Cain v. White

WADDILL, Commissioner.

Neither appellant, Fred Cain, nor appel-lee, S. C. White, when terminating their partnership business in 1954, desired to dispose of his interest in a certain clip wheel upon which they had applied for a patent. Instead, they made it the subject of a separate contract by the terms of which Cain was permitted to manufacture this wheel so long as he paid White 55‡ for each unit he sold and guaranteed him a minimum payment of $500 a year. Pursuant to this contract Cain manufactured the wheel and paid White from 1955 through 1958. During 1959 and 1960 Cain continued making…