From the Rolls-Royce experimental archive: a quarter of a million communications from Rolls-Royce, 1906 to 1960's. Documents from the Sir Henry Royce Memorial Foundation (SHRMF).
Letter from Armstrong Whitworth Securities Co. Ltd. concerning an agreement for the development of Road Transport Compression Ignition Engines.
| Identifier | ExFiles\Box 133\3\ scan0148 | |
| Date | 8th March 1940 | |
| ARMSTRONG WHITWORTH SECURITIES COMPANY LIMITED. TELEPHONE: VICTORIA 2233 TELEGRAMS: ZIGZAG SOWEST LONDON CABLES: ZIGZAG LONDON WORKS: NEWCASTLE-UPON-TYNE THAMES HOUSE, WESTMINSTER, LONDON, S.W.1. 8th March, 1940. E.W. Hives, Esq., Messrs. Rolls Royce Ltd., DERBY. [Handwritten] Rm{William Robotham - Chief Engineer} Please see me HB{C. E. Harcombe} Dear Mr. Hives, I was very pleased that during our conversation on Tuesday we were able to reach agreement in principle on the terms of co-operation between our two firms, for the development of Road Transport Compression Ignition Engines. As our conversation not only covered the terms during the development period, but also the royalties to be paid when the engine goes into production, and as all the terms of the license should be agreed before starting development, we feel it would be just as well if the License Agreement were signed at the commencement of our co-operation, as the License Agreement places no obligation upon you either to pay minimum royalties or sets no date for the commencement of production, and the only clause which would become operative at once would be that one under which you undertake to respect the validity of our patents, an obligation which you have already assumed under our aircraft development agreement. I have consequently prepared a letter of agreement to cover the development period, and a draft license to cover the production period when it starts. I did not name the Consulting Fee or the lump sum for the License, during our conversation, as I wished to consult with my colleagues before doing so; but I trust you will find the lump sum set out in the letter, to be embodied in the License Agreement, will be acceptable. I would like to thank you very much for the courtesy extended to me during my visit, and I shall be very pleased to go to Derby at your convenience, to discuss any points you may wish to raise in connection with the enclosed. | ||