
live in States, such as Switzerland, where Patents are interdicted by
law. Practice, experience, which is the supreme authority in the
world, shows daily, in France particularly, that the system is a scourge
to industry. What might be substituted is a system of recompenses,
either national or European, as you have proposed, to be awarded
when practical use has pronounced on the merit of each invention,
and when the originality shall admit of being established. All the
friends of industrial and social progress ought to unite their efforts to
liberate industry from the shackles that have been bequeathed from
the past. That of Patents is one of those which there will be most
urgency to get rid of.”
The Continental Association for Promoting the Progress
of Social Sciences favours such rewards. Allow
me to quote from a Report of M. Tilliere, Avocât of
Brussels, which was adopted by that body:—
“It is proper to introduce, in respect to industrial inventions, the principle
of expropriation [or acquisition for behoof of the public], with a
view to general benefit, in order to reconcile the interests of industry
and the requirements of free trade (libre échange) with the interests of
the inventor.
“It is desirable, for the satisfaction of the same interests, to establish
between the different countries by means of stipulations with reference
to Patents in International Treaties, uniformity of system, and, pursuant
thereto, to provide a depôt where, without the necessity to patent
in every particular country, specifications might be lodged that shall
be recognised and published in all.”
The House will observe that in connexion with the
principle of State rewards, or, what is nearly allied to
it, of expropriation, the Association commended another
principle, that of international arrangements as to inventions.
On the occasion when the report I quote from was
adopted, another eminent French economist, Professor
Wolowski, spoke as follows:—
“The free competition which ought to exist between peoples requires
that Patents should be everywhere ruled by uniform laws. Intellectual
property must everywhere have limits within which there
shall be exchange, in order that its products may everywhere circulate
under the same conditions. International legislation with
regard to Patents is an object to be earnestly pursued. It responds
to the demands of free-trade, satisfies the needs of liberty of manufacture,
and provides a compensation for a shortened term of Patent-right
by extension of area.”
But I come nearer home, and am happy to be able
to quote concurrence in the idea of national rewards
on the part of one of our great staple manufacturers,
the sugar refiners. The refiners of Scotland many
years ago petitioned Parliament in the following
terms:—
“That, in the opinion of the petitioners, it is highly desirable that
your honourable House should devise some means whereby discoverers
of valuable inventions (to whom alone Patents should be granted)
might be rewarded by the State, and trade be relieved from the
restrictive operation and expense of Patents altogether.”
Tending in favour of rewards rather than Patents
is the following evidence, given before the Royal
Commission by Sir William Armstrong:—
“How would you give these rewards in the absence of a Patent-Law?—I
am not prepared to say that. If the country would expend
in direct rewards a tithe of what is paid for Patent licences and
expenses, there would be ample provision for the purpose. As a
matter of opinion, I believe that if you let the whole thing alone, the
position which a man attains, the introduction and the prestige, and
the natural advantages which result from a successful invention and
from the reputation which he gains as a clever and able man, will
almost always bring with them a sufficient reward.”
A successful inventor writes me:—
“I should be very glad to see a good round sum set apart by
Government for the purpose of being awarded to real inventors by
competent and impartial authority. Then the poor inventor might
have some chance.”
It is not out of place to inform the House that so
far back as the earliest years of the Patent system a
precedent can be adduced. In 1625, Sir F. Crane
received a grant of £2,000 a-year for introducing a
tapestry manufacture. There are several other precedents
for similar grants of public money.
Of course, to reward is not to purchase. We do
not buy any man’s invention or secret. But if he
thinks proper, as a good subject, to reveal that secret,
we mean he shall have a substantial mark of favour.
Something like this was, no doubt, the original
intention of Patents; only the favour took the form of
monopoly for introducing and working a manufacture,
whereas we prefer to pay, as soon as the value and
benefits of the invention made can be guessed at, such
a sum of money as will be neither, on the one hand,
from its magnitude made oppressive to the people, nor,
on the other, from insignificance or paltry conditions
unworthy of a noble mind, whatever the rank, to accept.
What is given will be proportioned to merit or service,
and will be, in the fullest sense, a honorarium, a complimentary
gift, a mark of national approbation and
gratitude. We all know, though few of us think of it
as a striking proof how Patents have declined in
public esteem, that among us to be a patentee is by
no means usually reckoned an honourable distinction.
It is the same in France.
“The title of patentee is falling into greater disrepute every day from
the abuse which is made of it.”
This prejudice we must remove, and we can do it. I
believe in the possibility and advisableness of presenting,
as a substitute for Patents, a system of rewards
which will reconcile the honour and interests of men of
science and those of practical men, the interests of the
master and those of his workmen, the interests of the
many and those of the few. Such a system, while
entirely emancipating commerce and industry, must, as
its condition, deal out its rewards more equitably than
the Patent system does, and with more regard to the
just claims of inventors. It must distribute these without
the tedious delays now suffered from. Its rewards
must, in contradistinction to present experience be sure,
easily attainable, and suitable for poor as well as rich.
I respectfully submit the following scheme as one that
at least may form a basis for some system that will
obtain general acceptance.
1. The Patent-office to be turned into an office for
recording inventions.
2. (Forms for specifications to be furnished gratuitously.)
All specifications to contain a certificate that the inventions
promise to be useful, and are believed to
be new, from three persons familiar with the trade
chiefly concerned; one of whom, if the inventor is an
employé, to be his employer.
3. These specifications to be registered.
4. Any time after an invention has been tried and
proved practically useful, a fact to be duly certified, the
inventor to be allowed to claim that the invention shall
be reported on.
5. A Chief Commissioner for Inventions shall appoint
one or more examiners for this purpose, whose duty it
shall be (after, if needful, first visiting the scene
of operations, and conferring with practical manufacturers)
to recommend, if they think it worthy, classification
for a reward, prize, or certificate of merit.
6. Once a year the head of the Invention-office, with
the help of an Adjudicatory Committee, who shall form
an Invention Commission, shall classify the several inventions
that have been in the previous twelve months
certified as having been for the first time brought into
beneficial use.
7. In his classification the first rank shall entitle to a
reward of
£10,000.
2nd
5,000.
3rd
1,000.
4th
500.
5th
100.
6th
50.
7th,
Gold Medal,
or value in money.
8th,
Silver Medal
”
9th,
Bronze Medal
”
10th,
Certificate of Merit.
8. Parliament shall annually place at the disposal of the
Invention Commission £200,000, from which shall be
defrayed the expenses of the staff, and fees to “reporters,”
as well as of the several publications showing
the progress of Invention that shall (as now, but on an
improved system) be issued; the balance to be distributed
in rewards and prizes, with an understanding, however,
that the amount must be reduced if the total awards
of the Commission shall exceed the money at its disposal.
9. In appointing Commissioners Government shall
consult the various trading interests of the nation in
order to select the most acceptable persons. Inventors
collectively might have a veto or the initiative.
10. The prizes may be divided between the originator
of the idea of any invention and the successful introducer
into practical use.
11. Where there are rival claimants, the expense of
deciding priority in respect of time and merit to be
borne by themselves.
12. The Commission to be at liberty to correspond
with foreign nations, and act in concert with any that
shall establish instead of Patents a system of rewards.
13. In cases in which pre-eminent merit, especially if
there has been a course of costly experiments antecedent,
appears to entitle to a reward greater than the largest
in the schedule, Government may propose to Parliament
special augmentations. I do not presume to recommend
Royal decorations and titles, though such honours would
be much valued.
A writer on Patents has judiciously said—
“It would seem very desirable that a system of registration for
all improvements or ideas which an inventor may think of minor
importance should be instituted, whereby any one could, at a
moderate cost to defray expenses, deposit at the Patent-office, a
description of any new idea, improvement, or invention.”
My scheme is calculated to answer this good end.
Here I may fitly call attention to an interesting and
instructive analysis which Mr. Woodcroft submitted to
the Commission. He showed—
Results of the Examination of the first hundred inventions, for
which applications for Patents were made in each of the years
1855, 1858, and 1862 (abridged).
1855.
“Of the first hundred inventions for which applications for Patents
were made in the year 1855, none are apparently of considerable
value.
“Four of the hundred inventions appear to be of some, but not of
great value, and Patents were granted for all of them.
“The remaining ninety-six of the hundred inventions seem to be
of little or no value; and Patents were granted for sixty-six of them.”
1858.
“Of the first hundred inventions for which applications for Patents
were made in the year 1858, none are apparently of considerable
value.
“Three of the hundred inventions appear to be of some, but not
of much value.
“The remaining ninety-seven of the hundred inventions seem to
be of little or no value; and Patents were granted for sixty-two
of them.”
1862.
“Of the first hundred inventions for which applications for Patents
were made in the year 1862, one is apparently of considerable value.
“Of the same hundred inventions one appeared to be of some, but
not of great value.
“The remaining ninety-eight of the hundred inventions seem to
be of little or no value. Patents were granted for fifty-nine of them.”
I conceive, on the basis of this evidence, that the
estimate I am now about to give represents, relatively,
but I will not venture to say absolutely, a fair view of
probable claims. It also affords some guide for anticipating
what, coming from the Exchequer, would be a
reasonable total vote for rewards. Such a sum, or even
a larger, Parliament should willingly grant. It can be
proved to be true national economy. The nation, as
individuals, is paying vastly more now. For that burden
Parliament, by not removing Patents, is alone responsible.
1
at
£10,000
3
at 5,000
15,000
12
at 1,000
12,000
84
at 500
42,000
250
at 100
25,000
400
at 50
20,000
Medals and Certificates of Honour and Merit
1,000
750
£125,000
I am aware that inventors have hitherto drawn such
large sums in some cases (in many or most cases
claiming more than they got), that they may at first
hardly be pleased with my proposal. But they should
remember that the sums set down are those derivable
from one country alone—one of the between forty or
fifty countries which give Patents now. The revenues
from these other countries, therefore, are to be added.
They will also consider that it is optional whether or
not they apply for rewards. Let them work in secret,
if they will and can. But if they resolutely contend
for Patents, let them know the time for abolishing
these is at hand; and abolition may come, if they resist
it, without even this substitute.
I have endeavoured to show what I believe to be
true—that Parliament, when it, by the Act 21,
Jas., 3, tolerated monopolies for inventions, did not
sanction any system at all like that into which Patents
have developed, or degenerated; that, in defiance of
the Act, Patents are granted so as to create the evils
which Parliament expressly sought to shield the nation
from; that recent legislation has aggravated the great
evils that pre-existed; that a Commission has satisfied
itself that no radical or sufficient remedy can be
applied; that the arguments of the defenders of
Patent monopolies are untenable; that the most
eminent statesmen, lawyers, engineers, manufacturers,
and philosophers plead for abolition; that the State
is at liberty, and has the power, to devise, if it wills,
a better method of dealing with inventions, but that
such a method must be one that leaves manufacturers
free, and able to compete with continental rivals by at
once adopting, without any burden of royalties, every
most recent improvement.
To conclude: this great and vital question cannot
longer be deferred. It must be taken up, and that
early, by what is expected to be a working Parliament—a
Parliament, too, which for the first time can claim to
represent labour and operative industry. Parliament
has legislated in order to the preservation of salmon,
and required the removal of obstacles on the coasts
and in the rivers. Here are far worse obstacles,
affecting not a luxury, but all our necessaries of
existence, and every means of earning a livelihood.
Again: are we not asked to remove light-dues at
the sea and tolls on the land? But what are these
unimportant, sparse, and withal equitable taxes, compared
with the close-recurring stoppage and the indefinite
and heavy demands for questionable “service”
which Patents constitute? Yet, again: By arrangement
with France we recently abolished the time-sanctioned
petty exemptions of free-men; but here we
are continuing to levy more burdensome private taxes,
with exemptions in favour of foreigners! It is they,
indeed, whom the provisions of the Patent-Law
strangely serve. Foreign countries are not so liberal
to British subjects as we are to theirs;—why should
they? The number of Patents we grant in a year to
foreigners has increased within a short period tenfold—to
about 880, or about twelve times the whole
number that Prussia grants to her own subjects and
all the world besides. Well may Sir William
Armstrong remark in his evidence:—
“Unless you wish to benefit the foreigner, unless that be the sole
object, as a matter of policy, I do not see what the motive to apply
the Patent system is.”
The same witness said also:—
“Is it the fact that Patents are taken out in this country for processes
which are in operation abroad, but which have not been previously
introduced into this country?—Certainly. A process in actual
operation abroad, which has not been published in this country, can
be made the subject of a Patent.
“Is it practically the case that processes which are carried on
abroad are brought into this country by parties who patent them here?—Yes.
“A great number every week?—Yes, constantly.”
Any one who has followed me in the statements I
have presented will see that, while we have been
retrograding and making our system of monopoly wider
and worse, the Continent, to which a Patent system
was first introduced just three-quarters of a century
ago, is ahead of us in respect of the prudence with
which exclusive privileges are granted and administered.
There, as a rule tolerably general, Patents of
importation are treated less liberally than those
granted to inventors. The early and almost continuous
working of the Patent within the kingdom is
required; it lapses when expiry abroad exposes to
foreign competition; expropriation is provided for;
there is more scrutiny; medical appliances and food
are excluded, &c.
But this is merely one, and a comparatively unimportant,
fault of the system. There are many faults,
as we have seen, much more serious, and which the
Commission deem irremovable. I must, therefore,
protest against injury done by the Patent system to
our manufacturers and artisans, and through them to
the nation.
These interests, the interests of us all, cannot with
impunity be subjected longer to the hardships that I
have endeavoured to expose. Times are changed.
British and Irish manufacturing pre-eminence is passing
away, not indeed by its actual retrogression, but
by a simultaneous and relatively more rapid progression
of rivals on the Continent, who, in not a few cases,
are competing successfully, even in our home markets,
in those articles of commerce and manufacture in which
but lately we, perhaps conceitedly, supposed we had
outstripped, without a chance of being overtaken, all
conceivable rivals. The motion, of which notice has
been given, is:—
“That, in the opinion of this House, the time has arrived when
the interests of trade and commerce, and the progress of the arts and
sciences, in this country would be promoted by the abolition of
Patents for inventions.”
Unless, indeed, Government and the House prefer in
the first instance fresh inquiries through a Committee or
Royal Commission, in behalf of which course it is fair to
allege the circumstance that artisans and operatives were
not represented among the witnesses in former investigations,
I submit that this motion ought to be at once
adopted. Such action on our part will commend, and, in
a sense, inaugurate, a principle which the nations of the
world, who copied our present system, will not be slow
to appreciate and embrace. Restoration of that effete
system to its earlier moderate dimensions—rectification,
however thorough, of the wrongs it involves towards inventors,
will not suffice, and need not be attempted.
The time has come, not for palliatives nor remedies, but
for removal out of the way.
[2] Another illustration naively presented us, even by Mr. Hindmarch,
of the characteristic logic and boldness of the Patent interest,
which may surprise “inventors’ friends” accustomed to rely that our
system of Patents is legal and constitutional, will be found in the
Appendix.
[3] What would Adam Smith think of his commentator?
SPEECH OF SIR R. PALMER, K.B., M.P.
Sir Roundell Palmer, in seconding the motion,
said he had long felt convinced that this subject was
one of great and growing importance, which it would
be necessary at an early period to bring before the
attention of the House. He rejoiced that it had been
undertaken by a practical man like the honourable
member for Leith, who could speak upon it, not under
the influence of any of the partial views which possibly
those who looked at it from a lawyer’s point of view
might be thought by some to entertain, whether they
were in favour of or against Patents. He was glad to
find that practical men like his honourable friend had
arrived at conclusions which, in their broad principles,
were substantially the same as those to which many
members of the legal profession, who had had a good
deal of opportunity of observing that matter, had in
common with himself, come. He was bound to state
that he thought the time had arrived rather for
opening than for concluding the discussion of that
subject; and, therefore, he hoped he should not be
thought to do anything inconsistent with the duty he
had undertaken in seconding his honourable friend’s
motion, when he said at once that, for his own part, he
was inclined to go to the root of the matter and
abolish Patents altogether, and not attempt to substitute
even such a system—although it might probably
be preferable in many respects to the present system—of
rewards, as his honourable friend had mentioned.
Of course those who derived benefit—whether they
were the public or were private individuals—from the
discoveries that might be made if Patents ceased to
exist, might always take into consideration the value
they received, and pay for that benefit, as he believed
the Government now did, although it was not bound
by Patents, with respect to improvements which were
useful to the public service. But that, he conceived,
would be a very different thing from an organised
system of rewards at all analogous to the present
system of Patents. He might mention, in passing, a
third plan, which had found very able and authoritative
advocates, and which he should also greatly prefer
to the present system, although he thought total
abolition would be better than that likewise. He
referred to the plan of putting an end to the notion
that every person who invented anything had a right
to a Patent, and recurring to what, he imagined, was
originally the principle intended—namely, the giving
of Patents as a matter of grace and favour in well-selected
and discriminated cases, in the exercise of a
discretion by an authority entrusted with that discretion.
But, as he had already said, he confessed
that he himself was not for half measures in that
matter. He thought they had a right, as the motion
proposed, to say that at the period of progress in the
history of the arts and of trade in this country at
which they had arrived, they could do much better
without these props. He called them props because
he thought they were meant to be so, but he believed
that at present they were nothing but obstructions
and hindrances to trade and the arts. Let him, in the
first place, notice the principle on which the Patent-Law
was generally supported. Some persons imagined
that there was a sort of either moral or natural right
in inventors to some such protection as was given by
Patents, and the principle was sometimes expressed in
this way—that a man had a right to the fruit of his
brain. Now, he held that invention and discovery
were essentially unlike Copyright. Copyright applied
to a creation: a man wrote a book; he thus brought
into existence something which had no existence in
the nature of things before. The rest of the world
were not in the race with him to write that particular
book. But in the case of inventions and discoveries,
the facts with which they were concerned lay in
Nature itself, and all mankind who were engaged in
pursuits which gave them an interest in the investigation
for practical purposes of the laws of Nature, had
an equal right of access to the knowledge of those
laws and might be equally in the track for obtaining
it. All who were engaged in particular arts and
manufactures were actually upon the track which led
to the discovery of the useful application of those
laws; and the knowledge of them was the common
stock and property of all mankind who were equally
in pursuit of it. He could not allow that the man
who was first in the race of discovery could claim for
fourteen years, or any other term, an exclusive property
in a portion of the common stock of knowledge which
was accessible to all who used the proper means of
discovering it. It could not be said that on any considerations
except those of public advantage and
expediency the man who made the first discovery of
a law of nature, or the right mode of applying it had
an exclusive right to apply that discovery for a certain
period. It was said, however, that Patents were useful
to the public, either as stimulating invention, or as
insuring the publication of useful discoveries; and he
did not venture to say that the time might not have
been when they answered both of those purposes.
Bounties and premiums might be adapted to a rude
state of the arts, and an early stage in the progress of
commerce, but when a nation had reached so high a
degree of progress in all ingenious arts and discoveries
and in trade and commerce as we had, he thought that
in this department, as well as in others, the system of
bounties and premiums was much more likely to be
mischievous than useful. But of course one could not
demonstrate that point by resting merely on an
abstract proposition, and therefore he would ask the
House to look at two or three things which it seemed
to him would put the matter in a strong practical
light. Patents might be divided into those which
might be popularly called meritorious, and those
which were not meritorious. The former class were
certainly not one in a hundred of the total number of
Patents, and the latter class were very numerous in
every year. How, then, did the system work as
regarded meritorious Patents? He supposed it would
be admitted that among the most meritorious discoveries
of recent times were the steam engine, the
electric telegraph, and the screw propeller for ships.
These cases furnished excellent illustrations of the
way in which the Patent system worked. Take the
electric telegraph. According to the evidence on the
subject it was not possible, even for those who best
understood the matter, to say who was entitled to the
merit of that invention, so gradual and imperceptible
was the natural growth and progress of knowledge and
discovery in reference to it. But about 400 or 500
Patents had been taken out as marking different steps
in the investigation of that subject. As to the screw
propeller, he had seen a book which represented the
collected Patents of one company as being 90 or 100;
and he understood that the case was very much the
same in regard to the steam engine. They were not
dealing, in the case of the most meritorious inventions,
with a true discovery by a single inventor, but with
an important branch of practical knowledge at which
many men were working at the same time, and in
regard to which each step attained indicated the next
step that was to follow, and many persons together
were on the road. Well, but if they were on the
road, the public would get the benefit of the discovery,
and the question was whether, by enabling each person
on the road to stop up the road at his particular point,
they were not really retarding the progress of discovery,
and throwing difficulties in the way of even
the most valuable inventions. There was no one
better acquainted with that subject than a friend of
his—a gentleman very eminent both in science and in
law. He meant Mr. Grove; and those members of
the legal profession who had to encounter Mr. Grove
in a Patent case knew they had a very difficult task
indeed before them. Now, here were the words of
Mr. Grove in reference to that subject:—
“Always when a discovery has been made when the public has reaped
the fruits of it, there is no case, and never was a case, either in the
history of pure science or in the history of practical discovery, where
it is not alleged, ‘If you look at such a book and such another book,
you will find that so and so has been done, and you will find that it
has been anticipated.’ That is partly true and partly false. There
are in all such cases approximate anticipations. The difference is, that
one man gets at the points, hits the real thing which will do it, and
the reason why it will; whereas other people, although they may have
got the thing, have not acquired an accurate knowledge which will enable
them with certainty to produce it.”
That showed the House that the race was often so
close that even the man who had hit the thing might
be shut out by somebody else who did it a trifle better.
Nothing could be more true than that. Would the
House allow him to quote the example of a very
important Patent, which he thought would make the
matter clear, and indicate how much they might lose
by a system of that description. For a very long
time the distillation of oils from shale and coal had
been a matter of the common knowledge—aye, and of
the common practice, of mankind. Early in the
present, or towards the end of the last century, it was
practised by means precisely similar in all points to
those which the present patentees used in this country.
But it was not known commercially that there was
such a thing as paraffin, nor was it known commercially
how to distil it. The oil was, indeed, obtained
in a rough way, and without that nicety of discrimination
which afterwards resulted from scientific knowledge
of the article itself. All chemists knew that in
order to distil these oils it was necessary to keep the
temperature as low as possible. This was the state of
knowledge when a great German chemist discovered
that by operating on wood, tar, and other substances,
he could produce paraffin in small quantities. He also
said it could be got from coals in precisely the same
way as was subsequently done by patentees in this
country. But still the German chemist’s experiments
were of a scientific and not of a commercial character.
He neither produced it commercially nor did he hit
upon the material from which it could be commercially
produced. The same oil could be produced from shale.
Only the other day there was discovered in Scotland a
new kind of mineral, as to which the scientific world
were at variance whether it was coal or shale. Patents
had been already taken out for distilling oil from shale,
and, therefore, if the newly-discovered substance were
shale, oil could not be obtained from it without an
infringement of those Patents. But a Patent was
taken out by a gentleman who stated that his object
was to use bituminous coals for the purpose of distilling
paraffin. In point of fact, he hit upon a mineral
which was in ambiguo, whether it was coal or shale,
but which the authorities ultimately pronounced to be
coal. From this substance the oil could be produced
in large quantities. This gentleman took out his
Patent, notwithstanding all the previous knowledge
on the subject, and notwithstanding the fact to which
the learned judge who decided the case in one of its
branches referred in the following terms:—
“There is ample evidence that the attention of practical chemists
was previously to the date of Young’s Patent laboriously directed to
discover the proper material and the proper means of producing these
articles in sufficiently large quantities for common purposes.”
The public literally had in their hands all the necessary
elements of knowledge belonging to the subject, and
yet the first person who found that this particular coal
was more bituminous than others excluded the rest of
the world from that manufacture for fourteen years, and
of course amassed a large fortune. Substantially, the
test in the courts of law was whether a man had made
money and brought the manufacture into use. If so,
the courts assumed that all previous knowledge was
inadequate and useless, and the man who was successful
in the manufacture was regarded as the discoverer. Was
it not quite clear, however, that the public were so
far on the road to this discovery that it would have
assuredly been found out and enjoyed by the public at
large if the path had not been obstructed by the Patent?
He would now mention another case. In the days of
our youth mills were much infested with flour flying
about in them. All the millers, both in this country
and abroad, wanted to get rid of this nuisance, and
they were possessed of the scientific principle and the
mechanical means by which this desirable object would
be accomplished. They tried experiments with fans
which created a draught to draw the air from the millstones,
and everything depended on the adjustment of
a plan to draw just sufficient air and no more. People
were actually on the road, and were doing the thing in
an imperfect way, but in such a way that if they had
continued after the granting of the Patent it would
have made them infringers of it. But the man who
proposed to do just enough, and no more, was held to
be entitled to a Patent, whereupon all the millers in
England combined to go into litigation in order to
defend themselves. Law-suits of the most enormous
and oppressive magnitude resulted simply from the
circumstance that a man had been allowed to step in
and prevent the millers from carrying on their business
in the best way. That they would have found it out
was certain. That was certainly the impression on
his mind. He thought it was almost certain that
the discovery being in the direction of their necessity,
and depending on the application of a known principle
and of known mechanical means, was a discovery which
could not in the course of nature have been long delayed.
Having said thus much about those Patents which
were meritorious, he would make a few remarks on those
which were not. A great number of Patents were
simply frivolous, and related to practical nothings,
but still nothings affecting trades, and standing like
lions in the path to frighten tradespeople, and to expose
them to risk, litigation, and annoyance, if they
manufactured those articles which they ought to be at
liberty to manufacture. Then there were other Patents
of a less frivolous nature. They related to some little
combination of a kind which really was so plainly in
the open path, that everybody ought to be at liberty
to use it. These, however, furnished the staple of the
great majority of Patents, which, though they did no
practical good, operated to a great extent in hindering
subsequent inventors in effecting further improvements,
because these Patents covered almost the whole ground
of everything that could be possibly done. An inventor,
unless he paid a tax to the owners of prior
useless Patents, was exposed to litigation, and even if
he were willing to pay the tax, the owners of the prior
useless Patent might refuse to grant him a licence.
Thus for the space of fourteen years these useless
Patents might not only do no good to the public, but
might actually stop the road to all further improvement
during that long period. On this subject evidence
had been given by three persons of eminence—Mr.
Scott Russell, Sir William Armstrong, and Mr. Platt.
These gentlemen agreed in saying that the useless
Patents to which he had just referred were a practical
nuisance, and, if so, it was obvious from their number
that they must be a very great nuisance. Mr. Scott
Russell said:—
“There are a great many Patents of this kind (practically useless,
but not appearing so on the face of them) taken out for boilers of
steam-engines, and boilers of steam-engines admit of very enormous
variety of shape and proportions, without damaging their efficiency.
The consequence is, that it is hardly possible at this moment for a
man having to scheme a boiler for a new situation or new circumstances
to avoid putting his foot in so doing into a trap which somebody
has previously set for boilers.... Nearly the whole of the
Patents for the boilers of steam-engines at this moment are of no
practical value to inventors or to the public; but they are continually
getting every man who makes a boiler into a scrape with some
patentee, because almost every conceivable form of boiler having been
previously patented, and bit of a boiler, one cannot make any sort of
boiler without infringing some man’s patent.”
He said precisely the same thing of screws. Then
Mr. Platt, a well-known machine-maker, said:—
“I think that there is scarcely a week, certainly not a month, that
passes but what we have a notice of some kind or other of things that
we have never heard of in any way, and do not know of in the least,
that we are infringing upon them; and the difficulty is to get at any
knowledge. We may be now infringing, and may have been infringing
for years, and a person may have been watching us all the
time, and when he thinks that we have made a sufficient number, he
may come down upon us, and there is no record. If a thing is
entirely new, there is a record by getting a description; but what I
mean by a description is this—A very large number of Patents are
now taken out for what is termed a combination of known things for
the same purpose, and the descriptions of those Patents are generally
so bad that it is impossible to tell the parts that are actually patented.
It is only when you come into court, or after making some compromise
rather than go to that expense, that you ascertain that fact, and
very likely they themselves in many cases do not know the parts that
they have actually claimed. It appears to me that, as to that question
of combination, the granting of Patents for things to do precisely the
same work in the same machine, with the addition, perhaps, of a chain
or a couple of bolts, or the form of the lever changed, a straight lever
made into a compound one; in matters of that kind it has become a
very serious question as to conducting a large business.”
These were examples which it would be very easy
indeed to multiply, and if the objections he had
urged against the meritorious Patents were well
founded, what could be said in favour of the large
proportion of Patents which were thus simply obstructing
the trade and commerce of the country?
Could any one doubt that in this advanced era of
knowledge the public would gain, on the whole, by
the abolition of the Patent-Laws? Before he left that
part of the subject he wished to mention one very
pregnant fact. There was in this country a powerful
consumer—he meant the Government—which, with
respect to fire-arms, cannon, ships, and things of that
sort, would be placed in a very singular position
indeed if it were subject to the Patent-Laws. During
the time he had the honour of being a law officer of
the Crown, an extensive war was, as the House was
aware, unfortunately raging, and a large number of
Patents had come under his consideration in connexion
with so-called improvements in ordnance and ships.
It would be seen from the evidence to which his
honourable friend had referred that the authorities
at the War-office and the Admiralty had patentees
swarming like hornets about their ears, and that the
public service seemed, in consequence, likely to be
obstructed to a very inconvenient extent. The
question was then tried whether the Crown was
bound by Patents at all, and a decision was obtained
to the effect that it was not. But while the Crown
was free it should be remembered that the people at
large were subject to the law as it stood, and if in the
case of the Government the claims of patentees were
found to be monstrously inconvenient, it might not be
difficult to believe that they operated in the same way
in the case of the rest of the world also. He should
not enter into the minor details of the improvements
which had been recommended by the Commission, but
there was another point to which he wished briefly to
advert before he sat down; he alluded to the question
of the protection of the public against invalid and bad
Patents. The whole argument in favour of Patents
proceeded on the supposition that the public were
likely to be really benefited by some discovery which
was worth the price of all the inconvenience and
obstruction to which they were exposed under the
present system. But if they said that they gained
nothing by the Patent, and that they only wanted to
be set free, what was the position in which they
stood in reference to the cardinal point of protection
against bad Patents? Was there really any protection
in that respect in the duties which were discharged by
the law officers of the Crown? It was impossible for
the law officers of the Crown, acting on the mere
statement of the patentee, to know with certainty
whether a so-called discovery was new or not. They
could only examine into the question whether an
alleged invention, as described on the face of it, was or
was not satisfactory, but they could in no way protect
the public against having an old thing put forward as
a new, or a useless as a useful invention. Indeed, the
attempt by means of any sort of preliminary investigation
to establish the utility or inutility of a Patent
must, in his opinion, necessarily fail so long as the
granting of Patents was a matter of right and not of
discretion. And what was the result when a Patent
came to be disputed in a court of law? Everybody
was aware that such litigation had acquired a reputation
infamous beyond every other. In the Paraffin
Oil Company’s case, which had been referred to, the
time occupied before Vice-Chancellor Stuart was not
less than thirty whole days. Why was so large an
amount of time consumed in those cases? Because it
was necessary to enter into the whole history of the
discovery in all its numerous stages, and to beat up
witnesses all over the country, so that a voluminous
mass of scientific evidence had to be produced. That
was the reason why the expense in those cases was so
enormous, while the public were in every point of view
placed at an immense disadvantage, for the presumption
was in favour of the patentee, who, if he happened
to have succeeded in an action against another person,
was entitled to have the fact put in evidence in the
case, and might subject his opponent to extra costs.
But that was not all. In a case, he believed, of a
Patent for the purifying of gas by the use of metallic
oxide of iron, it came out that there were two kinds of
oxide, the hydrous and the anhydrous, and that the
one would effect the object while the other would not;
but, because the terms were general, although everybody
who tried the experiment might arrive at the
result desired, the Patent was held to be bad, and
another person who took out a Patent for the hydrate
had his Patent made good. Lord Westbury, who was
as well acquainted with the subject as anybody who
had in recent times occupied the woolsack, said in 1862,
in speaking on that point:—
“To vitiate a Patent by prior publication, whether in a prior specification
or in a published book, &c., the antecedent statement must be
such that a person of ordinary knowledge of the subject would at once
perceive, understand, and be able practically to apply the discovery
without the necessity of making further experiments. If anything
remains to be ascertained which is necessary for the useful application
of the discovery, that affords sufficient room for another valid Patent.”
It would be seen, he thought, from what he had
stated, that the public were placed at a great disadvantage
in the contest. In dealing with Patent cases
in a court of law there was generally a vast array of
witnesses to be examined, consisting of mechanics,
chemists, and scientific men of all sorts on one side
and the other. Then there were the jury, who knew
nothing of the subject, and the judge, who might be
placed in a worse position, because he might imagine
he understood all about it when he did not. He did
not, of course, mean to say that the judge did not
sometimes understand it, but it might very easily
happen that an ingenious professional witness might
so argue the case under the form of giving evidence as
to lead the judge to think that he really knew all
about it when such was not in reality the fact. Then
the bias being in favour of the patentee, the result of
such trials almost invariably was, that if the matter
happened to be of any practical importance, the public
were defeated, after having endeavoured to protect
themselves at an enormous expense. He would not
enter into minute details, but probably he had said
enough to show that a great practical evil arose out
of Patent-Laws, and that for this evil there was little
or no corresponding benefit. He did not think that
we should lose really valuable discoveries if the
Patent-Laws were abolished. There might be some
rare instances in which particular circumstances might
give to particular inventors motives for suppressing
and facilities for suppressing discoveries which were
not patented. But, assuming that to be possible in
some cases, it operated even now, for it was well
known that Patents were bought up for the purpose of
being suppressed, and it was understood also that
inventors were the persons who derived the least
advantage from their inventions. His conclusion,
therefore, upon the whole matter was that the time
had at last arrived—even if it had not arrived some
time ago—at which the public interest would be
promoted by the entire abolition of the present
system of monopoly.
[This speech and the succeeding one have been obligingly revised
for the press by the speakers.]
SPEECH OF THE RIGHT HON. LORD STANLEY, M.P.
Lord Stanley said that, agreeing substantially in the
arguments of the honourable and learned gentleman who
had just sat down, he should not have troubled the
House if it had not been for the circumstance that he
was chairman of the Royal Commission which sat upon
the question of the administration of the Patent-Law
some years ago, and he thought, therefore, that it might
be expedient he should state what was the result which
that inquiry produced upon his mind. There was
no doubt that, quite apart from the principle of the
law, the details of the law, as at present administered,
were not satisfactory; and, if the law were to continue
in any form, he believed that in the report of that
Commission various suggestions would be found by
which the most prominent objections to its present
working might be removed, and fair trial might be
given to the principle itself. But it was impossible to
carry on an inquiry of that kind, even limited as it was—it
was impossible, at least, for him, and he believed he
was not the only one in that position—without finding a
doubt raised in one’s mind whether any Patent-Law could
be framed in such a manner as not, upon the whole,
upon the balance of good and evil, to do more harm than
good. That conclusion, he was bound to say, was
totally opposed to his earliest impressions upon the
subject. He resisted it for some time, but the more he
had to look into this matter—the more he had to consider
how great were the practical abuses and inconveniences
of the existing system, and how difficult it
would be to remedy them—the more clearly it appeared
to him that the evil was really irremediable, being
inherent in the principle itself. On this subject of
Patents there had been a certain amount of prejudice,
particularly in the minds of literary men, who appeared
to think that Copyright was only a modification of the
same principle, and that if Patents were abolished Copyright
would follow. The analogy seemed a plausible
one, but he thought that, on being looked into, it would
not hold water. The difference was simply this: He
did not rest it on any abstract ground as to the distinction
between invention and discovery, but on the
obvious fact that no two men ever did or ever would
write, independently of one another, exactly the same
book; each book, be it good or bad, would stand alone;
whereas it might happen, and often did happen, that
two or three men, quite independently of one another,
would hit upon the same invention. That alone established
a distinction between the two cases. He was
not disposed to place the objection which he entertained
to the system of Patents upon the ground of any abstract
impropriety in giving a man a property in ideas. To a
certain extent you did in the case of Copyright recognise
a certain qualified and temporary property in ideas; and
if it could be shown that a man’s ideas had been of a
nature to add greatly to the wealth of the country, he
did not think that any abstract considerations of the
kind mentioned by the honourable member (Mr. Macfie)
would induce anybody to grudge to such a man any
reward to which he might fairly be entitled, provided
that that reward could be given in a manner free from
objection on other grounds. The objections which he
felt to the principle of Patents were threefold. In the
first place, you could hardly ever secure the reward
going to the right man. In the next place, you could
not establish any proportion between the public service
rendered and the value of the reward received, nominally,
for that service. And, thirdly, you could not by any
arrangement that he had been able to discover, prevent
very great inconvenience and injury being inflicted upon
third parties. With regard to the first point—the difficulty
of securing that the reward should go to the right
man—it must be remembered that a Patent did not, as
some people supposed, bring to the holder of it an immediate
pecuniary recompense. All that it did was to give
him a right to prevent any one else from using his
invention without paying for it, and if that Patent were
infringed he was entitled to take legal proceedings. But
everybody knew that law was costly, and that Patent
suits were the most costly of all. It was notorious that
Patents were continually infringed by persons who well
knew they were infringing them, but relied upon the
inability of the inventor to incur the expense of defending
his property. If a poor inventor took out a Patent,
and the Patent promised to be productive, in nine cases
out of ten he was obliged to sell it to some one who
could command capital enough to defend it in a court
of law. If the Patent remained in his own hands, it was
quite sure to be infringed, and then he would probably
be crushed by the law expenses. He did not know
whether it would be possible to obtain accurate information
upon this point, but he really did not
think he should be exaggerating if he said that in
nine cases out of ten—probably in 99 out of 100—the
reward was obtained, not by inventors or their representatives,
but by persons who had bought the Patent on
speculation and at a very low rate. He said at a low
rate, because there was a great deal of uncertainty about
such property, and until a Patent was tested by actual
working you could hardly say whether it was valuable
or not. What was the practical effect of this? Why,
that a few great firms in any branch of business, buying
up at a low rate any new Patent applicable to their business,
and prepared to fight for it, could so hamper other
competitors as to secure a practical monopoly. The reward,
therefore, did not, as a rule, go to the men who,
on the ground of the public service rendered by them,
were intended to receive it. As to the second point—that
the reward might be great and the public service
very small—that had been dwelt upon by the honourable
and learned gentleman opposite, and little need be added
to what had been said by him. The merit and novelty
of the invention might in many cases be almost nothing,
and, yet however obvious it might be, however much it
might lie, so to speak, in the high road of discovery, if
it applied to any article of general use, the pecuniary reward
derived from it might be absolutely out of proportion
to the novelty or value of the invention. It would
be easy to give instances, but he apprehended that the
fact was familiar to every one who had studied this question.
Then, with regard to the injury to third parties,
it commonly happened that half-a-dozen men who were
competing in the same line of business were upon the
track of the same discovery. Each of these half-a-dozen
men would probably have hit upon the invention which
was wanted, independently and without communication
with the other. But the first who hit upon it, and who
took out a Patent for it, was thereby entitled to exclude
the general public and competitors from the use of that
which, if he had never existed, they would probably have
hit upon within a few weeks. A and B reached the
same point, one a week or a fortnight before the other,
and A became entitled, by the mere accident of such
priority, to exclude B from a process which, a little later
on, B would have hit upon for himself. Another case
was that where the successful working of a process
depended not upon one, but upon several successive
inventions. The first two or three, not leading to any
immediate practical result, might not have been thought
worth patenting. The last link in the chain gave to
the whole their commercial value, and it was the
person who took out the Patent for the last invention
who got the benefit of the whole, yet it might not be
the most important invention in the series. He would
say nothing of the inconvenience and prejudice to manufacturers
in general. That was obvious enough, and the
question was whether there was any counterbalancing
advantage. These were the considerations which led
him to the conclusion that it was impossible to defend
our system of Patent-Law as it stood. At the same
time, he did not at all disguise from the House that
there were certain inconveniences and difficulties in the
way of abolishing Patents altogether. You had to guard,
in the first place, against the danger of encouraging
inventors to keep their discoveries entirely to themselves.
In some branches of business, no doubt, that would be
possible, and the obvious effect might be to shut out
the public, for a much longer period than would be the
case if Patents were allowed, from the use of some
valuable invention. Then it had been suggested by the
honourable member who raised this debate that there
might be a system of State rewards for the encouragement
of really meritorious inventions. Without putting
an absolute negative on that plan, he must observe that
it was one which could only be established at great cost,
and it would be a very difficult thing to apportion among
inventors the rewards to which they might think themselves
entitled. The distribution of the rewards would
give rise to endless complaints, and would occasion,
however unjustly, suspicions of jobbing and partiality.
With regard to the suggestion thrown out by the
honourable and learned gentleman, of the possibility of
granting Patents, not as a right, but as matters of discretion
only in certain limited and important cases, the
Select Committee considered that point, and he was bound
to say that the difficulty of carrying it out appeared to
his mind almost insuperable. There would be found
great difficulty in drawing the line, and it would not be
an easy matter for any one to exercise so large a discretionary
power as to decide to what inventions Patents
should or not be granted. He did not know what
tribunal would be fit to exercise so great an authority,
and he was sure that none would be able to exercise it
in a manner to give satisfaction to the public. The
most fit persons to decide in such a case would be the
first to see the difficulty of deciding on any intelligible
principle, and would on that ground decline to undertake
the duty. Under these circumstances it appeared that
they were landed in a position of great embarrassment.
He was convinced that the Patent-Laws did more harm
than good, and if called on to say aye or no as to their continuance,
he should certainly give his vote against them;
but, as this was a matter which required particularly
careful handling, he should be content to leave the
question in the hands of the Government, and he
thought it was well worth consideration whether they
could not, starting on the ground that the abolition of
the Patent-Laws, wholly or partially, was desirable, institute
some inquiry with the view of discovering, if
possible, the best substitute for them in certain cases.
PATENT RIGHT.
Paper by Mr. J. Stirling, Presented to the Glasgow Chamber
of Commerce, and published by permission.
First: Patent-right cannot be defended on the
ground of justice.
The object of a Patent-Law is to establish a
“property in ideas:” but this involves the double
fallacy that thought can and should be appropriated.
The end of all law is to ensure the universal freedom
of human action. Hence the law of property secures
to every man the product of his own labour. It gives
to each an exclusive right to the material embodiment
of his productive energy, to be possessed or alienated
by him at will. But in so doing it leaves unrestricted
the productive energy of every other man. The
freedom of one (as represented by his property) is
thus consistent with the freedom of all.
But thought cannot be appropriated. In thought
there is no material product to be made the object
of a proprietary right. There is no “thing” to be
possessed or alienated. The law can only, therefore,
give the exclusive use of an idea to one person by
injuriously limiting the intellectual activity of all
others. A Patent-right, therefore, is less a “property
in ideas” than a monopoly of thought.
Again, a true right of property is universal in its
application; it extends to the products of all industry,
however humble. But it is instinctively felt, that a proprietary
right applied to every individual idea would be
essentially absurd. Patent-Law, therefore, is essentially
partial in its application. It picks out certain favourite
ideas, and confers on them an anomalous and oppressive
privilege. There seems no good reason why the ideas
of inventors should be especially favoured. An invention
is a means to a special end, and should be
recompensed by him who has the end in view. If
any ideas deserve a public recompense, it is those
general ideas whose application is of universal utility.
But Patent-Law ignores the discoverer of general ideas,
and while conferring rewards, at the expense of the
community, on empty schemers and puffing tradesmen,
it passes over the services of a Newton or an Adam
Smith. The law of Copyright, indeed, gives to the
philosopher a right of property in his published and
material works, but it leaves (most justly) his ideas to
be used and elaborated by whoso can and will.
Again, Patent-Law is founded on a conventional,
not a natural, right. It is not, like the ordinary law of
property, based on an universal intuition of the human
conscience, but it is one of those laws by which unwise
legislators have striven so long and so vainly to give
an artificial stimulus to human industry. Hence the
arbitrary nature of its enactments. The ordinary right
of property is unlimited in its duration—passing
from generation to generation. But common sense
revolts, instinctively, against a perpetual monopoly of
thought. A Patent-Law, therefore, can never be more
than a weak compromise with principle—the legislator
undertaking to secure to the patentee his ideal property
during the biblical term of seven or fourteen years.
Now, if the inventor have a right at all, he has a right
to more than this. To cut down a real and acknowledged
right of property to seven, or even fourteen,
years were a grievous wrong. Patent-right goes too
far, or not far enough. Either a Patent is no right at
all, or it is a right for all time. If ill-founded, it is a
robbery of the public; if well-founded, of the patentee.
Mere priority affords no good ground for the exclusive
right to an invention. The free exercise of thought
is the common right of all. Wherefore if A excogitate
a principle to-day, and B, by independent thought,
excogitate the same principle to-morrow, both have an
equal right to benefit by the discovery; and A has no
natural right to debar B from the legitimate fruit of
his intellectual effort. It may be even that A had no
real priority of thought, but was only more knowing,
more greedy, or was simply nearer to a patent office,
and, though latest in arriving at the idea, was the first
to secure a legal monopoly of its use. To found a
right on such a race for priority is evidently irrational.
The simultaneousness of discoveries and inventions by
different minds, is a well-established fact in the history
of science. Certain facts and reasonings, all tending
in a given direction, are before the world. These act
simultaneously on various minds, and produce in each
the same development of thought. Now, with what
justice do we pick out one of these many thinkers and
give him a monopoly of the common thought? Nor is
the injustice confined to the original idea, of which we
grant a monopoly. By tying up one idea, we stop the
whole course of thought in a given direction, and thus
interfere generally, and to an indefinite extent, with
the intellectual activity of other men.
The inventor benefits by the ideas of the community,
and has, therefore, no right to a special privilege for
his idea. The universal thought of mankind is a
common good; all benefit by it freely, and all are
bound freely to contribute to it. Every thinker owes
an incalculable debt to society. The inventor has the
benefit of all foregone human thought, of all existing
civilization. He has the unbought advantage of all
laws, all language, all philosophy. He has the free
use of all the methods and appliances, spiritual and
material, which have been painfully elaborated by the
thinkers and workers of all time. Why, then, should
he alone have an exclusive privilege, in respect of
the infinitesimal addition which he may make to the
work of ages?
Secondly: Patent-right cannot be justified on the
lower ground of expediency. The object of a Patent-Law,
in the supposed interest of the community, is to
stimulate invention. But invention needs no artificial
stimulus. Nature has amply provided all needful and
wholesome encouragement, in the additional profit
afforded by improved methods of production. In the
natural course of business, every producer is spurred
on by his material interests to invent for himself or to
encourage the inventions of others. The whole history
of industrial progress is an unceasing striving after
improvement, with a view to profit. The few thousand
patented inventions are as nothing compared with the
innumerable improvements produced daily and hourly
in the ordinary course of business, with the vulgar
view of gain. The best stimulus to invention, therefore,
will be found in the natural competition of
producers; but Patent-Law destroys this competition
by an unjust monopoly, and thus tends indirectly to
weaken the natural impulse to improvement.
Invention may be even over-stimulated. In all her
arrangements, Nature provides for a due equilibrium
of powers and tendencies. Thus the various faculties
and temperaments of man—the sanguine and the
cautious, the speculative and the practical—are nicely
balanced. The result, when things are left to themselves,
is a happy combination of ingenuity and
caution, and, as a consequence, a continuous but
prudent course of improvement. But if, by conventional
rewards, we give a factitious impulse to the
inventive faculty, we destroy the natural equilibrium
of capacities, and foster a scheming, fanciful turn of
mind, at the expense of thoroughness and a patient
working out of sound ideas. This result has actually
occurred in the United States, where the factitious
value attached to invention has tended to produce an
almost total sacrifice of solid workmanship to a flimsy
ingenuity.
Patent-Law does not even attain its proposed end
of quickening the progress of real improvement; on
the contrary, it is found in practice seriously to hinder
it, the monopoly granted to one inventor necessarily
obstructing the progress of every other. Hence, an
eminent inventor has lately said: “The advance of
practical science is now grievously obstructed by those
very laws which were intended to encourage its progress.”
That Patents seriously obstruct the natural
development of ideas, is best seen by the sudden
advance which usually follows the expiry of important
Patent-rights. The natural course of improvement,
dammed back by artificial obstruction during the continuance
of the Patent, is set free on its conclusion,
and a new impulse is given to the development of
ideas and their practical application.
But the public is not the only sufferer by Patent-right.
Without doubt the heaviest evil falls on the
patentee. The inventor is led to give an excessive
development to his talent, and is seduced into reliance
on a law that can give him no substantial protection.
The difficulty of defining original inventions is a
practical bar to a satisfactory Patent-Law. The whole
history of Patents is a long-continued story of litigation
and disappointment; and the more admirable the
invention, the greater is the certainty of difficulty and
loss. It must be a worthless invention that the
patentee is left to enjoy in peace. Whenever a Patent
is worth pirating, the inventor may depend on being
involved in a maze of litigation that disturbs his peace
and ruins his fortunes. And the more the Patent
privilege is extended, the worse the evil becomes;
the intricacy and the multiplicity of details baffling
every attempt to define the rights of competing
inventors.
At this moment the heaviest complaints against
Patents come from our great inventors. They repudiate
the proffered privilege as “injurious to
inventors,” and complain of being “borne down by an
excess of protection.” As is natural, they who are
most occupied with the advancement of invention, feel
most acutely the grievous obstructiveness of the
Patent-Law. Not enough that they have to battle
with natural difficulties; at every step they meet
obstructions which a well-meaning but perverse law
places in their way. Nor do these obstructive privileges
confer any real advantage on the empty schemers
whose monopoly they establish: they merely give
them the vexatious power of hindering the progress of
better men. The mere “pen-and-ink inventor” has
neither the energy, nor the perseverance, nor the
practical ability to mature his crude “idea;” but to
this man the law awards the dog-in-the-manger privilege
of effectually obstructing the natural progress of
practical improvement.
These practical evils the advocates of Patent-Law
do not deny; but they attribute them to the defective
execution of the law, not to its vicious principle.
Hence a never-ending cry, as in the case of all bad
laws, for more legislation, for more stringent regulation,
for stricter investigation, and more thorough
registration of Patents. But no tinkering at details
can avail. The whole system is radically unsound;
and the only effectual remedy is to lay the axe to the
root.
A sentimental plea in favour of Patent-right has
been set up by some, on the ground that the inventor—the
man of thought, as he is called—must be saved
from the toils of the capitalist, ever ready to prey on
his superior intellect. This silly sentimentalism could
only originate in an utter ignorance of the relations
which naturally subsist between capital and talent.
The capitalist is the natural ally of the inventor, whom
it is his interest to employ and encourage. It is a
chief part of the business of every producer to search
out every one who can help him to improved methods
of production; and the remuneration which, in one
shape or another, it is the interest of the capitalist to
offer to the really clever inventor, will always form a
surer and more substantial reward than the delusive
privilege of a legal monopoly. As to the complaints
we hear of neglected talent, we may safely conclude
that they arise more from the exaggerated pretensions
of conceited schemers, than from any obtuseness to
their own interests on the part of practical men of
business, who refuse to profit by their inventions.
On the whole, Patent-Law seems a blunder, founded
on the antiquated notion of giving State encouragement
to certain favoured modes of human activity. It is no
part of the duty of the State to stimulate or reward
invention; the true function of Government is to
protect, not to direct, the exercise of human energy.
By securing perfect freedom to each individual, we
shall best provide for the progress of the community;
nor can any law be conceived more detrimental to the
common weal than one which lays restrictions on
perfect freedom of thought.
ARE INVENTIONS PROPERTY? — I. — II. — III. — IV. — V. — VI. — VII. — VIII. — IX. — X. — XI. — XII. — Additional Chapters (from the May Number of the Journal des Economistes ). — II. — III.
BY M. T. N. BENARD, Editor of the “Journal des Economistes,” July, 1868.
(Translated and Reprinted by his obliging consent.)
In the number of the Journal des Economistes for last
December there appeared a very conscientious paper
on “Property in Inventions,” by our learned colleague,
M. le Hardy de Beaulieu. We would have preferred
that some master of the science had published an
answer to this article, which it seems to us is based
on a wrong principle, and that he had given to the
readers of this journal the opposite view of those ideas
so ably set forth by the honourable Professor of
Political Economy at the Belgian “Musée de
l’Industrie.”
We believe that this question has acquired sufficient
importance and reality to merit being fully argued and
cleared up; and, no other having taken up the pen in
answer, we shall endeavour to set forth the principle
which alone appears to us true and admittable.
We throw out these ideas for discussion, hoping that
the subject will be taken up by one of our masters
in the science, and that this great debate will be
carried out in a manner suitable to the imperishable
doctrines of justice and equity, which form the basis
of political economy.
“The man who first made a hut,” says M. le
Hardy de Beaulieu, “a piece of furniture, a cloak, or
some necessary of life, would no doubt have thereby
excited the envy of his neighbours, and he would frequently
have been deprived of these objects by violence
or by strategy, before it would be generally allowed
that they ought to belong to him who made them, and
that it was at once the duty and the interest of the
community to guarantee him their possession against
every attack.”
We acknowledge that the man who first constructed
a hut was perfectly right in making good his claim
against those who would have deprived him of it, and
that he was justified in vindicating his claim by force.
He had employed his time and strength in building
this hut; it was undoubtedly his, and his neighbours
acted up to their natural right and in their own interests
in helping him to oppose the intruder. But there
ended both the right of the individual and that of the
community.
If this first man, not content with claiming his hut,
had pretended that the idea of building it belonged
exclusively to him, and that consequently no other
human being had a right to build a similar one, the
neighbours would have revolted against so monstrous
a pretension, and would never have allowed so mischievous
an extension of the right which he had in the
produce of his labour.
Nevertheless, this man had exercised imagination
and combination; he had invented the shape, the
size, and the arrangement of the whole structure; he
was the first to conceive—probably after many
efforts of mind and thought, after long study,
after observations made on the nests of birds and
the hut of the beaver—that pile of branches, of
dead wood, of leaves and of stones, of which its
shelter is formed. He was an inventor of the first
class. How is it, then, that the sentiment of justice
which prompted him to claim his property did not
prompt him at the same time to claim exclusive
possession in the idea, the result of a long train of
reflection? How is it that the same sentiment of
justice which induced his neighbours, the community,
to lend him armed force to preserve for him the possession
of his hut, did not go so far as to grant him a
property in his idea? No one dreamed of asking him
for the permission to imitate what he had made; no
one thought he was committing a crime, or doing him
a wrong, in making a copy of his hut.
Property can be a right only when its principles tend
to the general good and are useful in advancing the
interests of the human race. And if, in our day, imitation
of an invention is not generally considered as
guilty an act as robbery of tangible property, it is
because every one understands the difference between
an idea and a thing made or done.
The inventor of a particular weapon, or certain
furnishings, or tools, had all possible rights in the
constructing and possession of these weapons, furnishings,
or tools; but these rights could not be
extended to the hindering of his neighbours from
making tools, furnishings, or weapons, in every way
similar. If the community had admitted an exclusive
right in these inventions, it would have died in its
germ, civilization would have been a dead letter, and
man would have been unable to fulfil his destiny.
Thus far, then, there was not, nor could be in
principle, any question of exclusive right of invention.
This right was only thought of when all notions of
social right had been obscured by laws which, like that
of Henry II., declared that the right of labour belonged
to the Crown, and when there had grown up the idea
of licensing labour and granting exclusive privileges
for its exercise. The institution of the pretended property
in inventions was a retaliation against the suppression
of the abusive right of masterships and
corporations.
Doubtless invention, as M. le Hardy de Beaulieu
remarks, consists in the discovery of a new scientific
principle; but we cannot admit, with the learned Professor,
that the new application of a principle already
known, that the discovery of a natural agent hitherto
unknown, or of new properties or other modes of
action of natural agents, or of materials previously
discovered, are inventions.
It is probable that coal was known long before
any one thought of putting it in a stove to be used as
fuel. It is certain that stone was known long before
any one thought of employing it in the construction of
walls.
To pretend that the discovery of the combustible
quality of coal, or of the use to which stone might be
put, gave a right to the discoverer to exact from his
neighbours the payment of a royalty before employing
this fuel, or this material for construction, is also to
grant that he who, centuries before, had thought of
burning wood to warm himself, or of seeking the
shelter of a cave, ought also to be recompensed for the
trouble he had in discovering, appropriating, and
working out either this source of heat or this means
of shelter.
Invention, we acknowledge, consists in the discovery
of a new scientific principle; it can often place,
as M. le Hardy de Beaulieu says, new gratuitous
forces at the disposal of the community; but does it
follow that the inventor has an exclusive right in the
property of this discovery? We think not. The
inventor of the compass, whoever he was, has rendered
an immense service to the community; but
could his invention be claimed as private property?
Does it not, on the contrary, enter with perfect justice
into the public domain?
Napier, the discoverer of logarithms, has rendered
the most signal service to calculators and navigators;
but can his invention, the knowledge of which may,
either orally or by the printing-press, be extended
indefinitely—which any one may use privately, in the
quiet of the study—be put upon the same footing as
landed property, which a single man may cultivate—as
house property, which may belong to one or
several, and which cannot be seized upon without its
being observed, and to the great scandal of all?
Evidently not.
And if the law has never tried to appropriate
inventions of this class, it is because there must be
something tangible, limited, and final, giving the power
to regulate its employment or possession.
It is not correct to say, besides, that the inventor
does not deprive the community of any portion of the
common property which it possessed before the invention.
Before the invention the thing discovered
existed in embryo—in nature. This germ was multiple;
it existed as frequently as there were men; and
the inventor pretends, by the property in it which he
claims, to deny it to all others and to hinder its germination.
The right of the inventor is limited to that of
working out his idea; it is identical with that of a
man who has discovered and cleared a field; but it is
not, like his, exclusive. He who invents and he who
clears can possess their property as long as they like
and as they like; but there is this difference between
the field and the invention: the first can be cultivated
only by one without doing an injury to the proprietor,
while the invention may be used by several without
hindering, diminishing, or suppressing the working of
it by the inventor.
I have cleared a field, and cultivate it; if one of my
neighbours desires also to cultivate the same field, he
hinders me from exercising my right—he interferes
with my working—he dispossesses me.
I have discovered the combustible nature of coal:
in what way does my neighbour, who cooks his food
on a coal fire, hinder me from exercising my right, or
interfere with the working of my faculties? of what
does he dispossess me?
We have not, as we think, to take into consideration
more or less the difficulties of inventors; we have not to
inquire if every invention requires a more than ordinary
degree of intelligence, special knowledge, great
perseverance, &c. There is a multitude of occupations
in life which require all these qualities, but no one has
ever pretended that on account of these qualities,
probable sources of success for them, they had a right
to any favours, immunities, or privileges.
The inventor of a useful discovery has quite as
much, or more, chance of making a fortune as the
manufacturer who confines himself to the beaten
tracks, and only employs the known methods; this
last has had quite as much risk of being ruined as any
searcher after discovery. We believe that they are
on an equality as to position; for if the inventor may
be ruined in not finding what he seeks, the manufacturer
may see all his looms or his machines rendered
useless, all his outlets closed, by the introduction of
a cheaper means of production. Why make a golden
bridge for him who enters the arena with arms more
subtle and more finely tempered than those of his
adversary?
Notice that the manufacturer also renders a service
to the community—no doubt in seeking his own
profit; but is it not so with the inventor? Why then
demand a reward for the one which is not asked for
the other?
The manufacturer who, in using the old looms,
manages his factory so as to reduce his prices by 10 or
20 per cent., and who in consequence can furnish
stockings (supposing him to be a stocking manufacturer)
to a number of those who were not rich enough
to buy them at the old prices, undoubtedly does a
service to the community equal to that which it would
receive from the invention of a machine which would
make the stockings 10 or 20 per cent. cheaper.
The farmer who by superior ploughing, more skilful
manuring, or more careful weeding, increases the yield
from two to three quarters per acre—does not he also
render a signal service to the community?
The sailor, who finds the means of shortening
voyages by utilising certain currents or winds, in
modifying the spread of his sails, &c.—does not he
increase the gratuitous natural forces placed at the
disposal of the community?
Why, then, if there is question of rewarding this
class of services, should they not ask for privileges,
favours, and exclusive rights? Why not go so far
as forbid any one to arrange his factory on the plan
of the manufacturers of whom we have been speaking?
Why not forbid any farmer to weed, plough,
or manure, like his neighbour; or any sailor to
follow the track of the first, without paying to
those who gave the example a previous and perpetual
royalty?
“The property of an invention having required for
its creation the same labour as that of the soil, and
this work offering less chance of success and results of
probable less duration, it is as legitimate at least as
landed property,” says M. le Hardy de Beaulieu; “and
there is no argument against it which may not be
applied with equal force to the individual and permanent
occupation of the soil.”
The soil, to render all the productions that the
community has a right to expect from it, ought to
become and remain a personal individual property.
Invention, on the other hand, cannot give all the
results that society can draw from it, unless it be
public property.
Herein lies the immense and irreconcilable difference
between property in land and that of invention.
Besides, land cannot become unfertile, unproductive,
or lose all its value as property, except by some
convulsion of nature which would deeply unsettle it.
An invention, on the contrary, may become quite
valueless in ten years, one year, a fortnight even,
after being discovered, and that by the superiority of
a subsequent invention.
What becomes, then, of the property of this invention?
What is its worth? Has the inventor a right
to damages?
If you construct near my field a factory from which
escape noxious vapours, hurtful to vegetation, and if
I can show that you have deteriorated or destroyed
my crops, you, according to the laws of every civilised
nation, owe me damages; would you claim damages of
the inventor, whose discovery had rendered that of one
of his predecessors partially or completely unproductive?
If property in invention is equal to property in
the soil, damages are incontestably due. We do not
think that a single advocate for this class of property
has, however, dared to carry his logic thus far.
The proprietor of a field may leave it uncultivated,
the proprietor of a house may leave it shut up as long
as he likes; no law obliges to put in a tenant, or
to open it for lodgers. The laws of all countries
contain, with slight modifications, the following clause,
quoted from Art. 32 of the Law of 1844:—“Will
be deprived of all his rights ... the patentee
who shall not have commenced the working of his
discovery or invention in France within two years,
dating from the day of the signature of the Patent, or
who shall have ceased working it during two consecutive
years, unless that, in one or other case, he can
satisfactorily explain the causes of his inaction.”
It would be very easy for us to cite other differences
in the nature of these two classes of property; we shall
only refer to one more, which points out how solid is
the property in land, and how uncertain and ephemeral
the so-called property of invention. Land,
considered as property, increases in value from day to
day; there is no invention whose value does not
diminish daily.
M. le Hardy de Beaulieu further adds, that “the
inventor, in taking exclusive possession of his idea,
harms no one, since he leaves all which previously
existed in the same condition in which he found it,
without in any way lessening the social capital on
which he drew.” We should require, however, to
come to an understanding as to what may be called
the social capital; for if the exclusive property of
invention had existed from the germination of the idea
which led to the construction of the first hut to the
making of the earliest weapons, tools, and furniture,
it is difficult to know where we should find it. By
putting property in invention on the same footing as
property in the soil, all that man uses or consumes
would belong to the descendants of the first inventors,
and every one would require to pay a sort of rent for
its use. The inventor of the wheelbarrow would have
to pay a royalty to the inventor of wheels, and the
maker of the plainest pump would pay an annual rent
to the inventor of the lever or piston; there would
not, there could not, be any social capital.
But it is wrong to say that the exclusive possession
of an idea hurts no one, because it leaves what previously
existed in the same condition. I, or my
neighbour, might put together ideas to form the basis
of an invention; this faculty of combination belongs
to each of us; with exclusive possession it belongs only
to one. It cannot be said, then, that no one is hurt,
and that everything remains in the same position.
After having said that the property of invention is
in every respect similar to property in the soil, M. le
Hardy de Beaulieu places, nevertheless, boundaries to
the extent and duration of the first. He says: “It
is not meant precisely that property in an invention
ought to extend over the globe, nor that its duration
should have no limit in time; all property, in fact, is
bounded by the cost of preservation, maintenance, and
working, which it requires, already, long before the
limit of space or time when the produce of the property
no longer covers the expense, the proprietor does not
require to defend it against seizure, and from that time
it becomes public property.”
It follows that property of invention is not identical
with property in land or other material objects. A
diamond which belongs to me in any corner of the
globe, the cotton stuffs which I have sent to Bombay
or Saïgor, are still my property until I have voluntarily
ceded them. My descendants, or those of some
rightful owner, will cultivate in four or five hundred
years or more the field which I may now possess.
There is no limit of time nor of space for real property;
it remains for ever.
The whole history of humanity protests against this
assertion of M. le Hardy de Beaulieu, that inventions
“being realisable only on the condition of a just remuneration,
sufficient for the exceptional work which
they require, and of a compensation in proportion to
the risks they cause, property in them, which alone
can assure this remuneration and this compensation, is
necessary.” Let us remark, first, that by a just and
sufficient remuneration he probably means a special,
exceptional, and exclusive one.
We will now ask it to be observed that man’s most
indispensable and useful tools were invented, and were
everywhere in daily use, many years or centuries before
there was any question of property of invention.
We shall only cite the hammer, the file, the saw, the
screw, the pincers, the plough, spades, needles, &c.
Did any of the inventors of these tools take out a
Patent? Did he who first put a shoe on a horse claim
a property in the idea?
All the great inventions, with the exception of a few
of the most modern, and for which it was not possible
to take a Patent, date from the earliest times. Who,
then, invented the art of smelting the ores of iron,
copper, lead, and tin? of making malleable iron and
steel? When did man first invent the manufacture
of glass, of pottery, porcelain, paper, ink, boats, and
carriages?
Railways existed in a rudimentary state in the coal
mines of Northumberland and Durham long before Patents
were dreamed of. Printing and gunpowder appeared
in the world without the guarantee of Patents;
so also with the tanning of hides, the spinning of thread,
weaving, dyeing, printing, &c. The electric telegraph
is the result of a series of studies, and of the social
capital of knowledge which these studies, and others
foreign to the object as it were, have formed. Patents
or rewards which have since been granted only concern
modifications, more or less ingenious, of the original
principle.
For what are inventors now doing? Without
seeking in any way to detract from the merit of their
labours, we may boldly assert that they modify in a
profitable and economical way the older processes;
instead of welding iron, they roll it; instead of the cold,
they use the hot blast, in smelting.
To the tanning of hides they add currying,
shamming, graining, polishing, &c. Are these services
which cannot be sufficiently rewarded in the free working
of the idea? Are they services which exceed by
a hundred cubits those rendered by great manufacturers,
large capitalists, intrepid seamen, or profound
thinkers? And if, carrying out the argument of M.
le Hardy de Beaulieu, we should say, credit being
necessary to the progress of the community, and being
realisable only on condition of a just and ample remuneration
for the exceptional labour which it requires, and
of a recompense proportionate with the risks incurred,
the community ought to grant to the bankers exceptional
rewards, or assure to them a special and perpetual
privilege,—should we not be going on the premisses of
the learned Belgian Professor?
No doubt that branch of credit, the issue of notes,
is at present allowed in many countries to the great
privileged banks; but may not the same arguments
apply to discount, the receiving of deposits, quite as
well as to the issue of notes?
To admit, with M. le Hardy de Beaulieu, “that the
rights of inventors are useful even to non-inventors,”
we must allow that the progress of invention would be
stopped if the privileges guaranteed by Patents were
withdrawn. Now, we have already said that all human
history up to a very recent period demonstrates the
weakness of the assertion. Man has invented from
the time he began to think and compare, and he will
continue to invent while he exists on this planet. Invention
is nothing else than thought.
If, as M. le Hardy de Beaulieu says—but which we
doubt—there be no fear that property in invention
allows the inventor to exact for his services a higher
price than they are worth, neither need it be feared
that the absence of this right of property would hinder
the inventor from obtaining by his discovery all the
profit which he has a right to expect from it. This
fear would only be justified in the event of his being
deprived by law of the right of using his own discovery.
Now, this right remains intact; only it is not
exclusive. If the inventor saves labour or outlay, the
inventor will profit by this saving, like his neighbours;
he will profit by it before his neighbours; he will
profit by it exclusively so long as he can keep his
secret, and while his opponents are establishing rival
works on the same principle.
M. le Hardy de Beaulieu tells us that the inventor
can never take advantage of his property to hold an
unjust and injurious monopoly.
We will quote one example of a thousand from M.
Louis Reybaud’s excellent work on wool. Speaking
of the wool-carding machines, the learned Academician
thus writes: “There may be cited twenty names
engaged in these discoveries, incomplete as a whole,
almost all fortunate in some detail. What is incomplete
is laid aside, what is fortunate is so much gain;
the new comers discriminate and choose. After a
period of twenty years there are only three processes
in use—those of Leister, Hellsmann, and Hubner; of
analogous merit, and each having its partisans. Will
they strive one with another? No, they compromised.
M. Holden gets the assignment, and
also acquires, either by purchase or by judicial
decisions, the rights of Donisthorpe, Noble, and
Croft. Messrs. Schlumberger and Co., the assignees
of Heilman, retain only the manufacture of certain
machines. We may imagine the wealth of a business
established on so many purchases and decisions.
M. Holden has added inventions of his own, and
he may be considered the master of wool-carding until
his Patents expire. Nothing is more interesting
than the answers he gave on this subject before the
Commission on the Commercial Treaties. On his own
avowal he is proprietor of 45 Patents, 28 taken by
himself, and 17 purchased from others. In these 45
are good, middling, and bad. He works them all in
obedience to the law and to guard against lapses. In
the bad, as well as the good, there is an idea to defend
and a chance of upsetting; he fears that in abandoning
them they might be used against him; for one machine
in constant use there are forty-four which make a pretence
of working; he does not hide it—it is his interest
to hinder, as much as to work.
What would it be if, as it is demanded, property in
invention, put on the same footing with property in
the land, were perpetual? By the present system it
may be the interest of one man to fetter improvement,
and, having acquired the mastery of it, to mortally
wound it wherever it appears! Is this not already too
much the case?
Must we, then, repeat what reason and experience
teach us, that unjust exactions cannot be made under a
system of open competition, but always spring up
under the shelter of privilege?
The eminent Professor of the “Musée de l’Industrie
Belge” makes a just and well-founded criticism on the
diverse laws of different countries relating to Patents.
Usually law-makers do not appear so perplexed, nor
contradict themselves so frankly; this is because,
when we forget what is right, when we leave principles
to make a legal caprice, we sail over unknown seas,
where no lighthouse guides us, nor compass shows us
the right direction.
He attributes to the defective state of these laws
“the almost unanimous censure displayed either against
the legislation or against property in inventions.”
Would it not be more reasonable to acknowledge
that if the learned law-makers of the numerous countries
in which the principle of property in inventions has
been adopted have not been able to frame laws capable
of protecting the rights of pretended proprietors conjointly
with those of individuals and society at large,
it is because the principle is radically wrong, and contrary
to the general interests of mankind? The law-giver
finds an obstacle at every side in legitimate
scruples; he fears to give too much, and he fears to
take too much.
At present the censure is almost unanimous, it is
acknowledged. Let us suppose that property in
invention were abolished, and what complaints would
result from the abolition? Few or none. When the
inventor knew that, placed on the same level as all
other workers, he must only rely on his intelligence,
his capital, his time, and his right arm he would leave
off claiming a privilege and complaining of the insufficiency
of his rewards. At present the inventor says
to the State: “I have found out a great thing, but I
require your protection; you must place at my disposal
your agents and your law-courts; the first shall enter
the homes of my fellow-citizens, shall search their
drawers, examine their books and papers, in my interest.
By the second, their cause being lost, shall be
condemned to ruin and misery. I am about to bring
ruin on such and such manufacturers, to condemn a
crowd of work-people to idleness; but you must
grant me a privilege which will place me beyond the
reach of all opposition, and allow me to make a fortune,
quietly and without much chance of a failure.”
What difference do the champions of Patents find
between this language and that which was held by the
Protectionists? They also required Custom-house
officers, and law-courts always open, to punish the
smuggler; they further required the ruin of those who
traded with distant countries, and the continual inactivity
of our mercantile marine and sea-board population.
The honourable Belgian economist next combats the
opinion of those who, struck by the numerous and
weighty inconveniences presented by the Patent-Laws,
and their extreme diversitude in every country, have
imagined a remedy in the expropriation of invention
for the public good.
We shall be far from attaining our object if the
reader has not already understood that, renouncing all
idea of property as applied to manufacture, we shall
not discuss this phase of the question. We will say,
however, that we must protest with all our might
against the following principle, expressed by M. le
Hardy de Beaulieu: “Neither can we admit,” says
he “the justice of expropriation for the public good so
far as it concerns property in inventions any more than
in real property. Here also,” he adds, “the right of
one ought to prevail over the interest of the greater
number.”
It is no doubt intentionally that the word interest
in this phrase is put in opposition to the word “right.”
But would it not be more correct to say, the right of
the community ought to prevail over the interest of
the individual.
Individual right in property is certainly worthy of
respect, and cannot be called in question; but to our
thinking, the right of the community precedes and is
superior to it. A part cannot be greater than the
whole; no one can place his right above that of mankind,
and the individual cannot oppose his will, good
or bad, on the whole community.
We belong to no learned corporation—a simple
volunteer in the army of economist disputants—and
have no other banner than that of the truth; but we
cannot refrain from saying one word in defence of
those whom the learned Belgian speaks of among
many others in these terms: “The judgment of the
Academy of Sciences on the steamboat invented by
Fulton may help to form an estimate of the contradiction
which experience sometimes inflicts on the best-intentioned
verdict of a committee of savants.”
We assert as a fact that if the steamboat presented
to the Academy of Sciences by Fulton were now submitted
to the judgment of a committee of machine
builders, they would declare unanimously that the
boat could not navigate. We wish in no way to seek to
depreciate the acknowledgments which mankind owes
to Fulton; but his invention, as all are at starting,
was only a sketch, which required half a century of
labour to perfect and to make as practical as it now is.
Here there is room for an observation which must
be noted.
The advocates for the principle of property in
inventions fall into ecstacies before a transatlantic
steamer, and exclaim, “Behold, what a crying injustice!
what deplorable ingratitude! Society has denied the
rights of the inventor to this wonder of the sea! He
died in poverty, or nearly so.”
Others go further back, and attribute to Solomon
de Caux, or to Papin, all the honour; they forget
that between Papin, or Solomon de Caux and Fulton,
a crowd of men of genius brought their contributions
of knowledge, experiment, and work of every kind;
and that between Fulton and the makers of our day
there are so many inventors, so many explorers, fortunate
or unfortunate, ridiculous or serious, whose
attempts or applications have helped to perfect the
steam-engine, that it may truly be said that every one
has had a hand in it.
It is the same with the railway, the electric telegraph,
and the different machines for spinning,
carding, weaving, &c.
To pretend, as does the defender of the principle of
property in inventions, in the ninth paragraph of his
work, that the sudden and inconsiderate introduction of
a new invention may cause a sensible injury to existing
manufacturers, and that it is consequently advisable to
maintain the system of Patents, which during a certain
time limits their use and hinders production, to prevent
the lowering of prices immediately at least; so to
pretend is to renew the plea of the protected manufacturers,
who demanded that the greatest precautions
should be taken to facilitate the transition from Protection
to Free-trade. But we do not see clearly what
benefit there can be to the community at large in
delaying the advantages to be derived from an invention.
The misunderstood interests of certain manufacturers
may appear to require this delay, but common sense
tells us that manufacturers and consumers have every
interest in immediately adopting every invention which
saves labour, capital, and time.
If we look back, we will see that a delay of this kind
would have retarded for an indefinite period the discoveries
of Columbus in order to avoid a sensible
injury to the monopoly which Venice had acquired in
Eastern commerce. We maintain, as indeed experience
proves, that however innovating inventions may be,
displacement of labour occurs gradually. We will only
cite, in support of this assertion, the well-known instance
of the substitution of printing for manuscript copying.
It may be answered that the substitution of mechanical
spinning and weaving for hand-work caused great
suffering. We answer, that you should blame the system
of Patents, which, raising inordinately the cost of the
machines, must have restricted labour, although they
lowered the price of the product. If there had been
no royalty to pay to the inventor, the number of the
machines would have rapidly increased, and a greater
number of workmen would at once have found employment
similar to that to which they had been accustomed.
How many enterprising and intelligent speculators
would most eagerly have availed themselves of these
new outlets for their activity, if the course had been
cleared of all these obstructions which the law has
arbitrarily established.
At the risk of being considered by the honourable
Professor grossly ignorant of the laws of political
economy, we do not believe that monopolies will always
exist, as he ventures to affirm. We know that there
always will be intellectual superiority, unrivalled artistic
ability, or special natural advantages; but these do not
constitute monopolies, in the proper acceptation of the
term; and the object we shall not cease to strive for is
that no others shall exist.
It is beyond our province to consider the inquiries
of M. le Hardy de Beaulieu as to the best plan of
securing to inventors exclusive right in their discoveries.
To take up this question is to undertake
the discovery of the philosopher’s stone, or the
squaring of the circle; several generations have vainly
grappled with it, and the different attempts made without
satisfactory results in almost every country prove
this conclusively.
But the honourable Professor seems to calculate
on the improvement of public morals, in order to
reach the point where every attempt against the property
of the inventor shall be considered as guilty as
robbery, or as any injury done to property existing in
material shape.
Under the uncompromising Protective system also
it was attempted to improve the morals of the public,
who would not see the equal guilt of the smuggler and
the robber, and always loudly protested when repression
was enforced by bloodshed.
No reform of public morals will change the nature
of these acts; they will always be received as the
appeal of right against abuse; and we would deeply
pity the country where it would be sufficient to say
such is the law, and where no conscience might protest
against it.
“Discovery, the appropriation and creation of outlets,
is too complicated a work,” says M. le Hardy de
Beaulieu, “for the inventor singly, and especially
without the aid of capital, to undertake with sufficient
chance of success.”
Here again we believe the learned economist is in
error; he seems to imagine one inventor arriving at
perfection either at a jump, or after many attempts—one
inventor giving us at once our ocean steamer, or a
spinning-mill with a hundred thousand spindles!
Inventions go more slowly; when they spring from
the brain of the thinker, they are only sketches, and
no man in his senses will risk a large capital before
making many trials, and that only on a small scale.
We do not believe there has been a single invention
which, after numerous trials, has not been modified,
improved, and perfected.
And how many have at last been thrown into oblivion,
from which they will never be recalled?
Also, when we see the defenders of property in
invention draw a sad picture of the piercing miseries
which inventors of these last have had to endure, we are
always tempted to ask them to show us the pitiful
account of ruin caused among those who placed faith in
their promises and delusions. Every medal has its
reverse, and if more than one real inventor has been
misunderstood, many of the too-confident have been
victims of the mad and inapplicable ideas of inventors
who imagined themselves men of genius.
Is the law, which seems to promise an Eldorado to all
inventors, to blame for these losses, for these undeserved
sufferings?
Bernard de Palissy’s saying, “Poverty hinders the
success of the clever man,” is often quoted. But this
saying will always be true, whatever the law may be.
Can we admit that if perpetual property of invention
had existed in his time, Bernard would more easily
have found the money which he required?
The success of an invention is secured by the services
it can render being easily understood, immediate, and
speedily realisable. The capitalist, in dealing with hazardous
undertakings—and inventors’ undertakings “are
always hazardous”—does not calculate on perpetuity.
He works for immediate and large profits; he is in a
hurry to realise, because he knows that some other
invention may dispossess him of all his advantages.
Little does he care, therefore, about the perpetuity.
In his twelfth and last paragraph the learned Professor
answers several minor objections to the system
of property in inventions—objections which seem to
us not to carry great weight.
However, in answer to the objection taken from the
case of two applications for similar Patents, made at
intervals of a few minutes only, the eminent economist
says that this case occurs only at rare intervals, and
making light of the rights of the slower, affirms that
it is not worth considering. Does not this denial of a
right on account of its infrequency, however, seem to
show how arbitrary and artificial is the constituting
of property in invention?
We are among those who believe in the harmony of
all economic relations, of all legitimate interests; and
when we see the right of one sacrificed to false exigencies,
we mistrust the exigencies. We believe them
unjust and contrary to the principles of equity, which
forms the basis of all economic science. We should
wish to have seen M. le Hardy de Beaulieu more
logical in his deductions, claiming, as he has done, for
real property [la propriété foncière] that the right
of one ought to prevail over the interest of the greater
number, and give a chance of obtaining an indemnity,
if he could not be assured of a part of the property
[Donner ouverture a l’obtention d’une indemnité si l’on
ne pouvait lui assurer une part de propriété].
But we repeat, these questions of the arrangement
[organization] of property, which we do not acknowledge,
are beyond our province, and if we accidentally
touch upon them, it is only to show how little the
foundations of this right are similar to those on which
rests the principle of material property.
In recapitulation, we reject property in inventions
and the advantages claimed for it, because it seems to
us that all this scaffolding of legal prescription and
Government protection only results in throwing out of
their natural course a crowd of workmen who would
become more useful to society and to themselves in
ceasing to pursue chimeras.
We reject the proposed assimilation of this property
to that of the soil, because the privilege sought to
be created cannot fail to hinder and lessen the right
of each member of the body politic. We reject this
privilege because nothing justifies it; the services
rendered to society by inventors being nowise different
in their nature from those daily conferred by
skilful manufacturers, intelligent agriculturists, savants,
navigators, &c.
Finally, we reject it because history attests that
great discoveries were made before there was any conception
of such property, and that it could hardly be
in operation at this day, except with regard to modifications,
or, if you will, improvements [perfectionnements],
which do not merit this abstraction from the
common right.
The question of granting or denying a property in
inventions is of such importance that the discussion
raised by the honourable Belgian Professor, M. le
Hardy de Beaulieu, ought not to be allowed to drop,
and that we should try to renew it.
We believe it to be of importance for the future of
manufactures and of progress, and most especially to
the security of real property, that whatever is doubtful
and disputed in this question be deeply studied, and
that all should be agreed as to what property is, and if
this title ought to be applied to all or any of the inventions
which daily start up.
M. le Hardy de Beaulieu pretends that one of the
most frequent errors of those whose enlightenment
ought most to guard them against it is to believe that
property being inherent in matter, is, like it, imperishable,
and that property in land especially is as durable
as the land itself. He adds that we should beware of
it, because this error lays open landed property without
defence to the attacks of communists and socialists,
who, sliding down the incline of irresistible logic, are
fatally led to declare all property illegitimate, to whatever
purpose it is applied.
Here, it seems to us, is a misunderstanding which
may be easily explained.
We do not believe that property is inherent in
matter, any more than we believe that value is confined
to any given substance. We believe that property
is the result, the consequence, of human labour
which has been incorporated in matter. As long as value
conferred on land by labour endures, so long the property
has a raison d’être, and cannot be contested. It is
labour which has allowed the utilisation of the productive
faculty of the soil, and productive faculty remains,
like the property, as long as labour is bestowed in preserving,
improving, and increasing it.
M. le Hardy de Beaulieu adds that he could cite
numerous examples of lands abandoned or sold at a
nominal price by their owners, either because they had
exhausted and rendered them unproductive by an unintelligent
culture, or because they had not been able
to withstand the competition of more fertile soils,
recently brought into cultivation or brought nearer
the common centre of consumption by a considerable
reduction in the expense of transport.
We do not contest this fact, of which the exactness
may be verified any day in the increase or diminution
of the value of property induced by the various
changes brought about either in the grouping of the
population, in the modes of culture, or in the means of
transport. There are, however, few lands completely
abandoned; to find examples, we should probably have
to go back to those fatal times when by force of conquest
proprietors were removed or all their means of
culture and production were suddenly seized.
But we do not see how this can help the argument
of M. le Hardy de Beaulieu. It has small relation, it
seems to us, to the question of property in inventions,
that—perpetual by law, as long as labour continues and
renews it—landed property should sometimes come to
an end by occurrences or violence such as we have
been speaking of.
However, to state all our thoughts on the subject
of landed property, we must confess (and here may be
seen in all its clearness the radical difference between
placing under culture, or cropping land, and working an
idea), the vindication of property is found in the fact
that land can only be cultivated by one at a time, must
be subject to one will, and under one direction. It
would be to my injury and the injury of the entire
community that Peter should be allowed to plant
potatoes in the field where Paul has already sowed
wheat, or that James should open a quarry where John
has built a house, and so on.
As we have already said, the power of the lever, the
laws of gravity, those of the expansion of steam, the
attraction of the magnet, the caloric of coal, the facility
of traction imparted by the wheel, the optical properties
of glass, &c., may be utilised to the great profit of
all, in a thousand different ways, by a thousand individuals
at once, without the efforts of any one being
diminished, hindered, obstructed, or lessened, as to
their useful result, except by the beneficent laws of
competition.
“The first cause of property,” says M. Matthieu
Walkoff,[4] “is the impossibility of matter being moved
in more than one direction at one time, or, to state it
otherwise, of its being subject at one time to more than
one will.” “If matter,” says this eminent economist,
“were gifted with ubiquity, like ideas, knowledge, or
truth, which several may use simultaneously, and each
in his own way, property would never have been constituted;
and it is even difficult to imagine how any idea
on this phenomenon could have arisen in men’s minds.”
“In fact,” he adds, “to preserve property in an idea
would have required that it should never have been
expressed nor practised, to hinder it, being divulged,
which would have been equivalent to its non-existence.”
We do not go so far as M. Walkoff; we do not
affirm that the impossibility of matter being subject at
one time to more than one will is the first cause of property;
but we say it is the distinctive character of
property, and, like him, we cannot see a subject, for
property is a shape, plan, or system, which, to see once,
as in a spade, the wheel, the corkscrew, is to possess
an indelible idea.
Besides, the author whom we have quoted expresses
so clearly our opinion on this subject, that we must
further borrow from him the following quotation,
which will not be uncalled for at a time when property
itself is threatened. It is of importance that the
lawful bounds should be carefully marked:—
“Economists have too much neglected the first cause
of the perpetual subjection of matter to exclusive
property. They made property to be derived only from
a man’s original possession; from himself and his acts;
that which leads to possession of the result of his activity.
But this reasoning only establishes the indisputable
right of the appropriation of that which he appropriates
or produces; it does not explain why exclusive property
in material things is permanent, and does not
show how the very nature of things renders this possession
inevitable. It is to the incomplete understanding
of the causes of property that is probably
attributable the contradictions of those economists
who, while professing the doctrine of free labour, are
still in favour of the establishment of artificial barriers
against the free use by every one of ideas, skill, progress,
and other products of the mind, conceived and suggested,
or realised, by any one.”
Let us remark here that in fact the manufacturing
community, more liberal in practice than the economists
in theory, are eager freely to submit to inspection at
exhibitions the processes in use at their different
factories.
“To require that an idea be subject to only one will,”
continues M. Walkoff, “is to require no less an impossibility
than to pretend that a material point can
obey more than one will—that is to say, that it can be
moved in more than one direction at once. It is
true that it is not proposed to hinder ideas from being
developed; it is desired simply to convert their reproduction
or their material realisation into an indefinitely
prolonged monopoly. But, in order completely to
succeed in anything, it is necessary that the object
aimed at be in conformity with the nature of things.
Now, is it not placing oneself in opposition to everything
which is most natural, this denying to every one
the use of an idea? And even where this interdict is
most successful, we soon find, in a manner most unassailable
by the law, works copied from those to which
the law has guaranteed a monopoly. The effect of the
interdict is here, as in all regulations contrary to the
nature of things, essentially demoralising; it begets
fraud, entices to it, even forces to it, in making it
useful and often even indispensable. Forbid men, as
was once supposed by the witty author of the
‘Sophismes Economiques,’ the use of the right hand,
after a few hours, there would not remain, in the eye
of the law, a single honest man. It may be boldly
affirmed that such a law would be immoral, and all
those which recklessly contradict the natural order of
things are incontestably such.”
In fact, we repeat, the field which I turned into a
garden may not be used by my neighbour as a pasture-land
for his cattle; where I have planted a vine another
may not plant colza or beet-root; but the steam-engine
which I have invented, or the electric power which I
have discovered, may be applied to the grinding of corn,
or the spinning of cotton, or to the extraction of iron,
or to the draining of a marsh, or to traction by land or
sea, without the productive force being neutralised,
wasted, or lost, like the application of the productive
force of the soil to different purposes.
Not only do the various applications of the idea not
hinder the inventor in the employment which he may
make of it, but if the application made by others is
exactly the same as his, he is only subjected to the
universal law of competition—a law of progress, if ever
there was one.
[4] Precis d’Economic Politique Rationale, page 44; Paris, 1868.
The Hon. M. le Hardy de Beaulieu asks, “Why
the effort which consists in rendering productive
some natural agent in which this quality was not
formerly recognised, should not entitle to a recompense
of property in the value given to the natural
agent in rendering it productive, in the same way that
labour bestowed on barren land to render it productive,
to the profit of all, makes him proprietor of that portion
of land who performed this labour?”
Here is our answer: He who renders productive
some natural agent has an incontestable property in
that agent which he has rendered productive, but not
in all similar or identical agents in nature; he who
converts a certain quantity of water into steam, to
obtain a motive force, is incontestably proprietor of
the water he employs and of the steam, as well as of
the force which he obtains, but the remainder of the
water, and of the steam which may be produced from
it, and the force which may be derived from it, remain
the common property of mankind; that is to say,
each should have it in his power to employ an unlimited
quantity of water to obtain the same results.
The man who first broke up and sowed a field never
could have claimed as property all the ground in the
world; he only retained for himself, and that reasonably
and justly, the portion which he had reclaimed
and rendered fertile by his labour.
We may add that he who renders productive some
natural agent avails himself in this work of all the
acquired knowledge and all the work previously done,
and he would unduly monopolise it if the community
recognised his exclusive right to it.
It is said that Pascal invented the wheelbarrow;
did he not borrow from the social capital both the
wheel and the axle, and the two arms, not to speak of
the species of box which forms with the other parts
the whole wheelbarrow?
Our learned opponent maintains “the perfect identity
between the labour of discovery, and of the
putting the soil in culture, and of this same labour
applied to other natural agents which did not exist in
indefinite quantity; and he makes the deduction,
having the same result, that inventors placing at the
disposal of mankind new quantities of gratuitous
utility, not hitherto available, deserve the same
reward—property in the natural agent, or portion of
this agent, whose gratuitous services have been acquired
by mankind.”
We must allow that we do not know of any natural
agent of which the quantity is not indefinite, excepting
only the earth; but steam, wind, light, electricity,
magnetism, the force of attraction, that of weight, the
affinity of particles, their divisibility, their different
properties, may be employed in whatsoever quantities,
and still there would be no perceptible diminution or
restraint in the use of them to any one. The only
possible restraint is that which comes from the unreflecting
action of the law, from artificial hindrances
and obstacles which may be made law.
We believe, with Bastiat, that the greatest service
that could be conferred on mankind would be to
remove the obstacles which stand between his efforts
and the supply of his wants.
How does M. le Hardy de Beaulieu not see that no
one has the right to make burdensome that which is
naturally gratuitous, and that it is just to exact that no
one should appropriate any part of what constitutes
common property?
That learned Professor of the Brussels Museum
tells us the inventor has a right to say to the manufacturer,
“Find out my process for yourself if you
can, search for it as I have done; but if you wish to
spare yourself this labour, and avoid the risk of
spending it in vain, consent to yield me a part of the
expenses which I save you in simplifying your appliances.”
And he asks us if we find this demand unjust
or unreasonable.
Not only do we find this demand just and reasonable,
but we maintain that it is the only one we can
recognise. But M. le Hardy de Beaulieu forgets
that, according to the Patent-Laws, things are not
thus arranged. The inventor, with the law in his
hand, and the law courts to support him, says to the
manufacturer, “It is forbidden to you to search and
to find; or if you search and find, you are forbidden
to use the power or the agent when you have found
it: the process which I have invented is my property,
and no one has the right to use it, even if his researches,
his labour, enable him to discover it; even
if he had commenced the search before me, all his
labour is lost. I alone am proprietor of this agent,
power, or process.” If this system be right, he who
first rendered productive the most indispensable
natural agent could have confiscated the whole world
to his profit.
M. le Hardy de Beaulieu acknowledges that the
savage who first thought of substituting a hut, as a
habitation, for the cave, has not the right to forbid
the construction of others like it.
This concession is as important as the preceding,
and we shall probably end in agreeing. We must
now inquire where may be found the exact limit
between inventions of which imitation is allowed, and
those in which it is forbidden.
The man who first made a canoe from the trunk of a
tree, either naturally hollow or artificially by fire, or
otherwise,—may he forbid his neighbours to make one
like it?
If he may, where, then, is the difference between
the hut and the boat? If not, what is the reason
for this prevention?
From the boat we might gradually go on, up to the
latest Patent, by invisible transitions; and we have
still to find the exact point at which M. le Hardy de
Beaulieu might say, There is the limit!
We do not know whether, in the absence of all positive
right which would guarantee a recompense to the
inventor of the hut, a natural sentiment of justice
would prompt the savages living in that country to
make him a present of some useful object as a reward
for this service, as M. le Hardy de Beaulieu suggests.
We doubt it much; gratitude is an analytic virtue.
The savages would probably have a certain respect
for this man, whom they would look upon as gifted
with superior qualities and faculties, but the presents
would only arrive when, the contemporary generations
being extinct, cheats and hypocrites would found on
the inventions of this man some system of religion.
Yes, we acknowledge the truth and justice of the
principle in virtue of which it is said, “Reward for
merit.” But it must not be abused. Let a cultivator
make a thousand trials, a thousand experiments, to
give to the potatoes all the elementary qualities, all
the nutritive virtue of wheat, and arrive at the object
of his researches—to what recompense will he be
entitled? According to the system of M. le Hardy de
Beaulieu, no reward could equal the service which this
individual would have rendered to mankind.
According to the system of non-property in inventions,
this man would only have made his trials and
his experiments—he would only have risked his advances
of money, of time, and of labour—with the view of
being able to sell his potatoes at a higher price than
before, and, in fact, they would command a higher
price, by means of which he would find himself
sufficiently rewarded. This man asks nothing of
society; he requires neither Patent, nor guarantee, nor
monopoly, nor privilege; because the law has wisely
placed beyond the reach of Patents all improvements
in agriculture.[5] Does this imply that agriculture no
longer progresses, that the breeder of cattle does not
improve, that they remain completely in statu quo?
It is not from M. le Hardy de Beaulieu that we learn
that the want of Patents does not hinder for an hour
the progressive advance of agriculture; quite the
contrary.
Establish the same system for all that concerns
manufactures, and inventions will follow one another
as rapidly as they now do. They will be more
serious, for those who are engaged in them will no
longer be excited by the allurements which the Patent-Laws
dangle before their eyes, and will no longer lose
their time in running after useless things and mere
chimeras.
We do not wish to prolong too far this answer,
but we cannot pass in silence the arguments which
M. le Hardy de Beaulieu thinks he has found in the
facts relating to the inventor of the mariner’s compass,
and to the discoveries of Lieutenant Maury. We will
simply remind him of the following passage from
Bastiat: “He who can gain assistance from a natural
and gratuitous force confers his services more easily;
but for all that, he does not voluntarily renounce any
portion of his usual remuneration. In order to move
him, there is required external coercion—severe without
being unjust. This coercion is put in force by competition.
So long as it has not interfered—so long
as he who has utilised a natural agent is master of
his secret—his natural agent is gratuitous, no doubt;
but it is not yet common; the victory is gained, but it
is for the profit of a single man, or a single class. It
is not yet a benefit to all mankind. Nothing is
yet changed for the multitude, unless it be that a
kind of service, though partly rid of the burden of
labour, exacts nevertheless full pay [la rétribution
intégrale]. There is, on one hand, a man who exacts of
all his equals the same labour as formerly, although he
offers in exchange only his reduced labour; there is,
on the other hand, all mankind, which is still obliged
to make the same sacrifice of time and labour to obtain
a product which henceforth nature partly realises. If
this state of things should continue with every invention,
a principle of indefinite inequality would be
introduced into the world. Not only we should not
be able to say, value is in proportion to labour; but
we should no more be able to say, value has a tendency
to be in proportion to labour. All that we
have said of gratuitous use, of progressive community,
would be chimerical. It would not be true that labour
[les services] is given in exchange for labour [des
services] in such a manner that the gifts of God pass
from hand to hand, par-dessus le marché, on the man
intended [destinataire], who is the consumer. Each
one would always exact payment for not only his
labour, but also for that portion of the natural forces
which he had once succeeded in applying. In a word,
humanity would be constituted on the principle of
a universal monopoly, in place of the principle of
progressive community.”—Harmonies Economiques,
Vol. vi., p. 354.
We think, with Bastiat, that the use of natural
agents ought to be gratuitous, and that no one has the
right to artificially monopolise in such a way as to
exact royalties [prélever des redevances], which are not
due, and which often are obstacles almost as insurmountable
as those which invention ought naturally to
remove.
T. N. Benard.
[5] Unfortunately, this is not true of British law. The illustration
founded on it is (like the rest of these papers) admirable.—R. A. M.
SPEECH OF MICHEL CHEVALIER, AT THE MEETING OF THE “SOCIÉTÉ D’ÉCONOMIE POLITIQUE,” ON THE 5TH JUNE, 1869.
(From the June Number of the Journal des Economistes.)
M. Michel Chevalier, Senator, proposed to consider
Patents in their relation to freedom of labour
[la liberté du travail], a corner-stone of modern
political economy, and to the principle of the law of
property, which is greatly respected by economists and
which serves them as guide.
Does the principle of freedom of labour accommodate
itself to that of Patents? It may be doubted. All
Patents constitute a monopoly; now, it is indisputable
that monopoly is the very negation of freedom of labour.
In the case of Patents, it is true, monopoly has a
limited duration; but in France this duration generally
extends, if the Patent is worth it, to fifteen years;
which makes a long time in our day when the advances
of manufacturers are so rapid and so quickly
succeed one another. A hindrance or an obstacle which
lasts fifteen years may greatly damage and seriously
compromise important interests.
It would be easy to exhibit by examples the extent
and the importance of these disadvantages.
In France the manufacturer to whom a new apparatus
or a new machine is offered is always in uncertainty
whether the invention proposed is not already
the subject of some Patent, the property of a third
party, in which case he would be exposed to the annoyance
of a law-suit at the instance of this third party.
It follows that he frequently hesitates about adopting
a machine, apparatus, or method of work, which
would be an advantage not only to the manufacturer,
but to the community at large, whom he
might supply better and cheaper. Another case which
occurs to us is that of a manufacturer in whose factory
an improvement has suggested itself. He is forced to
take out a Patent, and consequently to observe formalities
and undertake expenses with which he would
rather dispense; he is obliged, and becomes a patentee,
whether he will or no; because, if he did not, it might
happen that the improvement might come under the
observation of one of the numerous class of Patent-hunters.
This man might take out a Patent, which is
never refused to the first comer; and once patented,
he might annoy and exact damages from the manufacturer
with whom the invention, real or pretended,
actually had its birth.
In France the annoyances which Patents may
occasion are very serious. It is well known that,
by the French law, the patentee may seize not only
the factory of the maker, but also, wherever he may
find it, the machine or apparatus which he asserts
to be a piracy of that for which he has taken a
Patent. He may take it away or put it under seal,
which is equivalent to forbidding the use of it. M.
Michel Chevalier thinks that this is a flagrant attack
on the principle of the freedom of labour.
It can also be shown how, in another way, labour
may be deprived of its natural exercise by the monopoly
with which patentees are invested. When an individual
has taken out a Patent for an invention, or
what he represents to be such, no one is allowed to produce
the object patented, or use it in his manufacture,
without paying to the patentee a royalty, of which he
is allowed to be the assessor, and which sometimes
assumes large proportions. The result is, that the
produce manufactured can only be offered in foreign
markets at a price so augmented that the foreigner
refuses it if some other producer, residing in a country
where the Patent is not acknowledged, establishes
competition. Thus, for instance, France, which worships
Patent-right, cannot export the “Bessemer”
steel to Prussia, because there this product is not
patented; whereas in France, on the contrary, it is
subject to a heavy royalty, on account of the Patent.
The same thing may be said of velvets, which have
been very much in fashion, and for which a French
manufacturer took out a Patent. The effect of this
Patent was, that French manufacturers of this stuff
were shut out from the foreign markets, because outside
France they had to encounter the competition of
Prussia, whose manufacturers were not subject to any
royalty, the Patent not being acknowledged there.
In our day, when export trade excites so great an
interest among all manufacturing nations, and has so
much influence on the prosperity of internal commerce,
M. Michel Chevalier believes that the observation he is
about to make ought to be taken into serious consideration.
At least it follows, according to him, that
before approving and continuing the present system of
Patents, it would be necessary that they should be
subjected to uniform legislation in every country.
Now there are manufacturing nations—Switzerland,
for instance—which absolutely refuse; there are others
where Patents are subjected to so many restrictions
that it is as if they did not exist; such is Prussia.
From the point of view of the right of property, it
is contended that Patent-right should be respected,
since it only assures property in invention in the
interest of him to whom the community is debtor.
M. Michel Chevalier sees in this argument only a
semblance of the truth. We must first inquire whether
an idea may really constitute an individual property—that
is, exclusive personal property. This pretension
is more than broached. A field or a house, a coat,
a loaf, a bank-note, or credit opened at a banker’s,
readily comply with individual appropriation, and can
hardly even be otherwise conceived of; they must
belong to an individual or to a certain fixed number of
persons; but an idea may belong to any number of
persons—it is even of the essence of an idea that once
enunciated, it belongs to every one.
Besides, is it certain that the greater part of
patentees have had an idea of their own, and that they
have discovered anything which deserves this name?
Of the great majority of patentees this may be doubted,
for various reasons.
The law does not impose on the individual who
applies for a Patent the obligation of proving that he
is really the inventor. Whoever has taken out a
Patent may very easily turn it against the real inventor;
this has occurred more than once.
Besides, the law lays it down as a principle that it is
not an idea that is patented, and constitutes the invention
valid; and thus it excludes from the benefit of
patenting the savants who make the discoveries, of
which Patents are only the application.
It is by the advancement of human knowledge that
manufactures are perfected, and the advancement of
human knowledge is due to savants. These are the
men prolific in ideas; it is they who ought to be rewarded,
if it were possible, and not the patentees, who
are most frequently only their plagiarists.
M. Michel Chevalier does not desire systematically to
depreciate patentees. Among them there are certainly
many honourable men. The inventions, real or pretended,
which they have patented are supposed to be
new and ingenious uses or arrangements [dispositions],
by help of which we put in practice some one or more
specialities of manufacture; true discoveries are always
due to the savants. But in general these arrangements,
represented as new, have no novelty.
In the detailed treatises on Mechanics, Physics, and
Chemistry, in books of technology, with their accompanying
illustrations, such as are now published, we
find an indefinite quantity of combinations of elementary
apparatus, especially of mechanical arrangements,
and very often the work of professional patentees
consists in searching through these so numerous collections
for uses and arrangements, which they combine
and group. What right of property is there in all this,
at least in the greater number of cases?
Against the pretended right of property alleged by
the defenders of Patents there will be much more to
say. There exists in the greater number of cases much
uncertainty about the inventors, even when true and
important discoveries are in question. Is it known
with certainty who invented the steam-engine, who
invented the aniline dyes, or photography, even?
Different nations are at variance on these points, as
formerly they were on the birthplace of Homer. The
fact is, that the majority of inventions are due to
the combined working [collaboration] of many men
separated by space, separated by great intervals of
time.
On this subject M. Michel Chevalier repeats what
he heard from an eminent man who was Minister of
Finance at the time when Daguerre received the
national recompense which had been awarded him with
the acclamations of all France. One of the Government
clerks brought to this eminent personage proof
that he too had made the same invention; and also
there were the labours of M. Niepce de Saint Victor,
analogous to those of M. Daguerre.
[M. Passy, the chairman of the meeting, confirmed
the statement of M. Michel Chevalier on this fact.]
M. Michel Chevalier, in continuation, remarked that
in our time industrial arts are subject to great changes
in the details of their operations.
Independently of the general alterations which from
time to time completely change the face of any given
manufacture, there is no important workshop where
some useful notion is not occasionally suggested by
some mechanic or overseer, which leads to minor improvements
[un perfectionnement de détail]. It would
be an abuse to grant, during a term of fifteen years, or
even a much shorter, exclusive use of any particular
improvements to any single individual. It would not
be just, for it is quite possible that the idea might
have occurred to another at the same time, or that it
might occur the next day. It would even be against
the general interest, for it would fetter competition,
which is the chief motor in the progress of the useful
arts.
But it is said inventors are useful to society; we
must therefore recompense them. To this M. Michel
Chevalier answers that it may be too liberal to confer
the flattering title of inventor on men who, when a
veritable discovery has been made by savants, push
themselves forward to appropriate the profits, in securing
by Patents the various special applications which
may be made of it. Besides, there are different sorts
of recompenses; there are other than material rewards,
and these are not the least coveted. The savants who
are the greatest discoverers are satisfied with these
immaterial rewards—honour, glory, and reputation.
The example is worthy of recommendation; not but it
is quite allowable for a man to extract from his labour
[travaux] whatever material recompense he can. But,
in many cases at least, the Patent is not necessary for
this purpose. The authors of some useful discovery
would often have the resource of keeping their secret
and working the invention themselves. That would last
for a time. Even under the system of Patents several
inventors have thus sought and found an adequate
remuneration.
Thus the famous Prussian steel manufacturer, M.
Krupp, has taken out no Patent, and yet has made a
colossal fortune; also M. Guimet, of Lyons, inventor
of French blue. Their secret remained in their own
hands for more than fifteen years, the maximum duration
that their Patent would have had in France.
Lastly, in the case of some truly great discovery it
would be natural to award a national recompense to
the inventor. If James Watt, for instance, had received
from the British Parliament a handsome sum,
every one would have applauded it. These rewards
would not impoverish the Treasury, since similar cases
are of rare occurrence.
In recapitulation, Patent-right may have been
allowable in the pasts when science and manufactures
had not yet formed so close and intimate a union. It
was advisable to attract towards manufactures, by
means of exceptional inducements, the attention of
those who made a study of the sciences. But now
that the union is consummated, Patent-right has ceased
to be a useful auxiliary to industry. It is become,
instead, a cause of embarrassment and an obstruction
to progress. The time is come to renounce it.
Another speaker at the meeting, M. Paul Coq,
thought that, on a question so delicate and controverted
history furnishes instruction which directs to a
right solution. Notably Franklin, a genius eminently
practical, declared himself unwilling to avail himself,
as to his numerous discoveries, of any Patent. The
refusal of this great man is founded upon the principle
that every one receives during his whole life ideas
and discoveries from the common fund of knowledge
by which all profit, and therefore ought, by reciprocation,
to let the public freely benefit by every
invention of his. This, with Franklin, was not a
mere sentimental truth, but a practical conviction,
based upon reasons worthy of the author of “Poor
Richard.” There is in the bosom of society a constant
exchange of beneficial thoughts and services. Every
one stimulated by the efforts of others ought, in the
spirit of equity, to make the community participants
of the improvements and useful applications for which
he has in a manner received payment in advance.
On this system, equality, competition, and freedom of
industry find their account in the law of reciprocity;
whereas, on the footing of privilege established and
defined by the theory of Patents, there is created an
artificial property, along side of that rightful property
which has in it nothing arbitrary or conventional, and
depends simply for its existence on civil law. These
circles, thereby traced round the inventor and his discovery,
are so many hindrances and so many obstacles
to the expansion of forces, in the way of continuous
progress. Under pretext of maintaining individual
rights, improvement is in reality paralysed by superimposed
difficulties, and especially litigation without
end, on account of which nobody dare touch, either
far or near, what has been appropriated. The numerous
actions at law, raised with a view to ascertain
whether such and such a process constitutes a perfectionation,
a new application, or merely an imitation,
are my proof. There is another proof in the distinction
attempted to be made between matters patentable
and methods scientific which may not be patented.
All this, as it affects progress, the free expansion of
forces, is infinitely grave. Franklin has found for his
precepts, already alluded to, more than one adept
pupil. One modest savant, whose name deserves to
be better known among us for his numerous services
rendered to science as well as to the arts—Conté—honoured
to replace in France the pencils of England,
the importation of which was not possible in time of
war—not only supplied by his new process the want
of plumbago with success, but made it better than the
English. To him are due, besides black-lead pencils,
which make his name celebrated, the crayons of
various colours, which have been so serviceable in the
arts of design. Well, like Franklin, he presented his
process to industry, and contented himself with being
first in the new manufacture. It must be remarked
that he who thus opens the way easily maintains the
first rank which the date of his invention assigns him,
and which public confidence assures him....
Before concluding, M. Paul Coq adverted to the
distinction between the right of property generated by
a creation of a work of art or of literature, and factitious
property decreed in the interests of industry.
The skilful painter, who should copy faithfully line for
line, tint for tint, a chef d’œuvre like the picture of
Ingres, which every one knows, “The Source,” in
order to expose it for sale and pocket the advantages,
not merely lays hold of the property of a great artist
who lives by the fruit of his talent, but perpetrates,
in all points of view, an action mean and vile. To
inventions in the domain of the useful arts, processes
and operations do not carry the stamp of personality,
which is the glory of the artist and author, and which
of itself constitutes a protection equal to that which
protects right of property.
The invention is something impersonal, like a service
rendered and returned, which is not exchanged or
paid by services of equivalent weight and description.
There is, therefore, no plausible objection to maintaining
unimpaired the common right, which, by its
freedom of movements, its equality, and its reciprocations,
alone efficaciously favours the result of which
these are the indispensable corollaries.
EXPERIENCE IN FRANCE. — THE RESULTS OF A BAD LAW. — I. — II.
The following observations were published in the Avenir Commercial,
November 1, 1862, and June 28, 1863, have been kindly translated
and presented by the Author:—
When you walk along a public road, if you find a
watch, a diamond, a note of a hundred or a thousand
francs, and, far from seeking the owner to give it back,
you apply it to your own use, moral law and civil
law take hold of you and condemn you without hesitation.
It matters not whether he who lost what you
found be rich or poor, his carelessness, his negligence,
or the accident that caused his loss, give you no sort
of right to use it and make it yours.
There are not two opinions on that point: the laws
of all countries condemn the man who enriches himself
with what chance throws in his way.
But if a scientific man—seeking some impossible discovery,
finds a clue to an idea—meets with an interesting
phenomenon—indicates, in some way, new properties
belonging to some bodies—announces the results of
some new chemical combination—it is only a scientific
research. This or that other skimmer of inventions can
get a Patent for the application of the idea, of the
discovery, of the method; and the law guarantees his
pretended right not only against all reclamations of the
scientific man who has discovered the whole, but against
the whole world, deprived of all possibility of making
use of the discoveries of science!
And not only the law forbids every one to use this
or that produce, except if made by the patentee, but
it also prohibits the use of any similar produce made
by different means.
Then, to prevent all inventors to approach the
ground that the patentee has chosen, he takes immense
care to have his Patent made of formulas so wide
and elastic, that all inventions in the same course of
ideas will be infringements in the eye of the law.
To these observations it is answered that industrialists
or scientific men are equal before the law, that all
have an equal right to its protection, but on the express
condition that the invention be put in use.
We see very well where is the privilege of the chance
patentee, who has made the discovery of the scientific
man his own, but we do not see where is its justice or
equality.
We see very well where is the privilege of the man
who has had nothing to do but to apply the idea deposited
in a book by a scientific man—an idea that, in
fact, was at the disposal of the public, since the discoverer
did not claim its proprietorship; but we do not see
why the law gives a monopoly to him who has only
borrowed that idea.
But we are told, the law is quite equitable, for it,
says, “To every man his due. The scientific man discovers
a body, glory be to him. If he will add to it
some profit, let him indicate the properties that may
be used industrially, and let him take a Patent for his
discovery. But he must hurry, because if industry
forestalls him, industry will get the profit.”[6] It is exactly
as if this was the law: A millionaire drops a 100-franc
note. It will not make him much poorer. If he wants
to get it back, let him return where he came from and
seek along the road. Let him hurry, for if this note
is found, he who will have got it may keep it.
Common sense and equity would join to say that
when a scientific man indicates a discovery or an invention,
that invention or discovery remains at the
disposal of every one if the finder does not claim
the exclusive right to work it. But the law is different,
and the results are soon made apparent.
In 1856 an English chemist, of the name of Perkins,
was seeking the way to make artificial quinine. In
the course of his experiments he discovered in the
laboratory of M. Hofmann the property residing in
aniline of producing a violet colour by the action of
bi-chromate of potass.
Perkins got a Patent for this discovery. The attention
of the scientific and industrial classes being called
to this property of aniline, and to the possibility of
extracting from it divers colouring matters, several
French and other chemists and manufacturers got
Patents for many more new processes.
In 1858, Hofmann, continuing to study aniline, discovered
the red colour. He sent a memoir to our
Académie des Sciences, in which he gave the exact
method to produce this magnificent crimson red.
Hofmann took no Patent; it seemed as if he wanted
to present gratuitously to tinctorial industry a new
and beautiful produce.
Six months after, a manufacturer, who as early as
1857 had tried to get patented in France the patented
discovery of Perkins, sold to a manufacturer of chemical
produce a process copied from the discovery of
Hofmann, by which the red of aniline could be manufactured
by the reaction of the bi-chloride of tin. The
Patent was granted, and the produce manufactured.
But very soon after, in France and abroad, more advantageous
and more scientific methods, preferable to
the patented one, were found.
All the French manufacturers who tried to use any
of these new processes were prosecuted and condemned
for infringement on the right of the patentee.
It then followed that one kilogramme of red of aniline
was sold abroad for £12, and the monopolisers sold it
for £40 in France.
This could not last, particularly after the treaty of
commerce, by which printed and dyed goods could be introduced.
Manufacturers threatened to give up work,
and the patentee thought proper to reduce his prices.
But another result, no less fatal to French interests,
soon followed.
The most intelligent manufacturers of colouring-stuffs,
those who were at the head of that branch of
industry, and had concentrated in Paris, Lyons, and
Mulhouse the fabrication of the finest and most delicate
dyes for the home and foreign market, went to establish
new factories across the frontiers.
The existing Patent prevented them from satisfying
the demands of their customers abroad, who required
some aniline colours, and they were obliged to carry
their industry to foreign parts.
The following is the list of the manufacturers who
have founded new establishments beyond the reach of
the monopolising Patent:—
A. Schlumberger, of Mulhouse, new factory at Bâle
(Switzerland); Jean Feer, of Strasburg, new factory
at Bâle; Peterson and Seikler, of Saint Denis, new
factory at Bâle; Poirrier and Chappal, of Paris, new
factory at Zurich; Monnet and Dury, of Lyons, new
factory at Geneve.
Five other establishments, raised by Swiss people
but under the direction of Frenchmen, are being
founded at Bâle, Zurich, Glaris, and Saint Gall. Then
there are still to be founded, the factory of M. A.
Wurtz, brother to Professor Wurtz at Leipsic;
another, by M. O. Meister at Chemnitz; a French
factory at Elberfeld; three, also French, in Belgium;
and three others in Switzerland.
It is, in fact, a general expatriation, like the one
that followed the revocation of the Edict of Nantes.
It is worthy of remark that in Germany there are
twelve Patents for making colours or dyes from aniline;
in England there are fourteen, in France (thanks to the
interpretation given to the law) there is one. “Et
nunc caveant consules.”
T. N. Benard.
[6] Extract of a paper on the subject in the Propriété Industrielle.
In our number of November 1, 1862, we published
on this very same question an article in which
we stated that about twenty French manufacturers had
been forced to go abroad to escape the unheard-of
exigencies of the law of Patents. We were answered
by insults that we disdained; but the facts that we
had revealed were not contested.
A volume just published on the legislation and
the jurisprudence of the law of Patents enables us to
show another side of the question, and to prove how
injurious it is to manufacturers and inventors, and how
profitable to certain gentlemen of the Bar who have
the speciality of cases for infringement on Patents.
We say it openly and fearlessly, if it was not for the
lawyers who swim freely amongst the windings of that
law, it would not have a supporter. Manufacturers
and inventors are shamelessly made a prey to a group
of pleaders who defend right and wrong with the same
deplorable alacrity.
What an immense number of law-suits have arisen
from the 54 articles of that law! The volume we
have in hand has been written with the intention of
giving to the public a view of the jurisprudence
adopted by the Courts in the interpretation of each
paragraph. A summary of the trials that have taken
place since its promulgation in 1844 follows each
article of the law.
Article I. is as follows: “Every new discovery
or invention, in all kinds of industry, ensures to its
author, under the conditions and for the time hereafter
determined, the exclusive right to work for his benefit
the said discovery or invention. This right is established
by documents granted by the Government, and
called Patents.”
The first trial that we find in the list took place
in 1844. The question was, Whether the words all
kinds of industry could be applied to things that are
not in trade? The Court’s decision was for the
affirmative.
The second trial was raised to know if, when a
working man is only executing the orders given to him
by another party, with the indications and in the interest
of this last, the working man may be reputed the
inventor, and if the results of his labour may have the
character of an invention, so that he may claim
[revendicate] its ownership by a Patent. The Court
decided for the negative.
We pass four other suits running on the interpretation
of this first article, that seems so innocent, so
inoffensive, and come to the eleventh trial. In conferring
by Article I., under the conditions that it
determines, on the author of new discoveries or inventions
the right of working them exclusively for his own
benefit, did the law intend to deprive of all rights those
who were using the same means of fabrication prior to
the delivery of the Patents? The question was, in
other terms, to know whether the Patent is good and
legal against every one except against the party who,
having worked it for a certain period anterior to the
granting of the Patent, might be kept in possession of
his industry? On March 30, 1849, the Court of Cassation
decided for the affirmative in the case of “Witz
Meunier versus Godefroy Muller.” You fancy, perhaps,
that the affair is all right and settled; the Court of
Cassation has spoken, and every inventor who will not
have taken a Patent may work out his invention without
fear of prosecution from a patentee coming long after.
You are greatly mistaken. You do not know how
keen, and ardent, and clever, and anxious are the
seekers of Patents. Previously to that the Court Royal
of Paris had declared in May, 1847, in the case of
“Lejeune versus Parvilley,” that the Patent can be put
in force against the manufacturer working the invention
before it was patented, if he has not published it before
the patentee, and if the patentee is the first who has
introduced it in commerce. But in 1847 the Court
Royal of Paris did not know the opinion given in 1849
by the Court of Cassation. We see how unsafe are
the things of this world. Say if you can ever be sure
of holding and knowing the truth.
On August 19, 1853, the same question was
brought again before the Court of Cassation in the
case of “Thomas Laurent versus Riant,” and the Court
decided that the Patent can be put in force against
whoever possessed the invention before it was patented.
There is at Lyons a manufacturer who for a great
many years fabricated a dye for which he has not taken
a Patent, but the secret of which he carefully keeps to
himself. If, by some manœuvring, by some doubtfully
moral means, an industrialist—as there are too many
amongst the patentees—contrived to worm out this
secret, and got a legal Patent, he could work the discovery
and oblige the Lyonese manufacturer to cease
all productions of the same kind. Would it not be an
admirable example of legality?
The contradiction that we have just noted between
two verdicts given by the same Court upon the same
question gives us the right to say that the magistrates
ought to show a little more indulgence to those they
condemn. When there is a law like that relative to
Patents, common mortals are very excusable if they
make a mistake in interpreting in a wrong way this
or that expression, since we see the highest Court in
the country giving sometimes one interpretation and
sometimes another.
The first article of the law has given rise to fifteen
different suits, inscribed in the pages of the volume we
hold. These fifteen suits have been tried before the
Civil Courts or the Court of Cassation. People may
well be frightened at the mountain of papers that
must have been used and destroyed by the attorneys,
counsel, barristers, &c., before the public could have
any clear notion of what the legislators meant.
The second article is as follows: “Will be considered
as new inventions or discoveries—the invention
of new industrial produce; the invention of new
methods or the new application of known methods to
obtain an individual result or produce.” This article,
we may say, is the main beam of the edifice, consequently
it has given occasion to no less than 104 suits.
One might fancy that the multitude of judicial decisions
given by the Courts has thrown the most brilliant
light on the interpretation to be given to the three
paragraphs forming the second article. Alas! these
paragraphs are just as obscure as before. For instance,
the Imperial Court of Paris decided on August 13,
1861, that the “change in the form of a surgical
instrument, even when there may result an advantage
or greater facility to the operator, cannot be patented.”
But on July 26 of the same year it had decided that “a
production already known—a straw mat, for instance—may
be patented when its form, its size, and its
length are new.” So, again, the Court of Cassation
decided, on February 9, 1862, that “the production
of a new industrial result is an invention that may be
patented, even if it is only due to a new combination
in the form and proportions of objects already known.”
On the contrary, the Correctional Court of the Seine
decided on December 24, 1861, that a modification of
form, even when it procures an advantage, is not of a
nature to constitute a patentable invention. Can we
not say with the poet:
“Deviner si tu peux, et choisis si tu l’oses?”
The lawyers of Great Britain are accustomed to
celebrate certain anniversaries by a professional dinner.
The President of the party, after having proposed the
health of the Queen and the Royal Family, calls upon
his brethren to join in a toast to the prosperity of the
profession they follow. This traditional toast is characteristic
enough. It is as follows: “The glorious
uncertainty of the law!” We think the facts we have
related give to this toast a right of citizenship on this
side of the Channel.
T. N. Benard.
IMPORTANT MESSAGE FROM THE SECRETARY OF THE CONFEDERATION, COUNT VON BISMARCK, TO THE NORTH GERMAN FEDERAL PARLIAMENT.
Berlin, December 10, 1868.
In the presence of the manifold and well-founded
complaints concerning the defective state of legislation
on Patents in Prussia and Germany, the Royal
Prussian Government deems it important to have considered
without any further delay what course might
best be adopted in the matter.
At the same time, however, and with a view to the
position long since taken by Government in regard to
the question, it must not be omitted in the first place to
decide whether henceforth Patents should be granted
at all within the boundaries of the Confederation.
The frequent polemics on the principles of Patent-Laws,
to which the repeated attempts at reform have
given birth during the last ten years, and more particularly
the discussions in the late German Federal
Assembly, have enhanced the questionability of the
usefulness of Patents.
After taking the opinion of the Chambers of Commerce
and the mercantile corporations, the Prussian
Government, on the occasion of the German Federal
Assembly Session of 31st December, 1863, gave
utterance to the doubt whether under present circumstances,
Patents for inventions may be considered
either necessary or useful to industry. Since then the
Royal Prussian Government has taken the question
once more into serious consideration, and feels bound
to answer it in the negative on the strength of the
following arguments.
From a theoretical point of view, it may be taken
for granted that the conferring of an exclusive right
to profits which may be derived from industrial inventions,
is neither warranted by a natural claim on the
part of the inventor which should be protected by the
State, nor is it consequent upon general economical
principles.
The right of prohibiting others from using certain
industrial inventions, or bringing certain resources and
profitable means of production into operation, constitutes
an attack upon the inalienable right which
every man has, of applying each and every lawful advantage
to the exercise of his profession, which is the
more obvious, as there exists a prevailing tendency to
free industrial pursuits from all artificial restrictions
adherent to them, and the time-honoured practice can
only be upheld by a thorough vindication and a practical
proof of its fully answering the purpose. To
demonstrate this should be the chief aim of all arguments
against abolition.
To an argument which has repeatedly been urged—i.e.,
that the granting a temporary exclusive right is
indispensable (so as to secure for the meritorious inventor
a reward adequate to the mental labour and
money expended, as well as risk incurred, in order that
there be no lack of encouragement to the inventive
genius)—the objection may be raised that the remarkably
developed system of communication and conveyance
now-a-days, which has opened a wide field to real
merit, and enables industrial men promptly to reap all
benefit of production by means of enlarged outlets for
their articles, will, generally speaking, bring those who
know how to avail themselves before others of useful
inventions to such an extent ahead of their competitors,
that, even where no permanent privilege is longer admissible,
they will make sure of a temporary extra profit,
in proportion to the service rendered to the public.
It is, in fact, in the peculiar advantage produced
by the early bringing into operation of a fresh suggestion
of their minds, that the remuneration of those
lies, who, through cleverness and steadiness of purpose,
succeed in satisfying existing wants in a manner
less expensive and superior to what previously was
the case, and notwithstanding do not obtain any
monopoly. Not of less account are the practical
impediments which stand in the way of every effort
to bring about an improvement of the Patent-Law.
It is generally admitted by the promoters of Patent-right,
that the system of inquiry or examination, as it
is now working in Prussia, cannot possibly remain in
its present condition, and the experienced officers
appointed to decide upon Patent matters and make
the necessary inquiries, unanimously confirm that
opinion. Though provided with relatively excellent
means of ascertaining, the Prussian Technical Committee
for Industry had to acknowledge as early as
1853 (Vide Prussian Trade Archives of 1854, Vol. ii.,
page 173, ff.) that the question whether an invention
submitted for being patented might not perchance
already have been made or brought into operation elsewhere,
was almost an unsolvable one. Since then, inventions
have augmented yearly in steadily increasing proportion.
The main difficulty, however, not only rests in
the impossibility of mastering the matter submitted,
but equally so with the upholding of firm principles
relating to the criterion of originality. If the inquiry
do not altogether deviate from its primitive object by
patenting any and every innovation in construction,
form, or execution, which is presented, we fall into such
uncertainty when sifting actual inventions from the mass
of things which are not to be considered as undeniable
improvements—owing to the continually increasing
and diversified combinations of generally known elements
or material and altered constructions or modes
of application—that it is hardly possible not to be
occasionally chargeable with injustice. Every day shows
more clearly how annoying a responsibility grows out
of such a state of affairs, and it is highly desirable that
the authorities no longer be conscious of doing injustice
in their duties on account of rules which cannot
properly be put into practice.
As for the often much-commended so-called “application
system,” it would by no means really answer
the purpose; even without considering the theoretical
objections which might be raised against it. Its
practical results have been far from giving satisfaction
wherever it has been adopted. The complaints of the
abuses and impediments industry suffers under, and
which are brought about through the overwhelming
mass of Patents, for the most part taken out with a
view to swindling speculation, the unpleasant experience
acquired by those who take all legal means so
as subsequently to contest and defend Patents granted
without previous inquiry being made, have led to a reaction
of public opinion in favour of abolishing the
system.
The unsatisfactory and quite abnormal state of all
matters connected with Patents in England and France
had, years ago, claimed the most earnest attention of
the legislators, and led to practical deliberations on the
necessity and the means of effective improvements. The
French Government introduced a Bill in 1858, to the
effect that the hearing of objections to Patents applied
for might, as much as possible, take place previous to
the same being granted. A similar system which is in
force in England has, however, proved inadequate in
that country, and the commission which, in 1863, made
a detailed statement as to the merits of the existing
Patent-Law, recommended the adoption of official
inquiry.
Under the circumstances, it can hardly be the question
at all, for the North German Confederation, to admit of
the mere “application system.” Nor can the imposition
of high taxes [on patentees?] (not taking into account
their inconsistency with the real object of Patents) be
considered a sufficient corrective of the system, after
the experience acquired in England on this head.
Both the inquiry and application systems having
proved defective, the conclusion is arrived at, that the
difficulties cannot be overcome by means of altering
certain details in the institution, but rather arise out of
constitutional infirmities of the institution itself. The
Patent system makes such distinctions necessary as are
now practically inadmissible, and the impracticability
of which is by no means removed through merely
transferring the evil from one side to the other. It
must be granted that if artificial contrivances be at
all required to adequately remunerate an inventor
for the services rendered to society, they cannot be
hit upon in this direction without hurting all important
interests.
That the final step of repealing Patents altogether
should not yet have been taken anywhere, in spite of
the leading theoretical and practical authorities having
urged it, may be easily explained by the fact that we
have to deal with an institution which very long ago
has taken root in the usage of the industrial nations,
and to which tradition ascribes most of the immense
progress industry has taken during its existence. To
this may be added the apprehension lest the country
which would take the lead in the matter might find
itself at a disadvantage with the remainder.
Generally speaking, the anticipation of a profitable
use to be made of an invention for one’s exclusive
benefit is, no doubt, a powerful incitement for the
inventive genius, and equally is it admitted that to
temporary Patent-right we owe the successive improvements
on many a useful invention.
Experience has, however, taught that in most
instances Patents do not fulfil their mission; that on
the whole they have not proved an actual benefit,
either to the proprietor or the public; that the profits
have gone just as often into the pockets of strangers
as into those of the able inventor. When chiefly
ascribing the progress made by industry through
technical improvements in many of the countries
where extensive regulations of Patent-right are provided,
to the incitement consequent upon the protection
afforded by Patents, the fact is overlooked that
the great inventions made in old times, as well as the
scientific discoveries which in the modern era paved the
way for industry, have perfectly done without any
such incitements. Against the stimulating influence
of monopoly upon individuals, we must, however, in a
period so extremely favourable to industrial progress,
not underrate the very important point, that it also
checks the quick and fertile development of a new
thought, which, when totally free, might be expected to
spring up in a higher degree from the competing
labours of all. Of course, it is impossible to say
whether in England, Belgium, France, and the United
States, industry, if supported by other favourable
stipulations, might not have taken an equal development
without the protection of Patents; but we have
at all events an illustration of this being the fact in
Switzerland, where the absence of Patents has not at
all been found prejudicial to the public at large. The
records of the latter country may dispel all apprehension
lest the abolition of Patents should place national
industry on an unequal and disadvantageous footing
with foreign. If Germany be foremost in the indicated
direction, we must, it is true, be alive to the
very likely occurrence of her standing, at least for
some time to come, isolated on her platform. A
favourable result of the movement in either England
or France can hardly be looked for at a very early
date, considering the state of public opinion prevailing
in those countries, as well as the large individual
interests at stake, owing to the wide scope for protection
arising out of their Patent system, while at the
same time it is yet a fact worthy of remark, that
neither England nor France have been able to make
up their minds as to reforming a system the numerous
defects of which are universally recognised. In
Germany the same difficulties do not present themselves
to the same extent, the less prolixity of our
Patent institution not affecting the industrial part
of the nation in nearly the same ratio. The whole
system in this country has been less active in all
directions; proof of this is given by the statistics of
Patents, as compared with those taken out abroad.
The actual items in 1867 were as follows:—
For
Prussia
103
Patents.
”
Saxony
179
”
”
the Thuringian Union
33
”
”
Brunswick
32
”
”
Hesse
20
”
”
Oldenburg
12
”
”
Bavaria
214
”
”
Würtemberg
139
”
”
Baden
46
”
Whereas, in 1866, there were granted—
In England (including the provisional protections)
3,453
In France
about
4,400
In Belgium
”
1,700
And in the United States
”
9,450
In Prussia, on account of the rigidly adhered-to preliminary
inquiry, 87 per cent. on an average of the Patents
applied for during the last ten years have been non-suited,
and only from 50 to 100 requests a year were
granted. Besides, it is scarcely subject to a doubt
that even of these only a small number has been turned
to practical use. Again, the amount of privilege the
Patent ensures is less in Germany than abroad, as in
conformity with the clauses of the Treaty of 21st September,
1842 (and which provisions should be kept in
force under any circumstances), a Patent does not
confer upon its proprietor (not taking into view machinery
or instruments) a prohibitory right against the
importation, sale, or consumption of foreign articles.[7]
The anticipation that the abolition of Patents might
cause the results of new inventions to be lost to the
nation through the respective inventors turning themselves
towards the protection-affording countries, is not
confirmed by the experience acquired on this head in
Switzerland. The industrial who has invented a new
process will, in most instances, be influenced by other
motives to bring the same into operation where he has
his factory and his already acquired customers. Nor can
much importance be attached to the apprehension that,
should the Patent-Law be repealed, inventors might
show more disposition towards keeping new inventions
secret from the public; for, even assuming the abolition
to be an incitement to keeping inventions secret,
yet it cannot be admitted that any prejudicial change
from the present state of things would take place.
Even now, under the rule of the Patent-Law, it is a
recognised fact, that to such methods of fabrication
and resources as admit of being kept secret, the very
secrecy affords ampler protection than the Patent itself.
By thus drawing the conclusion that those inventions
which might eventually be kept secret are so at the
present time as well, no actual prejudice will be caused
by one measure being in force rather than the other.
The Royal Prussian Government, therefore, thinks that
by completely abolishing the Patent system within the
limits of the Confederation (a resolution recommended
by economical theory, and which public opinion has
been sufficiently prepared for), instead of making any
further and necessarily unsuccessful attempts at reform,
the circumstance of the Confederation preceding other
important industrial nations cannot be considered an
actual impediment, although it would be far preferable
that the South-German States should join in the
measure, so as to extend the innovation to all countries
comprised in the Zollverein.
The undersigned is of opinion that previous to further
inquiring into the particulars of the Patent-Law,
the North German Confederation ought first of all to
decide whether henceforth any protection by means of
Patents should be afforded at all within the boundaries
of the Confederation. Assuming this, and also considering
that the Confederation shall have to take a
decision as to the attempts at reform, the undersigned
moves: “That the Federal Parliament appoint the
Committee on trade and intercourse, to deliberate on
the question proposed, and report on the same.
(Signed)
“Von Bismarck.”
[7] This mighty difference from our British practice is in harmony
with what I have shown is the scope of the original English Act, and
with our common law.—R. A. M.
PROPOSITION FOR THE ABOLITION OF PATENTS IN HOLLAND. — Session of Tuesday, 22nd June.
SECOND CHAMBER OF THE NETHERLANDS LEGISLATURE,
SESSION OF 21st JUNE, 1869.—DISCUSSION ON THE
ABOLITION OF EXCLUSIVE RIGHTS IN INVENTIONS
AND IMPROVEMENTS OF OBJECTS OF ART AND INDUSTRY—(PATENTS).
M. van Zinnicq Bergmann was not sufficiently prepared
for the discussion while the project was in Committee.
He feels much sympathy for all such measures
as tend to do away with impediments to trade and industry.
At the same time, people ought to discriminate
between the kind of protection which is a hindrance to
industry, and may be called monopoly, and the one to
which property is entitled on the part of the State.
At this part of his speech the hon. member indulges
in extensive remarks on the right of property. According
to Roman law, the right of property was a “jus quod
natura omnia animalia docuit.” But that definition is not
a correct one, as the right of property is especially maintained
in civilised society.
After that, the hon. member launches himself into
allegory. Try, quoth he, to drive the lion from his den;
he will defend it until his last drop of blood! Look at
the boy who snatches the young and tender bird from its
nest; the mother will pursue the robber, and not leave
him. Now, he should like to know whether an artist,
an inventor, an author, has, or has not, a right of property
in his work which entitles him to the benefits to be
derived from it? This question he answers in the affirmative,
and refers to Soy, Massé, and the “Assemblée
Constituante” of France in December, 1791. And why
should there be no right of property? Perhaps on
account of an article in the Civil Code, which says,
“possession vaut titre,” or of a restriction to a greater or
smaller lapse of time? We are continually referred to
England and the United States. But what is England?
England is a country at the same time emancipated and
in course of emancipation. Duly considered, England
will be found to be, internally, in about the same state in
which the Netherlands were before 1795, or before the
end of the sixteenth century—(laughter)—but, the
hon. member adds, always accompanied by such improvements
as rulers have successively granted with regard to
Patents. England may have had its commotions; but,
nevertheless, charters have never been otherwise but
granted, and the privileges, exacted though they may
have been, were received at the hands of the King. And
what have we been doing? We expelled our Stadholder,
and got annexed to France; the principles of 1798 have
taken root in our country, and continue to be the basis
for present action. The hon. member further argues
that Patents are granted to emancipated slaves, but
free citizens take out “brévets d’invention.” He is of
opinion that it is a wrong impression that Patents are to
be placed upon a line with the abolition of guilds. There
is no connexion whatever between these institutions, and
this he demonstrates by reference to French authors.
Even taking Michel Chevalier’s doctrines for granted,
he asks, “Could such difficulties not be obviated through
a reform of the Patent-Law?” Once at a time, Alexander
made himself famous by cutting through the
Gordian knot. That was a despot’s doing; he might
have deserved more fame had he succeeded in disentangling
the knot. Such should be the final aim the legislator
ought to strive to reach. Finally, the hon. member
puts forward the question, whether the passing of the law
now before the House might not involve the country in
international troubles; for, Switzerland alone excepted,
every country in Europe has its Patent-Law. Besides,
we are aware that, as far as literary right of property is
concerned, a neighbouring country has, against its will,
been compelled to maintain it. We, at our turn, might
once have to come back to what we want at present to
repeal. Let us, therefore, be cautious.
M. Heemskerk Azn remarks that continued allusions
are being made to reaction. Generally speaking, such
allusions are made out of personal motives; but he should
very much like to see a real live reactionist, who would
like to repeal what progress has brought us. There may
possibly be people extant who would wish to do so, but
as for him, he is not aware of any reactionary plots
against our institutions, or the effects of science and
progress; yet this very project now before the House,
which he considers to be reaction, has been most favourably
received in Committee. Should the Netherlands
Legislature sanction it, then he shall have to believe in
the existence of reaction. For it is an easy thing to find
evidence of reaction in the project under discussion. M.
van Zinnicq Bergmann has already more or less demonstrated
it. He (M. Heemskerk) will add a few more
particulars. Where, the hon. member asks, lies the
origin of Patents? In the cultivation of a free spirit,
and the ennobling of labour; and of these, the right of
protection existed since time immemorial. Deviating
from the civil rights, the Stuarts, through favour or
arbitrary motives, granted “privileges;” but the Free
Parliaments saved Patents, that protect inventions.
Moreover, this principle has been adopted in the most
freedom-advocating of constitutions—viz., that of the
United States. The same may be said with regard to
France. On the 31st December, 1790, the “Assemblée
Constituante” resolved that the right [of property] in
inventions should be guaranteed, and in this resolution
originated the first French Patent-Law. The Netherlands
would be the very first country on earth (with one exception
only) to deviate from the principle of a right of
property in inventions, in a moment, when public opinion,
dissenting thereby from a few economists, everywhere
declares in favour of Patents. He reminds the House
of the immense influence inventions have had on history
and society, such as the invention of printing, of the compass,
steam, gas, &c. And would it be fair to withhold
from those who promote progress that protection which
is legally due to them; whereas there is no end of provisions
in the code protecting mere material property,
such as the right of inheritance until the twelfth degree,
lotteries, stock gambling, and the like? Government
has evidently been aware of the circumstances standing
in the way of the project, as is proved by page 1 of the
Memorial of Explanation; but it shrinks from the logical
consequences. The Patent system is based upon the
principle that nobody should enrich himself by another
man’s property. This has also lately been argued at
length in Savornel Lohman’s pamphlet. The hon.
member gives it as his opinion that in this matter
an author is in exactly the same position as an inventor.
If Patents be abolished, we shall logically have
to come to repealing Copyright as well. A counterfeited
edition is nothing else than the imitation of an
object of industry; the writer is an author, but the
inventor is no less an author. Amongst others, he refers
to a speech from Lamartine (as reporter of a Committee
in the French Legislative Chambers, which consisted of
the then most eminent economists) on the Patent-Law
of 1844, which is still in force. He insists
that the justice of his system of maintaining the
right of property is proved beyond a doubt by the
ever and again recurring circumstance of an inventor
lacking capital for a practical application of his lucubrations.
Still, he often obtains the requisite means;
and now everybody will be enabled to imitate the result
of his thoughts and labour, and to reap the profits to
accrue from the same. He points to Professor Visvering’s
work on practical economy, who also recognised that, if
no exclusive Patents be delivered, still inventors had a
right to a remuneration of some kind. Those who oppose
the Patent-Law contend that an inventor is not entitled
to a reward; he admits that no reward should be expected,
but most assuredly the inventor may lay claim
to remuneration for the labour expended on the invention.
We are referred to Switzerland, where no Patents are
given. But what of that? In the first place, most of
the industrial Cantons of Switzerland are clamorous for a
Patent-Law; secondly, the Swiss, as a body, equally
want the measure to be put through; and, in the
third place, the hon. member points to the large
benefits which, according to Klosterman’s recent work,
Swiss industrials derive from foreign Patent-Laws.
It is alleged that the number of Patents which are
being delivered [in Holland] is but small. But, says
M. Heemskerk, foreigners, on the contrary, claim that
the number is large. There exists apprehension of law-suits;
but can that be brought to bear upon the repeal
of the Patent-Law? In that case, landed property
would be the least tolerable, as the proverb says—“Qui
terre a, guerre a.” Moreover, no three law-suits are known
to have sprung up from Patents in this country since the
law has been in force. In Belgium, it is true, much
action has of late been taken in order to do away with
Patents; but there, as well as in Prussia, the movement
is rapidly decreasing. The hon. member refers to the
“Nederlandsche Industrieel,” a periodical which,
though strenuously in favour of abolition of Patents,
nevertheless mentions in its issues of 14th and 21st
of February, and 20th of June, what has lately
occurred in this respect in Germany and elsewhere.
In Great Britain also the question has lately been
discussed in Parliament, but the member who moved it
did not even take the votes upon it, but quietly dropped
the matter; such was the impression made upon his mind
by the arguments brought forward [!]. The subject has
equally engrossed the attention of the “Société Economique”
of Paris, when eminent economists, amongst
whom Wolowski, declared in favour of Patents. This
is mentioned in the Economistes of June [see page 164].
For all these reasons the hon. member recommends
to the serious consideration of the House that, for
the time being at least, the rash Act be not consummated.
Do not throw such a stain upon your
Legislature, he emphatically exclaims. Do not step
backward; beware of relinquishing the protection of
any description of property. Do not cripple the law by
ignoring a principle which protects the fruit of human
intellect. Beware of laying violent hands upon property,
of whatever kind it may be. Let us do better than that;
let us reject the bill. Persuade Government, there
being no haste whatever, to propose to the Chambers
that the subject be deferred until next Session. At all
events, nothing would be lost by it. Meanwhile Government
would be enabled to reconsider the subject, and to
make inquiries abroad as to the state of legislation on
this head. No prejudice would be occasioned by deferring
the matter; for the hon. member expresses his
firm belief that a dangerous measure is about to be
adopted with regard to a subject with which the utmost
caution should be observed.
M. de Bruyn Kops would not enter into all particulars,
the matter having been treated at length in the
sundry documents relating to it; but he would restrict
himself to a refutation of M. Heemskerk’s arguments.
He is in a position to place himself on a very simple
point of view. The law of 1817 is generally disliked, in
principle as well as in its details. It has been admitted
that it does not give the inventor any guarantee, and
this on the ground of the issue of some law-suits which
have sprung up from it. So Patents, far from giving a
security, hinder the general public and impede industry.
It is a fact worthy of notice, that the leading industrial
organs, such as the Chambers of Commerce and Factories,
the Industrial Society, the Union for Promoting
Mechanical and Manual Industry, and the Nederlandsche
Industrieel, unanimously have declared against Patents;
so have a score of industrials. Are these not facts
worth more than a few considerations about a right to
special protection? Add to this the circumstance that
in those countries where Patents do exist difficulties are
gradually increasing; as, first of all, the question arises,
whether the invention is really a new one; and to
ascertain this is very often a most arduous task. Then,
again, Patents are being asked for mere trifles. Within
a short period, 126 Patents for improving bicycles have
been taken out in England. It thus becomes necessary
to make a minute inquiry into the usefulness of the
matter. This has been the cause that in France they
have gone to the other extreme—granting Patents
“without guarantee by Government.” Patents are not
consequent upon the recognition of man’s, or inventors’,
rights; they are the remainders of the guild
system, and of protection to national industry in
exclusion of foreign. It cannot be a question of
right of property, for, if such were the case, Patents
would not be granted for a fixed term of years. If
invention means right of property, why, then, that
arbitrary restriction? Originally the idea may have
been a good one, but in the sequel it has proved a
failure. There are examples of different persons having
made the same invention without having any knowledge
of each other. It is consequently becoming
almost a matter of impossibility to ascertain priority.
The hon. member says that all endeavours to bring
about a practical result out of an originally elevated
idea have utterly failed; that the guarantee of the
right is, as has been proved by means of the report
in England, at best uncertain and unsatisfactory; and
that when the project shall have been made law, he will
rejoice at his country having been foremost in leaving
the wrong track.
The President reads an address from the Board of
Directors of the Union to Promote Mechanical and
Manual Industry, of Rotterdam, in which they support
the project now pending before the House.
The discussion on the subject is continued.
M. van Houten observes, that M. Heemskerk has
given the epithets of “reactionary” and “ruinous” to
the measure proposed by Government. By opposing
the project, that deputy did his duty, but at the same
time it more than ever becomes the duty of those who
strenuously support it openly to express their convictions,
and to show that they know what they are
about. His opinion is that M. Heemskerk’s arguments
have been tested, and did not stand the test. M. de
Bruyn Kops having refrained from arguing on the
ground of theoretical considerations, he (M. Van
Houten) will say a few words in that direction. The
main question is this: Is prohibiting the imitation of an
invention lawful, and shall it or shall it not be upheld?
Those who want to let things remain as they are talk of
rights acquired; but on what are these so-called rights
based? Certainly on no very solid basis; for, if a right
it be, why is only a temporary protection granted? A
right is permanent, and cannot be taken away but
through expropriation for the common weal, and even
then in consideration of an indemnity only. M.
Heemskerk argues two points: 1st, The inventor has a
claim of priority, as the first who takes possession.
2nd, The imitator enriches himself at the expense of
the inventor. But, says the hon. member, M. Heemskerk
loses sight of the fact that first occupation
can only take place of “corporeal” effects; not of an
invention which may be made, and is often being made,
by others at the same time. Besides, he contends that
it is not the imitators, but the public, who enrich themselves
and benefit by the invention. He is of opinion
that the Patent system remunerates where no labour has
been expended; whilst claiming Patents has become an
industry prejudicial to the general public. It has been
urged to frame a “good” Patent-Law; but that the hon.
member holds to be impossible. Whatever might be its
provisions, monopoly must needs be created by it. And
if this is such an easy matter, why did M. Heemskerk
not introduce a bill for a new law? It is alleged that if
everybody is allowed to imitate, the inventor works for
nothing. But how is it with so many gratuitous appointments?
Is that a question of right? Certainly not.
As M. Heemskerk, in his speech, invoked Providence,
he should like to know whether it can be supposed that
Providence intends enriching an individual or society at
large? On that ground, we may safely set the public’s
right against the inventor’s. Hereupon the hon. member
considers the question from an economical point of view.
In the first place, Patents are useless for such objects as
baffle imitation—like the Krupp guns, for instance; and
then objects emanating from the inventor direct are, as a
rule, preferred. As for petty inventions, he would say
that, it being the normal course of social development
that every branch of industry should steadily progress,
so it is the case with them. On that field, everybody is
more or less of an inventor; and with regard to petty inventions,
Patents not only are superfluous, but noxious.
M. Heemskerk, it is true, has rather spoken with a view
to great inventions, and the hon. member fancies he has
given evident proof that no harm can be done by abolishing
Patent-right on the latter. It is these great inventions
that the public at large benefits by. He denies M.
Heemskerk’s assertion, that in the absence of Patents no
capital would be forthcoming for the practical application
of an invention, for, pending the tests and experiments an
inventor subjects his invention to, no capitalist loans him
money. He equally contests what M. H. said about the
logic of repealing Copyright, should the Patent-Law be put
aside, and that, by doing the latter, violent hands would
to a certain extent be laid upon the right of property.
The hon. member thinks that no such comparison can be
drawn, as the law providing for Copyright does by no
means prevent anybody from applying any published
work to further development of science. Copyright in no
way interferes with public interests. The member for
Gorcum has called the project a “reactionary” measure.
This will frighten neither him nor us, for it matters
little what is called reactionary, but much what is
reactionary. The project is closely connected with the
historical development of society, and the liberation of
labour and industry. The Patent system may be placed
upon an equal footing with the exclusive right to discoveries
and other similar privileges of yore. We have
given up all those things. Each and every benefit
derived from them becomes a public one, and so ought
every new outlet for trade to be. On these grounds, the
hon. member advocates the removal of those impediments.
M. Godefroi said:[8] I rise to make some observations on
three points in the speech, containing so much that is
valuable, delivered by M. Heemskerk. These points are,
first, the legal basis; secondly, treating the question
on the footing of Copyright; and, thirdly, the reference
to the practice in foreign countries. The speech of the
hon. gentleman who preceded me has made my
task with reference to the two first points peculiarly
easy, so that I can content myself in a great measure
with simply referring to it. His confutation of the legal
basis, as laid down by M. Heemskerk, appears to me
conclusive. To speak of occupation in a non-material
sense, to say that the primus occupans can maintain for
himself or make over to another, on certain conditions,
does seem to me an untenable position. We must take
into consideration what the preceding speaker has already
proved, that occupation from which a claim can be made,
and which one can consider as equivalent to the right of
possession, is inconceivable when the right is of a temporary
nature. But this is not all. How can any one
acquire by occupation anything that another at the same
moment may occupy in precisely the same way? How
is it possible that two persons at precisely the same
moment (and this possibility is here not to be denied)
can by occupation be possessed of the same right? I
shall say no more on the first point. The second point,
treating the question on the footing of literary property,
or Copyright. I freely admit that, if I were convinced,
in case of our consenting to pass this Bill, we should be
pronouncing the abolition of Copyright, I should recoil
from giving my vote in its favour. But the preceding
speaker has, in my opinion, most clearly shown the points
of difference between industrial and literary property.
I think I may be allowed to refer, for further confirmation
of the view I am taking, to the observations of a man
held in general consideration, and of especial weight in
this case, inasmuch as he was President of the Commission
appointed by the British Government to
inquire into the question of the retention or abolition
of the “Law of Patents.” I refer to Lord Stanley,
who, in a debate in the House of Commons on the
29th May, to which the hon. member for Gorinchem
appealed, expressed himself with regard to
the difference between Patent-right and Copyright in a
manner so clear and distinct that I cannot even now
see how I can improve upon his distinctions. Lord
Stanley said, speaking of the distinction: “The analogy
seemed a plausible one, but he thought that, on being
looked into, it would not hold water. The difference
was simply this: he did not rest it on any abstract
ground as to the distinction between invention and discovery,
but on the obvious fact that no two men ever
did or ever would write, independently of one another,
exactly the same book; each book, be it good or bad,
would stand alone; whereas it might happen that two or
three men, quite independently of one another, would
hit upon the same invention. That alone established a
distinction between the two cases.” And he was perfectly
right. While it is impossible for two men,
independently of one another, to write the same book,
it is not only possible, but such a case has occurred,
for two men to make the same discovery—to light upon
the same invention. There are examples of this in the
history of French industry. Daguerre and Niepce
both pursued that line of thought from which
photography took its rise, and the fact is so
well ascertained that when the French Academy
of Sciences had to come to a decision about
assigning a reward for the invention, they divided
the reward between Daguerre and the children
of Niepce, then deceased. In a report made by the
present Minister of Public Works in Belgium, M. Jamar,
with reference to property in drawings and models
of machinery, the question of Patents is treated, and
I notice in it one highly important observation applicable
to this subject under discussion. It is known—it
appears also in the supplement annexed to the
Official Report—that at the conclusion of the first Great
Exhibition in London, the French Commission brought
out a report, in which the renowned politician, Michel
Chevalier, as the result of conclusions drawn from the
Exhibition, declared himself in favour of unconditional
abolition of Patents. How did Michel Chevalier come
to that opinion? The report to which I refer informs
us, and from it I extract the following passage: “On
seeing at the Exhibition in London, at a few paces from
each other, the same machines, the same tools, new
productions, invented or discovered a thousand miles
apart, by men who arrived at the same result sometimes
by different ways, legislators and magistrates felt themselves
bound to ask to what principles of justice and
equity could one of these inventors appeal, that he
might obtain a temporary monopoly rendering abortive
the efforts and experiments on the part of ten other
inventors as persevering, as conscientious, and as intelligent
as himself?” When Michel Chevalier, at the
London Exhibition, had seen a few paces from each
other the same inventions, presented as the mental
produce of persons who lived thousands of miles apart,
and knew nothing of each other, he might well say
that it is impossible to recognise an exclusive right.
But here is another proof that industrial property and
Copyright cannot be put upon the same footing. Moreover,
Patent-right precludes the possibility of the same
thought being carried out, at least for a time, but
Copyright does not. Lastly, the third point—the appeal
to the feeling in foreign countries. M. Heemskerk, in
his excellent speech of yesterday, made it to appear
that the feeling on this subject in foreign countries
was that the abolition of Patents was condemned. It
is perfectly true that at this moment, in most of the
European States, there still subsist laws for conferring
Patents. But must we thence infer in foreign countries
an overwhelming conviction, that there must be
no abolition? I do not think so. There are, in fact,
evidences on this point worth attending to, which I shall
proceed to lay before the House. How is it in France?
The law of 1844 is still in force; but is it approved in
France? Certainly not. They are convinced that the
operation of this law has given rise to the most serious
difficulties. This is a fact; and this fact has led to
several proposals for modification which have been
pending for some years, and are still pending, although
the French Chambers get through their work more
rapidly than we do. The proposals have been already
for several years pending, because the carrying them out
is hindered by the impression which the valuable report
of Michel Chevalier has produced, for every day the
doubt gains force whether it is a question of improving
the law, or whether it is not much rather a question of
putting an end to the granting of Patents. England—it
is known that two investigations have taken place in
that country. One in 1851, by the Upper House; the
other in 1862, by a Government Commission, which
issued its report in 1865. What was the result of the
investigation in 1851? I find the result in the report
of M. Jamar, which I just now referred to. I will read
the following extract: “The result of this inquiry was
remarkable. Lord Granville had been President of the
Commission charged with presenting the Bill, which,
while it modified the Law of Patents, respected or left
untouched the principle. The inquiry so completely modified
his convictions, that he did not hesitate to declare,
in the sitting of the House of Lords on the 1st July,
1851, that he considered the issuing of Patents was an
advantage neither for the inventors nor the public.” So
the Commission of Inquiry, which undertook the task of
discovering what amendments could be made in the law,
came to the conclusion that it would be better to abolish
Patents. I should occupy the House too long were I to
quote all that M. Jamar, in his report, borrowed from this
Commission of Inquiry. I will content myself with remarking
that, among the witnesses examined, and on
whose testimony the opinions of the Commission were
founded, there were men perfectly well qualified to form
a judgment. They were not only economists, men of
science, but also men of business, practical men: Cubitt,
President of the Institution of Civil Engineers; Brunel,
the celebrated engineer; Ricardo, Member of Parliament;
Reid, President of the Committee for carrying out the
Great Exhibition of 1851; and other industrial and commercial
witnesses, so described in Jamar’s report. According
to the same Belgian report, the testimony of the
English judges was very remarkable. They almost
unanimously declared that it was impossible to apply the
law, and that they did not ascribe this impossibility to
the application of the principle in itself. Lord Granville
declared also, in a sitting of the Upper House, on
July 1st, 1851, that his opinion was formed from the
sentiments of the judges; and he added: “The only
persons who derive any advantage from the Law of
Patents are the lawyers. Except, perhaps, warrants for
horses, there is no subject which gives such an opportunity
for roguery as the Law of Patents.” And one of
the law lords of the Upper House, Lord Campbell, declared,
after hearing the speech of Lord Granville, that
having been for nine years legal adviser of the Crown,
and having had some experience in the matter, he coincided
perfectly in the opinion of Lord Granville. The
inquiry made by the English Government Commission
led to the same result. In the sitting of the Lower
House on May 28 of the present year, of which I have
already spoken, Lord Stanley distinctly said that he had
taken his place in the Commission with the impression
that the business before them was not to abolish
Patents, but to take measures for the amendment of the
English law on that subject. During the inquiry, however,
together with those who took part in it he
had come to the conclusion that not only the existing
law, but every law on Patents, would meet with almost
insurmountable difficulties, because these difficulties do
not lie in the application, but are inherent in the principle.
M. Heemskerk made it appear yesterday that the
result of the discussion of May 28 in the Lower House
was in favour of the continuance of Patents. I cannot
go to such a length in my estimate of that discussion. A
motion was brought forward by Mr. Macfie, [an ex-] President
of the Liverpool Chamber of Commerce, to declare
that the time had now arrived for the abolition of Patents.
At the end of the debate the motion was withdrawn by
the proposer. Now, the hon. member for Gorinchem
has drawn the conclusion, from the course pursued, that
the proposer durst not put his motion to the vote, because
he was certain of a minority. The conclusion is somewhat
hasty, for nobody can tell—we at least cannot—what
the vote of the Lower House would have been had the
motion been put. Besides, the object of the motion
appears in the speech of the proposer. His chief aim
was to invite discussion, “to lay a general view of the
subject before the House,” as he expressed it, rather
than to get a decision. In his speech he also gave it as
his wish that the subject should be again investigated by
a Government Commission. I am of opinion that, from
what I have said with reference to England, the conclusion
cannot be drawn that the retention of Patents is
there the unqualified and prevailing determination.
Belgium: The last law on Patents, the law of 1854, is
there in operation. I know not if it works well, and
perhaps it would have been worth while for the Government
to get such information. Meanwhile I have a
thick volume here before me, containing a commentary
on the law, which I have not read completely through.
It contains 300 pages, but I have run through it, and it
appears to me that the so-called commentary is in very many
respects a criticism on the law, and affords a proof that it
by no means works so extremely well. Last of all, Germany:
M. Heemskerk spoke yesterday of the unanimity
of the Germans on the subject of maintaining Patents.
I should not like to admit that unanimity so unreservedly;
there are facts, at least, opposed to that assertion.
This fact, for example, which we have extracted
from an article in the Nieuwe Groninger Courant, just sent
to us, a proposal for the abolition of Patents made to the
North German Bund; and if this is carried out, no more
Patents will be granted in a great portion of Germany.
Another fact: so far back as 1864 the Prussian Government
asked the opinion of the Chambers of Commerce on
the question whether or not Patents should be maintained,
and of the 47 there were 31 for the abolition and
16 against it. I scarcely venture to speak of the
economists, otherwise I would appeal to the German
Economic Congress of 1863, which pronounced Patents
injurious to the national welfare. But there is one argument
which has more weight with me than any other.
I am thoroughly persuaded that a good law on Patents
is an impossibility. It is, indeed, matter of regret that
the hon. member for Gorinchem, when he was in the Ministry,
did not try to present a good law to the Legislature.
He was the right man for it. He will, however, do me
the justice to believe that, when I say this, I do not mean
to censure him; what I do mean is to express my regret.
He is open to no censure, for during the time he held
office he attended so assiduously to his duties that even
his most violent political opponents were compelled to do
him honour. But yet it is to be regretted that when he
was Minister he did not propose an amendment of the
law of 1817. We should then have seen whether it was
possible or not to have a good efficient law on Patents.
For my part, I have arrived at the conclusion that it is
an impossibility. This is the impression made when one
goes over foreign laws on Patents. There is not a
single good one among them, nor one which does not
give rise to difficulties which hitherto have been found
to be insurmountable. But there is a further objection.
According to my notions, there is a formidable stumbling-block
which is directly encountered when one sets to
work to frame a law on Patents. The question at once
presents itself, must it not be proved that the person who
demands the privilege has a right to it? When
has the claimant that right? When it is proved
that his invention has for its object a new industrial
product, or a new operation, or a new application of
an operation already known, to obtain an industrial
result or an industrial product. The words which I
here employ are taken from Art. 2 of the French Law,
which, in my opinion, exactly express the object of the
law. I now ask, if a Government is in a position, in
this sense, to examine the claim of an applicant for a
Patent? I shall endeavour to prove that a Government
is not in such a position, and I cannot do better than
quote the words of the author of the report on the
French Law of 1844, the celebrated Philippe Dupin.
We know that the French Law does not undertake the
preliminary investigation; and, therefore, as we have
been already reminded by M. de Bruyn Kops, when an
announcement is made of articles for which a Patent is
granted in France, the letters S. G. D. G. (sans garantie
du Gouvernement) are generally added. Now, hear what
Philippe Dupin says in justification of that principle of
French Law, and to prove the impossibility of a preliminary
examination on the part of the Government:
“The preliminary examination would be the establishment
of a censorship in matters of industry. And how
could this censorship be carried out? How, for
example, are we to decide that an industrial fact is
new, and that it has not been produced in the course
of manufacture or in the retreat of an obscure and
industrious workman? How are we to foresee and
judge the amount of utility in a discovery just made,
before it has been developed, before it has been put to
the proof? Who will take part in this debate? Who
will represent the parties interested? Where are the
judges to come from? Who will exercise this jurisdiction
by guesswork in the regions of thought and
futurity? Shall it be a clerk turned into a judge of
what he does not understand? Shall we take a practical
man, who is often only a man of routine, to judge
a man of theory and inspiration? Shall we invite
philosophers? But if they are philosophers, they are
not to be supposed to know everything, and they have
their preferences, their prejudices, their own sets; and
the applicant, perhaps, contradicts their doctrines, their
works, their ideas. These are incontestable impossibilities.
It has been said, with as much wit as reason,
in such matters the only suitable proceeding is
experience, the only competent judge the public.” So
much for experience. But, Mr. President, if a
Government is not in a position to decide whether
the claimant of a Patent has a right to it, can it be
sanctioned in granting a privilege blindfold which
establishes a temporary monopoly? According to my
view, this is a formidable, almost insurmountable,
stumbling-block, which, in my deliberate opinion, will
always stand in the way of a good and efficient Law
of Patents. I, therefore, am of opinion that no other
satisfactory course is open to us than to abolish Patents.
M. van Voorthuysen will not enter into many details,
the subject having been considered both from a juridical
and an economical point of view. He will, therefore, restrict
himself to a few remarks on M. Heemskerk’s speech.
The hon. member acknowledges the satisfaction the
project gives him; it gratifies the feelings to which he
has given vent a great many times. It has been said that
the measure was a step backward, as Patents have taken
the place of exclusive privileges to guilds. At the time
the Patent-right was assuredly an improvement on the
then existing system; but we have been progressing so
much since then that at present nothing short of abolition
will satisfy the wants of progress. He also refers
to the conclusion arrived at by Lord Stanley, which point
M. Heemskerk has left unnoticed—viz., 1st, that it is
impossible to reward all who deserve to be rewarded;
2nd, that it is impossible to reward adequately to the
service rendered to society at large; 3rd, that it is impossible
to hold third parties harmless from damage.
And, in fact, the alleged instance of the Daguerre prize
having been divided with another who equally proved
his claim to the invention, speaks for itself. It is doubtful
who was the first inventor of the steam-engine;
there are several, at least, who claim the invention as
their own. There is another point he feels bound to refer
to. M. Heemskerk has said that abolishing Patents constitutes
an attack upon the right of property, and that
deputy cautions against a first step, perhaps to be
followed up by others. This being a very serious
inculpation, the hon. member has asked the opinion of an
eminent jurist, whom he will not name as yet, whose
authority M. Heemskerk is not likely to deny, and who
is in many respects congenial with that esteemed deputy.
The hon. member reads that opinion of one of the foremost
opponents of Patent-right, who calls it an obnoxious
and intolerable monopoly. And who is that clever jurist?
It is M. Wintgens, who very likely owed to his extraordinary
acquirements in law matters his appointment
to the Department of Justice in the Heemskerk van
Zuylen Ministry.
M. Fock (Secretary of State for Home Affairs) will
not have much to say, after all which has been argued in
yesterday’s and to-day’s Session, in defence of the project.
Nevertheless he will indulge in a few remarks on the
final report. With a view to the same, M. Heemskerk
submits the maintenance of Patents for inventions, but
the repeal of those “of admission.” But the Minister
calls the attention of the House to the circumstance that
the Patents for inventions which are being granted may
aggregate to ten a year or thereabout. What should
remain for us to keep? Or else agents here will apply
for Patents on foreign inventions, so that “Patents of
admission” will re-appear under a different denomination.
M. Godefroi has already pointed to instances abroad,
and the Minister can but add that, despite M. Heemskerk’s
assertion to the contrary, the Prussian Government
is by no means favourably disposed to the Patent-Law.
In December, 1868, Count von Bismarck addressed a
message to the North German Confederation, embodying
the opinion of the Prussian Government in favour of
repeal, and even hinting that Prussia would not mind
taking the lead in the matter.[9] After entering into a few
more details concerning the final report, the Minister
once more demonstrates that Patents are great impediments
to industry and free-trade, and that it is in the
public’s interest that they should be abolished. The
Netherlands, having once been foremost in doing
away with the tax on knowledge, must not now shrink
from conferring entire freedom on the field of industry.
That is no reaction. Is it reaction to break off with an
intolerable state of things? No; it is progress, and leads
to free development. The Minister concludes with a
citation from Michel Chevalier, and declines to take M.
Heemskerk’s hint of deferring the discussion on the
project.
M. Heemskerk Azn replies. He tenders thanks for
the urbanity observed throughout the discussion. But
it is undeniable that his opinion agrees with the existing
right and the prevalent ideas in Europe and America.
Of course, if revocation is intended, improvement of the
law has to be given up. In reply to the Minister, he
has no doubt but that the desire for revocation originated
in Prussia, but he has said that in Germany the tide has
turned in favour of Patents, on the strength of the
“Deutsche Industrie Zeitung” and Klosterman’s recent
work. The revocation of the Patent-Law may have been
contemplated, but the Prussian Government is not now
disposed to have the idea carried out. He asks but for
what the English equally asked for—i.e., a renewed
inquiry. What, after all, is foreign experience to the
exercise of law in the Netherlands? How does the project
tally with the establishment of a new division of
industry in the Department for Internal Affairs, the chief
occupation of which is the granting of Patents? He
will not argue with the Minister on general remarks, but
merely on the one relating to the abolition of newspaper
stamps. Why has that tax been repealed? If henceforth
a larger quantity of paper be covered with print,
the tax has most likely been done away with to promote
the diffusion of general knowledge. He supposes, however,
the Minister will agree with Cicero, who says that
fame acquired by means of deeds which are not useful is
but vanity. The stamp duty has been repealed in order
to be useful. And in the present case, will the Minister
deny all benefits to him who does his utmost, so as to be
useful? He replies also to the several members who
have made speeches; he contradicts M. de Bruyn Kops
about a general disposition supposed to exist in France
towards revocation of Patent-Laws. Michel Chevalier
only has changed his mind, but there is no opinion prevailing
against Patents. Quite recently both Joseph
Garnier and Wolowski have refuted Chevalier’s arguments.
The hon. member further insists upon his interpretation
of the Parliamentary debates in England, and names
several instances of inventors having acquired wealth.
He does not admit that there is a difference between
Patent-right and Copyright; imitation of articles of fabrication
is, and will remain, as immoral as it is unfair. He
shrinks from touching the legal side of the question, but
asks whether, because of the Patent-right being restricted
to a fixed time, the conclusion must needs be drawn
that absolutely no right should exist, and that there
should be no plea in equity whatever for an inventor
to get rewarded for his labours? Does the abstract
question of occupation of immaterial things cripple that
hypothesis in any way? He considers it from a more
general and social point of view, and vindicates his
assertion that an inventor is entitled to a certain amount
of protection for his work, by which, at all events, he
renders a service to society; that Patents are incitements
to many useful inventions and to industry, which is
equally M. de Bruyn Kops’ opinion, as stated in his
work on political economy. He has been asked why,
when in the Ministry, he did not introduce a Patent
Reform Law. In the first place, he begs to observe
that much was to be done then, and besides, considering
the smallness of our country, he indulged in the anticipation
that the idea of an international agreement might
gradually have gained ground. Should he, however,
have lived longer (politically speaking), he would most
likely have introduced a Bill for remodelling the Patent-Law.
As for M. Wintgen’s opinion, it is almost superfluous
to say that one is not bound to have in every
respect homogeneous ideas with one’s political friends.
In reply to the question why, as a member of the House,
he does not make a proposal, he accepts the invitation,
and will in September next be prepared to take, as a
member of the House, the initiative of presenting a Bill
for Reforming the Patent-Law, provided the project now
pending be no longer discussed.
M. Van Zinnick Bergmann replies, and maintains
his opinion about the justice of the Patent-right.
M. de Bruyn Kops refutes M. Heemskerk’s reply,
and demonstrates, by means of fresh examples, that the
Patent-right is intolerable and most obnoxious. He considers
the question now merely economically; MM. van
Houten and Godefroi having so ably discussed the legal
points. The large benefits acquired by a few are, as
taken from his point of view, prejudicial to the public at
large, and against these few advantages there are great
damages, as large capitals dwindle away in the chase for
the snare of Patents. M. Heemskerk himself favours
the revocation of Patents on the right “of admission.”
What is left after that? Nothing but the Patents of
invention. Why not try entire freedom and removal of
all impediments?
M. Godefroi will add one word more with reference
to M. Heemskerk’s readiness in accepting the challenge,
of framing a new project of law, and he must say that,
whatever be the nature of such proposal, it can hardly
be expected to satisfy those who condemn the principles
of Patent-Law. But the orator who is so well posted
must certainly have framed already the main points from
which the project would have to be formed. By stating
and explaining those points, he would have done more
service to the House than by mere opposition to those
who favour abolition. The hon. member repeats the
important query, whether Patents should be granted
without previously inquiring into the merits of the case;
and then Government would have to give its opinion just
as well on an improved chignon as on an improved steam-engine.
M. Gefken gives his motives for voting in favour of
the project. He says, where there is a right of property,
it must be permanent, and even transferable to the
heirs; but a guarantee for a few years would not do.
He consequently does not recognise the right of property,
and merely considers the question with a view to
usefulness; and, as far as that goes, his experience in
administrative and juridical offices has taught him that
Patents are not actually useful, and, on the contrary,
lead to speculation and impede the development of many
a useful concern. He favours free competition.
M. van Voorthuysen will not revert to M. Bergmann’s
remark about his being accustomed to recapitulate the
debates, but denies having intended to force upon him
the authority of M. Wintgen’s opinion. Such is not the
case; but the fact of the opinions of two such jurists as
MM. Godefroi and Wintgen agreeing has set his mind
at rest as far as legal opinion is concerned.
M. Heemskerk Azn replies to M. Godefroi, and does
not see why he should just now go and sketch his project.
Give him time and opportunity, and he will introduce
a Bill, provided this project be deferred; and, in
fact, what are they making such haste for?
Minister Fock maintains his sayings about the Prussian
Government favouring revocation, and further explains
that the new division in his department has no connexion
with Patents, but was made so as to concentrate
all matters referring to industry. As for the right of
property in inventions, he would merely add that, according
to our legislation, Patents are but favours,
which may be granted or not, as the case may be.
Hereupon the discussion is closed.
With reference to Art. 1, M. Lenting asks, why
the date on which the new law has to take effect should
be fixed for the 1st January next. He would prefer
that the words be, “After the day of the publication of
the law;” then no new Patents would be granted, those
already applied for only excepted.
The Minister inserts the amendment, after which
Arts. 1 and 2 are passed.
The project is then put to the vote, and passes the
House by 49 ayes against 8 noes.
Against it voted MM. Bichon, Blussé, Vader, Hofmann,
Heemskerk Azn, Van Wassenaer, and Van
Zinnick Bergmann.
[8] For this translation I am indebted to the Foreign-office, to whose
reports I have been politely allowed access.
[9] This admirable document is prefixed, see page 185.
FROM THE DUTCH GOVERNMENT MEMORIAL.
The project of law, which is accompanied by an
extensive memorial of explanation, contains the
following stipulations:—
Article 1.—From and after the 1st of January,
1870, no fresh Patents for inventions and improvements,
or the first introduction of objects of
art and industry, shall be granted, those only
excepted for which application shall have been
made previous to that date.
Article 2.—The term for Patents formerly granted
or deliverable within the provisions of Article 1
of this law may be extended in accordance with
the law of 25th January, 1817. (Vide “Staatsblad,”
No. 6.)
The memorial says, inter alia:—
“In order to let Netherlands industry and Netherlands
people reap the benefit of the bulk of improvements
in industry, the best course to take appears to
be the repeal of the Patent-Law.
“The first requisite of a reform of the existing
legislation on Patents would be to more completely
guarantee their rights to inventors, they being by no
means sufficiently protected by the provisions of the
law now in force.
“Considering, however, the consequences of any kind
of Patent-Law, the means that are to be employed
and the expenses to be incurred, so as to render all
parties interested quite familiar with the Patents
granted; the fact that, in consequence of the development
of industry, the number of Patents is increasing,
the result of which is more and more to burden the
exercise of the sundry branches of industry with a larger
portion of obstructive privileges, besides the abuses
and wrong practice to which they lead; in one word,
the price which the public have to pay, compared with
the very few inventors, whose advantage is even at
best uncertain—considering all these points, there can
hardly be a doubt as to the choice the Netherlands
ought to make, placed as they are between the dark
path leading to more obnoxious privileges and the
highway where freedom of movement prevails.”
OPINION OF THE LEADING JOURNAL OF HOLLAND, THE “ALGEMEEN HANDELSBLAD.” — EXTRACT FROM AN OBLIGING PRIVATE LETTER. — FROM THE “FRANKFORT JOURNAL,” JULY 21.
We subjoin the following, with which we have been
favoured, on the same subject:—
The project of law to repeal the Act of 1817 for granting exclusive
rights on inventions and improvements of objects of art and industry,
has given general satisfaction in four Committees of the House, and
many have received it enthusiastically. By introducing this Bill,
Government has satisfied a desire which of late was frequently manifested
by members of the House. The memorial of explanation, with
its vouchers, gives full particulars of the objections raised against the
Patent system. Most members, in fact, simply gave their adhesion in
substance, without considering it necessary to “motivate” their opinion.
A few Members of one of the Committees did not agree with absolute
repeal, and even held such a measure to be at variance with justice
and equity; they recognised the law of 1817 to be defective and in
many cases impracticable; they granted that when a reform might be
arrived at “Patents of admission” ought not to remain in force; but
they did not see why, on account of the insufficiency of the law in this
country, “Patents for invention” should be abolished as well. There
are a good many industrial inventions which cost the originator vast
mental labour, sometimes even heavy pecuniary sacrifice. By means of
his invention he renders society a service which entitles him to enjoy,
for a fixed period at least, the exclusive benefit of bringing it into
operation. Should this benefit be denied him, it would be but fair that
the State should give him a reward; this, however, is subject to difficulties
of a peculiar nature.
The opinion that the repeal of the law would leave intellectual
property altogether unprotected, may be refuted by the fact that the
principle of intellectual property cannot possibly form the basis for a
Patent-Law. Although it was emphatically proclaimed in the French
Legislature of the first years subsequent to the Revolution of 1789,
it will not stand the test of sound criticism. Could right of property
be admitted in this case, it ought to be permanent, and not temporary.
Yet no Legislature ever dared to extend the so-called right, even for
the inventor’s lifetime; the terms were generally ten, twelve, fifteen,
and, at most, twenty years. Another circumstance, which is in downright
contradiction with the notion of right of property, is the fact
that everywhere Patents are granted only on payment of a certain
sum.
If Patents are to be defended at all, better try to do it on a principle
of utility. Some appearances are in favour of the plea that
anticipation of reward and pecuniary benefit originates useful
inventions; but pecuniary experience has taught that although every
now and then this may be the case, still the very existence of a strict
Patent-Law, is, on the whole, a decided hindrance to industry; that
the inventor’s benefit from his Patent is, in most instances, but doubtful,
whereas by doing away with this artificial encouragement, inventions
will not, on this account, remain in the bud undeveloped.
A strict Patent-Law is subject to strange drawbacks, which have
been chiefly demonstrated by the inquiry in England; whilst in
Holland the well-known decision of the Supreme Court of 1846 has
well-nigh vitiated it.
Under the circumstances, no choice was left our Government but
between a stricter law than before and complete freedom. Very
justly it has declared in favour of the latter, and, as it states, chiefly
Switzerland in its eye, where very many branches of industry are in a
most flourishing condition, ascribable, in part at least, to the very
absence of Patent-Laws, with their escort of drawbacks and law-suits.
There the manufacturer goes upon his own errand, avails himself of
inventions made by others, and, if he cannot at once get at the bottom
of the same, tries to arrive at them through his own exertions and his
own ponderings.
The step taken by Government deserves the more approbation, inasmuch
as no legislation can sufficiently guarantee to the real inventor
that exclusive right which is considered a reward for the service rendered
to society. Not seldom it happens that the inventor is a scholar,
who makes the fruit of his labours public, leaving to others the
deriving pecuniary benefits from it.
Some persons, adverse to Patent-Laws, cannot yet make up their
minds as to the new system being in accordance with morality, and
perhaps be an encouraging of the dishonesty which lies in the appropriation
of another man’s invention, thereby reminding the Netherlander of
Güttenburg. To this we may bring forward the argument that, as far
as the deed ascribed to that German falls within the limits of theft, or
of violation of contract between master and servant, nobody will defend
it; but in the circumstance that Güttenburg, having once mastered the
art, applied it to bring it into operation, and by exerting his intellect,
raised it to a much higher pitch of perfection, there lies nothing dishonest.
If these proceedings be incriminated, then the principle ought
to be transferred to another field—that of trade. Then the merchant
who takes advantage of a new outlet or a new branch of commerce
inaugurated by another, ought to be reprobated; but if so, farewell
to all competition—nay, to the very principle of free-trade.
A few of the supporters of the Patent-Law ask whether Copyright
does not rest upon the same basis as the exclusive right to inventions,
and whether the new law will not be followed in its wake by the
ignoring of literary property. But against a few similarities we have
a material difference in substance.
If not all, yet most literary productions bear such a marked stamp
of individuality, that intellectual property cannot be contested. However
it may be, the different subjects have each their own laws, and both
authors and publishers we quite leave out of the question.
In the history of the Netherlands economy, the 22nd
June, 1869, will be long remembered. Whatever shall
be the decision of the First Chamber, the fact of the
Law [Bill] having passed the Second Chamber by 48 yeas
against 8 noes is a highly gratifying occurrence.
The chief feature in the opposition on the part of the
Conservatives was the able speeches made by their leader,
M. Heemskerk, in order to prove that invention confers
a right of property. Without going into the merits of
the case, we cannot help recording that, in the opinion of
those that side with M. H., it must be a suggestive
circumstance that, despite all the earnest pleading of the
honourable gentleman, 48 out of 57 representatives, of
men of the highest moral and intellectual standing, did
vote for abolition, and still did not intend despoiling
anybody of his own.
Invention is the effusion of thought, and just as
thought cannot but be free, so invention must be the
same.
We hope that the Netherlands will not long remain
alone in this instance. At any rate, we may be proud
of the overwhelming majority of men able to understand
the real means of progress.
Amsterdam, June 28, 1869.
... In some respects, the rather powerful arguments
of the members who were favourable to the
continuance of the system of Patents—and who contended
that an inventor, the same as an author, has a
right to protection of his individual mind-work—were
defeated, principally by the pretty general opinion of
the majority that it would be next to impossible to
adopt any new Law on Patents efficient to protect one
inventor without at the same time injuring not only
some brother-inventor, but also the public at large.
The abolition of the Patent-Laws in the Netherlands will, it is
evident, not remain without influence on the decision which other
European States, and in particular those of Germany, will form in
regard to these laws. Of the two countries, one of which is in possession
of the sources of the Rhine, and the other of its mouths—the
former the most industrious country in the world, never had a Patent-Law;
the latter, eminent for its foresight, dispenses with those
laws. Through this act are intensified the unsatisfactory circumstances
which the existence of these laws produces, and the want of
confidence which is felt in their advantage to inventors and the
public. The number of their defenders is constantly declining.
People are daily more and more becoming convinced that these
laws belong to the same category as the Usury-Laws and the Corn-Laws,
and other similar excrescences introduced by bureaucracy, and
that they should be thrown into the lumber-room of laws which effect
the very reverse of what they profess to do. They stop progress.
Inventions of importance can always be made useful to the inventors
without Patent-Laws. Great inventors might perhaps be indemnified
by Government on behalf of a nation, but as for the innumerable
herd of small inventors who prosecute inventing as a trade, they
cause the consumer severe injury instead of benefiting him. Since
Patents for inventions in Germany do not extend to protection
against dealing in foreign articles patented here, we may consider
the abolition of Patents in the Netherlands a reason why Patent
monomaniacs should now ask themselves whether the cost is likely
hereafter to yield a good return.
PROCEEDINGS IN LIVERPOOL CHAMBER OF COMMERCE.
At a meeting of the Council on July, 1869, E. K.
Muspratt, Esq., rose and spoke to the following
effect:—
Mr. President,—I rise to call your attention to the
late debate on the Patent-Law. This Chamber has
frequently expressed its dissatisfaction with the working
of the present law, and after the issue of the
Report of the Royal Commission on the subject, endeavoured
to bring about an inquiry into the policy of
granting Patents for inventions. I cannot but think
the time has now arrived for further action in this
matter. The late debate upon the motion of Mr.
Macfie has re-awakened public interest in the subject,
and it is gratifying to note, both in the debate itself
and the subsequent discussion in the newspapers, that
the formerly very prevalent idea of a natural property in
inventions has been tacitly abandoned. In some of the
arguments used the old fallacy seems to lurk, for the
Pall Mall Gazette, in a very able article, says: “It is
plausible to say that if there were no property in
invention every one would get the benefit of all inventions;
but this appears to us to have some analogy
to the notion that if there were no property in land
every one would get the benefit of the crops.” There
is, however, a very great difference, because an invention
cannot possibly yield all the benefits which
society can derive from it until it becomes public
property; whereas all experience proves that land, in
order to yield the greatest results, must become and
remain individual property. Let us discard, therefore,
all comparison of property in invention with other property,
and discuss the subject as one of expediency.
Is it the interest of the community at large that
Patents should be granted for inventions? I am not
prepared to say whether or not inventors should be
remunerated by the State; but, after mature consideration,
I have come to the conclusion that, in the interests
of the nation and of all engaged in industry,
Patents for invention should be abolished. A Patent
is a monopoly, a patentee a monopolist. When the
Protectionist system was in vogue, Patents which were
in full harmony with that system could be justified;
but in these days of Free-trade all monopolies which
act in restraint of trade should be abolished. Some
of the arguments used in support of the system of
Protection to inventors by granting to them a monopoly
of manufacture are, to my mind, very similar
to those used in former days in support of other
monopolies. Before the repeal of the Navigation
Laws, it was said that without them our marine
would be destroyed, and no more ships would be
built, because there would be no inducement
to build them. Without Patents, say the defenders
of the system, there will be no inventions, because
there will be no special inducement to make them.
We maintain, however, that under a freer system invention
would be stimulated, and not restrained. As
was well pointed out by Sir R. Palmer in his able
speech, “Bounties and premiums might be adapted to
a rude state of the arts and an early stage in the
progress of commerce; but when a nation had reached
so high a degree of progress in all ingenious arts and
discoveries, and in trade and commerce, as we had, he
thought that in this department, as well as in others,
the system of bounties and premiums was much more
likely to be mischievous than useful.” He then very
clearly showed how the Patent system worked; how,
in the place of securing the reward to great and meritorious
inventions, it gave a monopoly to the first
claimer of those minor improvements which he classed
as unmeritorious Patents, and which improvements
would necessarily be made in the ordinary progress of
manufacture. As an example of this, I may mention
the manufacture of artificial manures. The modern
history of manures dates from the publication of
Liebig’s book in 1840, in which the conversion of
insoluble into soluble phosphate of lime is recommended.
This suggestion has been perhaps more
fruitful in results than any other of modern times,
and forms the basis of the enormous manufacture of
super-phosphate and other artificial manures. It was
patented in 1842, not by Liebig, but by Mr. Lawes;
and since that period various improvements in the
manufacture have been patented, but the real inventor
has never been rewarded. There can be no doubt
that without a system of Patents all of the subsequent
minor improvements would have been made in the
ordinary course of trade; and one of the main objects
of the Patent-Law, to secure a reward to the inventor,
has, in this instance, as in many others, failed of accomplishment.
Then, on the other hand, all these minor improvements,
being patented, stand in the way of further
progress, and if the manufacturer wishes to adopt a
new process, or to improve his manufacture, he must
do it at the peril of litigation with some unknown
person, who at some time or other has thought fit to
claim for himself a monopoly. No matter whether his
claim be good or bad, it stands in the way of improvement
until it is either disclaimed by the patentee himself
or pronounced invalid in a court of law. As an
example of how, under the present system, a patentee
may create a virtual monopoly and embarrass manufacturers
even when his claims are, according to his
own showing, to a very great extent invalid, permit
me to draw your attention to a Patent, No. 12,867,
A.D. 1849, for compressing peat for fuel, making gas,
&c., and with which I unfortunately became acquainted,
because the patentee, under another Patent (connected,
however, with the first), endeavoured to make my firm
pay him for the use of a substance in the manufacture
of sulphuric acid. Now, the patentee, Mr. F. C Hills,
finding, I presume, that in its first state his Patent was
invalid, filed what is technically termed a disclaimer,
in 1853; and on comparing the original specification,
which is very long and consists of about 230 lines,
I find at least one-half is disclaimed. This Patent
secured to Mr. Hills the monopoly of the purification
of gas by means of oxide of iron; and although, owing
to the exertion of the Liverpool Gas Company, he failed
to have it renewed at the expiration of fourteen years,
by a subsequent Patent for the use of the said oxide
(after it has been used in the purification of gas) in the
manufacture of sulphuric acid, he continues virtually
to enjoy that monopoly, and to prevent chemical manufacturers
having access to what, under certain circumstances,
may be a cheap source of sulphur. And this
I would wish you to bear in mind, although the second
Patent is undoubtedly invalid. It would detain you
too long were I to enter into full detail on the subject,
but I may mention that our firm used some 2,000 or
3,000 tons of this gas refuse from the Liverpool Gas
Works, when pyrites was high in price; and it was only
because of the annoyance and waste of time which a
law-suit would have cost that we relinquished its use
in our manufacture when the price of pyrites fell. But
this case is but a sample, and I have no doubt every
manufacturer has experienced similar loss and inconvenience
from the action of the Patent-Law. When
we consider that there are at the present moment
11,369 Patents in force, most of them as invalid as
that to which I have referred, and acting as a restriction
on manufacturers, we may form some idea of
what the community at large has to pay for the luxury
of a Patent-Law. But it may be said these objections
are due to the imperfections and mal-administration of
the Patent-Law. I would refer you, then, to the Report
of the Royal Commission, which, in conclusion, says
that “these inconveniences are, in their belief, inherent
in the nature of a Patent-Law, and must be
considered as the price which the public consents to
pay for the existence of such a law.” There is, however,
another aspect of the question which must not be
lost sight of. The Lower House of the States-General
of Holland has, by a large majority, voted the abolition
of Patents. In Switzerland they don’t exist; and in
Prussia, owing to a very strict preliminary examination,
faithfully carried out, they are very few in number.
We in this country have to compete with the manufacturers
of these countries; and is it fair, I would ask,
that we should be thus weighted in the race? I beg
to move that a petition be prepared for presentation to
the House of Commons, praying for the appointment
of a Committee to inquire into the policy of granting
Patents for invention.
(The motion was unanimously adopted.)
CORRESPONDENCE. — FROM SIR WILLIAM ARMSTRONG, C.B. — FROM ANOTHER HIGH PRACTICAL AUTHORITY, LIKEWISE A NOTABLE INVENTOR. — FROM ANDREW JOHNSTON, ESQ., M.P.
The subjoined letters, with which I am favoured,
will be read with interest and advantage:—
As to the cost of the system to the public, I don’t see how it could
be calculated, for it consists not merely of the licence fees, but also of
the loss resulting from the stamping out of competition, which would
cheapen production and, in most cases, lead to improvement. My
great objection to our indiscriminate Patent system is, that it is
scarcely possible to strike out in any new direction without coming
in contact with Patents for schemes so crudely developed as to receive
little or no acceptance from the public, but which, nevertheless, block
the road to really practical improvement.
Nothing, I think, can be more monstrous than that so grave a matter
as a monopoly should be granted to any person for anything without
inquiry either as to private merit or public policy—in fact, merely
for the asking and the paying. Amongst other evils of this indiscriminate
system is that the majority of Patents granted are bad, and
yet such is the dread of litigation, that people submit to a Patent
they know to be bad rather than involve themselves in the trouble
and expense of resisting it. So that a bad Patent, in general, answers
just as well as a good one.
One of the most common arguments in favour of Patents is, that
they are necessary to protect the poor inventor, but it is manufacturers
and capitalists, and not working men, who make great
profits by Patents, and that, too, in a degree which has no reference
either to the merit of the inventor or the importance of the invention.
One rarely hears of a working man making a good thing of a Patent.
If he hits upon a good idea he has seldom the means of developing it
to a marketable form, and he generally sells it for a trifle to a
capitalist, who brings it to maturity and profits by it. He could sell
his idea just as well without any Patent-Law.
May 13, 1869.
I would not for one moment deny that instances could be
named in which the absence of a Patent-Law might have proved a
hardship to a real inventor, but I feel quite satisfied in my own mind
that whatever may hitherto have been the case, the time has now
fully arrived when infinitely less injustice would, upon the whole, be
occasioned by the absence of all Patent-Laws than by the best Patent-Law
that could be devised. All Patents for inventions must be considered
as founded upon expediency and not upon the idea of any inherent
right which the inventor possesses beyond the right of using
his invention, or keeping the secret of it to himself. A community
may consider it to their advantage to protect inventions by means of
Patent-Laws, but a man can have no abstract or natural right to the
exclusive benefits of his invention, for such an idea would imply that
nobody else could have produced it. The question is, therefore,
entirely one of expediency, but not one of right. Again, a very common
argument used in support of a Patent-Law is that an inventor
is as much entitled to an exclusive right to his invention as an author
is to the produce of his pen, but there is really very little resemblance
between the two cases, and I believe it would be very inexpedient to
utterly abolish Copyright. “Paradise Lost” would never
have been written but for Milton; but with the utmost respect
for Bell, Fulton, and Stephenson, who would pretend to believe that
without them we should still have to be dependent upon the wind
for our movements at sea, and the common road ashore? A man who
writes a book does not interfere with me in the slightest degree, but
the inventor, or more probably the so-called inventor, backed by
the Patent-Law, may most unjustly involve me in much trouble
and expense. I should be very glad to see a good round sum
set apart by Government for the purpose of being awarded to
real inventors by competent and impartial authority. Then
the poor inventor might have some chance. You will certainly, in
my opinion, have done a good turn to this country if you can only
get every vestige of Patent-Law swept from the statute-book, and
with my best wishes for the success of your motion, I am, &c.
7th July, 1869.
My dear Sir,
I am glad to hear that you intend printing the
results of your inquiries as to the operation of the
Patent-Laws, as the conclusions at which you have
arrived tally entirely with my own experience as a
manufacturer.
I had no opportunity of speaking in the recent
debate on your motion, and will therefore put down
one or two points which have specially presented
themselves to my attention.
I am not biased, I believe, by self-interest, as the
business with which I am connected has profited to a
considerable extent by the purchase of patented
inventions; but it is my firm conviction that the
commonwealth would benefit by the refusal of the
State in future to grant Patents.
Nothing can be more superficial than the objection
that the intelligent working man benefits by the
present system. For one such who really benefits by
his invention, ten sell theirs for the merest fraction
of its value; ten others who may get a fair price
are led, by the possession of the capital sum so
obtained, to give up regular employment, and generally
“muddle away” all the money in seeking to
“invent” afresh, while the remaining seventy-nine
reap nothing by their invention but disappointment,
privation, and misery.
Abolish Patents, and these men would stick to
regular work. They would choose the service of
employers who had a name for liberally rewarding
their workmen for ingenious and profitable inventions,
and also for the insight necessary to decide whether
inventions were so or not. Employers would vie with
one another in getting such a name, and the whole
tone and level of the artisans would be perceptibly
raised, while useful invention would proceed faster
than at present, because the certainty of moderate
rewards would stimulate men more than the remote
chance of large ones.
No doubt you want facts rather than opinions. I
can testify to this much as to another branch of the
subject: when there is an infringement of a Patent,
or supposed infringement, and an appeal to the law is
in prospect, it never occurs to either party to consider
whether the Patent-rights in question are good, bad,
or indifferent. It is too well known that the longest
purse will win, and that whichever party is prepared
to spend most money will defeat and probably ruin
the other.
Make any use you like of these notes.
Yours, very truly,
Andrew Johnston.
R. A. Macfie, Esq., M.P.
ON THE DISTINCTION BETWEEN COPYRIGHT AND PATENT-RIGHT. — Extract from “The Patent Question under Free-Trade,” 1863.
The following is reproduced under a conviction
formed by hearing, in the recent debate, so much
stress laid on the resemblance of Patent-right to Copyright,
that superficial views are very generally held
and require to be met:—
We may now, in order to clear away what has been to some a
stumbling-block—the argument from analogy founded on the case of
literary property—notice certain distinctions between the subjects
respectively of Patent-right and Copyright. Those things that
belong to the province of Patent-right are in their nature capable of
being independently discovered or originated, in the same identical
form, by a plurality of persons. Of this character are the principles
of mechanism, processes of manufacture, and forms or methods accordant
thereto. Such, indeed, are, as a rule, actually discovered or
invented by several persons, and this very often almost simultaneously.
It is otherwise with things that belong to the province of Copyright—literary
and artistic combinations, books, pictures, musical compositions,
involving any degree of elaboration. Such, at no interval of
time, have ever been produced by even one other person except a
copyist.
This ground for differential treatment is connected with others. In
particular, the literary or artistic compositions of any person are
perfectly distinguishable from all those of every other. Hence the
Copyright privilege is conceded in the absolute certainty that the
grantee is their true and only originator, or first producer or creator.
No second person can come forward, after the Copyright privilege is
secured to an author or artist, and allege that the poem or picture
he composed also. To infringe Copyright means to slavishly
or meanly copy the work of another. To constitute infringement
it is not sufficient that the second person’s book has the
same subject and the same purpose in view, and is written in the
same spirit as the first; the “matter” must be the same, and in the
same form. And so with pictures, the subjects may be the same; the
ideas may show great correspondence. Exactness of “matter” and of
arrangement is everything. Patent-right, on the contrary, may be
infringed where there is no such exactness, and no copying whatever,
but complete originality. Disregarding form, it forbids the embodiment
and use of ideas, even of ideas entirely one’s own.
We have thus the inconsistency, or paradox, that the exclusive
privileges which have for their province only material objects—which
engage only our bodily frame and those senses merely that have their
exercise on matter apart from mind (and this is all that patentable
inventions do)—carry prohibition into the region of ideas; while those
other exclusive privileges, in whose province matter serves only as a
vehicle or excitant of things immaterial—conceptions, memories,
tastes, emotions—and as an instrument to set the mind a-working
and affect the higher senses and faculties—make no such incursions,
keeping entirely clear of interference with any man’s practical use of
ideas.
Literary and artistic Copyright has for its province visible, tangible
works, intended only for the eye or the ear, or inner man through these
senses—objects to be looked upon, listened to, thought of; not things to
be worked with or employed, nor things consumable, nor mere modes of
doing a thing, like the subjects of Patent-right. It has no regard to
processes, operations, implements. Therefore, unlike Patent-right, it
interferes not with manufacturers, artisans, miners, farmers, shipping.
Its sphere is in finished productions, works of art in their completed
state—objects that are permanent and unmistakable. Infringements,
therefore, are necessarily both manifest and of set purpose,
whereas infringements of Patent-right are often doubtful, even when
the subjects or results can be exhibited, and when the facts of the case
are assented to by all parties; and if it is a question of processes, its
infringements are often undetectable after the fleeting moment during
which they are alleged to have taken place. Further, as before said,
contraventions of Patent-right may be, and not unfrequently are,
done unconsciously or unwittingly.
MODIFICATIONS OF THE PATENT SYSTEM.
The following paper on Patent Monopolies is reproduced
from the Liverpool Courier, partly for the
sake of presenting a past phase of opinion with respect
to the means of mitigating the injurious influence of
the exclusive privilege contained in Patents:—
At the Social Science Congress at Sheffield, in 1865, Mr. Macfie read a
paper on the following subject: “Long Restrictions on the Use of Inventions,
and Obligation to make heavy Payments to Patentees, incompatible
with free and fair trade.” He said:—
That the inventor has a right of use or property in his invention we
do not dispute; what we dispute is his exclusive right. To give one
inventor such a right is to subvert the principle by denying the right
of other inventors, who may be as original, and have worked as hard,
and spent as much, but who, owing to a desire to perfect their achievement
a little more, or because they live in the provinces,—a day’s
journey further off,—come some hours behind, and so are only second
or third applicants for the coveted privilege. The State ought not,
and cannot in strict justice, give a right of exclusive property; that
is, power to meddle with others, and forbid them to use their valuable
knowledge; except in cases where common use and enjoyment would
diminish public wealth or harm a previous possessor. If the land of
England were constituted common property, its productive value would
be lessened, and the present possessors would be harmed; therefore, it
legitimately is property. Knowledge may be, with the greatest benefits
to mankind, common. God has drawn this distinction between things
material or measurable (in which classification I include labour), and
things mental: between land, ploughs, and the like, and the art or
knowledge how to manage or make them,—that the one cannot be
appropriated, and the other cannot be unappropriated, without loss to
our race. En passant, do we conform to the spirit this constitution of
nature may be held to commend to man?
I will not detain you by controverting the arguments of those plausible
reasoners who class Patent-right with Copyright. Both, indeed,
are creations of enacting law. But there is this obvious and broad distinction
between them: that to grant exclusive privileges to an author
interferes with nobody else’s compositions, whereas to grant them to an
inventor continually conflicts with what others have done and are doing.
Nor shall we spend time in discussing the merits of inventors. These, we
allow, may be great, and deserve public acknowledgment. What ought
rather to be discussed is the kind of acknowledgment that is most
expedient. At present a very primitive mode of rewarding inventors
is alone the rule—monopoly. In old times, when political economy, like
the other sciences, was unknown, it was the easy, but at the same time
costly, way of endowing a court favourite to grant him an exclusive
right to sell or make some commodity. When, in the beginning of the
seventeenth century, all other monopolies were prohibited by law, those
in favour of introducers of new manufactures were spared. This exception
has been found or made so expansible, that it is ruled to extend
to minute processes or instruments in existing trades, so that what was
intended to promote manufactures is now too frequently a hindrance.
Thus the avowed object of the exception, public good, is on the whole
counteracted. What we maintain is, that, admitting the monopoly attains
to some extent that object, the disadvantages preponderate over the
advantages. We connect this charge with another which is still more
condemnatory, viz., that these advantages, limited as they are, are
obtained by compromise of sound principle and by positive acts of
unfairness, such as cannot be alleged against our view of the case, which
is, that these exclusive privileges should be abolished.
The title of this paper says almost all I care to occupy your valuable
time with. It speaks of restrictions in the use of inventions. Patents
impose restrictions, nay, prohibitions. They give an absolute monopoly.
Nobody but a patentee has a right to use a patented invention.
It speaks of long restrictions. Patents impose their restrictions,
or rather prohibitions, for the long period of fourteen years, with occasional
prolongations of the term. To be denied the use of an invention
for such a length of time is, now-a-days (whatever it may have
been of yore), much like being denied it altogether. The title speaks
of payments to patentees. These are made in all cases where the
patentee allows others to use his invention. It speaks of heavy payments,
because he has the right to make them heavy, and he, in practice,
makes them as heavy as he can. It speaks of an obligation, and
rightly, because a manufacturer who uses a patented invention is under
the necessity to pay whatever the patentee demands or a jury awards,
and competition may frequently compel him to use it, under penalty of
losing his profits of trade, or his trade itself. It speaks of the payees
as patentees, not as inventors; because in many cases (how large a proportion
I cannot say) the rights are conferred on mere importers or
appropriators of other people’s inventions. The title further speaks
of free-trade. This freedom, which is something different from mere
libre échange, ought to extend to manufacturing and all kind of labour,
as well as to commerce, for, according to the great lexicographer,
trade is “employment, whether manual or mercantile.” Of course
it does not so extend when labour is not free, but restricted and burdened.
And it speaks of fair trade—fairness is about as important
as freedom. Will anybody say it is fair to tax one manufacturer and
let another go free? Yet this is what Patents do. Those whom the
patentee favours, or fears, or forgets, he does not tax, or taxes lightly,
while on others he lays a heavy hand. But, worst of all, under the
open competition to which the British manufacturer is now exposed
with all the world, he often has to pay heavy Patent fees—often four,
and sometimes, as I know, five, and even six, figures deep—while his
foreign rivals wholly escape. How can any statesman, or member of a
Chamber of Commerce, defend or palliate such gross and grievous
inequalities? Unfortunately, the start that the United Kingdom has
got in manufactures and shipping has done much to blind us, and keep
us from seeing the strides that neighbouring nations are making, and
has emboldened our legislators and financiers to make treaties, in which
we consent, as a nation, to run the race of manufacturing industry
weighted. The wise will call this impolicy, perhaps conceit. Let us
not deceive ourselves; peculiar burdens on British traders are incompatible
with free-trade; more, and worse, they are flagrant
inconsistencies, subversive of our character for good sense, incompatible
with reasonable ground for expecting manufacturing prosperity.
The cry and principle so popular this day is belied when
there is not a fair field, and there is the opposite of favour.
The cause of all these evils and wrongs is the sticking to the
exploded and illogical system of monopoly, as if that were the best,
instead of being, as we believe, the very worst form in which acknowledgment
can be made. We say enough in condemnation when we
characterise it as despotic, inasmuch as it hands over British manufacturers,
absolutely and without appeal, to the exactions or prohibitions
of patentees and assignees of Patents; as erratic, inasmuch as in one
case it occasions not gain but loss to the favourite, in another it overpowers
with enormous profit, frequently the ill-luck falling to the most
ingenious, and the extravagant remuneration to men of slender claims;
as retarding, inasmuch as it often causes great delay in the introducing
of inventions into use; as preposterous, inasmuch as it hinders the
perfecting of new inventions by preventing the combination of the
further improvements that others than the patentee devise or might
devise; as illogical, in this among other respects, that through
the far larger share which capitalists or purchasers of Patents often
get beyond the pittance that may or may not reach the poor inventor,
its action is but indirect and small compared with its cost as a means
of rewarding and stimulating inventors; as inquisitorial, for it justifies
the hiring of informers to report who and where are infringers; as
unnatural, for it takes away a person’s attention from his own legitimate
business, and divides it with the businesses of other people whom
he must watch or teach; as cruel, for the unhappy patentee is continually
liable to be engaged in costly, often ruinous law pleas, far
away from home, in order to establish the validity of his Patent and to
prevent infringements; as extravagant, because it gives patentees, or
rather costs the public (for it is but a small proportion of the burden
imposed that is the nett profit of the patentee) much more than a
better system would. It is also partial, as has been stated, for its incidence
is not equal on all British manufacturers, and it inflicts on them
the hardship of peculiar burdens not borne by rivals abroad; and in
this respect, as in the rest, it is irremediable, for equal treatment is
morally impossible at home and abroad. It is quite out of the question
to expect rectifying amendment in this particular, seeing only some
States grant Patents at all. Among those which do, some grant sparingly
or only to their own inhabitants; and to take Patents in all places
where they are granted would involve the command and risking of so
very much capital that few indeed, if ever any, would embrace the whole
field; and, if perchance they did, the labour of superintending a business
so vast, in languages so diverse and many, would require superhuman
powers. The right to demand “compulsory licences” as a mitigation
was suggested at the Liverpool Congress. They would be an
improvement, and should be practicable, seeing something of that
nature exists elsewhere, although the Royal Commission has reported
against the plan. But it would be a serious mistake to
anticipate from their adoption as a reform any very important
relief. I hope it is possible to propose some substitute which will
not be liable to these reproaches, one which will give rewards having
proportion to merit, which will give them within a reasonable period,
which will entail little trouble or distraction on the nation’s assumed
protégé, the inventor; one which, being regulated by fixed principles
and controlled by officers who will sift the wheat from the chaff, will
satisfy the yearnings after awards having some proportion to merit,
which now are disregarded; and which, above all, will elevate the
inventor from what you will surely allow me to call his present
equivocal position—that involves little or no honour, and too generally
something approaching the very reverse—to a position that implies
merit and gives status. I do not speak of mere honours, whether in
the form of certificates or medals, or trifles, although all of these I
recommend. What I have submitted already to the association, in a
paper to be found in the Edinburgh volume, I repeat as still in my
opinion practicable and expedient—viz., to grant national rewards in
money. I would allow these to be claimed immediately after inventions
are specified. It would be the duty of a competent board, after due
consultation and inquiries, to award each a fair sum, within certain
limits, such as prudence, combined with liberality, would prescribe for
their regulation. Or, the patentee might prefer postponement of the
adjudication for three years. This should be allowed, or even
encouraged, in order that time may be gained for practical expression
of the benefit conferred by actual use of the invention. In that case,
the reward should be ampler.
This system, I am persuaded, would be found in practice much less
expensive to the nation than the present system. So slight are the merits
of the majority of Patents that the State would have comparatively
little to pay; but the relief to manufacturers and the gain to commerce
would be very great; for, however unprofitable a Patent is, it may be
very effectual as a restraint and a burden. Such a system would sweep
away every hindrance to the immediate enjoyment by every one of
every invention, and to the combining with it every cognate improvement;
a great emancipation and stimulus would at once be felt to
operate. If other nations adhere to the antiquated Patent system
which they have borrowed from us, we would be happily invested, in
competition with them, with the immense advantage which the Swiss,
for instance, enjoy over their rivals, that of being free from Patents,
yet knowing the inventions of all other nations. But they would not
adhere; on the contrary, they would either totally free themselves from
the encumbrance, and leave us to pay the rewards, or (and this is more
probable and would be more honourable) they would join in international
arrangements, in virtue of which, every State contributing a little, inventors
would receive large emolument, and trades would rejoice with them in
the advent of an invention millennium, in the bliss of which workmen
would share,—on whose interests, by preventing them from benefiting
by use of the knowledge they acquire, Patents, I apprehend, act
unfavourably.
I am aware that to persuade Government and Parliament to adopt
national grants would involve indefinite, perhaps long, postponement
of the happy year of release. Therefore I repeat another proposition,
also already submitted to you. It is this: To grant Patents much
as heretofore (not resisting any reformation that may appear expedient);
but to enact that, on the demand of any manufacturer, after
three years of monopoly, any invention may be valued—not, of course,
on the basis of the return which it might bring—but on that of its
originality, the cost incurred in working it out, its advantage, &c.,
whereupon it shall be lawful for a Patent Board to extinguish the
grant in any of the following circumstances: 1. If the patentee’s books
(which he should be obliged to keep in all cases where his fees from any
individual exceed £100 per annum) show that he has already received
in fees the valuation price. 2. If manufacturers and others interested
unitedly pay as much as will make the price up. 3. If the State pay
the remainder of the price, purchasing the invention for the nation. And
I would include a condition that any one may obtain exemption for himself
or his firm, by paying, say, a tenth of the price.
And now, a kind word to the amphibious class of persons whom
we style inventors (we are most of us inventors, more or less, in some
form or other). Try to meet the legitimate demands of manufacturers;
act in consonance with the spirit of the age and the requirements of the
time; and remember how, by resisting conciliatory propositions, the
great agricultural, sugar-producing, and shipowning interests had to
succumb to enlightened doctrines, and accept a settlement far less
accordant with their pretensions. Manufacturers (with whom, as in like
manner liable to be affected, I class miners, farmers, shipowners, &c.)
who employ inventions in their businesses on a right system, ought not
to regard the patentee, still less the inventor, as an intruder and an
obstacle in his path. Yet that they in general do so regard these
reputed benefactors and auxiliaries is, I fear, too true. It is the fault
of the system. Let us be well disposed to a better, in which the interests
and feelings of both sides—for opposite sides they appear to be—shall
harmonise. Either of the plans I sketch would, partially at
least, bring them into unison. The only objection that I anticipate is
that the amount to be received will not reach the often, it must be
admitted, extremely high ideas of inventors. In so far as this objection
is well founded, in consequence of the rare merit of any particular invention—a
case that does not arise every year—it can be met by special
votes, which I would be far from excluding.
It may be regretted that the investigations of the recent Royal Commission
to inquire into this subject (most significant against the present
system is their report) were not more extensive and radical. This
arose from the purposely defective terms of appointment. The Liverpool
Chamber of Commerce has consequently asked Government,
through the Board of Trade (that department calculated to be so
very useful, but somehow in these days jostled aside, and scarcely seen
or heard of in deeds), to appoint a fresh commission which shall
inquire into the policy of Patents. This request has had the honour of
public endorsement (either in that form or in the form of a Parliamentary
Committee) by no less an authority than the Right Hon.
Chairman of the Commission, who also stated to the House the remarkable
and most encouraging fact, that doubts like his own had sprung
up in the mind of that eminent lawyer, Sir Hugh Cairns, the very member
who, almost in opposition to the late Mr. Ricardo, a decided opponent
of the monopoly, moved the address to the Crown for the Commission.
On the other side of the Speaker’s chair we have law officers
of the Crown, if I mistake not, impressed with the same dislike, and
among the Radicals we know that equally opposed were Mr. Bright
and the late pure and noble patriot Mr. Cobden. It is within my own
observation that candid inquirers, preimpressed though they may be in
favour of inventors’ claims and monopolies, reach the same conclusion.
As to the Continent, M. Chevalier, Swiss statesmen officially consulted,
and the German Congress of Political Economists, have strongly declared
that they are utterly opposed. The Social Science Association
can, and I hope will, as in the past so in the future, lend important aid
to the cause. Nobody is better fitted to reconcile those interests that
unnecessarily conflict, and to emancipate productive industry from
trammels so hard to bear, while also promoting invention.
Scheme submitted to the International Association for the Progress of the Social Sciences at Brussels in 1863.
The reader is also referred to the following lapsed
1. The principal States of Europe and America, with their colonies,
to unite and form a Patent Union.
2. Every capital to have a State Patent-office, in correspondence
with the offices in the other capitals.
3. Every invention patented in one of these offices to be protected
in all the associated States.
4. Each State’s Patent-office to receive copies of Patent specifications
lodged in the Patent-office of every other State, and to translate
and publish within its own territories.
5. The Patent to confer exclusive privileges for three years.
6. With these privileges is conjoined the right of granting licences.
7. An agent or assignee, fully empowered to negotiate for the
patentee, must reside in each State.
8. Commissioners shall appraise each invention at the end of the
second or third year (or later, if deemed advisable).
9. In estimating the value, the Commissioners shall be entitled to
claim the advice of practical men, and may take into view all circumstances
affecting value—such as the originality of the invention, and its
importance; the probability of its being soon made by another; the
expense and hazard of preliminary experiments and trials; the benefit
it is calculated to confer; the gain which use and licences during the
three years will bring the patentee.
10. If the patentee resign his monopoly before its term expires, this
concession to the public shall be regarded in the price.
11. The Commissioners shall adjudicate in what proportions each
State shall pay the price fixed, on the basis of population, revenue, or
commerce.
12. They may recommend a further grant, as an honorarium, in special
instances of singular merit.
13. Their valuation and grants must be framed on the basis of a
total yearly expenditure on inventions of not more than one million
pounds sterling at the utmost, from all countries of the union, of which
sum, however, no one country can be called upon for more than
£100,000 in one year, nor more than £1,000 for one invention.
14. The Commissioners shall be entitled to recommend for honorary
medals, ribbons, or certificates, real inventors of strong claims, especially
such as voluntarily shorten, or never exercise, the exclusive use of
important inventions.
OPINIONS OF THE PRESS ON THE DEBATE IN PARLIAMENT ON THE PATENT QUESTION. — Leading Article from the “Times,” May 29, 1869. — Leading Article from the “Economist,” June 5, 1869. — Leading Article from the “Spectator,” June 5, 1869. — Extract from the “Saturday Review,” June 5, 1869.
Public attention has for some little time been withdrawn from
the consideration of the Patent-Laws; but, if we may judge from the
discussion upon the subject in the House of Commons last night, the
day is at hand when this branch of our legislation will be wiped out
of the statute-book. It is impossible to withstand the weight of
authority and reason advanced yesterday. It was all on one side.
Mr. Macfie, the newly-elected member for Leith, introduced the subject,
and, incited apparently by injuries he had himself suffered
through the operation of the Patent-Laws, argued very vigorously
against them on theoretical and practical grounds. He was not left
unsupported. Sir Roundell Palmer, who, had he consulted his private
interest, would certainly have been among the first to uphold a
system productive of such immense pecuniary benefits to the practitioners
in the courts, seconded Mr. Macfie’s motion for the unconditional
abolition of the Patent-Laws in a speech of the closest
reasoning, supported by a vast array of facts which had come within
his own personal experience. He was followed by Lord Stanley, who
confessed that, against all his early prepossessions, he had been convinced,
when acting as Chairman of the Patent Commission, that the
abolition of the Patent-Laws was demanded on grounds of justice and
of sound policy. Two of the foremost representatives of law and of
statesmanship thus enforced the reform demanded by Mr. Macfie as a
spokesman for manufacturers. It is true that others followed who
opposed, or attempted to oppose, the arguments of Sir Roundell
Palmer and Lord Stanley. This was inevitable. Men who have not
looked into the question are in the same position as Lord Stanley says
he himself was when he first began to consider it. They are under
the influence of impressions they have never thought of questioning,
and are biased by supposed analogies, drawn from cognate subjects,
the unsoundness of which they have not investigated. Hence they
protest, not without vehemence, against an amendment of the law
which is in conflict with their own habits of thought, but they do not
reason upon it. Analyse the speeches delivered last night by Mr.
Howard, Mr. Mundella, and, we must add, the Attorney-General, and
the residuum of argument contained in them will be found to be very
small indeed. They are all satisfied the Patent-Laws have been useful
to the nation, as people were once satisfied that the Corn-law was
the secret of our greatness. They insisted that the abolition of the
Patent-Laws would be a blow to our national pre-eminence, just as
their predecessors agreed in predicting not so long ago that with the
abolition of the Corn-laws Old England would dwindle and decay.
The first point to be borne in mind with reference to the Patent-Laws
is, that if we retain them at all they must be retained in their
present form. The amendments admissible in their machinery are
not important, and the recommendations of the Royal Commission
some years ago were so slight that it has never been thought necessary
to carry them into effect. What is the scheme of the Patent-Laws?
A man discovers, or believes he discovers, a new process of accomplishing
some useful result. He registers his supposed invention, and
acquires a provisional right to its exclusive use for a definite number
of years. After a time he finds some other person using his invention,
and applies to the courts of law to prohibit him. The alleged
infringer of the Patent says that the assumed discovery was no discovery
at all, or that it was of no public benefit, or that he is not
making use of it, and the questions arising on these issues are then
tried. This is a condensed statement of the whole working of the law
as it stands. No substitute for it can be recommended that will bear
examination. It is sometimes said that an inventor should be required
to prove the originality and utility of his invention at the time he
makes his application to be registered. But who could examine such
a claim? A court of law may, after much trouble and caution,
declare that a claimant is entitled to a piece of land, because the
claimant, by exercising rights of ownership over it, gives notice in a
very palpable way to all other claimants of the property, though even
then the court takes extreme pains that the rights of absent or infant
persons may not be abridged. But, when a man claims an invention,
by what possible process could notice of his claim be brought home to
every man in the kingdom? Whoever will consider the matter will
be forced to the conclusion that all the State can do is to tell an
applicant that he shall be protected in the use of his invention provided
he shall be able, whenever occasion arises, to establish its
originality and utility against any one who may arise to contest them.
The same considerations which negative the suggestion that a claimant
could receive an indefeasible title, also negative the proposal that the
claimant should be compensated by a money grant at the outset. If
the originality of his claim cannot be proved, payment for it cannot
be made, even if there existed at that incipient stage any means of
determining its value.
The present system of Patents must be retained if Patents are to
be preserved, and the evils of the system flow directly from it. It
is impossible to diminish appreciably the litigation attendant on
Patents. Sir Roundell Palmer referred to the paraffin oil case,
which occupied the Court of Chancery fifteen days. Nor could this
be avoided, for the novelty of the process of distilling paraffin was
the point contested, and to decide this it was necessary to examine
the exact stage of discovery to which a dozen different investigators
had advanced, all of whom were trying simultaneously, but independently
of each other, to distil paraffin oil so as to make it a commercial
product. The expense and uncertainty of Patent litigation
being unavoidable, the cardinal defect of the system, that the reward
it offers hardly ever goes to the right man, follows. The inventor is
at one end of the scale; the transferee or licensee of the Patent is at
the other, and while the latter reaps enormous gains, the inventor
often has the reflection that it was he who made the discovery for his
sole reward. The second great fault of the system of the Patent-Laws
is an effect equally inseparable from it. These laws constantly
inflict the most grievous injustice on innocent persons. Mechanical
and chemical discoveries are not made by unconnected jumps. The
history of science and of invention is one of gradual progress. A
hundred different persons are pursuing their investigations on the
same subject independently of each other, and are all nearing a particular
goal, when some one man reaches it a few days before the
others. The law which gives him a monopoly denies to the rest the
fruit of their exertions. It is needless to refer to the numberless
instances in which inventions have been discovered so nearly simultaneously
that the real inventor cannot be ascertained; and it is impossible
to deny that to give a monopoly to the man who is the most
prompt to register his claim often inflicts a grievous wrong on the
investigators who accomplish the same results in perfect independence
of him. So far we have spoken only of primary discoveries. The
secondary Patents, as they may be called, were rightly denominated
by Sir Roundell Palmer unmitigated evils, and, according to the same
high authority, they exceed in number Patents of importance in the
ratio of a hundred to one. A person suggests some small improvement
in the course of an elaborate manufacture, and takes out a
Patent for it. Henceforth he blocks the whole trade. He cannot
be got rid of, and it is not easy to deal with him. He is quite conscious
of the obstacle he creates, and in the end he is probably bought
off by some great manufacturer in the line of business affected by the
discovery, who, by accumulating in his hands the inventions, good
and bad, connected with his occupation, monopolises that particular
branch of trade throughout the country.
The strength of the existing Patent-Laws lies in the vague belief
of those who have not considered the subject that it would be unjust
to deprive a man of the benefit of his discoveries. Those who are
impressed with this elementary notion may be asked to reconcile it
with the undeniable fact that the Patent-Laws do deprive, in the way
we have shown, many men of the benefit of their discoveries; but a
little reflection will convince them that their argument rests on a
pure assumption. No man would be deprived of the benefit of his
discovery because he did not receive a monopoly of its use. His own
discovery would be his own discovery still. As long as he is allowed
to employ his own inventions in any way he thinks proper he cannot
be said to suffer any deprivation of a right. The truth is, that the
Patent-Laws are a voluntary addition to our legislation based upon
no such obligation as underlies the ordinary laws of property; and
they must be justified, if they can be justified at all, as gratuitous
creations of the Legislature, by proof that they produce some national
benefit. It is from this point of view that we see the difference
between the laws of Copyright and of Patents. They agree in being
added on to what may be called the body of natural law, but the
reasons in support of each are not the same, and the objections which
apply to the law of Patents do not apply to the law of Copyright.
The monopoly granted to an author does injustice to no one. The
monopolies granted to patentees do injustice to many. Patents are
creations of positive law, and must be judged accordingly. The
Attorney-General approves them because they are designed to
multiply inventions, although he admits that the multiplication of
Patents is a serious evil. A sounder judgment will condemn them
because of the evils necessarily attendant upon them; and we have
no fear of what would happen to the course of invention or the
progress of the country if they were abolished, and the inventor
allowed to make such use of his invention as he may be advised.
Inventions co-exist with Patents, but the experience of Switzerland
is sufficient to show that they would abound if Patents did not exist,
and the decline of commercial greatness with which Mr. Howard
threatens us should Patents be abolished may be treated like so many
other prophecies of evil which have been happily neglected and
remain unfulfilled.
It is probable enough that the Patent-Laws will be abolished ere
long, though the full force of the real objections to them was perhaps
not brought out in the debate last week on Mr. Macfie’s motion for
their abolition. Sir Roundell Palmer was too metaphysical. The
supposed distinction between the copyright of a book and a Patent—that
no two men will hit upon the same composition even in substance,
while they will hit upon the same idea for an invention—does
not prove anything. If a case of general utility could be made out,
the abstract justice of giving a man the monopoly of an idea, should
he be the first to come upon it, would not be much considered. Lord
Stanley, who avoided this mistake, dwelt too much upon such minor
points as the practical failure of the law to secure a reward to the
inventor and the frequent disproportion between the reward and the
service rendered, which are points of no consequence so long as the
public is generally a gainer by the law. Lord Stanley, however,
touched upon the true reason when he referred to the injury of third
parties, which the present law occasions, by reason of Patents being
granted to only one out of half-a-dozen persons who come upon the
same inventions, or to one of a series of inventors who improve upon
each other’s work, and by reason also of the general interference with
manufacturing. What we should have liked to see fully stated was
the peculiarity of the present circumstances of the country in which
these things are true. The statements in fact amount to this—that
there is a large number of inventions which Patents are not required
to encourage; that these are made as ordinary incidents of business;
that invention, improvement of mechanical and chemical processes,
is itself a part of a manufacturing business; and that in this way the
granting of Patents only impedes manufacturers to whom inventions
would naturally come. The full force of these facts cannot be felt
unless we recognise that a change in the character of invention has
taken place. The Patent-Laws were intended to apply to different
manufacturing circumstances from those which now exist, and were
based upon different notions about invention; the objection to them
is that they either are, or are becoming, out of date. A little consideration
will show how true this is.
Let us look first at the notions still customary about inventors
and inventions which are derived from past circumstances.
The popular idea of an inventor is of a man who makes
an immense addition to the real wealth of the world—who invents
the steam engine, or the spinning jenny, or the Jacquard
loom, or the hot blast—almost revolutionising the material
powers of mankind. The idea associated with his work is in any
case that of great novelty in means coupled with great accomplished
results. Now there are various reasons why these should not be the
characteristics of modern inventors and inventions, as we see they
are not. It might be true that there are still as many inventions of
real novelty and magnitude as ever, though we doubt if there is; and
yet there would be circumstances which prevented a legislator regarding
them as most important. One of these circumstances is certainly
the exaggerated importance of minor improvements, in consequence
of the great development of machinery and manufacturing. A single
improvement to save 10 per cent, in fuel for the steam engine would
probably add more absolutely to the real wealth of this generation
than the invention of the steam-engine itself added to the real wealth
of the generation in which it was invented. A recent invention just
spoken of—the feathering of the blades of screws, increasing the
facilities of using auxiliary steam-power in ships—might compare on
the same footing with the most substantial invention of a poorer age.
Just as the refinement of the machinery of credit, and the extent of
its development, cause the least disturbance to be widely felt, so the
least improvement in mechanical or chemical knowledge, applied to
manufactures, may have great results. A revolutionary invention—owing
to the difficulty of introduction—might not tell so quickly
even as a minor improvement in an existing groove; but, in any case
its effects will now be matched at the first start by these minor
improvements.
These improvements again, as well as the great inventions themselves,
are usually come at in recent times in a different way from
that of the old inventor. Formerly the inventor had almost nothing,
before him—every department of industry had to be built up from
the foundation. Now a man must build upon extensive knowledge
of what has been accomplished, and must have great means at his
command. What Mr. Mill has just been explaining in his new book
in regard to original authorship in the present day is equally true of
invention: “Nearly all the thoughts which can be reached by mere
strength of original faculties have long since been arrived at; and
originality, in any high sense of the word, is now scarcely ever
attained but by minds which have undergone elaborate discipline, and
are deeply versed in the results of previous thinking. It is Mr.
Maurice, I think, who has remarked, on the present age, that its most
original thinkers are those who have known most thoroughly what
had been thought by their predecessors; and this will henceforth be
the case. Every fresh stone in the edifice has now to be placed on
the top of so many others, that a long process of climbing, and of
carrying up materials, has to be gone through by whoever aspires to
take a share in the present stage of the work.” That is—when
we speak of invention—the inventor must be a man who is closely
associated with capitalists, or be a capitalist himself. In no other
way can he have the means of knowing the thousand improvements
of machinery and processes which have culminated in the present factories
and machines; and in no other way can he find means for experiments
on the necessary scale. “Poor men,” says Sir William Armstrong,
“very often come to me imagining that they have made some
great discovery. It is generally all moonshine, or if it looks feasible,
it is impossible to pronounce upon its value until it has passed through
that stage of preliminary investigation which involves all the labour,
and all the difficulty, and all the trouble.” How is a poor man to
get this preliminary investigation undertaken, when the subject is an
amendment of a complicated manufacturing process? The complaint,
in fact, was made before the Select Committee on Technical Instruction,
that English manufacturing was suffering from foreign competition,
because there is less room now than formerly for the play of “untaught
invention.” The machine is too perfect for the workman to
meddle with; and thus the foreigner, supposed to be more technically
instructed, has room to excel us—our peculiar power having been
“untaught invention.”
Such having been the change in the character of invention, it is
easy to see why the Patent-Laws are not only not needed, but are
obstructive. The inventor, in the first place, is not in the position of
an old inventor. To give him scope he must be employed by a
manufacturer or capitalist—that is, his skill must be already highly
valued, the manufacturer naturally employing those who can introduce
amendments and improvements, and keep him abreast or ahead
of competitors. “I believe,” says Sir William Armstrong, again,
“that if you let the whole thing alone, the position which a man
attains, the introduction and the prestige, and the natural advantages
which result from a successful invention and from the reputation which
he gains as a clever and able man, will almost always bring with them a
sufficient reward.” And again: “I think that absolute discoveries
are very rare things; nearly all inventions are the result of an
improvement built up upon a preceding one. A poor man who has
the ability to make really practical improvements is almost sure to
rise in the world without the aid of Patents.” And if the inventor
may be thus indifferent to a Patent-Law, the question as to the inducement
to capitalists to take up inventions may be settled by their
general objection to Patents. Though there are one or two manufacturers
who have monopolised a number of Patents in their trade,
and so turned the law to account, it is from them that the
greatest complaints come—men like Mr. Platt, or Mr. Scott Russell,
or Mr. Macfie, who has just moved the abolition of the laws. The
truth is, capitalists are now in a position to obtain a profit without
a Patent—just as they can sometimes disregard a Patent for a long
time till competition forces it upon them. Patents, then, are not required
as an inducement either to inventors or capitalists, and the
reason of the law fails.
But this is not all. The complaint of manufacturers at the
obstruction of the present law would not be enough by itself,
but it is a very serious matter when invention is part of the business
of manufacturing. The law of Patents, in short, interferes with what
has become the normal process of invention. Mr. Platt states: “I
think that there is scarcely a week, certainly not a month, that passes
but what we have a notice of some kind or other of things that we
have never heard of in any way, and do not know of in the least that
we are infringing upon them.” Sir William Armstrong complains of
a personal grievance: “The necessity which I am under of taking out
Patents, not for the purpose of obtaining for myself a monopoly, but
simply for the purpose of preventing other persons from excluding me
from my own inventions.” And much similar evidence was given
before the Royal Commission, of which Lord Stanley was chairman.
Thus the present law is not wanted to promote invention, and it is
injurious to a kind of invention which would go on luxuriantly
without it. The gradual nature of most inventions is a sufficient
security that it will proceed under the law of competition. Perhaps
the practice of Government is the best indication of the necessity for
the abolition of Patents. A few years ago the manufacturing departments
of Government found themselves so hampered by Patents that
they resolved to try whether they were bound or not, the result being
a legal opinion that they were not bound. But Government is only
a great manufacturer, its work in some departments being less than
in many private businesses. Is there any reason why Government
should be released, and individuals bound to patentees? As to the
supposition that invention will cease, the mere interest of the Government
in paying for anything worth having is found a sufficient
stimulus to invention in the things which it requires; and so it is
assumed will be the interest of competing manufacturers.
There is a universal agreement, moreover, that no Patent-Law
should cover all the inventions which are now covered. It happens
that the strongest condemnation of things as they are before the
Royal Commission came from witnesses who wished a change, though
none suggested anything which commended itself to the Commission.
The idea seemed to be that a separation could be made between substantial
inventions and the improvements or amendments which are
now so important, but are admitted to be unsuitable for Patents. It
was thought that Patents, instead of being granted indiscriminately,
should only be granted in cases of proved novelty and utility. But
no working plan of a court to do this could be devised, or one which
would not probably discourage inventors as much as the abolition of
Patents altogether.
We come, then, to the conclusion that it is for the general interest
that Patent-Laws should be abolished, and that their abolition will do
no great harm to any one—least of all, to the great mass of inventors
or improvers. Perhaps we may point out that, if the circumstances
are as described, this country has a special interest in abolishing such
laws. As the leading manufacturing country in the world, a Patent
here is likely to be worth more to its holder than anywhere else;
consequently our manufacturers are more exposed than any others to
the interruption and worry of Patents. It may well be that other
countries which are less tempting to patentees will find the balance
of competition weighted in their favour in consequence. Looked at
another way, the more that invention falls into the hands of great
capitalists, the more likely is it to strengthen the manufacturing of a
country which is already most powerful. The normal condition of
things is all in our favour, and we should do nothing to thwart it.
Those who doubt whether there are subjects upon which no conclusion
is possible, which baffle the ablest and most judicial minds
possessing the best attainable information, should read the debate
which has just taken place on the proposed abolition of the Patent
Laws. The most remarkable fact of the debate was the uncompromising
attack upon these laws by Sir Roundell Palmer, his eager
advocacy of the opinion that they should be at once abolished; but
the most significant speech was made by Lord Stanley, who exhibited
perfectly the incapacity of reasonable men to come to a wholly satisfactory
judgment upon them. In fact, there is a real balance of considerations
which were almost exhaustively stated by Lord Stanley.
If you look at one set of facts, you see good reason for conceding
Patent rights; if you look at another set, you find innumerable mischiefs
arising from the concession; and there is hardly any means of
measuring which set of arguments preponderates. The motive of
granting Patents is primâ facie very simple and unobjectionable.
You wish to encourage inventions, by which the wealth of the
world is so much increased, and you therefore promise inventors
a temporary monopoly of their use, on the single condition that
the inventions shall be made public. But for some such
guarantee, it is said, many inventors would have no temptation to
rack their brains, and capitalists would be afraid to help them in putting
their ideas into a complete shape. That invention, as a matter
of fact, is to some extent encouraged, is certain, though Lord Stanley
hardly touched upon the point. On the other hand, hardly any
Patent-Law can do what it professes, while it is certain to do much
harm; and this is, at least, the character of our own law. The rewards
with which it tempts inventors are too often delusive, and they
at least would have small real cause to complain of its abolition. No
Patent brings its holder any immediate pecuniary right. He can
only sue people who infringe his Patent, and the costliness of Patent
suits is such that he is seldom able to protect himself. To make the
property worth anything, a capitalist must take it up; but the
capitalist, in doing so, stipulates for the lion’s share of the profit.
Probably in ninety-nine cases out of a hundred the reward was obtained
by such speculators, and not by inventors. This, of itself, we
believe, would not be a sufficient argument against conceding Patent-rights;
but it would certainly be sufficient, if inventors could be induced
in some less costly way to surrender their ideas to the public.
Another reason against Patents, stated by Lord Stanley—that the
reward is usually but of all proportion to the service rendered—is
also a strong one, if a better plan can be thought of; but the main
reason, the injury to third parties, is most serious. There is
a great mass of well-founded complaints as to Patents being
traps for manufacturers. Improvements and amendments in
the details of machinery and manufacturing processes, which
would inevitably be come at by the manufacturers themselves,
are appropriated beforehand by inventors who do not possess in
reality any particular merit. Manufacturers, are afraid to make
slight alterations, for fear an inventor comes down upon them; but
they never know but what they may have to encounter an action for
“something they have always done.” Even inventors themselves
suffer in this way. It commonly happened that half-a-dozen men
competing in the same line of business would come almost simultaneously
upon the same discovery; but if A was a week or a fortnight
before B, the latter was excluded from his own discovery. The
Patent-Law, then, not only does little real good to patentees themselves,
but a great deal of mischief to other people. Who is to decide
whether the balance of advantage to the public, through encouraging
invention by offering a rather delusive reward, exceeds the disadvantage
of impeding manufacture and preventing people from using what
they themselves discover?
Lord Stanley, though only recommending the matter for the “particular
handling” of the Government, inclines, on the whole, to the
view that the Patent-Laws do more harm than good; and we are
quite disposed to agree with him. The decisive consideration appears
to be the unavoidable abuse of Patents for inconsiderable inventions,
or inventions of simultaneous discovery. The hardship of excluding
B from a discovery of his own because A had patented it a week
before, is such as to demand the clearest proof of the expediency of
the general law which deprives him of the fruit of his labours.
Where B is a manufacturer, led up to the discovery by the
necessities of competition and suddenly laid under contribution
by a stranger or a rival, the hardship is especially severe.
We are not sure but that to make any Patent-Law tolerably
just, special provision should be made for proof of simultaneous discovery,
and either compensation to all the discoverers by the patentees,
or full liberty to them to make use of their discovery. It is of
equal importance, however, that the amendment of manufacturing
processes in detail should not be checked; and perhaps the fact that
the great majority of Patents now only apply to what may be termed
details is a main reason for abolishing them. It is a simple monstrosity,
to quote the case given by Mr. Scott Russell, that every conceivable
shape of a boiler should be patented, so that the most obvious
change of form, which some particular exigency obviously suggests
when it arises, should not be permissible to a manufacturer unless he
pays black mail to somebody else. If it is said that details are often
important, the answer is that manufacturers and inventors have a
sufficient stimulus with regard to them without a Patent-Law. The
pressure of competition and the large scale of manufacturing, which
make details important, are sufficient inducements to those interested
to find out something new, or encourage others to find
out something for them. Just because invention must usually
come in the way of great manufacturers, who can recoup themselves
without Patents, Patents are no longer necessary. Men like
Sir William Armstrong and Mr. Scott Russell, who are themselves
considerable inventors, do not care for Patents, except to guard themselves
against the interference of others who might take advantage of
the present law to reap where they have not sowed. They are quite
content to let others alone, if they are let alone themselves,
deriving their profit from general excellence of manufacture, of which
any single process which might be the subject of a Patent is only one
out of many details, and perhaps not the most important. Nor do
such inventors conceal their detailed improvements, so that they are
in no way tempted to do anything for the advantage of the public by
the present law. It was observable in the debate that the defence of
the present law rested exclusively with representatives of probably
the least important inventors. Mr. Mundella’s assurance that working
men are attached to the present law, and that inventors of the
working class would either not be tempted to invent, or would be
deprived of the reward of their industry, was, in truth, the only argument
in its favour. But it was plainly insufficient. It would be
necessary also to show that such inventions are overwhelmingly valuable,
so as to compensate for all the injury a Patent-Law must do; but
this was not, and we believe could not be, attempted. The special
case of poor inventors might be met by an organised system of voting
rewards to those whose inventions had been largely adopted and used;
but we should not frame an entire law, which the public do not require,
and which would work a deal of harm, in order to suit their
peculiar circumstances.
Such being the nature of the discussion, it is, of course, not
worth while saying much on the particular defects of the present
law. But there is hardly a single point where some alteration
is not called for. In particular, the Courts for trying Patent cases
could be very much improved; and additional obstacles might
be interposed to frivolous or entrapping Patents. One of the
main reasons for total abolition, nevertheless, must always be
the impossibility of suggesting an amendment for some defect which
is not itself open to equivalent objections. Nothing, for instance,
seems so obvious at first sight than that the present law might be
amended by compelling patentees to grant licences. Yet the Royal
Commission which reported in 1865 was decidedly opposed to this
suggestion, after hearing all that could be said for it. There is no
means of saying beforehand what should be the maximum charge for
licences, while the moment this principle is introduced the special use
of a Patent as a stimulus to inventors is tampered with—the prospect
of a complete monopoly of which they are to make as much as they
can. Similar objections apply to any suggestion for cancelling
Patents which are not used in a year or two to some material extent.
The best inventions, requiring the greatest changes in manufacturing
machinery, are often the slowest to come into operation. For the
same reason, it would also be impracticable to compel patentees to
grant licences at fixed maximum rates after their Patent had been
two or three years old. It might be just as impossible then, as at
first, to say what the licence fee should be. If we are to have a
Patent-Law, then we can have no substantial improvement upon the
present one; and it is so bad that it can hardly last. Perhaps there
is at present a deficiency of evidence on the subject—the workmen
not having been heard before the last Commission, and the information
presented as to the Patent-Laws of other countries and their working
being very deficient; but though this may be a good reason for
having another inquiry, we anticipate that it will only confirm the
verdict of impartial judges against the present system.
If the interesting debate on Mr. Macfie’s motion proved, what
scarcely needed proving, that our existing Patent-Law is extremely
unsatisfactory in its working, it equally proved that the arguments
against having any Patent-Law at all are not less unsatisfactory. If it
were practicable to discriminate between true and sham discoverers,
and to ascertain with accuracy to whom the merit of every new invention
really belonged, and if it were at the same time easy to secure to
the man who increased the common stock of useful knowledge the fruit
of his own brain, no one would dream of questioning the moral claim
of an inventor to this peculiar kind of property, any more than we now
question the justice of giving to an author a copyright in his own
work. But when it is found, or supposed, to be extremely difficult to
do justice to one man without causing much inconvenience and some
occasional injustice to a thousand others, there is a strong temptation
to sacrifice individual rights to public expediency. The advocates of a
total repeal of the Patent-Laws generally insist (as Sir Roundell
Palmer did in his ingenious speech), not only that they do a great deal
of indirect mischief, but that the discoverer of the most invaluable
invention has no claim to any reward except the consciousness of
having enabled a number of other men to make colossal fortunes.
That such arguments should be used at all proves little more than an
uneasy consciousness that the proposed repeal would work a certain
amount of real injustice. Men who are strongly impressed with the
expediency of ignoring the claims of inventors struggle to escape the
reproach of injustice by stoutly denying the rights which they desire to
disregard. We would rather see the subject discussed with more
courage and frankness. There are undoubtedly instances in which
private claims must yield to public expediency, and any persons who
think the case of inventors to be one to which this rule is applicable
would do better to say so openly than to try to persuade themselves
and others that those who have created the means of making wealth
have no claim to share in the fruits of their discovery. Sir Roundell
Palmer affected to dispose of the whole difficulty by saying that there
were essential differences between Copyright and invention; but a
principle is not the less sound because you may illustrate it by a case
which is not on all-fours with that to which you apply it. And the
distinctions between Copyright and invention are by no means so
radical as is sometimes assumed. The Copyright-Laws give an author
a special monopoly because it is conceived that the production of a
new work entitles him to a return proportioned to its merit, as tested
by the demand for it in the market. The Patent-Laws give an
analogous monopoly to an inventor on precisely the same moral
grounds. To say, as Sir Roundell did, that a book was a new
creation, whereas an invention was merely the application of the facts
and the laws of nature, which are common property, was to speak like
a lawyer rather than like a philosopher or a man of science.
Whatever other distinctions may be insisted on between Copyright and
invention, this, at any rate, will not bear a moment’s examination. It
may have a colour of plausibility in the case of a poem, a play, or a
novel, though even there it is not altogether sound. But literature
includes history, science, philosophy, mathematics, and the like; and
every book on these and most other subjects, so far as it has any value,
is based entirely upon facts and laws which are no more the creation of
the author than are the facts and laws on which an invention may be
founded. In each case there is creation in the same qualified sense.
Say that a man creates what he reveals, or what he proves, and the
author and the inventor are equally entitled to be called creators. Say,
on the other hand, with perhaps more accuracy, that to proclaim a
previously unnoticed truth is only to announce what has all along
existed in nature and nature’s laws, and some more modest title than
creator must be assumed by author and inventor alike. The difference
between the two cases is not a difference of principle, but of convenience.
The thing created, either in the book or the machine, is the
thought or the method; but property in a thought or a method is not
what the law allows in either case, simply because it would be impossible
to give an effect to such an enactment. What the law does is to lay
hold of the most profitable mode of using the idea, and say that for a
limited time no one but the originator shall be at liberty, in the one
case, to print the book or a colourable imitation of it; or, in the other,
to manufacture or use the machine or any colourable imitation of that.
It is impossible, we think, to deny the abstract right of a real author
or inventor, and more palpably impossible to deny it in the one case
while you admit it in the other.
Apart from his abstract reasoning, there is much in Sir Roundell
Palmer’s argument to show wide differences in practice between the
cases of authors and inventors. It is undoubtedly true that in a vast
majority of instances the patentee of an invention is not the person to
whom the largest share of the merit belongs. The rule, equally in
scientific discovery and in practical invention, has almost always been
found to be that, when a great step in advance is completed, no one
man can claim the entire merit. If one wins the race, there are
mostly several competitors who get a place. Even Newton had
rivals treading on his heels, and his great discoveries would not have
been lost, though they would certainly have been delayed, if his
marvellous intellect had never been directed to science. The thought
of the world, as represented by a little cluster of inquiring minds,
was fast ripening for the harvest which Newton was the first to reap.
But no one on this account seeks to deprive Newton of his glory.
And we do not see why the pioneers of practical invention should be
deprived of the reward for which they work merely because what they
have done is but to forestall what would have been accomplished, sooner
or later, without them. The real vice of the Patent-Laws is that they
give a full fourteen years’ monopoly to the first inventor who
proclaims himself, even though it may be clear that he has not a
week’s start of a host of competitors. In order to make sure of
adequately rewarding a very few real benefactors of mankind, you
give an inordinate privilege to a great many who have done nothing
at all in proportion to what they receive; and not only do you prohibit
every one from borrowing the patentee’s ideas, but you actually
forbid a second inventor, who has arrived at the same result without
ever having heard of the first, to make any use for fourteen years of
the conclusions which he has worked out by his own unassisted
thought and labour. This, of course, is a gross injustice, and the
opponents of the Patent-Laws say that no machinery can be devised
by which it can be escaped. Another serious objection to the system,
as worked in this country, is the indiscriminate grant of a Patent to
any one who claims it, leaving it to future litigation to determine
whether the Patent is good or bad. The Law Officers of the Crown
receive an enormous amount of fees for Patent business, and it is their
function to determine in the first instance whether a primâ facie title
to the privilege is made out. It might be supposed that, if the identical
invention has been patented or publicly used before, or if, on the
face of it, it is no invention at all, the application would be refused.
Nothing of the sort happens. No examination of the records at the
Patent-office takes place to ascertain the existence or non-existence of
earlier Patents for the alleged discovery; and even when there is an
opposition, and it is clearly proved (as in the case of the bullet which
Mr. Metford devised and Mr. Whitworth afterwards patented)
that there is nothing new in the invention, the Patent is allowed to
go, in order that the claimant may have the privilege of a jury to try
an imaginary right. This is the way in which the crop of litigation
is raised which is so often pointed to as a reproach to the law. The
present Attorney-General, it seems, has introduced the innovation of
rejecting the claims of patentees where the alleged inventions are
palpably frivolous, but something much more decided than this is
needed to make the preliminary investigation of any real value. The
vast number of worthless and catching Patents taken out merely as
traps for manufacturers is perhaps the greatest nuisance incidental to
the system, but it is by no means the most difficult to suppress.
All these evils must be cured, or sensibly abated, if the Patent-Laws
are to survive; and if this is to be done at all, it can only be
by an effective preliminary inquiry. That there are difficulties to be
encountered in such a scheme cannot be denied, but it is not yet
shown to be so complete an impossibility as Sir Roundell Palmer assumed
it to be. With the best machinery a few Patents would slip
through which, on closer investigation, would be held to be bad; but
even the clumsiest methods of bonâ fide inquiry would have sufficed
to weed out some ninety per cent. at least of the existing Patents.
A mere search by proper officials at the Patent-office, with the aid of
the excellent indexes which they possess, would settle the fate of the
great majority of applications, and the opposition of rival inventors
or manufacturers would expose a great many more if it were not
understood, as it is now, that any opposition before the Law Officers
is a mere waste of time. Under the existing system we have a tribunal
which is not, as a rule, competent for the work, and which makes
no real effort to do it. The Law Officers give up the investigation in
despair; but it by no means follows that a scientific tribunal, with all
the aids which the Patent-office could supply, might not be found
extremely useful. The experiment, at any rate, has not been tried;
and it is scarcely fair to inventors to deprive them of all protection
merely because a perfunctory inquiry by an unscientific and busy
lawyer may have failed to exclude from the list of patentees a formidable
body of mere impostors.
We take it to be quite clear that the attempt to do justice ought
not to be given up until the impossibility of putting the law on a
satisfactory footing is clearly made out. Mr. Mundella is probably
as ingenious as most manufacturers, but he says that all the inventions
in which he is interested came out of the brains of his workmen,
and that they are sharing with him and the public the benefit of their
discoveries. Apart from the serious inconveniences caused by the
law as it is now administered, no one could desire to confiscate the
ingenuity of artisans for the benefit of master manufacturers. As
matters stand now, a poor patentee is generally helpless to turn his
invention into money without the assistance of a capitalist; but to
allow a master, because he is rich enough to use an invention, to pick
the brains of a clever artisan without making him any acknowledgment,
would be to aggravate the plutocratic tendencies of the age,
which most serious thinkers would gladly mitigate as far as possible.
The product of invention and thought is a very difficult kind of property
to protect, but it is not on that account the less deserving of
protection, if any means can be devised for granting it without too
grave an interference with the commercial freedom which public expediency
demands. The subject requires a more searching investigation
than it has yet received. Lord Stanley’s Commission scarcely
touched the root of the matter, and no attempt has even been made
to test the feasibility of such suggestions as the report contained. It
is for those who attack the law to make out a conclusive case, not
merely against the particular system in force, but against every possible
scheme for securing to inventors the benefit of their own work.
And this has certainly not yet been done.
EXTRACTS FROM RECENT CLASS PERIODICALS. — A Good Illustration and Bad Argument. — Growth of Strange Views among Surgeons. — What Preliminary Investigation Requires. — Hard Pushed for a Defence of Patents. — PATENT RIGHTS AND PATENT WRONGS.
Along with some true light and sound sense, the
shifts to which advocates of Patent restrictions are put
when they venture upon argument, and the boldness
with which advances are being made on the path of
monopoly in the face of attack, may be deduced from
the following extracts picked up at a glance in
current periodical class literature:—
However absurd it may appear, a valid Patent has been for fourteen
years granted, which gave a monopoly to one person to make all the
pins for all our railways. I should have thought that the use of
wooden trenails to fasten materials together, to have been of ancient
date, but for this Patent. That existing Patent-rights are, to some
extent, obstructive to the “right of way,” is just as true as that the
right to enclose common land is so. The natural remedy, in both
instances, is to reserve “a right of way” to the public, not necessarily
a free right, but one open to all, on payment of a reasonable toll in
the latter, and of a reasonable royalty in the former case. With
more show of justice, might the enclosure of common lands be prohibited
than Patent-rights for inventions be refused, for the common
lands were not only discovered, but in human use before enclosure,
which is more than can be said of any true invention.—Extract
from “English Mechanic,” July 2, 1869.
A change in the views of English medical men is perceptible on
the question of the propriety of a surgeon taking out a Patent for an
instrument he has invented. Although we have always felt it the
duty of a physician who subscribed to a fixed code of ethics to abide
by its regulations, and therefore have always opposed, on technical
grounds, the taking Letters Patent on improvements in surgical
appliances, we freely grant that there is no à priori immorality in the
act.... If we read Dr. Chapman’s letter to the British Medical
Journal, we find that he there says: “I have been informed that
soon after Dr. Richardson invented his ether-spray instrument, Her
Majesty’s physician, Dr. Jenner, said, if he were Dr. Richardson, he
would patent the instrument.” And further on we read, “Before I
patented the spine bags, I consulted the President of the College of
Physicians, Sir Thomas Watson, and the head of the Privy Council,
Mr. Simon; and both these gentlemen expressed the opinion that I
was justified in doing so.” Such quotations, in our humble opinion,
show that Dr. Chapman is, in all probability, right, and the majority
of the profession wrong, in objecting to his patenting an instrument
which is by no means mysterious or secret. We shall not be sorry
to see this frank admission gain ground with the profession in this
country, and the prohibition of patenting instruments reconsidered.—Medical
and Surgical Reporter.
... To diminish the period for which he shall be allowed to
retain his exclusive right.... If a gratuitous privilege of five years’
duration be a sufficient price for John Bull to pay inventors for
inducing them to make their inventions Patent, I know no just
reason why he should pay more in the form of monopoly price
for that which he can purchase for the shorter term.... To
enable an efficient preliminary investigation to be made with facility,
either by individuals, or by the official examiners, I propose to compile
a history of inventions, discoveries, and processes, for one rather more
full and modern than Beckman’s would be required. I have long
advocated the compilation and official publication of this great work,
for it is not nearly enough for this purpose to have only a classified
abridgment of the specifications of English or British Patents. In
addition to this, besides all foreign Patents, a brief classified description
of the million things formerly and now being done and suggested
is almost absolutely necessary to enable either official or private investigators
to arrive at anything like a probable resolution of the question,
if a given thing it is proposed to Patent is new.—Extract from
“English Mechanic,” July 9, 1869.
(Extract from Leading Article in “Engineer” of July 9, 1869.)
In a civilised state, we say, everything is property that is the fruit of
a man’s own intellect, and if the law does not make it property, then the
law, not the principle, is to blame. Advocates for the abolition of
Patent-Laws consider the following as one of their most powerful arguments:
They say that if inventors would restrict themselves to the
initiation of inventions great and good, there might be some plea for
the concession of reward through monopoly or otherwise; but the fact
is otherwise. It suffices to take the most cursory glance at Patent
records, they say, to be made aware that processes great and good
constitute but a very small minority of those on behalf of which Patent
fees are paid and the rights of monopoly claimed.
We readily grant the second clause of the statement. The number
of great and good inventions, by comparison with the obviously trivial
claims, is very small indeed; but we altogether fail to perceive what
legitimate source of grievance this can be to the public. On the contrary,
it seems to us demonstrable that under a competent system of
Patent-Law organisation the fees accruing from these claims of trivial
intrinsic import might be utilised and made to fructify. The surplus
thus accruing might be used in diminution of existing Patent fees, in
establishing a museum of inventions creditable to the nation and the
epoch, and in other ways conducive to the development of invention in
general.... Our own experience points to many cases like this; wherefore
we are assured a proposition of some not wholly averse to Patents,
whereby they would establish courts of preliminary investigation to
determine whether any given process should be deemed worthy of
patenting or not, would be altogether futile.
According to our way of viewing the case, the registration of inventive
novelties should be encouraged on other grounds than that
already specified. We hold the record of failures to be of, at least,
equal importance to the record of successes. Anybody who has given
much time to promote invention will, we are sure, coincide in our
opinion, that the knowledge of what others have been unable to
accomplish in some particular line of invention is one of the most likely
conditions of his own success. This collateral value of failures does
not seem to have been heeded by those who are most prominent
amongst the advocates of Patent abolition. From matters of undisputed
non-success, we pass now to the consideration of others
confessedly of some value, but the importance of which is trivial. In
respect to such it is argued by Mr. Macfie that they much embarrass
the manufacturer by needlessly stopping the way until terms can be
come to with the inventor. The plausibility of this reasoning we fail
to see. Does not the assumed worthlessness of an invention of the
series contemplated bar the need of coming to terms with the inventor
at all? What manufacturer in his senses would treat for the use of an
invention that he knows to be worthless—such foreknowledge being a
postulate on which the argument is raised, and on which the
objection turns? The national value of a readily-accessible and
classified record of invention must be obvious to all. Those
who would desire to uphold the Patent-Laws, and those who
would wish to abolish them, must alike coincide in this point. We
insist upon this part of the subject all the more strenuously from the
conviction that the upholding the abrogation or modification of the
Patent-Laws will turn, after all, on considerations of public expediency,
not on considerations of right and wrong to individual inventors. This
being so, the collateral value of Patent-Laws, in establishing a record
of inventive progress, cannot be too prominently kept in view.
Sir,—On page 279, in speaking of steel rails, you say: “Could a
better result than that achieved by Mr. Bessemer, and by those who
hold licences under him, have been arrived at under the ‘No-Patent’
system?” Decidedly not, for it has landed them in wealth; but I will
suppose a by no means improbable case. Suppose Belgian manufacturers
had secured Patent-rights in England, and demanded a royalty
preventing English manufacturers from selling their steel rails, as you
state, under 12l. per ton, when without such royalty they could be sold
at 9l. per ton. Now, the case would stand thus: the Belgian manufacturers
could be supplying the world with steel rails at 9l. per ton,
while the English manufacturers were prevented by their own laws for
fourteen years from manufacturing them under 12l. per ton, although
all the materials were lying at their doors, and both masters and men
wanting the work. If England wishes to maintain her position in the
trading and manufacturing world, monopolies and prejudice must be
things of the past....
You will say the inventor has a right to the invention. Granted;
there were no laws to prevent him from finding it out, and getting all
the advantage he could out of it, and there ought not then to have
been a law made to prevent any one else finding out the process or
improving upon it. I cannot see the right of giving anyone the power
to block the public highway of thought and enterprise. Necessity is
the mother of all useful inventions, and if steel rails were required,
English manufacturers would have soon found out how to make them,
without a Patent Law to help them.
R. R. S.
—From the English Mechanic.
REPORT OF THE CHAMBER OF COMMERCE OF COLOGNE ON THE PATENT QUESTION.
For the following translation I am indebted to the
Hon. J. C. Heustler, of the Legislative Council of
Queensland:—
The resolution to abolish Patents on inventions, arrived at by the
Chamber of Commerce of Cologne, at their sitting of the 15th Sept.,
1863, has been confirmed in a report to the Ministry of Commerce, as
follows:—
The Patent is a monopoly, and if it has been said in its favour that
it is justifiable and only temporary, it is, notwithstanding, subject to
all the disadvantages in its consequences which are common to all
monopolies.
Endeavours to compete in the sphere of inventions are suddenly
checked by Patents, while, on the other hand, many a patentee, instead
of continuing to work with zeal, and to advance in the direction commenced,
simply occupies himself to watch with jealousy possible
infringements of others on his monopoly during the currency of his
Patent.
Consumers pay exorbitant prices during a number of years for the
manufacture so patented, or receive the same in a less perfect condition
than would be the case if competition had exercised its wholesome
influence on the manufacture of the article in question. It may be
rejoined, that nobody is forced to buy the patented article, or to make
use of the patented invention; also that the common weal would profit
more by the utilisation of an invention, even if burthened for a period
of from five to fifteen years, than not have it in use at all.
To this it could be replied, with good reason, that with the constant
activity which working minds develop upon all fields of industry, the
invention of it would have been made shortly after by B, and by him
possibly would have been brought to light in still greater perfection.
If the invention of A, however, is patented, the inventive perfectioning
of the object by B must rest until the expiration of A’s Patent.
The more an invention is to the purpose for general adaptability, the
more reasonable appears the supposition that others would have arrived
at the same invention.
In spite of the contrary intention, Patents proved themselves an
impediment to the progress of human ingenuity, and by each newly-granted
Patent an unrelenting “halt” is shouted to the competition in
that direction.
On closer reflection, even persons who move in circles which, from
personal interest, have hitherto used their influence to give the greatest
possible stability to Patent-rights, will come to the conviction that the
disadvantages outweigh by far the advantages.
The Patent system, viewed from a standpoint of political economy,
produces a similar influence as the Lottery. The “grand prize”
dazzles all; however, only one can have it, and the multitude of those
who contributed to the solving of the problem lose very often a not
inconsiderable stake in uselessly-incurred costs, and lost time and
trouble.
Many have been induced by the system to rush after doubtful reward
in the shape of a Patent, instead of steadily applying their ability and
knowledge to regular industry.
Besides, it is not sufficient to make up one’s mind to make an invention
capable of being patented; such proceedings lead to a success
in the most rare cases. The most important discoveries have proceeded,
on the contrary, from those who thoughtfully prosecute their
regular avocations. The fear that with abolition of Patents the ingenuity
of mankind would slacken, we cannot share, because the germ of
progress is embodied in human nature, and because the joy over an
invention made, and the satisfaction felt at a new discovery, in themselves
are powerful impulses for the employment of energies in such
directions. A strong proof of the correctness of this assertion the men
of science furnish, whom we have to thank for the most important discoveries,
in so far as the application of physical and chemical laws to
industry are concerned—which have been always handed over immediately
to the public with the utmost liberality. Others have based their
inventions on such laws, and managed to acquire for this one or that
other a Patent, and thus, to their own advantage and to the cost of the
public, made an invasion of territory hardly legitimately theirs. They
reaped where others had sowed.
Let us take, for instance, all the lighting apparatuses during the last
twenty-five years. The different lamp contrivances during this period
for which Patents have been granted by the industrial States of Europe
will number several hundreds. Now, if we sift the matter, we will find
that all these patented combinations are simply variations of a principle
which Berzelius established and applied to his spirit-lamp.
Similar is the experience with the invention of Bunsen, who reduced
the costs of the electric battery considerably, by applying a hard
sort of coke in place of the platinum in Grove’s Battery.
In a still higher degree has Morse acted meritoriously. It is true,
Morse, in consideration of the signal importance of his invention, has
received a public reward in the shape of money, and this mode of acknowledging
real merit in the province of inventions recommends
itself for adoption even in individual States.
After the abolition of Patents, apart from such acknowledgments as
aforesaid, very soon associations of the various interested parties who,
by each discovery, would be equally benefited, will be formed for the
purpose of rewarding new inventions made in accordance with indicated
problems, the solution of which may be felt to be most important to
them.
For State rewards only such inventions should be taken cognizance
of as, according to their nature, cannot be kept secret, and are not of
a kind that will ensure to the inventor an adequate reward by his own
use of them.
Principles, which hitherto have not been admissible for Patents, would
be likewise excluded from rewards. There could be also no premiums
for new modes of manufacture, such as simpler or cheaper manufacture
of materials already known, and in the same manner manufacture of
new articles directly going into consumption, because, in the first case,
the secret use of the invention would present an equivalent, while in
the latter cases the start which the inventor has with regard to manufacturing,
as well as disposal, before and over his competitors, in most cases
is more than sufficient reward for the merit of having given mankind new
means of satisfying human enjoyments and necessities. It was consequently
a timely Convention between the States of the Zollverein,
which already, under date of 21st September, 1842, acknowledged
the principle that the granting of a Patent henceforth could establish
no right to prohibit either the import or the sale, nor the use of
articles agreeing with those patented, as far as articles of consumption
are concerned, and that a right of that nature was only applicable to
machinery and tools for manufacturers and artisans.[10] Accordingly, the
granting of rewards would have to be restricted to inventors of useful
machinery and tools, who do not use them solely in their own interest
and keep their construction a secret, but, on the contrary, make them
accessible to everybody by multiplication.
With such regulations as to Patent-right in force in Germany, it will
be observed that here, as in other countries, the great disadvantage
arises from this, that by the patenting of an invention its utilisation
or trial is prohibited to home industry, while the foreigner is quite at
liberty to make use of it and to bring the articles in question to market
in the country where the Patent exists.
In this manner foreign industry is actually enjoying a preference, to
the detriment of the industry of that country in which the Patent is
granted; consequently even the patentee, through such foreign competition,
loses the intended reward partially. The example furnished by the
Patent on the manufacture of aniline colours in France illustrates the case.
On the whole, it is not to be denied that those advantages which the Patent
monopoly should guarantee are often not in harmony either with the value
or the importance of the patented invention; just as often these advantages
do not reach the author of the invention at all, but flow into the
pockets of such people as make it a business either to purchase Patent-rights,
and so work them for their own account, or in partnership with
the patentee, taking care to secure for themselves the lion’s share. It is
further proved by experience that insignificant and most simple inventions
have often brought extraordinary advantages to the patentee,
while the discoverers of important novelties (we instance only Reissel,
who introduced the screw as a motor in navigation), in spite of Patent-rights,
could not find gratitude nor reward for what they accomplished.
We arrive, consequently, at the conclusion, that the partly imaginary
advantages of Patents are outweighed by the disadvantages attached,
and that, as the industrial condition of Switzerland exemplifies, no
further use of such means is any longer required in helping to elevate
industry in all its branches to a very high standard, or to keep pace
with the development of other countries in that direction.
[10] I cannot but think the patenting of machinery a great disadvantage
to any community. Yet if importing were allowed in spite of the
Patent, the exaction of heavy royalties, and of royalties graduated
according to work performed (which is the greatest source of evil),
would be impossible, and the disadvantage be neutralised.—R. A. M.
EXTRACTS FROM M. VERMEIRE.
After most of this fasciculus is in type, I am
favoured with a copy of M. Vermeire’s “Le Libre
Travail,” Brussels, 1864, from which I subjoin three
extracts.
The first, a noble passage quoted by that gentleman
from M. Bastiat’s “Harmonies Economiques:”—
“C’est la concurrence qui fait tomber dans le domains commun
toutes les conquêtes dont le génie de chaque siècle accroît le trésor des
générations qui le suivent. Tant qu’elle n’est pas intervenue, tant que
celui qui a utilisé un agent naturel est maître de son secret, son agent
naturel est gratuit sans doute, mais il n’est pas encore commun; la
conquête est réalisée, mais elle l’est au profit d’un seul homme ou d’une
seule classe. Elle n’est pas encore un bienfait pour l’humanité entière.
Si les choses devaient rester ainsi avec toute invention, un principe
d’inégalité indéfinie s’introduirait dans le monde; mais il n’en est pas
ainsi, Dieu, qui a prodigué a toutes ses créatures la chaleur, la lumière,
la gravitation, l’air, l’eau, la terre, les merveilles de la vie végétale,
l’électricité et tant d’autres bienfaits innombrables, Dieu, qui a mis dans
l’individualité l’intérêt personnel qui, comme un aimant, attire toujours
tout à lui, Dieu, dis-je, a placé aussi au sein de l’ordre social un autre
ressort anquel il a confié le soin de conserver à ses bienfaits leur destination
primitive, la gratuité, la communauté. Ce ressort, c’est la concurrence.
“Ainsi l’intérêt personnel est cette indomptable force individualiste
qui nous fait chercher le progrès qui nous le fait découvrir, qui nous
y pousse l’aiguillon dans le flanc, mais qui nous porte aussi a le monopoliser.
La concurrence est cette force humanitaire non moins
indomptable qui arrache le progrès, à mesure qu’il le réalise,
des mains de l’individualité, pour en faire l’héritage commun de
la grande famille humaine. Ces deux forces qu’on peut critiquer,
quand on les considère isolément, constituent dans leur ensemble, par
le jeu de leurs combinaisons, l’harmonie sociale.
“Et, pour le dire en passant, il n’est pas surprenant que l’individualité,
représentée par l’intérêt de l’homme en tant que producteur,
s’insurge depuis le commencement du monde contre la concurrence,
qu’elle la réprouve, qu’elle cherche à la détruire, appelant à son aide
la force, la ruse, le privilége, le sophisme, la restriction, la protection
gouvernementale, le monopole.”
The second, portion of an interesting letter by M.
Paillottet, éditeur-commentateur of Bastiat’s works,
(written in May, 1863):—
“Cette connaissance, résultat de son travail, est pour toujours
à lui; nul ne peut la lui enlever ni ne doit l’empêcher de s’en servir.
“Seulement, comme la nature permet à d’autres hommes de se livrer
à la même recherche, qu’elle les y excite et souvent même leur en fait
une nécessité, le jour doit arriver où la notion que cet homme possédait
seul est aussi possédée par d’autres. Ce jour-là, je dis que le premier
inventeur n’a plus seul le droit de se servir d’une notion qu’il n’est plus
seul à posséder. Prétendez-vous que je le dépouille du résultat de son
travail? J’ai à vous répondre: Si je dépouille le premier, vous, vous
dépouillez le second, le troisième, le centième inventeur peut-être; si
je dépouille le Chinois, vous, vous dépouillez Guttemberg!
“Un mot maintenant sur le droit à la réciprocité de services.
“Je crois fermement, avec Bastiat, que ‘la véritable et équitable loi
des hommes, c’est: Echange librement débattu de service contre
service.’
“Si un inventeur me rend service, je lui dois un service équivalent;
Dieu me garde d’en disconvenir. Mas de même que je n’exige pas de
l’inventeur ses services et ne l’oblige pas à en recevoir de moi, j’entends
qu’il n’exige pas les miens et ne m’impose pas les siens. Entre lui et
moi, l’échange doit être précédé d’un libre débat amenant le consentement
des deux parties. M. Le Hardy de Beaulieu oublie ou supprime
la nécessité du libre débat.”
The third, a narrative by my able and ardent Belgian
fellow-labourer in this great cause, the Abolition
of Patents, M. Vermeire himself, to whose work I refer
readers. He will allow me to say I impute it to no
deficiency in courtesy on his part that it escaped earlier
and due notice. He there gives the Chambers of Commerce
of this kingdom credit for opinions which they
have not generally embraced up to this hour:—
“M. Eugène Flachat attaque la loi des brevets comme une lépre industrielle.
M. Arthur Legrand ne critique pas moins vivement cette
législation surannée ainsi que M. Michel Chevalier, que l’on peut considérer,
à juste titre, comme le chef des économistes français.
“Quand l’opinion de ces hommes érudits me fut connue je n’hésitai
plus et je publiai l’exposé de ma doctrine du Libre travail dans l’Economiste
Belge du 28 Mars, 1863.—Plus tard M. Macfie, president de
la Chambre de Commerce de Liverpool, fit connaître ses idées sur la
matière et le congrès des économistes allemands réuni à Dresde en
Septembre, 1863, émit la résolution suivante qui fut adoptée à une forte
majorité:
“‘Considérant que les brevets d’invention n’encouragent pas les progrès
des inventions et mettent plutôt obstacle à la réalisation de celles-ci.
“‘Considérant, que les brevets d’invention entravent plutôt qu’ils ne
favorisent la prompte exploitation des inventions utiles et qu’ils ne sont
pas un mode convenable de récompense.
“‘Le congrès a résolu que les brevets d’invention sont nuisibles au
développement de la prospérité publique.’
“Cet avis des hommes de la science a été écouté en Allemagne par
les hommes de la pratique; car sur les 47 Chambres de Commerce que
renferme la Prusse, 31 viennent de se prononcer pour l’abolition des
brevets d’invention d’après ce que je viens de lire dans les journaux, au
moment même où j’écris ces lignes.—
“Le libre travail qui fut suivi, de mon Examen critique de la garantie
légale des modèles et dessins de fabrique provoqua une ardente discussion,”
&c.
MOVEMENTS IN GERMANY, BELGIUM, AND HOLLAND. — EXTRACT OF LETTER, BRUSSELS, JUNE 11, 1869. — GERMANY. — EXTRACT FROM LETTER OF AN EMINENT HOUSE IN COLOGNE. — EXTRACT FROM “DIE PATENTS GESETZGEBUNG ALLER LANDER,” BY DR. R. KLOSTERMANN (BERLIN, 1869). — HOLLAND.
A Belgian projet de loi in favour of copyright of
models and designs in manufacture, having been defeated,
in consequence, as is alleged, of M. Vermeire’s
efforts through the press and otherwise, we
are told—
“This fact demonstrates once more that in Belgium, as everywhere
else, opinions in favour of intellectual property within the domain of
industry are declining, and that so far from legislation tending in the
direction of giving such property increased proportions, it will soon
be proposed to demolish entirely the superannuated legislation which
interposes so many and so serious obstacles to the progress of industrial
operations.
“The tactics of the partisans of such property consist in identifying
or assimilating it with material property. This similarity
permits the conclusions and deductions to be drawn which form the
basis of Patent legislation.
“The pretended identity or similarity has been completely overthrown
by M. Vermeire in his ‘Le Libre Travail.’ His ‘Examen
Critique de la Garantie Légale des Modèles et Dessins de Fabrique’
deals a fresh blow against the confounding of property in a thing
and property in an idea.”
There is in Belgium, as in England and all other countries, a feeling
antagonistic to Patent-rights. It is even shared in by many
eminent political economists. I think, however, I may venture to
assert that in this country the Government, far from participating in
this feeling, would rather be inclined, in the event of a revision of
the Patent-Laws, to secure in a more effectual way the rights of inventors.
Although we think it rather difficult to form a general opinion on
this matter, we still believe that most Industrials would welcome
abolition of Patents for Inventions. The Cologne Chamber of Commerce
expressed, in September, 1863, its opinion in the same sense.
German legislation regarding Patents will probably be reformed. A
proposition made in this direction by Count Bismarck to the Bundesrath,
contained in the “Annalen des Norddeutschen Bundes,” by Dr.
George Hirth, 1ster Heft Jahrgang, 1869, page 34, 42, II., would
interest you much, as it coincides, we believe, with your motion.
The latest publications in German literature on the subject are
Klostermann “Die Patents Gesetzgebung aller Lander,” Berlin,
1869; Barthel “Die Patent-frage,” Leipzig, 1869.
A short time since, in the course of the present decade, the public
has spoken out, following numerous and important persons who wished
the entire abolition of Patents for inventions, because they allege that
the existence of such is incompatible with the free-trade movements.
They said that such impede industry instead of advancing it; that the
claim of the first inventor to a monopoly is untenable; that discovery
is not the work of one man, but the ripe fruit of industrial
development.
From the difficulty and complexity of the subject, men would do
away with Patent-Laws; but the real cause of the agitation against
them lies in the enormous development which our international commerce
has undergone in the last ten years through free-trade, steam-boats,
and railways.
As the complete abolition of the “customs-limits,” with the German
Zollverein [customs-union], was not made without a direct transformation
of the Patent-Laws and a positive limitation of Patent protection,
so is—through the concluding of the treaties of commerce made during
the last ten years between the Zollverein and France, Great Britain,
Belgium, and Italy—a total reform in the Patent-Law rendered
necessary.
All countries, with the single exception of Switzerland, recognise by
their existing laws the necessity of Patent protection; and this case of
Switzerland is particularly brought forward by those opposed to the
Patent movement. The Commission which was appointed of Swiss
experts (and which said that Patent protection is unnecessary and
tends to nothing good) was impartial enough to avow that the particular
advantages which Switzerland draws from existing circumstances
arise from the fact that in all the adjoining countries the protection of
Patents does exist, but in Switzerland alone not so. Swiss industry,
which is exceedingly small, is placed in the position of imitating all
foreign Patents which find a market in Switzerland, and getting the
benefit of the discoveries made under the protection of foreign Patents.
Switzerland is just in the position of a man who keeps no cats because
he can use his neighbours’.
I have before me a series of valuable illustrative documents
printed by the Government of the Netherlands,
which are too long to introduce here. The movement for
abolishing Patents in that country, already referred to
on pages 196-230, was consummated by a striking
majority, in the First Chamber, of no less than 29 to 1;
the abolition to take effect from 1st January next,
existing rights, of course, to be respected.
ON PERPETUITY OF PATENT-RIGHT.
The following observations, abridged from a review,
by M. Aug. Boudron, of M. le Hardy de Beaulieu’s
La Propriété et sa Rente, are from the Journal des
Economistes for May:—
The author assimilates the inventor’s privileges to proprietorship
of a field. Nevertheless there is a fundamental difference between
the two kinds of property. Independently of State privileges, the
originator of a discovery may use it as his own, and even to the
exclusion of all others, provided he keep it secret, so that he shall
have no competitor to encounter; whereas the owner of a field, if
he is deprived of his right, loses all. The advantages of an invention
may be enjoyed simultaneously by many persons; the produce of a
field by one only. Now for a difference of importance affecting the
interests of the public. Give the possessor of a field his right in
perpetuity, and you have circumstances the most favourable for its
yielding all the produce which it can. Not so with the privilege of
an inventor, for it essentially consists in hindering others from bringing
the methods or materials that are patented into use. From the
time of invention and first exploitation the privilege is an obstacle;
it limits the amount of good that society would in its absence enjoy.
What, then, is the motive of certain States in conceding this exclusive
privilege?... The legislators who have created the right
thought that there would in consequence be a larger number of useful
inventions and improvements, and that, on the whole, society would
be a greater gainer than if there were no Patents.... As there are
innumerable instruments and processes for which Patents have been
and might still be taken, there must, if perpetuity of privilege be
granted, be a prodigious number of monopolies, and almost no operation
could be performed, nothing done, without people being obliged
to pay tribute to some privileged person. There would be a countless
host of administrators like receivers of tolls and pontages,
diminishing wealth in place of creating it; the world would soon
produce too little to sustain the monopolists and their employés. We
thus arrive at an impossibility. But conceive all this possible, and
the world must yet miss a great number of inventions and improvements,
that would under the system of perpetuity be prevented. This
is seen by the obstacles which even privileges of limited duration
throw in the way of new inventions. In actual practice progress is
often attained only by the use of previous inventions. But what if
these are the subject of Patents the holder of which will not come to
terms or cannot be treated with? Retardation, if the privilege is
temporary; a full stop, if perpetual.
NOTES ILLUSTRATIVE OF MR. MACFIE’S SPEECH. — THE AMERICAN PATENT-LAW. — HINDMARCH ON “VENDING OR SELLING.” — SUGGESTIVE EXTRACTS FROM DR. PERCY’S WORKS ON METALLURGY. — The Copper Trade. — The Hot Blast. — WORKING MEN AS INVENTORS. — THE INVENTORS’ INSTITUTE. — JUSTIFICATION OF STATE REWARDS. — THE PATENT-OFFICE ESTABLISHMENT.
The views taken in the text as to the meaning of
the word “manufacture” receive confirmation from the
following extract from the Engineer of June 4, 1869:—
... Accordingly, in the first general Patent-Law
passed by Congress, the subject for which Patents were to be
granted were described as the invention or discovery of “any
useful art, manufacture, engine, machine, or device, or any improvement
therein not before known or used.” In the next statute—that of
21st February, 1793—the phraseology was first introduced which has
been ever since employed—namely, “any new and useful art, machine,
manufacture, or composition of matter, or any new and useful improvement
in any art, machine, manufacture, or composition of
matter, not known or used before the application for a Patent.”... We
have, then, the following four heads of subjects suitable for
Patents—viz., an art, a machine, a manufacture, and a composition of
matter.... In England, to make a new process the subject of
a Patent, the word “manufacture” would be used, and would have to
be interpreted somewhat liberally. Thus, in some cases, there might
not be a perfect distinction between the thing itself and the art or
process of making the thing.... With regard to the head
“manufacture,” we cannot do better than give the definition which
Mr. Curtis has added as a note to his work. He says a manufacture
“would be any new combination of old materials, constituting a new
result or production in the form of a vendible article, not being
machinery.”...
As well as from the following extract from—
“The sole privilege of making the invention as expressed ... is
in truth the same in substance as the sole privilege of using and exercising
it.... By the first section of the Statute of Monopolies,
patents granting ‘the sole buying, selling, making, working, or
using of anything’ are declared to be void, and the proviso in favour
of inventions contained in the sixth section only extends to ‘grants
of privilege of the sole working or making of any manner of new
manufactures,’ leaving the sole buying or selling of anything within
the prohibition.... The sole privilege granted by a Patent for an
invention authorises the inventor ‘to make, use, exercise, and vend’
the invention.... And as no one can use the invention except
the patentee, no one besides him can lawfully have such articles for
sale.... Every part of the privilege granted by a Patent for an
invention, when thus explained (!) is therefore clearly within the
meaning of the exception contained in the Statute....”
I demur. Is there anything in the Statute to prevent a person
importing articles and vending them though the same as the privileged
person is alone allowed to make or work? In point of fact that
surely might, when the statute was passed, be done from Scotland
and Ireland as to manufactures not patented in these countries, but
patented in England.
The number of Patents granted in the first fifty
years after the Statute of Monopolies was seventy-two,
or at the rate of less than one and a-half per annum.
The following list of applications for Patents up to
the end of 1862, in several classes, is abridged from
Mr. Edwards’ interesting treatise on, or rather against,
“Letters Patent for Inventions:”—
It would be sheer waste of time even to notice many of the mis-called
improvements in copper—something for which Patents have
been granted in this country during the last twenty years. Some of
the patentees display such deplorable ignorance of the first principles of
chemistry, and such utter want of practical knowledge, as would seem
hardly possible with the present facilities of acquiring information.
Various Patents have been granted for alleged improvements in
the treating of copper ores, of certain products obtained in the
smelting of copper ores, &c., which are only worthy of notice as
affording, as I conceive, satisfactory illustrations of the defective state
of our existing Patent-Laws.... That a man who has worked
out an original and valuable process from his own brain, and who may
have incurred great expenses in bringing it to a practical issue—it
may be, after years of protracted toil and anxiety—should have secured
to him by law during a moderate term the exclusive privilege of
reaping the substantial reward of his own invention, appears to me as
just and reasonable as that an author should be protected against
piratical and unprincipled publishers. But that the law should confer
upon a man the exclusive right of appropriating to his own benefit
facts which are perfectly familiar to every tyro in chemistry, and of
practising operations which are of daily occurrence in the laboratories
of chemists, is as impolitic as it is unjust. And surely, the particular
“inventions” above referred to belong to this category. I cordially
subscribe to the opinion expressed by Mr. Grove, Q.C.—namely, that
the real object of Patent-Law was to reward not trivial inventions,
which stop the way to greater improvements, but substantial boons to
the public; not changes such as any experimentalist makes a score a
day in his laboratory, but substantial, practical discoveries, developed
into an available form.
It cannot strictly be termed a great invention, for what great exercise
of the inventive faculty could it possibly have required for its
development? There was no elaborate working out of a process or
machine, as has been the case in many inventions, but the thing was
done at once. Without wishing in the smallest degree to detract from
the merit to which Mr. Neilson is justly entitled, I may nevertheless
express my opinion that the hot-blast was a lucky hit rather than an
invention, properly so-called. Whatever opinion may be entertained as
to the expediency of Patents, there can be no doubt that such a Patent
as this ought never to have been granted. A Patent, even though it may
be proved invalid, confers upon its possessor a locus standi in the eye of
the law, and enables him thereby to involve innocent persons in most
expensive litigation, to say nothing of the attendant annoyance and
anxiety. The preliminary examination before the Attorney or Solicitor-General
is in many cases an absolute farce, and nothing less. The
present system, although confessedly an improvement on the old one, is
yet in many cases highly obstructive and injurious to national interests.
The following passage from the Engineer of May
28, proves clearly that the Bessemer Patents do raise
prices of iron:—
The present royalty on rails is 2l. per ton; on each ton a drawback
of 1l. is nominally allowed, but the nature of Mr. Bessemer’s
arrangements with regard to scrap, crop ends, waste, &c., is such that
the true royalty on every ton of Bessemer rails delivered to a railway
company—in other words, sold—amounts to about 1l. 5s. 6d. After
the lapse of Mr. Bessemer’s Patents in February, 1870, this sum, all
but 2s. 6d. per ton royalty on plant, will be saved; and, therefore, in
March next year, rails may be bought for at least 1l. 3s. per ton less
than they cost now.
Somewhat to my surprise, I am led to apprehend that
the interest of working men will be represented as
coinciding with retention of invention monopoly. I
hope they are too wide awake to believe such a fallacy,
and too upright to approve of the continuance of a
proved national disadvantage, even though it were not a
fallacy. If Patents are injurious to the community by
raising prices of articles of consumption and utility, then
the operative and labouring classes, inasmuch as they
constitute the bulk of the population, must be the chief
sufferers. If Patents interfere with labour in any
direction, and tend to drive trade away from our island,
they, as the mainstays of industry, must be the chief
sufferers. The only pretence for such an allegation as I
am combating is this: some inventions in all trades,
many inventions in some trades, are made by artisans,
who therefore will lose this form of reward. True
enough; but is the reward to these few individuals a
compensation for the evils inflicted on the many—the
millions? and is not the reward often so like the gift of
a white elephant, or the catching of a Tartar—so much
of a delusion, a difficulty, a disadvantage, a snare, a ruin—that
their wisest counsellors would warn against its
fascination, especially if through their own favour for
my propositions there is the choice of fair and satisfactory
alternative recompenses? The position of working
men in respect to Patents is frequently dealt with in
this compilation; their attention and co-operation I
respectfully invite.
An Inventors’ Institute has been formed for the purpose
of maintaining the Patent System, and amending it
in such a way as, I fear and am sure, will only make
its yoke more galling and its burden heavier. The
public will do well to remember that, in spite of the
name, this is rather a society of patentees, including in
its membership a portion only of those inventors who
take Patents, and not including the innumerable
inventors who do not take Patents, and who suffer by
the system which the Institute is intended to perpetuate,
extend, and knit more tightly on us all and in
the first place on them. The honoured names who
direct that society will do well to consider who are
inventors and what are inventions. If they would but
reflect that we are almost to a man inventors in the
sense in which the great mass of patentees are such, and
that the majority of inventions which choke the Patent-office
are such as themselves, at any rate, would disdain
to claim and scorn to annoy their fellows by patenting,
they would probably arrive at the conviction—which is
half-way on the road to complete emancipation of trade
from the fetters they hug—that the system is so practically
bad that rectification is hopeless, and would join
in endeavours, not to amend what is, even theoretically,
defective and bad, but to devise and introduce a thoroughly
good substitute. I hope the present publication
will not be in vain, when it endeavours to remove well-meaning
prepossessions by force of truth.
It is just and expedient that the public exchequer
should pay inventors, because—1. The State is entitled,
or required, to undertake all beneficent and useful works
which, while they ought to be done for or by the nation,
yet cannot be so well, or at all, done by individuals. 2.
Though individuals, more than the nation collectively, will
reap the benefit of these payments, it is manifest that the
range of inventive improvement is so wide that on the
average of years every portion of the community, and
every individual in all portions, will share the benefit
pretty equally. 3. The demand for remunerating inventors
proceeds from the State, not manufacturers or
producers. 4. These last cannot, under the régime of
free trade, pass over from their own shoulders upon those
of consumers—who are the real, because ultimate, recipients
of the benefit—the burden of royalties, or other payments
to inventors. 5. The charge of £200,000 per annum is,
after all, on a population of thirty-two millions but a
poll-tax of three halfpence per head. On how easy
terms would we obtain for the nation a universal,
prompt enjoyment of every novelty, and complete
emancipation of our commerce and manufactures from
an incubus and thraldom which are every day becoming
more depressing!
The Patent-office in Southampton-buildings, Chancery-lane,
is an establishment highly creditable to its
organisers, but far too little known. Its free consulting
library should be more frequented. The publications
there sold at a cheap rate, and presented gratuitously
to public institutions which undertake to keep them
for reference under fitting regulations, are invaluable.
The indexes, manuscript and printed, there kept, are
elaborate, and include lists of scientific and practical
matter affecting commerce and the arts, culled from
periodicals issued in all countries. No change in our
manner of dealing with inventions can deprive us of,
or supersede the use of, such an accessible storehouse
of useful knowledge. The wonder is, that its advantages
are not more extensively availed of, and that so
few even of our great towns have applied for sets of
its specifications and indexes. There is, in spite of the
establishment’s excellence, room for improvement in
several respects, one of which is in the providing better
means for connecting itself with the mass of the people
in the provinces.
“The New Canadian Patent-Law.—The Patent Bill which has
been for some time before the Parliament of the Dominion, has passed.
The hope, to which we alluded a few weeks ago, that the Bill might be
modified to enable Americans to obtain Patents in Canada, has not
been fulfilled; and the only effect of the Bill, so far as we are interested,
is to shut out American inventors from a larger amount of territory
than before.”—Extract from “American Artisan,” June 20, 1869.
NOTES AND EXTRACTS ON ROYALTY IN COPYRIGHT, WITH ESPECIAL REFERENCE TO INTERNATIONAL NEGOTIATIONS AFFECTING NORTH AMERICA.
INTERNATIONAL COPYRIGHT.
The present opportunity is availed of to recommend
to notice the royalty form of International Copyright
as one which might probably be acceptable to the
people of the United States. I apprehend there is
little or no prospect of their agreeing to negotiate
on the basis of the monopoly form of Copyright
which is now established in both countries. This
has often, but never successfully, been urged on the
United States. The advantages to British authors
and publishers of so large an extension of area are
obvious. There are now in that country near forty
millions of people much more able to read and to buy
than our thirty millions. It is in the interests of
British authors, publishers, and traders, most desirable
to get so large an addition to the number of the
readers and buyers of English literature. Every year
the benefit will be greater, but perhaps less easily
attainable. The conscience and generous impulses of
the great American nation will naturally incline them
to negotiate on a principle which (as I hope they will
consider that of royalties does) at once fairly meets the
reasonable claims of authors and the equally reasonable
claims, or rights, of the public. Authors and the
trade would soon become familiar with, and reconciled
to, the change in the form of their remuneration.
They cannot but admit and feel that it is the duty of
statesmen, when constituting Copyright, to take care
that its effect is on the whole beneficial—as beneficial as
is consistent with fair treatment of authors—to the whole
body of the people for whose sake they govern. If
I am warranted in anticipating that, whereas now under
monopoly a new book of intrinsic value is seldom or
almost never possessed by, or even seen in the houses
of, the labouring population, there would under
royalties be a tendency to cheapness which might be
confidently relied on as the means of bringing such
works within reach of the masses—not when they are
stale, but when they are fresh—can I doubt that
the concurrence both of authors and legislators
is a matter of hope approaching to certainty?
When staleness is suggested as a deterrent from, and
freshness as a pleasant stimulus to, the reading of
books, this is no more than the practical recognition of
a taste universal among men and women, whether it
concerns food material or food intellectual. Let us
work it for the good of our race. But it is a quality
and power unattainable except either by royalties or
else by the Chinese system of open literature. That
the present system works unsatisfactorily, even in a
mere trade point of view, I am convinced, and for
confirmation refer to figures I append from a Return
on the Book Trade lately laid before the House of
Commons. The sale of books at home and the export
of books to the colonies and foreign parts, admit of
vast expansion. We should legislate so as to accomplish,
in regard to books, at the least such an expansion
as has been attained in regard to newspapers.
While the present form of Copyright remains in force,
it would be vain to expect that the existing hindrances
will be overcome. Publishers, therefore, may well
co-operate. But I appeal with equal directness to
philanthropists, especially all those who have the power
of representing to their fellows what a folly and mistake
it is to write books with a view to the moral, social,
and religious welfare of men, and yet to rest satisfied
with a system of law and trade that find the recompenses
of authorship and of publishing ventures in a
limited sale of dear books instead of an extensive sale
of cheap ones—of a few good books at a large profit
instead of many good books at a small! I could
adduce from my own transactions conclusive proofs of
the bad working and obstructive operation of monopoly
in Copyright. Ireland, in particular, may well exclaim
against it; for before the Union the publishers of
Dublin used to drive a useful business in reprinting
British works which they have, under the present
system, been deprived of, to their own loss and the
incalculable disadvantage of their countrymen.
The Chinese, it is said, do not recognise Copyright.
What the effect is on their literature I know not. But
their post-office and custom-house officers should, at any
rate, rejoice that, unlike the establishments in enlightened
Britain, they are not employed in the interests of
private individuals as detectives of contraband literature.
I submit with some confidence a scheme I have
sketched. It is one which I hope will at least prepare
the way for this important national and international
question receiving the earnest attention it merits.
SUGGESTIONS FOR THE AMENDMENT OF THE SYSTEM OF COPYRIGHT FOR BOOKS, BY MR. MACFIE. — I. — II. CHAPTER FROM M. RENOUARD’S “TRAITÉ DES DROITS D’AUTEURS.”
(From the Leith Herald of — Jan.)
1. The period of exclusive privileges to continue as at present,
unless any publisher demand that it shall be shortened, which he may
do any time after the end of the first year, provided he intimates
to the author or assignee of the author, or their agent, at the
Stationers’ Hall, or other place duly appointed, that he intends to
publish an edition at a lower price within a year, and also lodges there
a specimen copy and a statement of the intended price.
2. On such new edition the intended publisher shall be liable to
pay in advance [five] per cent. on the retail price of the book.
3. And there shall be impressed on the first sheet of each copy a
distinctive stamp approved by the Stationers’ Hall, without which it
shall be a penal offence to print or vend any copy.
4. Every publisher making such an intimation shall be bound to
actually publish, according to his notice, unless the author or his
assignee, within six months of his receiving intimation, shall lodge at
the Stationers’ Hall a bond obliging himself to publish on his own
account, an edition at least as good in quality, at a price no higher;
such bond to bar any action under the provisions of Article 1.
5. No reprint to differ from the original edition, without the
author’s consent, either in the way of abbreviation, enlargement, or
alteration of the text.
6. If a book is out of print for a whole year, the copyright privilege
to lapse.
7. By special arrangements a longer period of exclusive privilege
shall be allowed for Encyclopædias, works de luxe, &c. [Engravings,
photographic illustrations, &c., not to be subject to the condition now
proposed in this paper.]
8. Government to endeavour to negotiate international copyright
treaties on the principle exhibited in the foregoing, with the United
States and other foreign countries, in order to, first—the increase of
the area of remuneration to authors; and, second, the removal of all
unnecessary obstruction to the exchange of literary productions.
9. On the completion of the above treaty or treaties, all examination
and stopping of books by the Custom-house and Post-office to
cease.
10. Government to endeavour to persuade foreign Governments to
exempt printed matter from duty, or else to charge duty at a moderate
rate by weight, and not ad valorem.
The British colonies to enter into the Copyright “Verein” which
would be so constituted, but without any import or export duty,
except in so far as proximity to the United States may render modification
in Canada desirable.
In the event of such international arrangements being negotiated,
the author or assignee of any copyright work to have an agent in the
capital of each of the united countries, who shall be empowered to
receive and give the notices, intimations, and bonds provided for in
Articles 1 and 4.
I am satisfied that the system of royalties could be
carried out in practice without difficulty. Each author
would have a special stamp—call it, if you will, trademark—the
use of which, required as a condition
of circulation, he would authorise under such superintendence
as he may think fit. No copy should be
legally saleable without the stamp, just as in France
no pamphlet can be sold without the Government
stamp.
Strong confirmation of the applicability of the
royalty principle to literature reaches me after the preceding
is in type, which I subjoin; No. I. being
extracts from articles published in 1837 and 1839,
by Thomas Watts, Esq., Keeper of the Printed Books
of the British Museum; and No. II., a chapter from
“Traité des Droits d’Auteurs,” by M. Renouard, Paris,
1838.
(Extract from the Mechanics’ Magazine, Vol. 27, 1837.)
This is the last of the new provisions mentioned in the preface, and
the only one in the whole bill that seems intended for the benefit of the
public. We were in hopes of finding at least one other, to provide
for some method of “taxing” the price of new works, as used formerly
to be done in foreign countries when a Copyright was granted. A
limit is proposed to be fixed to the profits of railway companies; why
are authors and publishers to be allowed to demand what sums they
please? When they find they have a giant’s strength, they are too apt
to use it like a giant. There is such a thing, not only in theory, but
in practice, as laying too heavy a tax on an author’s admirers. In the
height of Walter Scott’s popularity there was no other way of obtaining
an early copy of a new poem than by purchasing it in the inconvenient
form of a ponderous quarto; it generally, a few months afterwards,
appeared in an octavo shape; but in one instance, Sir Walter, finding
it desirable to force the sale of an unsaleable periodical with which he
was connected, “The Edinburgh Annual Register,” inserted one of
his poems in one of the yearly volumes, and drove all such of his adversaries
as had not bought the quarto to buy a cartload of old news,
along with the vision of Don Roderick. Is all this justified by the
comprehensive maxim that a man may do what he likes with his own?
Since the Copyright of Sir Walter’s poems has drawn near the term of
extinction, his publishers have thought fit to issue them in editions not
only so cheap that they suit the pocket, but so small that they may be
put into it. His novels are Copyright still, and the consequence is, that
they are still not only dear, but ill got up. What a torrent of Elzevir
editions of “Waverley” there would be if it were now public property!
At present there is not one edition of it in one volume, the most usual
and convenient form for a standard novel—not one edition in Elzevir, the
most usual and convenient size. And this is to remain so for the next
sixty years!
Sergeant Talfourd might provide a remedy for these evils in the
literary tribunal which, though he makes no proposal for it in the
present Bill, he is anxious to see established, for the decision of literary
cases (and his arguments for which, by the bye, would answer equally
well in regard to every other profession). It would provide itself, if a
project were adopted for a Copyright-Law, of which we shall now
proceed to state the outlines, but without the forlornest hope of ever
seeing it tried.
Let an author be empowered to sell the Copyright of his work to
a particular publisher for the space of five years only—a term at the
end of which nine-tenths of the works now published are completely
forgotten. Let it then become public property, in the same way that
a play, on being published, becomes public property, since Mr. Bulwer’s
Act. As a manager now has the right to act any play he chooses, on
paying a certain sum to the author for each night of representation, so
let any printer have the right to print any work on paying a certain
sum to the author for each copy he issues. The main, perhaps the
only, objection to the plan would be the necessity of establishing some
Excise regulations, with regard to printing-offices, for the prevention of
fraud.
The great recommendation, of course, would be, that of every work
of reputation we should have cheap and elegant editions; that such of
them as required comment and illustration (and now, when the Copyrights
expire, it is speedily found that very few of them do not) would
receive it at an earlier period, and that the works of living authors
would be much more extensively diffused than they are, while their
interest would, it is hoped, be advanced in an equal proportion to
their fame.
After all, however, we are afraid that no Copyright Act, however
favourable to authors, will exercise a perceptible beneficial influence on
literature. Our own at present is frivolous, and it is assigned as a
cause that our authors are ill-protected. If this be really the cause, in
what sort of a state ought that of Germany to be? It is, however,
in the very country where piracy is most prevalent that solid literature
is most flourishing. Unhappily, no Act of Parliament can reform the
taste of the public.
(Extract from the Mechanics’ Magazine, Vol. 29, 1839.)
How and why is it that foreign editions take the place of our own?
Because, undoubtedly, of the difference in the price of the two,
caused by the monopoly which in one case remains in the hands of one
publisher. Is it not notorious, in fact, that even those of the middle
classes who have a love for literature never, with rare exceptions,
purchase a Copyright book, and that for the very good reason that
they cannot afford it? Their only way of getting a sight of a new
publication complete is by obtaining it from a circulating library; and
particular passages that they wish to have by them, for the purpose of
reference or re-perusal, they get possession of, if they get possession
at all, by purchasing them extracted in some of the cheap periodicals
which subsist on extracts. The effect of this state of things is now
manifesting itself in the condition of our literature, which is becoming
more and more the literature of circulating libraries—a heavy mass of
light reading. How, indeed, can it be expected that an author will
take pains when he knows that all his pains will be of no use; that his
history or his travels will only come into the hands of those who will
be compelled to rush through them at a certain rate, and return them
by a certain hour. “He who runs may read,” under the present system,
and none but those who do run.
This system has come up under the twenty-eight years’ monopoly.
Is it likely to be improved under a law which will secure a monopoly
for sixty years certain, and perhaps a hundred? We do not think it
is. The advocates of the Bill indeed triumphantly refer us to the
recent cheap editions of Copyright authors, as proofs of the—we
hardly know what; for what do they prove in their favour? The
greater part of the works alluded to—the poems of Southey, the
novels and poems of Walter Scott, are works of which the Copyright is
on the verge of expiring.
The following extract is also from the same volume:
The strangest misapprehensions seem indeed to prevail generally
as to this question; one of the strangest is, that the only parties
interested are the authors and the booksellers, and that if the Bill be
thrown out, the former will suffer, that the latter may be enriched
by the fruit of their labours. The third party, whose interests are not
the least among those concerned—the public—is generally quite lost
sight of. Thus it has been said, in reference to the often-quoted case
of Wordsworth, that the question is, whether the heirs of the poet
shall enjoy the profit of his works, or the heirs of Mr. Tegg (the bookseller
who is so active in opposition to the Bill). But it is no such
thing. Under the present law, at Mr. Wordsworth’s death, and the
consequent expiration of the Copyright in his works, they would
become the property, not of this or of that man’s heirs, but of “all
England,” of the public at large. If Mr. Tegg, or his heirs, reap any
profit, it will only be by the exercise of their callings, and Mr. Wordsworth’s
heirs will have just the same privilege. The notion that the
title of the cause now pending is only “Author v. Bookseller,” has
been worked upon to such an extent, that it would almost seem that
the advocates of the Bill see the importance of mystifying the public
on the subject, and preventing the names of the real defendants from
being seen.
La garantie d’un droit exclusif de copie sur la reproduction de l’ouvrage
est le meilleur mode de salaire de la société envers l’auteur.
Long-temps on a cru que les écrivains et les artistes devaient être
payés par des pensions et des faveurs. C’étaient en quelque façon
l’Etat et les princes qui acquittaient ainsi la dette du public, et en
même temps que l’on ne se faisait nul scrupule d’accepter ces faveurs, on
était facilement disposé à rougir du paiement à tirer du public par la
vente de son droit de copie sur ses propres ouvrages (1). Une partie
des idées a bien changé. Aucun préjugé défavorable ne s’attache à
flétrir la vente qu’un auteur fait de ses œuvres. Tout au contraire, une
réaction s’est opérée. L’industrie s’est mêlée à la littérature, et a trop
souvent pris sa place. Les pensions et les faveurs n’ont pas cessé;
mais elles ont été reléguées à un rang accessoire et secondaire. Les
littérateurs n’ont plus comme autrefois une existence à part, qu’ils
tiennent des princes et des grands, dont la libéralité leur faisait de
paisibles loisirs, et auxquels, en échange, ils donnaient des louanges et
quelquefois de la gloire. Les lettres mènent à la fortune, jettent dans les
affaires et les honneurs.
L’observateur moraliste aurait à dire sur cette revolution mêlée de
biens et de maux. Dans l’ordre actuel, comme dans la vie littéraire
ancienne, les passions grandes ou mesquines, les instincts généreux ou
cupides, le calcul et le désintéressement ont leur action et leur rôle.
Mais, somme toute, les idées sont mieux à leur place. Vivre du tribut
volontaire que le public s’impose ne rabaisse aucune position, ne
messied à aucun génie.
D’insurmontables difficultés s’élèvent contre tout mode de paiement,
qui procéderait par voie de pensions, de traitement fixe, ou même, sauf
quelques exceptions très rares, par prix d’achat, une fois payé, achat
qui prendrait la forme d’expropriation pour cause d’utilité publique, si
l’auteur n’était pas laissé maître de s’y refuser. Avec de telles formes
de salaire, la justice distributive serait impossible; et il n’est pas de
trésor qui pût suffire aux insatiables prétentions, aux faveurs capricieuses,
aux concussions faciles auxquelles on ouvrirait une large porte.
Qui donc si, par exemple, on adoptait le procédé d’expropriation pour
cause d’utilité publique, déclarerait cette utilité et apprécierait les
travaux? qui calmerait les rivalités? qui ferait justice de la médiocrité?
qui inventerait des récompenses dignes du génie, sans soulever
l’envie? qui irait au devant du mérite fier ou modeste? Attribueriez-vous
au gouvernement l’estimation des ouvrages à acheter dans l’intérêt
public? et ne voyez-vous pas à quels périlleux soupçons, à quelles
intrigues subalternes, à quelles corruptions habiles, à quels profits
honteux vous exposez l’administration, sans parler de toutes les erreurs
auxquelles elle ne saurait échapper? Ferez-vous évaluer les ouvrages
des écrivains par leurs pairs; et, si désintéressée, si modeste, si impartiale
que soit toute la littérature, oserez-vous ne vous en rapporter
qu’à elle seule dans sa propre cause? Trouverez-vous dans des
magistrats, dans des jurés, les habitudes d’esprit et la spécialité de
lumières indispensables pour une si hasardeuse décision? Pour moi, je
n’aperçois de toutes parts qu’inconvéniens, qu’impossibilité. Il n’est
qu’un seule juste appréciateur du salaire dû aux écrivains et aux
artistes: le public. Il n’est qu’une seule appréciation juste:
celle que le public, sans la formuler, mesure sur l’utilité et le
plaisir qu’il tire d’un ouvrage. Un seul mode de paiement me paraît
juste et possible: c’est celui qui attribue à l’auteur, sur chaque édition
ou sur chaque exemplaire de son ouvrage, un droit de copie.
Ce moyen est celui que l’expérience a fait reconnaître comme le plus
simple; c’est aussi le plus équitable; car, en général l’évaluation la plus
judicieusement approximative de l’utilité d’un livre consiste dans le
succès qu’il obtient.
Il résulte de l’adoption de ce moyen que le salaire de l’auteur se
trouve très subdivisé, et que le prix de chaque exemplaire s’augmente
de la part qu’il supporte dans la valeur générale assignée à l’objet de
la copie.
Sans doute, ce renchérissement est un inconvénient; car les livres à
bon marché sont des propagateurs d’idées plus rapides, plus puissans,
plus actifs que ceux dont le prix est élevé. Mais il n’y a pas de paiement
pour les auteurs, si l’on n’a, par une voie quelconque, recours au
public pour le fournir. Renchérir un livre, parce qu’il faut acquitter
le droit de copie, c’est établir une sorte d’impôt. Or, un impôt, quoique
offrant toujours en lui-même des inconvéniens pour le public, se légitime
par sa destination, lorsqu’il rend, en dépenses générales, en sécurité
individuelle, en garanties efficaces, plus que ce qu’il ôte à chaque contribuable.
C’est acheter trop cher l’abaissement du prix d’un livre que
de ne pas payer l’auteur, que de le sacrifier à ses travaux, que de le
décourager et de le jeter dans l’avilissement par la misère. Le livre
coûtera un peu plus, mais il verra le jour, mais on ne l’aura pas étouffé
avant sa naissance; mais surtout on n’aura pas été injuste envers celui
à qui on le doit. Dire que l’on aimerait mieux passer un pont,
un canal, sans rien payer, que d’en rembourser les frais par un
péage; que l’on aimerait à être gardé par une armée, sans payer les
soldats; jugé par les tribunaux, sans payer de juges; instruit ou récréé
par un auteur, sans payer son travail; par un libraire, sans payer les
frais de vente; par un imprimeur, sans payer les frais de fabrication;
par un laboureur, sans payer sa culture et son blé, ce serait la prétention
étrange de tout prendre dans la société sans y rien mettre, et d’exploiter
nos semblables, comme s’ils n’étaient pas égaux à nous; ce serait le
renversement de toute idée sociale.
Cet impôt au profit de l’auteur sur son ouvrage peut se percevoir de
deux manières. L’une consiste à interdire à tout autre qu’à l’auteur ou à
ses ayant-cause, la faculté de fabriquer l’ouvrage et de le vendre; l’autre
serait de laisser à chacun pleine liberté de fabriquer et de vendre
l’ouvrage, mais à la charge de payer une certaine rétribution à l’auteur.
Le premier système établit un privilège, le second une redevance.
Le second système peut de prime abord séduire. Beaucoup de
personnes qui ne renonceraient qu’avec peine à voir dans le droit de
copie un objet de propriété, auraient volontiers recours aux redevances,
pour conserver par une sorte de suzeraineté qui pourrait indéfiniment
s’étendre, quelque image d’une propriété indéfiniment transmissible.
Là se place à l’aise l’ordre d’idées qui, faisant deux parts de la partie
spirituelle et de la partie lucrative de chaque ouvrage, livre au public
la jouissance de la première, et ne retient parmi les biens vénaux et
exploitables que la seconde.
Ne nous occupons pas encore des objections qu’il y aurait à faire,
soit à la très longue durée, soit à la perpétuité d’une redevance. Ces
argumens s’appliqueraient également à la trop grande extension que
l’on essaierait de donner à, la durée des privilèges. Examinons les
inconvéniens inhérens au mode de redevance considéré en lui-même.
Ce qui le rend inadmissible, c’est l’impossibilité d’une fixation
régulière, et l’excessive difficulté de la perception.
Peut-être, à force de soins, surmonterait-on les obstacles à la perception;
mais, quant à la fixation de la redevance, le règlement en est
impossible.
Cette fixation ne peut dépendre ni de la volonté arbitraire de l’auteur,
ni de l’évaluation que jugerait à propos de faire toute personne qui
voudrait user du droit de copie. S’en rapporter à l’appréciation du
débiteur de la redevance est une absurdité manifeste; mais il serait
absurde, au même degré, de s’en remettre au prix que demanderait
l’auteur. Que serait ce, en effet, autre chose que de lui conférer le
privilège d’exploitation? Il vaudrait mieux mille fois lui attribuer
franchement le monopole sur son ouvrage que d’arriver au même
résultat par cette voie détournée.
Demandera-t-on à la loi de déterminer une redevance fixe? mais quoi
de plus injuste qu’une mesure fixe, rendue commune à des objets essentiellement
inégaux? Prendrait-on pour base le nombre des exemplaires,
l’étendue du volume, son prix de vente? mais il est des ouvrages dont
cent ou cinq cents, ou mille exemplaires suffiront à jamais à la consommation,
tandis que d’autres se débitent par dix et cent mille: mais
l’étendue du volume varie avec tous les caprices de la fabrication: mais
le prix est plus variable encore. Sans parler des hausses et des baisses
dont personne n’est maître, sans parler de l’extrême facilité des fictions
dans les prix, et de l’impossibilité de les constater, ne sait-on pas que
l’on fabrique des Télémaque à vingt sous, et d’autres, qui ne seront pas
trop chers, à cent ou deux cents francs? Avec le texte qui ne varie
point, il faut parler du papier, des caractères d’impression, des soins
typographiques, des ornemens accessoires de gravure ou autres, objets
tous variables à l’infini. Si votre redevance a pour base une valeur proportionelle,
chaque Télémaque de deux cents francs produira, pour le
seul droit de copie, plus que ne vaudra, dans l’autre édition, chaque exemplaire
tout fabriqué; et cependant ce sera toujours le même texte qui
n’aura pas plus de valeur intrinsèque dans un cas que dans l’autre.
Resterait un dernier mode de fixation; il consisterait, en cas de désaccord
entre le débiteur de la redevance et l’auteur, dans un règlement
par experts, variable suivant les circonstances. Mais qui ne voit tous les
frais, tous les délais, tous les procès auxquels chaque affaire donnerait
lieu, pour n’être, la plupart du temps, que très capricieusement décidée?
Le raisonnement juge cette question comme l’expérience l’a tranchée.
L’exclusion de tout autre système acceptable conduit, par la logique, à
l’adoption de privilèges destinés à garantir le monopole d’exploitation,
soit à l’auteur seulement, soit à l’auteur et à ses ayant-cause. Toutes les
législations actuellement en vigueur en adoptant ces privilèges ont voulu
qu’ils fussent temporaires. Les motifs pratiques de cette opinion ont
été indiqués par la haute intelligence de Napoléon dans une discussion
du conseil d’état (1).
Privilèges, monopoles; ces mots sonnent mal: les mots de propriété
littéraire recommandent bien mieux une opinion. Si je disais que cette
différence dans les mots n’a pas été sans influence sur le succès divers
des deux systèmes, les lecteurs sérieux trouveraient cette remarque bien
futile; elle est futile en effet; mais elle est vraie, et des personnes,
tenues pour graves, s’imaginent qu’elles argumentent parce qu’elles
s’écrient: Quoi! vous attaquez la propriété au nom du privilège et du
monopole! Je n’aurais point entendu ce propos que j’y aurais cru
d’avance. Que d’opinions se déterminent par des mots!
J’ai defini la propriété. Quant à la définition du privilège, tout le
monde la connaît: c’est une loi privée, privata lex. Ai-je besoin
d’ajouter, d’une part, qu’il existe des privilèges parfaitement légitimes;
et, d’autre part, que souscrire au dogme de la propriété littéraire,
c’est décider, d’un mot, que le monopole des productions de l’intelligence
sera concentré, à perpétuité, entre un petit nombre de privilégiés.
EXTRACTS ON INTERNATIONAL COPYRIGHT. — EXTRACT FROM THE COBDEN CLUB PRIZE ESSAY, BY DR. LEAVITT, OF NEW YORK. 1869. — (From The Bookseller , June 1, 1869.) — (Extract from the Atlantic Monthly , October, 1867.) — (Extract from the American Booksellers’ Guide , June 1, 1869.) — (Extracts from an Article in the Athenæum , July 17, 1869.) — FROM A MANUSCRIPT STATEMENT BY MR. PURDAY. — LETTER FROM THE SAME.
I refer to the following extracts, wishing they accorded
more with the views I myself espouse. It is
about twenty years since Mr. Cobden told me he was
opposed to Copyright. Whether the philanthropist,
statesman, and patriot changed his opinion, I do not
know, but I trust my propositions are such as many
profound admirers of his will find consistent with his
policy and principles:—
When the people of these two nations shall all read freely the same
books, and when the audience of both English and American authors
shall be the whole English-speaking public throughout the world, the
petty jealousies, the trivial misapprehensions, the unhappy distrusts,
which dishonour the intelligence of the age, will be known no
more....
The proposed International Copyright has an important bearing in
this connexion. The object of this copyright is to give to the authors
of books, or their assigns, the exclusive right of publication in both
countries, in order to keep up the price in both. That this enhancement
of the price in one country of books produced in the other will
have a tendency to limit the mutual circulation of current literature,
will not be questioned.
Whether the proper encouragement of authors requires this to be
done, is the point which the two Governments should first settle.
Copyright does not exist, except as created by law, for it begins only
when the steps are taken which the law prescribes, and it continues
only so long as the law extends it. There is, therefore, no natural
right involved. A man’s thoughts are his own only so long
as he keeps them to himself. When he has uttered them they
become the thoughts of all who receive them, and who thenceforth use
them at pleasure. The title to a thought by original invention is
no better than the title to an asteroid by original discovery.
The clothing of a man’s thoughts in language no more entitles
him to their exclusive publication, after they are gone forth to the
public, than a man’s careful study of the clothing of his person entitles
him to forbid the imitation of his garb and gait as he walks
the streets. The law creates Copyright on the assumption that the
public good will be promoted by the encouragement thus granted to
authors to publish their works....
The pecuniary return realised from their publications is neither the
only nor the chief encouragement by which authors of merit are induced
to publish their works. The good they may do to mankind, the
reputation they may acquire, and the satisfaction of seeing their
thoughts widely diffused and received, and made a part of the mental
wealth of their country and age, outweigh a thousandfold, to an
enlarged and generous mind, the value of the material silver and
gold yielded by their Copyright. And it cannot be doubted that
these higher returns are directly increased by freedom of publication
unrestricted by Copyright; because cheapness of price, and
variety in the forms of publication, are prime elements in the widest
circulation of books....
It is impossible to exaggerate the value of this international exchange
of ideas through the medium of books, as a means of that
general assimilation of thought and life which is the highest guaranty
of political and commercial intercourse and permanent friendship between
the two countries. While each nation, for the most part, buries
its own literary trash, and each retains the exclusive circulation of
books adapted specially to its own use, the whole volume of the best
thoughts of one country have now their widest diffusion, through their
freedom of publication in the other.
The present is a favourable time for the consideration
of this important question. The following extract
from the editorial columns of the Bookseller, of May 1,
is confirmatory and encouraging:—
An English author has no rights whatever in the United States;
this should be thoroughly and clearly understood. He may make any
arrangement he may think proper with regard to the publication of
his works, but can acquire no Copyright in any way. He may wish
Brown and Co. to be his sole and only publishers, but cannot prevent
Jones and Co. bringing out rival editions; consequently, he can
derive little or no profit from his works. By sending out early
sheets, so as to give Brown a few days’ advantage over Jones, he may
get a small payment, but the sum may be very small. Moreover,
should Messrs. Jones have noted his coming greatness, and have
been the first to announce his first book, albeit quite unknown to him,
they will claim to be his publishers; and although, he may wish to
give Brown the preference, they will feel themselves aggrieved
and insist upon helping to make him famous. Should he go
to America, and first publish his book there, he will find himself in a
still worse position; he is like the notorious “Man without a
Country”—he has positively no rights at all; he has none in America,
and has none here. It was long supposed that an American author
was in a similar position; but it is not so. By a fluke he has
secured rights which he never dreamed of, and by means of our
Copyright-Law, may obtain privileges denied him by his own. His
plan is simply this: having prepared two copies of his MS., he places
one in the hands of his Boston or New York publisher, with directions
to publish on a certain day; the other he forwards to a London house,
with directions to publish at the same time. Just before the day of
publication, which is possibly at that time of the year when Saratoga
is an abode more agreeable than the Fifth Avenue, he proceeds to the
Canadian side of the Falls. Here he spends a few hours, and then
returns, without encountering more inconvenience than saving his
hotel expenses by buying a suit of clothes, on which he pays no duty
on his return. Thereupon he finds that by so simple a process he has
obtained Copyright in the United States, in the dominion of Canada,
in Australia, India, France, Germany, and Great Britain! We can
imagine the lively twinkle of his eye as he crosses the Suspension-bridge,
to think what cute people the Britishers are to have secured
all these privileges for him.
We believe, therefore, that American authors are not very anxious
about the matter. By taking a little trouble, they can secure all they
wish.
English authors have not been fairly treated. They are at great
disadvantage, and must be satisfied for the present to work for fame,
or but for little more. Fortunately for them, the American publishers,
seeing that they do what they are legally entitled to do, are quarrelling
amongst themselves, and are crying out for protection.
[Here is introduced the case of an American publishing-house
stated by themselves, which concludes thus:—
... “A review of these facts naturally suggests
the reflection that the interests of the book-trade in this
country, no less than the protection of authors in their just rights,
require further legislation at the hands of Congress. It is high time
for the passage of a well-considered International Copyright-Law,
such as will wipe away from our country the reproach of what are
known as ‘pirated editions.’”]
We quite agree with this. Some legislation is called for. But now
comes a third party, the public, which has its rights as well as the
others. We shall very likely incur some odium for admitting that
the million have any rights whatever to the productions of men of
letters, and may be told that emanations of the brain are as much
the private property of their authors as the guineas are of the man of
business. So they are, so long as they keep them, to themselves; but
when they have communicated them to the world they are no longer
their exclusive property. It is right that they should have a modified
protection, and we think it must be admitted that English authors
are amply protected in their own country. We think, however, that
the American public will not be disposed to give them the same
amount of protection there, nor is it well that they should have it.
They are, however, entitled to some protection, and we hope the day
is not far distant when English authors will reap some solid advantages
wherever the English language is spoken. We are disposed to
think that seven years would generally be long enough for the purpose;
although so short a time would be hard upon such men as
Grote, Motley, Merivale, Webster, and others, whose lives have been
spent upon their works. We take it for granted that the law, when
modified, will be the same on both sides, and that Dickens and Longfellow
will receive equal treatment. We are too selfish to give up
our cheap editions of Longfellow, and American citizens are not what
we take them to be, if they would, for a whole generation, debar
themselves from popular editions of Dickens.
Copyright in Canada.—Letter by the Times’ correspondent:—“Under
the English Law, English Copyrights reprinted in the United
States are imported into Canada, subject to the same duty as other
imported articles; but these Copyrights cannot be reprinted in Canada,
the consequence being that the Canadian public is almost entirely
dependent on the United States for reprints. The English author
is seriously injured, inasmuch as not one-tenth part of the reprints
which find their way to Canada are entered at the Custom-house
or pay duty.”... Mr. Rose replies:—“The undersigned is
ready to admit that the principle involved is theoretically at
variance with the general policy of the mother-country, in so far
as the object of that policy is to secure to authors an absolute monopoly
in works of literature for a term of years; but it must be
remembered that the necessity for this exceptional legislation arises out
of a previous partial departure from this theoretical policy, which in
its practical operation is shown to afford a premium to the industrial
interests of a foreign country, &c. If it could be shown that the concessions
asked for would result in any way to the practical disadvantage
of the author, or lessen the protection which it is intended to secure to
literary labour, there might be some reason for withholding them. If
the rate of duty, whether import or excise, were inadequate, it would
be an equally reasonable argument against the extension of the law;
and in that case the rate could be augmented. But the undersigned
fails to see any reason why, so long as the importation from abroad is
permitted, the publication in Canada at an equal rate of duty should
be withheld.”
... This work, we repeat, cost the author 24,000 dollars to
produce. Messrs. Harpers sell it at 15 dollars a copy; the usual allowance
to the author is 10 per cent. of the retail price, and as a rule, it
ought not to be more.
At a public meeting recently held in Montreal, respecting the Copyright-Law,
it was resolved to apply to Parliament for an amendment
permitting Canadian publishers to print British Copyright works upon
the payment of 12½ per cent. to British authors.... The payment by
the publisher of 5 or 10 per cent., or of a fixed sum, for a Copyright of
a book, whether by an American or British author, does not necessarily
increase the price of the book.
This great question is of especial interest at the present time, in
consequence of opinions and demands put forward by Canada with
relation to Copyright property in the United Kingdom. It appears
that for some time past a correspondence has been carried on between
the Canadian Government and the Imperial authorities upon the subject
of “Copyright-Law in Canada.” This “Correspondence” (having
been laid before the Canadian Parliament) has been printed and published.
It commences with a resolution of the Canadian Senate (passed
15th of May, 1868) that the Governor-General should be prayed “to
impress upon Her Majesty’s Government the justice and expediency of
extending the privileges of the Imperial Copyright Act, 1847, so that
whenever reasonable provision and protection shall, in Her Majesty’s
opinion, be secured to the authors, Colonial reprints of British Copyright
works shall be placed on the same footing as foreign reprints in
Canada, by which means British authors will be more effectually protected
in their rights, and a material benefit will be conferred on the
printing industry of the Dominion.”...
All the North-American colonies soon availed themselves of this
Act of 1847, and Orders in Council were founded upon them; the
rights of British authors being deemed sufficiently protected by an
ad valorem import duty of 20 per cent. upon the value of the
“foreign reprints,” that, being about one-tenth of the price of the
works as published in England!
There appears to have been no debate in either House upon this Act
of 1847, and it seems to have escaped all public notice on the part of
British authors and publishers during its progress in Parliament.
From the time Her Majesty’s Orders in Council enabled the colonies
to avail themselves of that Act, it has operated as a stimulus and considerable
premium to the “legalised robbery” of British Copyright
property in the United States, and has, practically, given printers and
publishers there a monopoly in “foreign reprints” of English books.
The Act of 1847 is, therefore, a partial confiscation of those Copyrights
which have been acquired in England under Earl Stanhope’s Act of
1842, because the colonies have, for the last twenty years, been almost
exclusively supplied with English books by United States reprints of
those books....
In 1867 the “dominion of Canada” was created by the Imperial Act
of that year, which united all Her Majesty’s North American Colonies.
It was then found that printing had become much cheaper in Canada
than it was in the United States; and amongst the earliest Acts of
the first session of the Canadian Parliament two statutes were passed—one,
“An Act respecting Copyrights;” and the other, “An Act to
impose a Duty upon Foreign Reprints of British Copyright Works.”
Under the first of these Acts, no work of “any person resident in
Great Britain or Ireland” is to be entitled to the protection of that
Act unless “the same shall be printed and published in Canada.” And
under the second of the above Acts it is sought to keep alive the
injustice of allowing “foreign reprints” to be imported into Canada
as a basis for that resolution of the Canadian Parliament to which we
have called attention.
Such are the facts which preceded the Canadian “Correspondence.”
It commences with the resolution which, in effect, advocates “the
justice and expediency” of enabling Her Majesty’s Canadian subjects at
their discretion (and without the permission of the owners) to confiscate
the property of authors of British Copyright works upon the terms
of the publisher paying such authors a royalty of 12½ per cent. upon
the price of the Canadian reprints, that being about one-tenth of the
publication price of the work in England! It appears the “justice and
expediency” of adopting this Canadian resolution has been pressed very
strongly upon the authorities at the Colonial-office, and likewise at the
Board of Trade, by the Hon. J. Rose, the Canadian “Minister of
Finance.” He frankly admits that the policy of the Act of 1847 (so
far as respects the protection of British authors) has long been an
utter failure; that the amount of duties received for their benefit “is
a mere trifle;” and that “it is next to impracticable to enforce the
law.” These statements are confirmed by a letter, dated June 11,
1868, from Mr. John Lovell (a Montreal publisher) to Mr. Rose, and
which appears in the Correspondence. Mr. Lovell says: “At present
only a few hundred copies pay duty, and many thousands pass into the
country without registration, and pay nothing at all; thus having
the effect of seriously injuring the publishers of Great Britain, to the
consequent advantage of those of the United States. I may add that,
on looking over the Custom-house entries to-day, I have found that
not a single entry of an American reprint of an English Copyright
(except the Reviews and one or two magazines) has been made since
the third day of April last, though it is notorious that an edition of
1,000 of a popular work, coming under that description, has been
received and sold within the last few days by one bookseller in this
city.”
In support of the Canadian resolution, the Hon. J. Rose likewise
urges the greater cheapness now of printing in Canada than in the
United States. Upon this point he is also confirmed by Mr. Lovell,
who says: “It is undeniable that Canadian printers would be enabled
to comply with the requisite conditions (that is, of paying a royalty of
12½ per cent. to the author), and produce books, thanks to the local
advantages, at a much cheaper rate than they can be produced in the
States, and so bring about a large export business.”...
This application on the part of the Canadians is answered at considerable
length by the Board of Trade; the substance of that answer
being “that the question raised is far too important, and involves too
many considerations of imperial policy, to render it possible to comply
with that application. My Lords, however, fully admit that the
anomalous position of Canadian publishers with respect to their rivals
in the United States of America is a matter which calls for careful
inquiry; but they feel that such an inquiry cannot be satisfactorily
undertaken without, at the same time, taking into consideration various
other questions connected with the imperial laws of Copyright and
the policy of International Copyright Treaties, and they are, therefore,
of opinion that the subject should be treated as a whole, and that an
endeavour should be made to place the general law of Copyright,
especially that part of it which concerns the whole continent of North
America, on a more satisfactory footing. The grievance of which
the Canadian publishers complain has arisen out of the arrangement
sanctioned by Her Majesty’s Government in 1847, under which United
States reprints of English works entitled to Copyright in the United
Kingdom were admitted into Canada on payment of an import duty,
instead of being, as in the United Kingdom, absolutely prohibited as
illegal.”...
A circular by Mr. Purday contains the following:—
A fact transpired only a few days since of an order being sent for
some of the musical works published in Bond-street, on which it was
stated that they must be “American printed copies”.... It is said that
the Americans have the means of disposing of 30,000 or 40,000 copies of
any popular book or song they choose to reproduce. This, of course,
is a fine premium for supplanting the English publisher in the sale of
his own Copyright works in his own colonies.
The Act of 1 and 2 Vict., c. 69, was passed into a law under the
title of “An Act for securing to Authors in certain cases the benefit of
International Copyright,” the date of which was July 31, 1838.
The 14th section is in these words: “And be it enacted, that the
author of any book to be, after the passing of this Act, first published
out of Her Majesty’s dominions, or his assigns, shall have no Copyright
therein within Her Majesty’s dominions, otherwise than such (if any)
as he may become entitled to under this Act.” Section 9 says that no
protection of Copyright shall be given to a foreign author, unless such
protection shall be reciprocated to an English author by the country
to which the foreign author belongs. Now, nothing can be clearer than
that the Act of 5 and 6 Vict., c. 45, never contemplated giving protection
to a foreign author; but, on the contrary, that it was passed
solely for the benefit of English authors.... At last the whole matter
was brought before the House of Lords, where it was decreed that a
foreign author was not an author within the meaning of the Acts of
Parliament, and could neither claim any Copyright himself nor assign
any to an English subject, unless he was resident in the British
dominions at the time he sold his work, and published it there before
there was any publication abroad. This, after eleven years of litigation
by various parties, among whom my brother was the most persistent
defendant, he being perfectly convinced that if the subject came
to be thoroughly investigated, no such claims as were set up by the
monopolists could be maintained either at common law or in equity.
The House of Lords, however, were not called upon to decide what was
meant by the term residence. This, therefore, gave rise to an attempt
on the part of an English bookseller to contrive a scheme which, to
the not very creditable honour of English jurisprudence, as it appears
to my humble understanding, succeeded. The scheme was this: An
American authoress of little repute wrote a novel, one copy of the
manuscript of which, it is said, was handed over, for a consideration,
to this English bookseller, to publish in England; the work was got
ready on this side of the Atlantic as well as on the other side, and,
after agreeing as to the date of entry at Stationers’ Hall, and
the publication of the same in London, the lady was desired to go
over the Victoria-bridge into Canada, one of the British dominions,
and remain there a few hours or days, while the publication took place
in London; then she was to go back again for the protection of the
same work, as a Copyright, in her own country. Meanwhile, another
English publisher, hearing that such an artifice was about to be
attempted, procured an American copy of the said work, and republished
it in a cheap form. The consequence was, that an application
for an injunction was applied for by the first party, which was granted,
and appealed against to the Lords Justices, who gave it as their opinion
that the word “author” in the Act of Parliament was to be interpreted
in its widest sense, and that there was no limitation to that word in the
Act of Parliament; therefore, it was maintained that any author could
have a Copyright in England who complied with the requisitions
of the Act, and this defective scheme was confirmed by Lord
Chancellor Cairns, who remarked that none of the former decisions had
stated that it was other than necessary to be in the British dominions
during the time of the publication of the work. This device may have
facilitated the desire for an international law upon a righteous foundation,
now so loudly advocated in America.
In the judgment given in the House of Lords, in the case of Boosey’s
assumption to the exclusive right of printing the opera of Bellini, the
subject of residence in England was debated, and Lord St. Leonards
used these remarkable words: “Now the American Legislature have
no such difficulty. They have expressly enacted that Copyright there
shall be confined to natives, or persons resident within the United
States. Those are the express words of their statute.” And we may
remark, farther, that unless an alien author has resided at least twelve
months in America, and has made a declaration in these words, “I do
declare on oath that it is bonâ fide my intention to become a citizen of
the United States,” &c., he cannot obtain the privilege of Copyright in
anything he may publish there. This conflict of opinion must necessarily
end, therefore, in a new Act of Parliament, which has been long
needed to settle this and other much-vexed questions of Copyright.
24, Great Marlborough-street, June 15, 1869.
Dear Sir,—I think your suggestion of the payment of a royalty
upon the publication of an author’s work, if made mutual in both
America and Great Britain, would go far to reconcile the two nations
to abandon the present unfair reprisals; more especially if it were left
to the option of any publisher to reproduce such works in the form
most suited to his particular trade. Some publishers choose to publish
in one form, and some in another, more or less expensive, according to
the taste or want of their customers. It is true, there might be some
difficulty in arranging the percentage per copy upon such a scheme;
but that might be regulated according to the price and style of getting
up of the work, which should always be determined upon before the
work is issued.
The question of Copyright in music is one which presents features
appertaining to itself exclusively. One feature which it shares along
with the other fine arts is this great fact: that music is a universal
language, and addresses itself equally to all nations. Its range,
therefore, is far wider than literature. It needs no translation.
The taste for music is more widely diffused than that for painting
and sculpture, from which it differs in a way that causes very considerable
embarrassment when the question of Copyright comes to be
particularly dealt with. Like paintings and statues, music may be
reproduced in a permanent form; but, unlike them, the chief value of
its Copyright privilege is reproduction in sounds, and, therefore, in a
form unsubstantial and transient. He, therefore, who would deal
satisfactorily with this branch of the wide question of Copyright has
to provide for a demand, and overcome difficulties, such as do not
belong to literary and artistic Copyright. But, still further, music—say
that of an opera—may be separated into parts without serious
diminution of its revenue-bearing value. Once more, there is the
libretto; it belongs to the range of literature. Questions, therefore,
arise, and must be provided for, with respect to the affinity of that
part with the music, its reproduction in the form of translation, and
its being, as it occasionally is, the work and property of an author
other than the composer of the music.
There is still so much uncertainty, approaching to confusion, as to
what really is the law, especially with regard to international Copyright,
in this branch, that thorough revision and immediate international
negotiations are absolutely necessary.
The laws of Copyright should be divested of all ambiguity and
superfluous legal verbiage. In fact, they should be made so plain that
“he that runs may read,” and understand them. The payment of a
royalty on foreign works is not a new thing here. Chappell pays 1s.
a copy, besides a considerable sum for the Copyright, of the last work
of Rossini—viz., the “Messe Solennelle,” for the exclusive selling of the
work, and for the right of performing it here. Any other information
I can give you I shall be happy to afford.
I am, dear Sir, yours obediently,
C. H. Purday.
To R. A. Macfie, Esq., M.P.
EXTRACTS FROM CORRESPONDENCE ON COPYRIGHT LAW IN CANADA. — Extract from a Report of a Committee of the Honourable the Privy Council of Canada, approved by His Excellency the Governor-General in Council, on the 27th May, 1868. — ( From Memorandum by the Minister of Finance. ) — ( From Mr. Lovell. ) — ( Extract from Letter from Sir Louis Mallet to the Under-Secretary of State, C.O. ) — ( Extract from a Paper by the Minister of Finance on the Copyright-Law in Canada. )
Laid before the Canadian Parliament by Command of His
Excellency the Governor-General.
“On the recommendation of the Honourable the Minister of
Customs, the Committee advise an uniform ad valorem duty throughout
this Dominion of 12½ per cent., being the rate fixed and
collected in the Province of Canada, previous to the Confederation of
the Provinces—and to establish such regulations and conditions as may
be subsistent with any Act of the Parliament of the United Kingdom
then in force as may be deemed requisite and equitable with regard to
the admission of such books, and to the distribution of the proceeds of
such duty to or among the party or parties beneficially interested in the
Copyright.”
“Not one-tenth part of the reprints which find their way to Canada
are entered at the Custom-house, or pay duty.... It is proposed, in
order perfectly to secure the English author, that every Canadian
publisher who reprints English Copyrights should take out a licence,
and that effectual practical checks should be interposed, so that the
duty on the number of copies actually issued from the press should be
paid into the Canadian Government by Canadian publishers for the
benefit of the English authors. It is believed that the English authors
would benefit enormously by the proposed change. At present the
amount received by Canada for duty on English Copyrights, and paid
over by Canada to the Imperial Government for the benefit of
English authors, is a mere trifle.”
“Montreal, June 11, 1868.
“In 1849, I believe, the Government of Canada, with the sanction of
Her Majesty the Queen, gave United States publishers the right to
bring reprints of English Copyright works into this country on payment
of Customs duty of 15 per cent., which has since been reduced
to 12½ per cent., the proceeds of the duties to be forwarded to the
English authors as a compensation for the privileges secured to the
American publishers.
“The people of the Dominion, and especially the printing and publishing
interests, feel that they ought to possess at least equal privileges
to those conceded to the foreigner. There are several establishments
in the Dominion that would esteem it a great boon to be allowed
to reprint English Copyrights on the same terms as are now secured
to United States publishers, and would gladly pay the 12½ per cent. to
the English authors on the total number of copies printed, sure to be
very considerable. At present only a few hundred copies pay duty,
but many thousands pass into the country without registration, and
pay nothing at all; thus having the effect of seriously injuring the publishers
of Great Britain, to the consequent advantage of those of the
United States.”
“It is obvious that, looking to the geographical position of the
United States and the North American Confederation, any arrangement
with respect to Copyright which does not apply to both must be
always imperfect and unsatisfactory, and it is therefore extremely desirable,
if possible, that the Canadian question should be considered in
connexion with any negotiations conducted with the United States
Government.
“Another serious objection to the sanction by Her Majesty’s Government
of such a proposal appears to my Lords to be, that, while the
public policy of the mother-country enforces an absolute monopoly in
works of literature for a term of years, it is very undesirable to admit
in British Colonial possessions an arrangement which, whatever advantages
it may possess (and my Lords fully admit that much may be said
in its favour), rests upon a wholly different principle.
“It would be difficult, if such a principle were admitted in the
British Colonies, to refuse to recognise it in the case of foreign
countries, and thus it might come to pass that the British
public might be called upon to pay a high price for
their books, in order to afford what is held to be the necessary
encouragement to British authors, while the subjects of other
countries and the Colonial subjects of Her Majesty would enjoy the
advantages of cheap British literature provided for them at the expense
of the inhabitants of the United Kingdom.”
“The consequence of this anomalous state of the Law is that Canada
receives large supplies of American reprints of English Copyright
books, which are sold at a much higher rate than if printed in Canada;
while, at the same time, so generally is the payment of the 12½ per cent.
Customs duty evaded, and so trifling is the whole amount realised from
that source (the total received last year for the whole Dominion of
Canada being only $799.43, or 164l. 5s. 3d. sterling, the average of
the preceding four years being only 115l. 1s. 3d., sterling), that so far
as regards the pecuniary or other interests of English authors, for
whose protection the duty was imposed and in whose behalf it is
collected, the effect is practically the same as if the reprints were
avowedly admitted duty free....
“It is believed that if this privilege were extended to Canadian
publishers, they would avail themselves of it to a very large extent,
and as the Excise duty of 12½ per cent. could, under proper regulations,
be very easily levied, a substantial revenue would accrue therefrom
for the benefit of English authors; and further, that a great
impetus would be given to the interests of printers, publishers, paper
manufacturers, type founders, and other important kindred branches of
material industry, and indirectly to the interests of literature and
literary men....
“An American or any other foreign author, by publishing his work
first in the United Kingdom, may obtain for himself all the benefits of
the English Copyright-Law. One of those benefits, as the law now
stands, is to prohibit its reprint in any portion of Her Majesty’s
dominions out of the United Kingdom. He can equally procure its
Copyright in the United States, and the consequence is that the price
of literature is enhanced to British subjects in all Her Majesty’s Colonial
possessions, since to them and to them only can the prohibition to republish
apply or be made effectual.
“England does not confine the protection which she thus extends to
her own authors. The foreign author is protected against all her
Colonial subjects, provided he publishes first within the confines of
Great Britain and Ireland. She will not recognise a publication in a
Colonial possession as a compliance with the Copyright Act, but limits
the place of publication to the United Kingdom.
“Such the undersigned understands to have been the solemn interpretation
of the law by the House of Lords in the recent case of
‘Routledge and Lowe’ (‘New Law Report,’ Appeal Cases, vol. ii.,
pp. 100-121), and he would very strongly call attention to the unfair
position in which the policy of that law places the Canadian publisher
and the Canadian public.
“The mere circumstance of the publishing in the United Kingdom
gives the author a monopoly throughout the entire area of the British
dominions—that author, in the opinion of the then Lord Chancellor
Cairns, need not be a native-born subject of the Crown; he need not
be an alien friend sojourning in the United Kingdom; he need not
be sojourning in a British Colony, but he may be a foreigner residing
abroad. This protection is afforded, in the language of Lord Cairns,
to induce the author to publish his work in the United Kingdom.
“If the policy of England, in relation to Copyright, is to stimulate,
by means of the protection secured to literary labour, the composition
of works of learning and utility, that policy is not incompatible with
such a modification of law as will place the Colonial publisher on a
footing of equality not only with the publisher in the United States,
but even with the publisher in the United Kingdom....
“If the rate of duty, whether import or excise, were inadequate, it
would be an equally reasonable argument against the extension of the
law; and in that case the rate could be augmented.”
TENDENCIES OF COPYRIGHT AMENDERS.
That pretensions under Copyright are becoming so
formidable as to demand very serious attention on the
part of statesmen and of all who desire to maintain the
integrity of our national inheritance of a world-wide,
heartily-united empire, and imperial freedom from
odious, inquisitorial, and impracticable restraints, especially
such as might hinder intellectual and moral
development, will be evident to any person who takes
pains to study and follow out to their necessary consequences
the provisions contained in the following
transcripts from a Bill lately introduced by an ex-Lord
Chancellor, “for Consolidating and Amending the Law
of Copyright in Works of Fine Art:”
Fine Arts Copyright Consolidation and Amendment. [32 Vict.]
Design.—An original conception represented by the author thereof
in any work of fine art.
Drawing or Painting.—Every original drawing or painting, made in
any manner and material, and by any process.
Photograph shall mean and include every original photograph.
Sculpture.—Every original work, either in the round, in relief, or
intaglio, made in any material, and by any process.
Engraving.—Every original engraving and lithograph made upon a
plate, block, or slab, of any material, by any process, whereby impressions
may be taken from such plate, block, or slab, and the
impressions taken from the same.
Work of Fine Art.—Every drawing, painting, photograph, work of
sculpture, and engraving as herein-before interpreted.
Extending to all parts of the United Kingdom of Great Britain and
Ireland, the Channel Islands, the Isle of Man, and all the colonies
and possessions of the Crown which now are, or hereafter may
be, created or acquired.
3. The author of every original work of fine art, if made, or first
sold, after the commencement of this Act, such author being a British
subject, or resident within any part of the British dominions at the time
such work shall be made or first sold, and the assigns of such author,
shall have the Copyright of sole and exclusive right of copying, reproducing,
and multiplying such work, and the design thereof, in the
British dominions, by any means, and of any size, for the term of the
natural life of such author, and thirty years after his death, but subject
to the following conditions and restrictions; (that is to say), &c.
9. If the author of any work of fine art in which there shall be subsisting
Copyright, after having become divested of such Copyright, or
if any other person, not being the proprietor for the time being of the
Copyright in any work of fine art, shall by any means unlawfully
repeat, copy, imitate, or otherwise multiply for sale, hire, exhibition, or
distribution, or cause or procure to be repeated, copied, imitated, or
otherwise multiplied for sale, hire, exhibition, or distribution, any such
work, or the design thereof, or any part of such design, or, knowing
that any such repetition, copy, or other imitation has been unlawfully
made, shall import or export into or out of any part of the British
dominions, or sell, publish, let to hire, exhibit, or distribute, or offer
for sale, hire, exhibition, or distribution, or cause or procure to be
so imported, or exported, or sold, published, let to hire, distributed, or
offered for sale, hire, exhibition, or distribution, any unlawful repetition,
copy, or imitation of any such work, or of the design thereof, such
person for every such offence shall forfeit to the registered proprietor
for the time being of the Copyright thereof a sum not exceeding
twenty pounds, and not less than two pounds, for every first offence,
and not less than five pounds, for every subsequent offence, &c.
11. All repetitions, copies, or imitations of any work of fine art, or
the design thereof, wherein there shall be subsisting Copyright under
this Act, and which, contrary to the provisions of this Act, shall have
been made in any foreign State, are hereby absolutely prohibited to be
imported into any part of the British dominions, except by or with the
consent of the registered proprietor of the Copyright thereof, or his
agent authorised in writing; and if the registered proprietor for the
time being of any such Copyright or his agent shall declare, or if any
officer of Her Majesty’s Customs shall suspect, that any goods imported
are prohibited repetitions, copies, or imitations of any such work of
fine art, or of the design thereof, then such goods may be detained,
unpacked, and examined by the officers of Her Majesty’s Customs.
12. The Commissioners of Customs shall cause to be made, and
publicly exposed at the several ports of the United Kingdom, and in
Her Majesty’s possessions abroad, printed lists of all works of fine art
wherein Copyright shall be subsisting, and as to which the registered
proprietor for the time being of such Copyright, or his agent, shall
have given notice in writing to the said Commissioners that such Copyright
exists, stating in such notice when such Copyright expires, and
shall have made and subscribed a declaration before the collector of
the Customs, or any justice of the peace, at some port or place in the
United Kingdom or in Her Majesty’s possessions abroad, that the
contents of such notice are true. The provisions contained in the
Acts now in force, or at any time to be in force, regarding Her
Majesty’s Customs, as to the application to the courts and judges by
any person aggrieved by the entry of any book in the lists of books to
be made and publicly exposed by the said Commissioners under the
said Acts, and the expunging any such entry, shall apply to the entry
of any work of fine art in the lists thereof to be made by virtue of this
Act, in the same manner as if such provisions were herein expressly
enacted, with all necessary variations in relation to such last-mentioned
lists, &c.
13. Every person who shall import or export, or cause to be imported
or exported, into or out of any part of the British dominions, or shall
exchange, publish, sell, let to hire, exhibit, or distribute, or offer, or
hawk, or carry about, or keep for sale, hire, exhibition, or distribution,
any unlawful copy, repetition, or imitation of any work of fine art, in
which, or in the design whereof, there shall be subsisting registered
Copyright, shall be bound, on demand in writing, delivered to him or
left for him at his last known dwelling-house or place of business, by
or on behalf of the registered proprietor for the time being of such
Copyright, to give to the person requiring the same, or his attorney or
agent, within forty-eight hours after such demand, full information in
writing of the name and address of the person from whom, and of the
times when, he shall have imported, purchased, or obtained such unlawful
copy, repetition, or imitation, also the number of such copies,
repetitions, or imitations which he has obtained, and also to produce
to the person requiring such information all invoices, books, and other
documents relating to the same; and it shall be lawful for any justice
of the peace, on information on oath of such demand having been
made, and of the refusal or neglect to comply therewith, to summon
before him the person guilty of such refusal or neglect, and on being
satisfied that such demand ought to be complied with, to order such
information to be given and such production to be made within a
reasonable time to be fixed by him.
14. Upon proof by the oath of one credible person before any justice
of the peace, court, sheriff, or other person having jurisdiction in any
proceeding under this Act that there is reasonable cause to suspect that
any person has in his possession, or in any house, shop, or other place
for sale, hire, distribution, or public exhibition, any copy, repetition, or
imitation of any work of fine art in which, or in the design whereof,
there shall be subsisting and registered Copyright under this Act, and
that such copy, repetition, or imitation has been made without the
consent in writing of the registered proprietor of such Copyright, it
shall be lawful for such justice, court, sheriff, or other person as aforesaid
before whom any such proceeding is taken, and he or they is and
are hereby required to grant his or their warrant, to search in the daytime
such house, shop, or other place, and if any such copy, repetition,
or imitation, or any work which may be reasonably suspected to be
such, shall be found therein, to cause the same to be brought before
him or them, or before some other justice of the peace, court, sheriff,
or other person as aforesaid, &c.
15. If any person, elsewhere than at his own house, shop, or place
of business, shall hawk, carry about, offer, utter, distribute, or sell, or
keep for sale, hire, or distribution, any unlawful copy, repetition, or
colourable imitation of any work of fine art in which, or in the design
whereof, there shall be subsisting and registered Copyright under this
Act, all such unlawful articles may be seized without warrant, by any
peace officer, or the proprietor of the Copyright, or any person authorised
by him, and forthwith taken before any justice of the peace, court,
sheriff, &c.
23. Under this Act there shall be kept at the hall of the Stationers’
Company by the registrar appointed by the said company for the
purposes of the Act passed in the sixth year of the reign of her
present Majesty, intituled “An Act to amend the Law of Copyright,”
three several books or sets of books, which shall be called as follows:
(1.) The register of proprietors of Copyright in original drawings
and pictures:
(2.) The register of proprietors of Copyright in original photographs
and engravings:
(3.) The register of proprietors of Copyright in original works of
sculpture.
In the first of such registers shall be entered a memorandum of
every Copyright, or of any limited legal interest therein, to which any
person shall claim to be entitled under this Act in any original drawing
or painting, and also of any subsequent assignment of such Copyright
or limited legal interest therein; and such memorandum shall contain
a statement of the several particulars required by the form applicable
for that purpose in Part I. of the third schedule to this Act; and in
addition thereto the person registering shall annex to the memorandum
under which he requires the entry to be made an outline, sketch, or
photograph of the drawing or painting to which such memorandum
refers, &c.
⁂ Again adverting to the case of Ireland, let it
be remembered it was only so late as 1836 that an
Act was passed “to extend the protection of Copyright
in prints and engravings to Ireland.”
This Bill of Lord Westbury’s, after having been
referred to a Select Committee of the House of Lords,
has been withdrawn, but only for the present Session.
The reason for withdrawal is found in amendments
recommended by the Committee, one of which is that
it should extend only to the United Kingdom and
Channel Islands. The subjoined extracts from a
printed defence of the Bill, by D. Roberton Blaine,
Esq., will be read with interest, as showing how influential
is the quarter whence the Bill emanates, and
not less on account of their allusion to Patent-right
and their other interesting contents.
This Bill has been prepared by direction of the Council of the
Society of Arts, Manufactures, and Commerce, in consequence of a
memorial having been presented to the Council, signed by a considerable
number of the most eminent artists and publishers resident in
London....
There is no Copyright in the ideas embodied in a work of literature
or of fine art....
It is quite otherwise according to our Patent-Laws. Under them
the idea of an author is everything, so to speak, and is rigidly protected.
Thus, for example, suppose A produces a new manufacture
by means of a very imperfect and clumsy machine, or chemical process,
which he invents and patents; and suppose afterwards that B invents
a very perfect and simple machine, or chemical process, whereby he
can produce the same manufacture as A, but better and cheaper than
his. In such a case the Patent-Laws prohibit B from making any
use of his improvement for making the manufacture of A during the
continuance of his Patent, unless with his consent. This arises from
its being a leading principle of our Patent-Laws, that where a new
invention has been secured by a valid and existing Patent no one is
allowed during the continuance of that Patent to produce the same
results by a mechanical or chemical equivalent. Hence the great
source of complaints and of the litigation arising under our Patent-Laws.
Thus it is that a patented manufacture precludes any improvements
therein except by the patentee, or with his consent, during
the term of his Patent....
In Italy, at the expiration of such forty years, although any one may
then make and sell copies of the work, the person doing so must, during
a second term of forty years, annually pay to the proprietor of the
Copyright 5 per cent. (calculated at the published price) upon all copies
sold by the person so making and selling such copies. As to France,
her Copyright-Laws are expressly extended to all her colonies. And,
by the 8th Article of Her Majesty the Queen’s Copyright Convention
with France, dated 3rd November, 1851, reciprocal protection is
agreed to be given in favour of Copyright works first published in
“the territories of France,” or in “the British dominions.” This
appears to show that both States clearly intended that such reciprocal
protection should extend to their colonies. It is also stipulated by the
7th Article that “pirated works shall be seized and destroyed.” Now
the French law very justly declares the piracy of Copyright property
to be a crime (delit), and provides rapid and effectual means for
enabling the proprietor of the Copyright to seize both the pirate and
the fraudulent copies, plates, &c., in his possession. Yet, according
to the present state of the British Artistic Copyright-Laws, no such
powers of seizure, as expressly agreed by Her Majesty the Queen’s
Convention, exist in the British dominions; nor does any protection
whatever for artistic Copyright works extend beyond the United
Kingdom; no, not even to the Isle of Man, or to the Channel
Islands!
This important and novel subject is likely soon
to receive useful illustration from a Parliamentary
return to be moved for by the Right Hon. T. H.
Headlam. From another of that gentleman’s Returns
a suggestive extract is also subjoined.
It contains evidence that long ago impatience of
existing restraints was in vigorous action in the British
Colonies—evidence that payment of authors by royalties
is a system that commands State concurrence—and
evidence how over-ready the State is, or how circumstances
are formed so as to compel it, to undertake
work for authors and publishers by means of its
Custom-house officers. On this last point I am
happy also to produce an important paper kindly
furnished by Michael Daly, Esq., of Her Majesty’s
Customs. Mr. Daly’s note deserves to be pondered
in prospect of the re-appearance next Session of the
Board of Trade’s “Trade-Marks Registration Bill.”[11]
The extracts which I have agglomerated show that
the idea of employing officers of Excise as well as
those of Customs is seriously propounded, but this
is by no means all the useful information they convey.
[11] Would it not be well to confine registration to names of firms or
premises without recognising marks?
COLONIAL DUTIES ON COPYRIGHT WORKS.
Return of all the Colonies and British Possessions in favour of which
Orders in Council have been issued under the Act 10 and 11 Vict.,
c. 95, suspending the Prohibition of Importation of Reprints of
British Copyright Works.
New Brunswick.—An ad valorem duty of 20 per cent. on the
bonâ fide price of the publication, imposed on importation; such duty
to be transmitted through Her Majesty’s Government for the benefit
of the author.
Nova Scotia.—An ad valorem duty of 20 per cent. to be applied
in like manner.
Prince Edward Island.—An ad valorem duty of 20 per cent.,
currency of the island, imposed on similar terms.
Barbadoes.—An ad valorem duty of 20 per cent. to be remitted to
the author.
Bermuda.—An ad valorem duty of 15 per cent. on the value of
such reprints, imposed on the like conditions, a deduction of 5 per
cent. on the amount to be made, for the remuneration of the officers
collecting the duty.
Bahamas.—A duty of 20 per cent. on the value of the publisher’s
wholesale price; nine-tenths of the amount collected to be paid to the
proprietors of the Copyright on their application to the Governor.
Newfoundland.—An ad valorem duty of 20 per cent. to be paid
over to the author.
St. Christopher.—An ad valorem duty of 20 per cent. to be remitted
in like manner.
Antigua.—An ad valorem duty of 25 per cent. to be applied in like
manner, 5 per cent. to be deducted for remuneration of the treasurer
collecting the duty.
St. Lucia.—An ad valorem duty of 20 per cent. to be applied in
like manner, without deduction.
Canada.—An ad valorem duty not exceeding 20 per cent. imposed,
to be applied in like manner.
British Guiana.—An ad valorem duty of 20 per cent., after deducting
5 per cent., to be remitted to the author.
St. Vincent.—An ad valorem duty of 20 per cent. to be applied
in similar manner.
Mauritius.—A poundage of 20 per cent. to be paid, to be deposited
in the Colonial Treasury, there to be kept at the disposal of the
British authors of such works.
Grenada.—An ad valorem duty of 20 per cent. to be remitted for
the benefit of the author.
Jamaica.—An ad valorem duty of 15 per cent. An ad valorem
duty of 20 per cent.
Cape of Good Hope.—An ad valorem duty of 20 per cent. to be
applied in similar manner.
Nevis.—An ad valorem duty of 15 per cent. to be applied to the
benefit of the author, after deducting 5 per cent. for the remuneration
of the treasurer collecting the duty.
Natal.—An ad valorem duty of 20 per cent. to be remitted to
the registered proprietor of the Copyright.
EXAMINATIONS BY CUSTOMS’ OFFICERS.
The officers of Customs are compelled to discharge
various duties beyond those connected with the collection
and protection of the Revenue. Among others they
have to take care that foreign goods, on their importation,
do not bear the mark or brand of any British maker, or
such marks or brands as would be likely to give them a
British character. All goods so marked and branded
are, by 16 and 17 Vict., cap. 107, sec. 44, prohibited to
be imported into this country. Cases are constantly
occurring where such goods have to be dealt with by
the Customs’ authorities. In some instances the goods
are confiscated, in others the brands or labels are ordered
to be removed, upon which the goods are delivered to the
owner, either with or without fine; and in other cases
they are ordered to be returned to the port whence they
were imported. But why should this duty devolve upon
the Customs’ officers? It is an extremely disagreeable
one, involving much trouble to the department and
vexation to importers. If a manufacturer or dealer in
this country infringes the right of another by using his
mark or brand, he has his remedy in a court of justice;
but he has no right to enter a factory or warehouse, to
open packages and make an indiscriminate search, with
or without grounds of suspicion that his brands have been
placed on the contents of the packages. Yet, practically,
this is really the case with regard to the Customs’ right
of search for prohibited marks and brands. Why not
let the goods pass without reference to brands or marks?
Leave the owner of the marks to his remedy in law; and
the vendor of the goods bearing such forged or false
brands to the risk and penalty which he thus incurs. In
this case the fraudulent dealer only will be the sufferer,
while the innocent will be saved the vexation of having his
goods pulled about at the Custom-house; and the Customs
department will be relieved of an extremely disagreeable
and troublesome duty. As to the brand, not those of
any particular maker, but in their general character
purporting the goods to be of British manufacture, but
very little harm can result to any particular interest from
the use of such marks. It will take something more
substantial than such mere fictions to ruin the trade
of the country; but if better goods, even if they be of
foreign origin, can be obtained at the same prices as those
paid for British, then so much the better for the consumer.
Would it not be well, also, to relieve the Customs
officers of the duty of searching for pirated works
under the Copyright Act? Why not deal with the
vendors here of such works, if reprinted abroad, in like
manner as if reprinted here?
THE BRITISH AND FOREIGN BOOK TRADE. — Books Printed in the United Kingdom, Exported therefrom.
The following figures, extracted from a recent Parliamentary
Return, while they show a highly satisfactory
ratio of increase, will probably convince the
commercial reader that the International Book Trade
of Christendom is yet in its infancy, and, perhaps, that
the swaddling-bands and close confinement of monopoly
should be exchanged for a freer and more natural
system of nursing and protection:—
Countries to which Exported.
Quantities.
Declared Value.
1828.
1848.
1868.
1828.
1848.
1868.
Cwts.
Cwts.
Cwts.
£
£
£
Foreign Countries:—
United States
605
3,158
18,379
14,612
47,955
184670
Other Foreign Countries
1,449
2,003
10,540
33,319
30,678
181350
Total
2,054
5,161
28,919
47,931
78,633
366020
British Possessions:—
Australia
148
1,968
18,583
3,933
27,249
148413
British North America
364
1,131
6,919
8,178
15,156
64139
Other British Possessions
1,552
4,026
6,987
41,072
71,114
105671
Total
2,064
7,125
32,489
53,183
113519
318223
Aggregate of Foreign Countries and British Possessions.
4,118
12,286
61,408
101114
192152
684243
Quantities and Value, with the Weights and Moneys rendered into
English Equivalents, of Printed Books Imported into and Exported
from the United Kingdom and Foreign Countries in the latest Year
for which Returns have been received and the Tenth Year previous
thereto:—
[13] For these Countries the Total Imports and Exports are stated.
The total weight of the Book Trade of Christendom appears to be
less than 200,000 cwts., which, taken at 1 lb. per volume, makes only
about 20,000,000 of volumes, about a fourth part of which is sent
from this country to the North American and Australian “Markets.”
The Beehive, of 31st July, has an article on the
meeting referred to in the Prefatory Note. The following
is an extract, to which three notes are respectfully
subjoined:—
... But to abolish all protection to original inventions would
be, as Mr. Paterson justly contended, to hand over all the profits arising
from such inventions to the capitalist.[14] This speaker would make the
granting of Patents free from charge, and lay a tax on the profits of
the contrivance patented. Mr. Macfie, the Member for Leith, made
a decided hit when he pointed to the absence of royalties abroad,
while at home they lie upon us with a crushing weight; and, if we
cannot find ease without following the example of Switzerland in
abolishing Patent-Laws, and of Holland and Germany by declaring
against them, there will be no help for it.
But when Mr. Macfie “denies that the inventor has any exclusive
right to his invention,” he makes an assertion that it is in the power of
any inventor practically to disprove. Say that A has found out an
invention of value, or, which is the same thing for the purpose of argument,
thinks he has; he meets with the Member for Leith, who says,
“Come, my fine fellow, out with that invention of yours, for the general
good; you have no exclusive right to it.” What would A be likely
to say in reply? “Haven’t I? Let me choose to keep it to myself,
and who can hinder me?” While, however, it is perfect nonsense to
deny a man’s right to the ideas of his own mind,[15] the practical question
is another thing; and it behoves us all to remember that we are
members of one society, and that a society called at least Christian.
Nevertheless, if A is to make his contribution to the general good, all
the rest of the alphabet are bound to reciprocate his liberality.[16]...
[14] For capitalist, if there were no Patents, why not say consumer?
[15] It is exclusive right, not at all his personal right, to use, and right to conceal,
if he has the will and power, that is denied.
[16] These concluding sound reflections are eminently suggestive.
line 13, for command read commend; and insert a comma
after the word inaugurate in next line.
Transcriber’s Note: These two amendments have been made, and in addition,
a number of minor typographical errors were identified and corrected.
LONDON: W. J. JOHNSON, PRINTER, 121, FLEET STREET.
THE PATENT QUESTION UNDER FREE TRADE:
A SOLUTION OF DIFFICULTIES
BY ABOLISHING OR SHORTENING THE INVENTORS’ MONOPOLY, AND
INSTITUTING NATIONAL RECOMPENSES.
A PAPER SUBMITTED TO THE Congress of the Association for the Promotion of Social Science,
AT EDINBURGH, OCTOBER, 1863, BY ROBERT ANDREW MACFIE, PRESIDENT OF THE LIVERPOOL CHAMBER OF COMMERCE.
TO WHICH ARE ADDED TRANSLATIONS OF RECENT
CONTRIBUTIONS TO PATENT REFORM
BY M. CHEVALIER AND OTHER CONTINENTAL ECONOMISTS.