The Wright Company and the Patent Rights

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The Wright Company and the Patent Rights

After successful flight and before loyalty in Europe, Wilbur and Orville Wright decided that it was time that they began manufacturing their planes for sale in 1909. Supported by Wall Street Tycoons such as August Belmont, Andrew Freedman and Cornelius Vanderbilt III, the brothers formed the Wright Company. The Wright Company had trained thousands of aviators at its flight school, including those who had fought during the First World War and the Second World War. However, all did not go well for the brothers at Dayton factory where there were many workers who were manufacturing the planes needed the brothers to comply with the expenditure that was incurred at the cash resisters. The brothers found it being hard to be the corporate executives responsible for handling other people’s money, unlike the bicycle running business that they had managed earlier. As a result, this caused great problems to the Wright Company as a well as the manufacturing of planes in the United States. Also, there were other problems that were caused by the process of the patenting of the manufacture of planes by the United States authority which, slowed down the development of aviation in US. The book, “The Wright Company: From Invention to Industry” by Edward J. Roach, provides valuable lesson on the challenges the brothers faced when running an aviation industry. The book also narrates how the patent rights hampered its development in United States. The author shows that in a world that was constantly evolving in terms of business, everything else, must constantly adapt and change. However, for the Wright brothers, one could expend a lot of ink discussing why they declined to change, or evolve their invention. The truth of the matter is that they refused to change which, watered down the results oriented in “Wright Company”. The essay will show that the brother’s refusal to change and evolve their inventions, and the patent tights, led to the slow development of the aviation industry in United States.

Essay 1: How the Patent Rights Slowed Down the Aircraft Industry

In something of an irony, the patent system that was supposed to promote and protect innovation was not particularly successful in dealing with new technologies. The federal courts were not awash in patent infringements that had seen little to resolve in protection of software which was functioned to promote innovation of planes in United States. On December, 17th, 1903, Wilbur and Orville Wright successful flew their plane over the dunes of Kitty Hawk. However, few people noticed that for the next four years, Wright brothers declined to provide a demonstration of their machine. Before they could share the invention with the world, they wanted to be sure that they secured a patent that would guarantee that they controlled the flight itself. Their intention was to collect royalties on every plane that they manufactured (Roach 36-70).

The brothers had been granted patent number 821,393 after the United States patent office protracted exchange with them. Soon after the original application had been submitted, in basic form, the patent examiner dismissed the invention as “inoperative”. As a result of this dismissal, the brothers spent years drafting and redrafting their application with the help of Harry Toulmin, an attorney at Springfield, Ohio. The patent itself, involved 18 technologies to which it laid claim; how the planes were built and how they were controlled. On the contrary to the copyrights, the main purpose of the patent system was to encourage innovation in exchange for the information concerning the inventions and as a result, facilitating further technological development. In the US, the granting of the patent right did not require the inventor to actually produce the product based on the invention. Rather, it gave the patent holder the legal right to block others from producing the invention in pursuit of commercial enterprise. As a result, this specific element of the patent system had a tremendous effect on commerce and development. Also, it undermined the function of the patent by allowing activities that could prevent the entire market from expanding (Roach 176-185).

Concurrent to the Wright’s litigation, the rightful ownership and the primacy of technology was aimed squarely at Glenn Curtiss because he was a formidable competitor because he made planes that were superior to the Wright’s pulley-and-cable system. Curtiss exhibition being most public, and his affiliation with Lt. Thomas Selfridge who was working at AEA, asserted that he was in no way going to share his commercial endeavors with Wright brothers. Curtiss was certainly the main target of Wright’s legal strategy for competing in aircraft industry without extending due consideration to the Wright Company. Claude Grahame-White, who was an aviator and a historian, noted towards whom the Wright brother directed their legal powers. As a result, in 1911, White settled with the Wright Company an amount of $17,000, as injunctions against exhibition and manufacture of any unlicensed flight machines which were granted by the courts (Roach 150-155).

In 1909 and 1912, Wrights spent a lot of time crafting another of their litigation efforts; insofar it interfered with the demonstration and licensing efforts. Much of the time was spent in dealing with the courts than manufacture of the planes. For instance, Orville Wright once spent $152, 000 on litigation costs alone. In addition, Wrights were not the one ones who were devoted to wage battle over the production of planes in courts. Wright somewhat slow input in producing marketable production, the effect of their activities had affected competitors abroad. Wright’s legal rights had made competitors to reluctant to accept the royalties, fees and other potential fines that had been imposed by the Wright Company. Under normal circumstances, the holder of the patent was expected to be also the buyer of the improvement patents. However, in the case of Wrights, the improvement patents ceased to flourish as a result of the limitations for the market improvement; by association and innovation as a whole. Summarizing the impact of the Wrights’ lawsuits, their failure to develop the industrial capacity followed by their preoccupation with the litigation processes; severely barred their capacity to enter the market for improvement patents. As a result, Wrights continuous pursuit for market control was a serious impediment to the technological progress of the airplanes (Roach 53-60).

Not only did the Wright litigation processes take a toll on the aviation industry, but it also discouraged engineers, scientists and visionaries from advancing the art. In addition, the struggle over the patent rights also suppressed the Wright brothers, squelching their potential in the production of the planes in the name of patent protection. Another reason that explains why the patent rights slowed down the evolution of the flight industry was the considerable risk of filling the patent with any amendments in it. New amendments could conceivably be viewed as new material by the patent examiner. The Wright brothers knew that if new modifications would be made during an ongoing application, it was likely that it would have been rejected. After rejection, a new the court would require a new application and the therefore, a new patent application date would apply. As a result, Wrights were reluctant to make any new changes to their design during the first three years while their application was being reviewed. Even subsequent to 1906, the Wrights as the holders of the pioneering patent had little incentive to integrate improvements in their new design of airplanes. They would only have developed improvements only in the case where greater marketability could have justify the expense; however, Wright brothers were unable to develop improvement on the airplanes (Roach 77).

Essay 2: How the Wright Brothers Failed the Aircraft Industry in United States

Apart from the patent right that slowed down the development of the aircraft industry in United States, the attitudes and the behaviors of Wright brothers also contributed to the stalled development. The Wright brothers wanted to take control of the aviation industry in form of monopoly. As a result, being the holders of what Judge Hazel referred as the pioneering patent they stubbornly refused to enter a contract with other airplane manufacturers such as Curtis. While Curtis held crucial patents (given to him by AEA) concerning flight controls, design and engines, Wright could not prevent him from producing aircrafts. According to Curtis, he could not exercise the same authority and which, was on the condition that Wright’s airplanes did not have his enhancements. As a result, this stalled the technological development of the airplanes and eventually led to Wrights’ obsolescence. Wright brothers were greedy. They doggedly pursued litigation with the intention that they could own the US aircraft manufacturing industry. Even Octave Chanute, who was a friend and a mentor to Wright brothers, wrote in a letter that he was afraid that their sense of judgment was warped with their desire to get wealth. As a result, they tried everyone in their power that they considered was a threat to their success (Roach 182).

There was also some sense of pride that made Wrights not to corporate with the other developers. Apart from their monetary pursuit, they felt that they were owed for their invention. Contrary to developing their company, they hindered growth in the same industry that they had created. Other factors that stalled the growth of aircraft industry were non-behavioral such as health. In May, 1912, Wilbur Wright nearly collapsed while he spending every moment micromanaging the team he had assembled for the Wrights lawsuits-he had contracted typhoid fever. He never recovered. Orville insisted that it was his brother’s nervous exhaustion caused by the lawsuits against Curtis that led to his death. As a result, he accused Curtis of being the cause of his brother death; causing another endless war over the growth of the airplane industry.

When they flew their first plane over the dunes, the press got interested in covering the story; however, they were obsessed with the secrecy. Their obsession made them to delay the patenting of their design since they were unwilling to share with anyone about their new invention and thought that the disclosure would have resulted in their design being stolen. In addition, Wrights were also no willing to settle for any price on the sale of their machine. When Chanute urged the brothers to accept some of the aviation prices that were being offered, they refused. The claimed that it would have interfered with the sale of their secrets. In a letter that they wrote to a friend that they appreciated the prestige that would be associated with winning the prizes but they could not afford to present time to put in danger their other interest in 1909. In other words, their obsession with secrecy delayed the growth of the aircraft industry in the United States (Roach 180).

Wright brothers’ stubborn character was also the reason as to why the aviation industry did not grow fast. Noting the potential that their aircrafts would have on military applications, they offered to sign a contract with the United States defense department. They presented the deal in a clumsy and stubborn manner that there was no way that their deal would be accepted. Furthermore, they refused to show proof that they had invented a flying machine to the US army. Also, refused to show even a photograph of the aircraft that was claimed had flown over Kitty; instead, they furnished the names of Dayton witnesses as proof that they had invented an aircraft. Even when they were approached British, France and Germany, they dragged on various consortia and officials by constantly changing their contractual demands. They refused to budge on the prices on the excuses that the aircraft specifications could not be changed. Instead of showing a demonstration of the capabilities of the aircrafts, they urged the potential buyers to take their words. As a result, this sort of stubborn behavior made European contractors to back out of the deal, causing the delay of the growth of the aviation industry in United States (Roach 175-190).

The Wright brothers’ pride also led to the stalled the development of the aircraft industry in US. They were not worried of competition since they were convinced that no one would be able to make a practicable flying plane in five years. Due to their, pride, the technological development of plane industry in US was stagnated for some time while prospective competitors such as Alberto Santos-Dumont made over 160 planes in France, earning public praise (Roach 221). On the other hand, Wright brothers only flew for their buyers but no of the buyers was able to convince them to co-operate with other developers thereby delaying the development of aviation industry.

Conclusion

Despite Wrights disagreement, to deny them this rightful distinction of inventing the planes will be willfully ignoring the fact. Their contributions to aviation are innumerable as being their first in flight industry. Without forgetting their treatment around the issue concerning patent rights, their behaviors were taken as harmful progress of aviation. To claim that they owed the whole world for their invention; in addition, profits arising from them were unreasonable.

Works Cited

Roach, Edward J. The Wright Company: From Invention to Industry. Ohio: Ohio University

Press, 2014. Print.

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