REMINGTON ARMS COMPANY, August Mr. Ms. E. Wilson, Attorney at Law, liz2 Continental Bank Salt Lake City, Utah. Dear Mr. Inec., 11,.1927 Bldg., Wilson: This letter will supplement my letter to you dated We have now heard from Mr. C. T. Neal, attorney for Pedersen, relative to proposed settlement. In this letter, they make us what we believe is a final proposal, it having been made as the result of our meeting with them on July 28th, to which I referred in my letter of July 29th. Their proposal to us is briefly 1. upon all Model Since the date 1927. as follows: Pedersen to receive a royalty of $.75 per gun 17, 20 gauge shotguns manufactured by Remington of their written notice of infringement, Jan. 31, iz be Ze That if and when Remington will manufacture a gauge shotgun, subject af the Pedersen patent, the royalty paid on 12 gauge and also on 20 gauge to be $.50 per gun. for De Remington to pay Pedersen, in lieu of damages infringement from 1920 to Jan. 31, 1927, the amount of 910,000.00 cash on the date of execution of the agreement to (as advance royalties) and furthermore to pay an additional $5,000.00 one year from execution date and a further 35,000.00 two years from the execution date, making a total of $20,000.00 to be paid as minimum royalties. They stood infringement but they accepted. out for a substantial adjustment for past have now waived this if the above terms are We believe that this is the most favorable basis on which a settlement can be had. They know, as well as we do, that we have no real defense and they fully expect to recover a great deal more in the event of litigation. After most careful consideration and many hours of deliberation Mr. Smiley and I have