·18 · FEDERAL REPORTER. ,
8. Tmnnrnoun CoMrANms——LrcnNso1a AND L1cnNsmm—Bm.r. Tnnmrnoum Com
mmns. V
The contracts between the American Bell Telephone Company and the local
telephone corporations createthe relation of licensor and lessor on the one
side, and licensee and lessee on the other, and not arelation of agency.
9. CORPORATIONS—FOREIGN Co1u·onA·r1oNs-—Dome Busmnss m A STATE.
Whether a foreign corporationis carriying on business in a state must be
determined by wh tit has done, or is do ng, rather than by what it may here-
after do, under powers reserved to it inexisting contracts, but not yet exer·
c1sed. For one dperson to supply the means to another to do business with
or on is not the oing of that business by the former.
V 10. SAmr—MANAcme Aem¤·rs—-Bam. Tnnmrnoun Com-Amszs. ¥ _
Transactions such as the American Bell Telephone Company has had with
the licensee corporations of Ohio, at its place of business in oston, and not
elsewhere, is not the carryingon of business by it in Ohio; nor are such
~ licensee corporations its "managing agents. " »
11. SAME-Snr.vron on Aenivr. ·
An agent of a foreign corporation upon whom service can be made. must
be one actually appointed by or representing the corporation as a matter of
fact, not one created by implication or construction, contrary to the inten-
tion cf the parties. ·
12. SAmm—-MAr:Aemo Aormrs.
The term "mauaging agent" implies the carrying on of the corporate busi-
ness, or some substantial part thereof, by means of an agent who manages
and conducts the same within the limits of the state, for and on account of
the foreign corporation. l
18. Pnnurs ron Invnnrrous—L1cmNsn—PArmNr-Honnmo CORPOBATION—NA·
rrouanrzrno. _ , . . _
_ The right of the patent owner to permit or license the use of the invention
, is not the creature of the federal franchise or statute, but of the common law;
and in exercising this common-law right of licensing others to use its patent,
_ the corporation owner is no more natwnalized than a pr1vate owner would be
under the same circumstances; nor does the fact that a patent-holding corpo-
ration licensesothers to use .its patent in a particular state have any more
eifect and operation in d0me.gticdhng.it within such state than the same act on
the part of ‘a private owner would have in renderinglhim a citizen and resi-
dent of every state in which his patent might be use ,
14. SAMm5Jun1snrc·rroN—PnAor1cm. .
_ Neither the patent law. nor the privileges secured to patentees thereunder,
in any way enlarge, modify, or change the judiciary acts in respect to either
. the territorial jurisdiction of the federal courts, or the proper service of pro-
. cess upondefendants. _
15. ACTION—ENTRY on APPEARANCE. · 4
Allegations in a plea in abatement showing that the cause of action, and
the subject-matter of the suit, did not have its origin in Ohio, such plea be-
ingpreseuted solely to object to the jurisdiction o the court. and to quash
the returnof service, do not amount to an appearance of the defendant.
In Equity. Hearing on motion of the American Bell Telephone
Company to set aside the marshal’s return, and on plea in abatement
to the jurisdiction of the court over said company.
A. G. Thurman, Grosvenor Lowry, Jef. Chandler, and P. H. Kum-
ler, Dist. Atty., for the United States.
A Joseph E. M cI)onaLd, Richard A. Harrison, and J. J. Storrow, for
American Bell Telephone Co.
· Perry rc Jenney, for local telephone companies.
  J Aoxsou, J. Proceeding upon the general theory that a patent is a ·
contractbetween the inventor on the one side, and the government
on the other, founded on conditions or considerations prescribed by
law, those moving from the former being the production of some new
invention or discovery beneficial to the public, in consideration of