As Russel's secretary, Sam Insull, was preparing the contract. The four were finding a way to pass the time.
There are templates in a contract such as this deal, and the deal was informed by Morgan Russel beforehand. So instead of having to wait three to four days for the parties to write the terms of the contract, they only have to wait one or two hours. And once it is ready, they'll only have to vet it with their lawyers and they are good to go.
Unfortunately, the two young industrialist duo don't have a lawyer yet. The Axelsen and Nielsen Air Brake Company hasn't established a legal department as they were preoccupied with fulfilling the orders. But after seeing them sign contracts on contracts, the realization of needing a legal team dawned in their mind.
"Can we trust your lawyers, Mister Morgan?" Poul broke the silence. His eyes fixed on Morgan who was sitting across from him, sipping his coffee.
"If you are that worried, you can check the contents of the contract by yourself," Morgan said flippantly.
"Let's just make sure that there will be no loopholes," Jonathan added.
"There will be no loopholes," Morgan assured. "Russel's company and yours are my valuable enterprises. Why would I start discord among you? In fact, your companies should act like a team. Russel is electrifying the world while both of you are making devices to harness the power of lighting…Is it true Russel that you patented your direct current system electrical transmission?"
"That's right, Mister Morgan. I just got it two months ago," Russel confirmed.
Poul sighed inwardly. So Russel already patented the direct current transmission system huh? That will give Russel the power to monopolize the electric distribution in the United States. If someone wants to compete with his system, they either have to receive a license from Russel or build a new system different from the direct current system, which is the alternating current.
But in this period, the world deemed alternating current as useless because it has no practical uses, at least not yet. Poul he is going to prove them wrong once his enterprises stabilized to the point of self-sufficiency.
"Mister Nielsen and Mister Axelsen," Russel called, prompting the industrialist duo to look over him. "You are attending the lighting ceremony of the New York Stock Exchange tomorrow evening right?"
"Well, we have been informed and invited by Mister Morgan over the telephone," Poul said and continued. "And we are interested to be part of history. Right, Jonathan?"
Poul glanced at his partner who was sitting next to him. Jonathan nodded in affirmation.
"Great," Russel smiled. "Then I guess I'll see both of you gentlemen there."
When the topic of lighting the New York Stock Exchange was brought up, Poul recalled something.
"Have you heard of a person named Caroline Dupont? The founder of Loreal?" Poul inquired.
"How did you know her?" Morgan's brows furrowed slightly.
"On our way to New York, there was this lady in the station whose purse was stolen by a thief. We helped her by loaning her train and ferry tickets. Turns out the lady was Caroline's secretary, who then gave us a visit in the Astoria Hotel hoping to thank us and pay the money the lady owed us," Jonathan interceded and continued. "She also said that she is invited to the lighting ceremony tomorrow evening. Poul asked because we are curious about the lady."
"Well, Miss Caroline Dupont is indeed the founder of the Loreal Corporation, the largest cosmetic, consumer goods, and apparel company in the world. One of the investors of the Russel Illuminating Company and the soon-to-be first customer to be installed with electric power," Russel said and continued. "About her attendance tomorrow, yes I have invited her to come to the ceremony."
"I heard that she has a branch here in New York? Do you know where it is?" Poul asked.
"I believe it's on Broadway," Russel answered.
"Broadway? Isn't that six miles away from here? How is your electricity going to reach that distance?" Poul inquired curiously.
"We are going to build a power plant in Broadway street," Russel answered flatly.
"I see," Poul sighed. One of the weaknesses of the direct current is rearing its ugly head.
"Why are you sighing?" Russel arched his brow.
"Nothing," Poul shook his head and waved his hand in front of him dismissively. But Russel got a hint from what he was disappointed about by reading his facial expression alone.
"I know, the direct current can't travel beyond one mile but with enough time we will be able to solve that problem and make electricity so cheap that only the rich burn candles," Russel averred confidently.
"No, you won't, Mister Russel. You won't be able to build such a system with direct current," is what the words Poul wanted to say to Russel but he kept to himself. Instead, he smiled, showing support for his endeavor.
Two hours later, Sam Insull returned with a contract.
"Here it is, Mister Russel. Already vetted by our legal team," Insull said.
"Good, show it to them," Russel ordered. Insull handed the papers to Poul and immediately perused the content.
Jonathan leaned over to peruse it also. Together, they spent thirty minutes reading through terms and obligations which they found reasonable.
"We will provide the detailed schematics of the electric motor and give you rights to produce, manufacture, and distribute it for ten years. Once the term of the contract ends, both parties have the right to decide whether to renew the contract or not. In return for the rights, you'll pay us royalties. Two dollars and fifty cents for every horsepower of direct current electric motor sold. I'm sure I have explained to you how it was calculated earlier, didn't I? Mister Russel?" Poul said.
"It was made clear to me earlier, Mister Nielsen. You don't have to repeat it for me," Russel cleared his throat.
"Alright then, let's get this done. I apologize, Mister Morgan. The terms in the contract are very clear to us and we won't need a lawyer to interpret it."
"Well, you are the boss," Morgan said, smiling.
"Ohh…good thing that you included it here. If your company failed to pay royalties accordingly, we will have the right to take legal action which would cost you more than the royalties," Poul read the section that described the term.
"And if the schematics and the manufacturing process you gave us didn't work as intended, we will also have the right to take legal action and force you to compensate for every dollar it cost us to build the facilities, acquire raw materials, and others," Russel said.
"That's fair. If there's nothing, we can sign the contract," Poul suggested as Jonathan handed him the fountain pen. "I'll sign first."
Poul signed the document, followed by Jonathan. Russel grabbed his own fountain pen and signed the contract as well.
After that, Morgan clapped his hand in joy.
"Good. I love it when the two of you are working for the greater good of your enterprises. We will meet each other again tomorrow in the lighting ceremony."
"We will see you tomorrow, Mister Nielsen and Mister Axelsen," Russel said as he glanced at the two.
"Of course, you can expect our attendance," Poul nodded in response. He pulled the pocket watch out of his pocket and checked the time. "Oh boy. Jonathan, we have to go, we will be late for our meeting."
"What meeting?" Morgan raised a brow.
"A meeting with Caroline Dupont. She said she wanted to talk about something to which we agreed."
"Where?"
"In Bethesda fountain in Central Park. By the way, do you know where we can buy flowers?" Poul asked.
"At seventy-ninth street first avenue. There's a flower shop there," Morgan told him.
"Alright, thanks. See you tomorrow evening," Poul and Jonathan waved goodbye to them and proceeded towards the exit.
