Supreme Court of Canada
Samson v. Levack, [1926] S.C.R. 601
Date: 1926-05-04
Samson v. Levack
1926: February 23; 1926: May 4.
Present: Anglin C.J.C. and Idington, Duff, Mignault, Newcombe and Rinfret JJ.
Contract—Conditions—Agreement to keep secret formula of patent— Art 1080 C.C.
APPEAL from the decision of the Court of King’s Bench, appeal side, province of Quebec, affirming the judgment of the trial judge, Letellier J., which maintained the respondent’s action.
[Page 602]
The respondent claimed part of the price for which he had sold to the appellants a certain patent for manufacturing paint. The appellants made a counter-claim asking for the annulment of the contract. The Superior Court maintained the respondent’s action and dismissed the appellants’ counter-claim. The Court of King’s Bench (1) affirmed the judgment, holding that the sale of interests in an industrial enterprise, subject to the condition that the vendor bind himself not to divulge the secret or the formula of the manufacturing process to any person, cannot be annulled on the ground that the formula at the time of the sale could be known by the public owing to the fact that it had been registered at the patents office at Ottawa, such registration having been made known to the buyers.
The Supreme Court of Canada, after hearing counsel for both parties, reserved judgment, and, at a subsequent date, dismissed the appeal with costs.
Appeal dismissed with costs.
Ls. St.-Laurent K.C. and A. Langlais K.C. for the appellant.
L. G. Belley K.C. for the respondent.