[LB040078], Letter from Thomas Alva Edison to Edison Phonograph Toy Manufacturing Co, April 17th, 1890
https://edisondigital.rutgers.edu/document/LB040078
Transcription
April 17th 1890 Edison Phonograph Toy Manufacturing Company, No. 95 Milk Street, Boston, Massachusetts. Dear Sirs:- Referring to your letter of 16th instant, enclosing copy of proposed agreement to be made by Mr. Yeomans for the disposal of European rights to the Edison Phonograph Toy Manufacturing Co., for all European countries including Great Britain and Ireland and the Channel Islands; the figures you name, viz. One Hundred Thousand Pounds (£ 100,000), in cash and twelve and one-half percent (12-1/2%) of the capital stock of the Company, which capital stock shall not be more than Three Hundred Thousand Pounds (£ 300,000), would I think be acceptable to me. Before giving me formal consent to such a plan, I would want to see a list of the parties who underwrite the Company, and a copy of the guarantee in connection with the same. With reference to my royalties and manufacturing rights for the territory named, I would be satisfied to take thirty-two percent (32%) of the cash and stock and other proceeds received by your Company. As [illegible] have recently become interested in the manufacturing business it would be necessary for me to confer with them before executing anything formal with relation to the manufacturing rights. I believe that they would do exactly as I would want, but you can well understand that their consent should be obtained. Meantime I can see one objection to the negotiation going ahead on the lines indicated. It will be necessary in the contract between the European Company and your class to provide with great clearness that the sale of articles manufactured by the former shall be restricted solely to European countries, that is to those countries specified in the license which it is proposed to grant them; otherwise specified in the license which it is proposed to grant them; otherwise advantage may be taken of the non-existence of patents in certain important parts of the World, such as China, where your own prospects a large trade in the future are excellent. Also care should be taken to exclude the Colonies of all European Countries for the reason in some of these a business can be done as large or larger than in the mother country. Yours very truly, Thos A. Edison