Keystone Wagon Works - 1890-1909 - Keystone Vehicle Co./Keystone Body Co. - 1909-1920 - Reading, Pennsylvania


   

Keystone Wagon Co., 1876-1886, Gerardville & Shenandoah, Pennsylvania; Keystone Wagon Co., 1886-1890; Keystone Wagon Works (1), 1890-1899; Keystone Wagon Works (2), 1899-1909; Keystone Vehicle Co., aka Keystone Body Co., 1909-1920; Daniels Motor Car Co., 1915-1920; Daniels Motor Co., 1920-1924; Reading, Pennsylvania; 1924 Levene Motor Co., Philadelphia, Pennsylvania

Unrelated to Friedrick's Keystone Wagon Works, a mid-20th Century truck body builder located in Philadelphia, Penn.

Today the Reading Vehicle Co., a direct descendant of the Reading Wagon Co., is mainly remembered as the constructor of production bodies for the Daniels automobile, a high-quality car manufactured in Reading, Pennsylvania in very small numbers between 1915 and 1924.

The Reading Wagon Co. was founded by a Pennsylvanian-born blacksmith named James A. Klees. He was born on March 10, 1851 in Gordon, Schuylkill County, Pa., to Isaac and Ann (Stevens) Klees. His paternal ancestors were of French extraction, whilst on the maternal side they originally came from England in the pre-Revolutionary War era. Isaac Klees, the father of our subject, moved to Schuylkill County at an early age, and there learned the trade of a blacksmith, and followed it throughout his entire life.

At the age of 12, James, having completed his primary education in the Gordon schoolhouse and already being well-versed in his father’s trade, was apprenticed to a local machinist and blacksmith. He gained further experience in a wagon-maker’s shop and upon reaching his majority rented a 12’ x 12’ shop in Girardville, and with $50 in borrowed capital established his own blacksmith shop. He acquired an assistant and shortly thereafter relocated to larger quarters in nearby Shenandoah.

The firm was located in the heart of Pennsylvania’s coal region and the firm’s wagons were well-regarded by the regions numerous mine operators. His business expanded and during the winter months employed as many as 25 hands, who kept busy producing wagons of all types for the regions numerous miners, farmers and businessmen.  

On November 14, 1875, Klees married Kate Spanig, daughter of Peter Spanig of Reading, and to the blessed union was born nine children: Clifford F.; E. Spanig; J. Guy; Bessie E.; Eleanora; Elsie; Lou; Russel; and Ernest Klees.

In 1886 Klees sold the prosperous Shenandoah works and relocated 50 miles south to Berks County, where he erected a new $11,000 plant at Reading and entered into the manufacture of wagons in a large way in the style of the Keystone Wagon Works.

In 1890, being importuned by several commercial friends of high financial standing, he merged The Keystone Wagon Works into The Keystone Wagon Company, and a large factory, covering almost an entire block, was erected on Third street and the Lebanon Valley R. R. The wagons were widely advertised, largely through their merits, and during the two succeeding years the demand for them greatly increased, and the factory was not large enough to furnish the required supply. Therefore they erected an additional wing, five stories high, with dimensions 42 x 110 feet on the west side of the plant, and a wing four stories high, 50 x 75 feet, on the south side, making a floor space of 75,000 square feet, in addition to 200,000 previously existing.

The firm’s most popular products were its purpose-built coal chute and dumping wagons, upon which it gained a nation-wide reputation as leaders in the field. Keystone exhibited their new line of coal wagons at the 1893 Columbian Exposition in Chicago where it came to the attention of businessmen from England, Australia, South Africa and South America.

Klees was awarded a number of US Patents relating to his dumping wagons which follow:

Dumping Wagon – US Pat. No. 449265 - ‎Filed Nov 22, 1890 - ‎Issued Mar 31, 1891 to James A. Klees and assigned to Keystone Wagon Co.

Dumping Wagon – US Pat. No. 454004 - ‎Filed Feb 12, 1891 - ‎Issued Jun 9, 1891 to James A. Klees and assigned to Keystone Wagon Co.

Dumping Wagon – US Pat. No. 490661 - ‎Filed Oct 30, 1891 - ‎Issued Jan 31, 1893 to James A. Klees and assigned to Keystone Wagon Co.

Dumping Wagon – US Pat. No. 519455 - ‎Filed Aug 28, 1893 - ‎Issued May 8, 1894 to James A. Klees and assigned to Keystone Wagon Co.

Keystone was also well-known for its express and platform spring wagons and enclosed delivery wagons, all of which were available with light, medium or heavy duty wagon gear.

Klees patented a hand cranked gear which lifted the coal-filled body high in air, sloping rearward at any angle desired by the operator. The anthracite exited the body via a metal chute that passed through a small door in the rear allowing the operator to have complete control over the manner and speed of the delivery.

Local businessman saw much potential in the invention, prompting a notable recapitalization of the firm which was covered in the April 1892 issue of Carriage Monthly:

“Keystone Wagon Co., Reading, Pennsylvania, have increased their capital stock to $150,000. This concern is under the general management of Mr. James A. Klees, a thorough business man and genial gentleman. The officers are: President, James A. Klees; secretary, Harry T. Shick; Treasurer, W.H. Shick. These works were established in 1876, and the plant has been increased in a phenomenal manner. It consists at present of 3, three-story brick buildings, making a total floor surface of 49,250 feet. The following new machines are being added; 150 pound upright Bradley hammer, a plunging machine, weighing 12,000 pounds, and having two heating surfaces. Numerous other new machines are about to be added.

“Mr. A.L. Kern, a specialist in forged iron working, has patented an improvement on upright hammers for plating trees and carriage clips and similar work. This invention will be put in operation at this company’s factory. A very pleasant still enjoyable event was the occasion of the banquet, February 20, tendered to the stockholders by the directors of the company. Rev. W.J. Stevenson being the invited guest. A beautiful and artistic model, in cut flowers, of the Keystone Dumping Wagon, graced the center of the board. Mr. George Crim, the popular salesman of this company, on the occasion of his birthday, which occurred on even date with the banquet, was admitted to the company, and was presented with a fine gold headed cane in appreciation of his valuable services.”

Keystone embarked upon a modernization of the plant which now employed 100, his purchase of a massive 150 h.p. Corliss steam engine was mentioned in the May 6, 1893 issue of the Hamilton (Ohio) Daily Democrat:

“Corliss Engine a Favorite.

“The Corliss engine manufactured by Hooven, Owens & Rentschler has a great reputation all over the world. The following is from a Reading, Penn., newspaper, and is a very handsome compliment of one of our leading industries:

"The Keystone Wagon works have been making extensive Improvements during a recent period and President James A. Klees has just placed an order for a 150 horse power Hamilton-Corliss engine with Wm. A. Hammett, general eastern manager of that company. Mr. Klees had examined the various engines of other manufacturers and made choice of the Hamilton-Corliss as best adapted to their purposes. This Is the seventeenth engine of that manufacture purchased in this city within the past year and a half."

March 1896 issue of The Hub:

“The Keystone Wagon Works, Reading, Pa., elected the following officers: President, James A. Klees; Treasurer, W. H. Shick; Secretary, H. D. Shick ; Directors, James A. Klees, W. H. Shick, Peter E. Buck, E. M. K. Becker, Frank Klees, H. H. Shick and E. M. Bracefield.”

“I. S. Remsen Manufacturing Co., of Brooklyn, showed forty jobs, made by the Oneida Carriage Co., the Safety Buggy Co., and Keystone Wagon Co.”

A sudden downturn in business during the late 1890s caused the firm to default on a major loan procured from the Pennsylvania Trust Co. back in 1892, and the firm entered into receivership, the February 25, 1899 issue of the Reading Eagle reporting:

“KEYSTONE WAGON WORKS SOLD FOR $55,000

“Real Estate and Contents Go at That Figure – A New Corporation to be Formed.

“The Penn’a Trust Company, the receiver, put up for sale the Keystone Wagon Works and contents, 3d and Lebanon Valley Railroad. It is a large 3-story building with numerous annexes and occupied the best part of a square.  Harry S. Yeager was auctioneer. Some 75 persons were present.

“Garrett B. Stevens read conditions of sale. They stated that the plant was to be sold subject to a mortgage of $40,000 with interest at 5 ½ per cent, since last May. The purchaser was to pay 10 per cent down and the balance in 30 days.

“It was sold over and above the mortgage. Garrett B. Stevens was the first bidder at $15,000. Nathaniel Ferguson added $100 and Mr. Stevens another hundred and the latter was the purchaser at $15,200 or $55,200 with the mortgage.

“Mr. Stevens represented as trustee and attorney a company that is to be incorporated within 5 days to be composed of a number of creditors. In the meanwhile the plant will continued in operation.

“Before the sale started notices were read from the Patterson Wagon Company and the I.S. Remson Manufacturing Company, of Brooklyn, each claiming 9 of the wagons. The vehicles in the building are valued at about $10,000. The structure and contents were appraised some time ago at near $200,000.”

Klees was forced out of the reorganized firm which was now placed under the capable hands of Reading banker and industrialist Nathaniel Ferguson.

Ferguson was born at Robesonia, Berks County, Pennsylvania on June 5, 1868 to Nathaniel and Amanda (Davenport) Ferguson, his father being involved with Robesonia Furnace, an early smelter of pig iron, an important ingredient in steel and wrought iron production. The younger Ferguson studied at Reading’s Carroll Institute and Philadelphia’s Pierce Business College after which he entered the banking industry becoming vice-president of the First National Bank of Reading. In addition to heading Keystone Wagon, Ferguson served as president of the Blue Mountain Mfg. Co., vice-president of the Montello Brick Company, and a director of the Pennsylvania Trust Co., Oleyville Railroad, Berks County Agricultural Society and the Reading Public Library.

James A. Klees remained undaunted, forming the Klees Wagon Works within months of losing control of Keystone, the June 11, 1899 issue of the Reading Eagle reporting:

“New Wagon Works

“The new Klees Wagon Works will be put into operation within the next two weeks with some 20 hands. The old plant used by the Keystone Wagon Works along the Lebanon Valley tracks has been fitted up for operation and will be run by James A. Klees, who established the Keystone plant and has had many years’ experience as a builder of wagons. Mr. Klees has already booked a number of orders.”

Although unrelated to our subject, Keystone Wagon, the Klees Wagon Works remained in business into at least 1908 and is known to have constructed a number of ambulances, one of which was delivered to the Lebanon Sanitorium in November, 1904.

The August 23, 1899 issue of Horseless Age inferred that Keystone was considering the manufacture of motor trucks:

“The Keystone Wagon Works, Reading, Pa., are considering the advisability of taking up the manufacture of motor trucks and delivery wagons.”

Keystone’s wagons were distributed in Manhattan by the New York Wagon Co., 8th Ave at 18th Street, who also distributed products built by the Cortland Wagon Works, Cortland, N.Y.

John A. Roebling's Sons Co., the firm who constructed the wire cable used on the Brooklyn Bridge, were users of Keystone Coal Wagons, the  January 10, 1901 issue of the Trenton Times reporting:

“The Roeblings have put in service two new two and a half ton coal delivery The wagons were manufactured by the Keystone Wagon Company. “

Keystone’s directors voted to increase the firm’s capitalization in late 1902, the November 19, 1902 Daily Gazette & Bulletin (Williamsport, Pa.) reporting:

“READING - A meeting of the stock-holders of the Keystone Wagon works of this city, will be held In Camden, N. J., to increase the capital stock of the company from $300,000 to $400,000.”

Although the firm’s bread & butter were their patented coal delivery wagons, they constructed all kinds of commercial wagons and heavy delivery trucks. The also constructed vehicles for the US Government, and between 1896 and 1910 were one of a handful of firms to construct rural delivery wagons for the US Post Office.

One popular postal wagon sold directly to rural mail carriers was the ‘Light Runner’, a style constructed to US Postal Service specifications by Keystone and the Ligonier Carriage Co. of Ligonier, Indiana. A description of a surviving ‘Light Runner’ follows:

“The driver sat inside and guided the horse with reins through the open front window. The hinged window could be swung inside and hooked to an overhead strap. The rear window could be opened, too. In front of the driver's seat there are 12 mail bins and a stamp-money box. A foot brake is inside on the right. In winter, the reins passed through two little slots at the base of the window. Atop each side door are the words ‘The Light Runner.’ On its sides are the words ‘Rural Delivery Route No.1, U.S. Mail.’ There's even a whip holder on the right side of the green buggy with lighter green trim. The frame is red with yellow striping.”

The April 1904 issue of Carriage Monthly reveals that George W. Biehl, a well-known Reading commercial body builder, had been hired on as general manager of the Keystone Wagons Works:

 “The Keystone Wagon Works. Reading, Pa., were originally established in 1890, and subsequently incorporated in 1809. Their capacity is 5,000 vehicles annually. Of the present output carriages represent 50 per cent, and wagons 50 per cent. The officers are Nathaniel Ferguson, president; John Hendel, secretary and treasurer. G. W. Biehl is general manager.”

George W. Biehl was born in Allentown, Pennsylvania on Feb. 5, 1854 to John A. and Matilda (Wetherhold) Biehl. His father was a skilled carriage trimmer, having entered the trade at an early age in the Kutztown blacksmith shop of his father, George Biehl (b.1813 - d. 1861), who had been working in the trade since he was 7 years old.

Matilda Wetherhold was also from another famous Berks County carriage building family that was headed by her father, William H. Wetherhold. Established in 1862, it became Wetherhold & Wetherhold when his sons William and George joined the firm, and Wetherhold Bros. when its founder retired in 1891.

George W.’s father, John A. Biehl (b.1831 - d.1908), was later apprenticed to an Allentown, Pennsylvania carriage builder where he became learned the art of trimming and upholstery. Once a journeyman, he traveled across the state working for various builders before settling down in Reading where he became associated with the carriage building firm of Conrad Krebs.

After his son, George W., had completed his studies in the Reading public schools, at the age of 13 he entered the trade as a trimmer’s apprentice working alongside his father in the Krebs carriage works.

In 1871 George W. Biehl married Emma Morgan, and in short order produced five offspring; George M., Bessie, Alvin J., Herbert T. and Earl. In 1877 Biehl made a bold move and established a carriage works of his own on Reading’s Cherry Street, just below Sixth.

Business progressed and in 1880 he moved into larger quarters on Pearl Street, between Cherry and Franklin, establishing an office and wareroom at No. 31 S. Fifth St., Reading in 1882. Biehl produced the occasional pleasure vehicle, but his main line of work was for Reading’s businessmen, for whom he produced transfer and express wagons, ambulances, embalmers' wagons and hearses.

In August of 1887, the firm produced a $375 one-horse ambulance for Reading’s volunteer fire department.

In 1891 Biehl tentatively sold the carriage works to James Goodman, the son of Reading carriage builder Henry Goodman, but within two years Goodman had stopped making his mortgage payments and Biehl repossessed the firm in 1893. By the turn of the century Biehl’s 45 hands were turning out $50,000 worth of vehicles annually.

In 1903, Mr. Biehl admitted a partner, Wilson H. Eisenbrown, the proprietor of Reading’s Eagle Wagon Works, and the two plants consolidated into Biehl’s growing Pearl St. manufactory.  Six years earlier Eisenbrown’s factory had been destroyed by a fire on the night of August 10-11, 1897, and his heavy truck and wagon business had never fully recovered from the loss.

The combined business grew at an exponential rate and in 1904 a third partner, Thomas DeMoss was admitted to the firm which was reorganized as Biehl's Carriage & Wagon Works.

At one time or another Stephen Golubics, an Austrian immigrant and veteran Bucks County coachbuilder headed the woodworking departments at a number of well-known Pennsylvania builders who included Hoffman-Shimer (Bethlehem, Pa.), Keystone Wagon Works, Biehls Carriage Works (Reading, Pa.), Reading Metal Body Co. and its successor, the Fleetwood Metal Body Co. (Fleetwood, Pa.). His son, George Golubics, would become a Ford Motor Co. designer in the 1950s.

Edward Hofheins, Keystone’s New York sales representative, was highlighted in the September 1904 issue of Carriage Monthly:

“A Hustler

“One of the most active representatives of the wagon industry in the State of New York is Edward Hofheins, who represents the Keystone Wagon Co., Reading, Pa., in an important territory in the city of Buffalo, N.Y. Mr. Hofheins has been building up his trade for years, and is regarded as one of the popular men in the industry. He has done much to make the products of his company well known throughout a large territory.”

In August 1906 President Roosevelt purchased for use at Oyster Bay a three-seated platform spring-wagon. Edward A. Hofheins, representative of the Keystone Wagon Works, Reading, Pennsylvania, received the order through McReynolds Sons of Washington, DC Known as No. 71 of the Keystone line, the wagon had removable seats for six passengers.

Biehl ‘retired’ from the firm in early 1907, his position being assumed by James T. Reber, former head of the Reading Metal Body Co. The March 1907 issue of Carriage Monthly announced the transition to the trade as follows:

“Manufacture of High-Grade Wagons.

“The Keystone Wagon Works, Reading, Pa., have elected the following officers: Edward C. Nolan, president; Robert E. Brooke, vice-president; John L. Coxe, secretary and treasurer, and James C. Reber, general manager. It is the purpose of the Keystone Wagon Co. to continue in the manufacture of high-grade wagons, together with the manufacture of automobile bodies, which business Mr. Reber, the new manager, has been in for a number of years, being the president and general manager of the Reading Metal Body Co.”

“George W. Biehl, at the time of his retirement from the position of general manager of the Keystone Wagon Works, Reading, Pa., was the recipient of a silver tray and cut glass service set, given to him by E. A. Hofheins and C. C. Hayes, as a token of their high esteem of him as a man, friend and employer. Mr. Biehl, in severing his connection with the Keystone Wagon Works, took with him the good wishes of all the staff of employees and associates.”

“George W. Biehl, formerly general manager of the Keystone Wagon Works, Reading, Pa., will devote his time in the future to Biehl's Carriage and Wagon Works of that city of which concern he has been senior member for the past thirty years. He will also be interested in an automobile and garage to be conducted under the name of the Berks Auto and Garage Co.”

The April 23, 1907 issue of the Reading Eagle announced the news to the Reading community:

 “Keystone Wagon Works Making Auto Bodies.

“A busy industry is the Keystone Wagon Works, at Third street and the Lebanon Valley Railroad. About a month ago the manufacture of auto bodies was started and a large number of them are turned out weekly. This is an entirely new line and has proved quite a success.

“James T. Reber is the manager of the plant. He assumed charge about a month ago. Mr. Reber has had considerable experience in the manufacture of auto bodies, having a plant at Fleetwood. It is the intention of management of the works to eliminate the manufacture of light buggies and heavy coal wagons and to manufacture only business wagons and auto bodies. Every department is working full handed and the outlook is very encouraging.”

In hindsight, the decisions to discontinue the manufactured of the firm’s best-known (and most profitable) product was a bad one. Demand for composite automobiles bodies was much lower than anticipated, and the additional loss of revenue caused by the cessation of coal wagon production sent the firm into receivership, the December 2, 1907 issue of the Altoona Mirror reporting:

“Reading, Pa., Dec. 2. —  John L. Coxe has been named as receiver of the Keystone Wagon works of this city, a corporation capitalized at $400.000.”

Prior to February, 1907, the wagon works had built up and was doing a profitable business manufacturing wagons. About that time, against the defendant's protest, this business was abandoned, and that of manufacturing metal bodies for automobiles entered upon. The departure proved disastrous, so that the stock pledged by Nathaniel Ferguson to the First National Bank of Reading became worthless, entailing upon him a loss greater than the amount of his indebtedness to plaintiff. Whilst the affidavit declares that the plaintiff made the change that wrecked the wagon works, It does not allege or point to any corporate act on the part of the plaintiff corporation as In any way directing or connected with it. What Is meant is obviously to be gathered from the averment that the plaintiff owning the majority of the stock was, as such stockholder, through the majority of the directors of the wagon works, in control of Its business and affairs.

 

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January 20, 1909 Reading Eagle:

“Verdict In Favor of Mr. Reber for $9,715.50.

“After the case of James C. Reber vs. the Keystone Wagon Works, and John L. Coxe, receiver, was called for trial before Judge Endlich, a consultation between the attorneys on both sides was held, and upon agreement, the Court directed the jury to render a verdict in favor of the plaintiff for $9,725.50. This was a claim for three years’ services as manager of the plant. After the receiver was appointed Mr. Reber’s services were not needed.

“The Court, however, reserved the right to the defendants to file reasons for a new trial and judgment, notwithstanding the verdict. Snyder & Zieber represent the plaintiff, while Joseph R. Dickinson and J. Bennett Nolan, are counsel for the defendants.”

March 2, 1909 Reading Eagle:

“RECEIVES OFFER FOR KEYSTONE WAGON WORKS

“Receiver Asks Court For Permission To Sell - Enters Into Agreement – Hearing on April 5.

“J. Bennett Noland and Joseph R. Dickinson, attorneys for John L. Coxe, receiver of the Keystone Wagon Works, filed a petition for an order of sale of the assets of the insolvent defendant in the equity proceedings between Hoopes Brothers & Darlington Inc., stockholders and creditors of the Keystone Wagon Works, plaintiff, and the Keystone Wagon Works, defendant.

“Judge Stevens fixed Monday, April 5, as the time for the final hearing and granted a rule on all creditors, stockholders and parties interested, to show cause why the request should not be granted.

“Appraised at $143,380.30

“The petition states that Mr. Coxe was appointed receiver for the plant Nov. 29,1907. Appraisers were appointed and they made an inventory of the defendant company’s assets, which shows them to amount to $143,380.30, made up as follows: Cash on hand, bank and office, $227.88: book accounts receivable, $23,861.21; machinery, tools and fixtures, $10,039.40: merchandise and manufactured materials, $64,251.81: reals estate, $45,000.

“The liabilities are represented as being $231,766.70, including a mortgage of $40,000.

“Present Financial Condition

“The receiver sets forth that he was authorized by the Court to employ labor and operate the plant in order to realize the greatest possible value out of the stock at hand.

“The petitioner, Mr. Coxe, sets forth that he operated the factory, worked up much of the material on hand, and paid the expenses incurred, to the present time. The assets in the hands of the receiver at this time, he states, are: Cash on hand $23,135.61: book accounts receivable, including notes, $32,411.73: machinery, tools and fixtures, $10,039.40: merchandise and manufactured materials, $35,000: real estate, $45,000: total, $145,886.74.

“The receiver avers that at the present time he owes for merchandise and supplies purchased by him, $4,270.48, and has paid, in addition to operating expenses, $2,810.89, for preferred claims against the wagon works, such as wages, taxes, tec.

“The petitioner says that the estimate of materials and supplies on hand is based upon the valuation made by the appraisers, and that he believes if a sale is forced, he believes much less than the appraised value will be realized, as much of the material has no ready market.

“Thinks It Should Be Sold

“He believes that thus far the operation of the plant has been to the advantage of the estate, but will not be so any longer, since he is unable to get a sufficient number of desirable customers for the produce of the plant.

“Receives an Offer

“Mr. Coxe further represents that he has received from George Brooke, jr., of Birdsboro, the following offer: For real estate and machinery, $10,000, the conveyance to be made subject to the mortgage of $40,000, now held by the Penn’a Company for the Insurance of Lives and Granting Annuities, of Phila., with interest from Nov. 1, 1908, and subject to sewer liens to the extent of $448.56: for the stock and merchandise on hand, $30,000.

“The petitioner claims that, although this offer for the realty and machinery is $4,000 less than the combined appraised value, it is a fair price and more than can be realized upon a public sale.

“He says further, that although the building and machinery are appraised separately, they cannot be sold separately unless a bid for the real estate can be procured, sufficient to pay off the mortgage.

“To Assume Contracts

“The petition avers also that Mr. Brook will assume the contracts entered into by the receiver and relieve him and the estate in his hands from all possibility of loss by reason of further operation. Mr. Brooke, it is represented, will purchase from the receiver all policies of insurance now in force, for the unexpired term.

“The sale, if consummated, is to take effect from March 1, 1909. The petition states that the receiver has entered into an agreement for the sale of the plant, material and supplies, in accordance with the terms of the offer, subject to the approval of the court.”

1909 -  Reading, Pa., has added a taxicab manufacturing department to its plant at River road and Hockley Street, and have placed two cabs on the streets for the use of the general public The bodies are being built by the Keystone Wagon Works,

May 1909 issue of The Hub:

“Sale of Keystone Wagon Works Confirmed.

“A reorganization was effected by the Keystone Wagon Works April 10. The court, on motion of J. Bennett Nolan and Joseph R. Dickinson, made absolute the rule in the application for an order of sale granted Receiver John L. Coxe, to show cause why the plant should not be sold to George Brooke, Jr., of Birdsboro. The latter paid $40,000 for the plant, which the receiver deemed a better price than could be realized at public sale.”

May 4, 1909 PA Charters of Incorporation:

“KEYSTONE VEHICLE COMPANY— Reading, May 4, 1909. Capital, $75000. Manufacturing, buying and selling of vehicles and the component parts thereof.” 

A letter from John L. Coxe was printed in the June 1909 issue of Carriage Monthly:

“Keystone Vehicle Co. Reading, Pa., May 10, 1909.

“As successors to the business of the Keystone Wagon Works, Reading, Pa., we deem it advisable to acquaint you with the condition of the new company.

“On April 5th the new company purchased the manufacturing plant, including ground, buildings, machinery, stock and orders formerly owned by the Keystone Wagon Works The same management and the same force of employees which have been so successfully operating the plant during the last year and a half will be retained intact. The new company is composed of some of the most influential citizens of the city of Reading and its vicinity, and have been provided with adequate capital for carrying on a new and enlarged business.

“The new company start out entirely free from any current indebtedness, such as bonds, notes, preferred stock or merchandise bills owing, its sole encumbrance being an old mortgage upon their manufactory, which it is not deemed good or economic policy to pay off at this time. The new company will start out with all the assets of the old company and a far larger cash capital, and will have none of the liabilities of the old company, except the mortgage already referred to.

“It will be our settled policy to promptly discharge all obligations incurred and to discount all bills. We will inaugurate a policy toward our customers of filling all orders entrusted to us with promptitude and satisfaction. It will be our constant endeavor to merit your future patronage by the high standard of the results which we will obtain and by the celerity with which we hope to obtain them.

“Trusting that this statement will put the condition of the Keystone Vehicle Co. before you with satisfactory clearness and that our future dealings with you may be such as will merit your approval and continuation, we remain,

“Very sincerely yours, (Signed,) John L. Coxe, General Manager.”

June 1909 The Hub:

“THE KEYSTONE VEHICLE COMPANY.

“The Keystone Vehicle Co. is the name of the company which succeeds the Keystone Wagon Works, of Reading, Pa.

“The new company announces that on April 5 it purchased the manufacturing plant of the Keystone Wagon Works, including ground, buildings, machinery, stock and orders owned by its predecessors.

“The company also states that it starts out entirely free from any current indebtedness, with the exception of an old mortgage upon the manufactory, which it is deemed impolitic to pay off at the present time. None of its predecessors' liabilities will be assumed by the new company beyond the mortgage above referred to. The same management and force of employees will be retained. The company is capitalized at $75,000.”

September 1909 The Hub:

“Reorganized Company Doing Prosperous Business.

“According to an article in a local paper the Keystone Vehicle Co., successors to the Keystone Wagon Co., at Reading, Pa., is doing an unusually prosperous business. The company has over 200 hands on its pay rolls, and several departments of the plant are working overtime. Nearly all of the old hands of the Keystone Wagon Works are employed and many new ones.”

Keystone Vehicle Company, - The Keystone Vehicle Company was incorporated May 4, 1909, with a capital of $75,000, for the manufacture of wagons and automobile bodies, as successor of the Keystone Wagon Works, which had carried on a large business at Reading since 1890, extending to all parts of the United States. It secured the established plant along the Lebanon Valley railroad at Third street, consisting of a four-story brick structure, 200 by 225 feet, equipped with first-class modern machinery.  Operations were started immediately and employment was given to 100 hands.  The annual wages will amount to $50,000, and the product to $300,000.  The officers of the company are:  Edward C. NOLAN, president; G. Stanley HENDEL, secretary;  John L. COXE, treasurer and manager.

Morton Montgomery - History of Berks County, Pennsylvania, pub. 1909

“Keystone Vehicle Company. The Keystone Vehicle Company was incorporated May 4, 1909, with a capital of $75,000, for the manufacture of wagons and automobile bodies, as successor of the Keystone Wagon Works, which had carried on a large business at Reading since 1890, extending to all parts of the United States. It secured the established plant along the Lebanon Valley railroad at Third street, consisting of a four-story brick structure, 200 by 225 feet, equipped with first-class modern machinery. Operations were started immediately and employment was given to 100 hands. The annual wages will amount to $50,000, and the product to $300,000. The officers of the company are: Edward C. NOLAN, president; G. Stanley HENDEL, secretary; John L. COXE, treasurer and manager.”

March 1910 issue of Carriage Monthly:

“The board of directors of the Keystone Vehicle Co., Reading, Pa., have chosen the following officers: President, Edward C. Nolan; general manager, John L. Coxe; assistant general manager and superintendent, H. P. Burmeister; treasurer, W. L. Davis. The company are now employing 210 hands and have sufficient orders booked to keep the plant going steadily until August. The firm are turning out large numbers of touring car and taxicab bodies.”

March 1910 The Hub:

“At a meeting of the directors of the Keystone Vehicle Company, Reading, Pa., these officers were chosen: President, Edward C. Nolan; general manager, John L. Coxe; assistant general manager and superintendent, H. P. Burmeister; treasurer. W. L. Davis.”

May 7, 1910 Automobile Topics:

“A Reading (Pa.) plant, which was for a long time known as the Keystone Wagon Works, has changed hands and gone into the manufacture of automobile bodies. It is now known as the Keystone Vehicle Co., Inc. The officers are: E. C. Nolan, president; Warren L. Davis, treasurer; John L. Coxe, manager, and H. P. Burmeister, assistant manager. The plant employs about 300 people.”

March 1911 Carriage Monthly:

“Resigns from Keystone Vehicle Co.

“Announcement has been made that John L. Coxe has resigned his position as secretary and general manager of the Keystone Vehicle Co., Reading. Pa., on account of ill health. His resignation will take effect on March 1st. and in the meantime his successor will be chosen. He says he has nothing in view except to take a complete rest. Mr. Cox once acted as receiver for the old Keystone Wagon Works and was later appointed to his present office in the new company. Under his management the business has prospered.”

November 1911 Carriage Monthly:

“Thirty Years of Good Wagon Building

“It is now more than thirty years since the Keystone Vehicle Co.. Reading, Pa., began the manufacture of a class of work for which they have become especially well known to vehicle buyers throughout the country. We refer, of course, to the Keystone express, panel delivery and high lift coal wagons.

“It is natural, after more than thirty years' experience in this line, that the company should feel that a point of excellence has been reached where their wagons are in every respect worthy of the confidence of both dealer and consumer. It has been their aim to excel in material, workmanship, style and finish, and their vehicles stand today in the foremost ranks of the good grades of wagons.

“The proof that their products are giving the best of satisfaction is furnished by an inspection of the two cuts shown herewith. The concern that gives good service and value for money is the one that grows and enlarges its plant. While a very small building sufficed at the start, it will be seen that it requires an extensive and finely equipped group of factory buildings to supply the present big demand for Keystone vehicles.

“The 1912 catalog of this company is just off the presses, and is now being distributed. The full line of express delivery wagons, panel delivery wagons, milk and coal wagons and other specialties are shown in fine illustrations and fully described in the text.”

December 1911 Carriage Monthly:

“The Keystone Vehicle Co., Reading, Pa., summarizes it achievements of the past thirty years in a handsome catalog of 76 pages. Besides the full line of Keystone wagons and wagon and automobile bodies, this factory also produces the celebrated Keystone ‘high-lift’ coal chute wagons, which are said to be made in a most substantial manner.”

February 1st, 1912 Reading Eagle:

“OVERTIME NECESSARY AT KEYSTONE WAGON WORKS

“Sufficient Orders On Hand to Keep Plant Busy for Six Months.

“The Keystone Vehicle Company, whose plant is located at Third Street and L.V.R.R., are the manufacturers of the Keystone delivery wagons, and high lift coal wagons. They also manufacture about 1,500 auto bodies a year. Their wagons are sold from coast to coast and they have just closed a deal to build for the Crew & Levick Oil Company, their tank vehicles.

“They have issued their 1912 catalogue. Many new features of construction and style have added greatly to their popular line.

“The plant employs 225 hands and is running 60 hours per week and some departments make from 70 to 80 hours per week.

“The managed stated that they have enough orders on hand to run the factory for the next six months. They keep a number of delivery, milk, bread and general purpose wagons on hand, ready for immediate delivery. The company has established a repair department for wagons and automobile bodies.”

February 1913 Carriage Monthly:

“Directors of the Keystone Vehicle Co., Reading, Pa., elected at the annual meeting January 14th, are as follows: Robert E. Brooke, George Brooke, E. C. Nolan, J. Bennett Nolan, J. L. Coxe, F. D. Burmeister, H. John Erb, H. P. Burmeister. Directors reorganized as follows: H. John Herb, president; H. C. Burmeister, secretary and general manager; J. E. Ely, treasurer.”

January 1914 issue of the Machinists’ Journal:

“There was a strike In the Keystone Wagon Works at Reading, Pa. What, a strike? Yes, a real strike. They weren't striking for more money, either; no, sir; they only wanted to keep what they had, $9 per week, and not a 10 per cent reduction, as was desired by the Keystone Wagon Works Co. They didn't want any more; they wouldn't have gotten it if they did, and some of them didn't deserve that much, to my way of thinking.”

The Keystone Vehicle Co. factory was fitted with an improved system of wet and dry pipe Grinnell automatic sprinklers and fire extinguishing apparatus in 1913-1914.

The text of a display ad in the December 20, 1915 issue of The Automobile follows:

“Keystone Automobile Bodies for 1916

“We have standardized a wide range of types and styles in automobile bodies.

“These are custom-built in every sense of the word. They go far beyond the car builder’s standards in point of style, workmanship and appointments. And for the man who wants his car to possess distinctive lines and refined elegance, they are beyond compare, yet well within reasonable price limits.

“Keystone Vehicle Company, Reading, Pa.”

February 20, 1916 Reading Eagle:

“Keystone Vehicle Company

“Excellent samples in the way of design and construction of automobile bodies are shown as the finished products are turned out by the Keystone Vehicle Company, Inc., 500 to 520 North Third Street. The company has been specializing in this line of work. For some time past the concern has been furnishing specially built bodies for auto trucks to merchants. Some elaborate upholstering effects are noticed in the interior work of the pleasure body designs.”

1916 Pennsylvania Industrial Directory under CARRIAGES. WAGONS AND PARTS

Keystone Vehicle Co.:  500-526 N. 3rd St., Reading, Berks County.

1916 Industrial Directory of Pennsylvania census:

Keystone Vehicle Co 500-526 N. 3rd St., Reading, Berks. 93 employees, mfrs carriages, wagons and parts

May 23, 1918 The Automobile:

“Contracts Awarded by Ordnance Department

“WASHINGTON, May 17—Following is a list of contracts and purchase orders included in the awards placed by the Ordnance Department on May 11, 1918:

“Keystone Vehicle Co., Reading. Pa.; tops for drivers' seats, trucks.”

Post war records indicate Keystone was awarded $11,250 in truck body contracts and after arbitration was awarded an additional $8,345.45 in compensation for the completed goods. Report to Congress of claims adjusted under act of Congress approval Mar. 2, 1919, entitled “An act to provide relief in eases of contracts connected with the prosecution of the war, and for other purposes”.

May 22, 1920 issue of Michigan Manufacturer and Financial Record:

“MOTOR CAR COMPANIES MERGED - The Daniels Motor Car Company and the Keystone Vehicle Company have been merged under the name of the Daniels Motor Car Company and will continue to manufacture the Daniels car in Philadelphia, on a production schedule of 1.500 cars a year. George E. Daniels, formerly manager of the Oakland Motor Car Company, is president; Neff E. Parish, vice-president, and Warren Davis, secretary and treasurer.”

The Keystone Body Company of Reading, Pa was purchased by George E. Daniels, the former president of Oakland and Vice President of General Motors, in 1918 to produce the production bodies for his Daniels automobile. Later custom-bodied Daniels were built by Fleetwood, which was also located nearby. Daniels went out of business in 1924. - The Daniels Motor Car Company was incorporated on June 25, 1915, under the leadership of George E. Daniels. Daniels had previously served as Vice President and General Manager of the Oakland Car Company. Manufacturing of the Daniels auto began in the Mount Penn Stove Works near 3rd and Greenwich Streets, and in 1920 moved across the street to what had been the Keystone Vehicle Works. The Daniels automobile was known for its powerful V-8 engine that was built by the Light Manufacturing Company of Pottstown. The company continued production until the winter of 1924.

June 10, 1920 Iron Age:

“The Daniels Motor Co., Reading, Pa., has been organized to take over the plants and business of the Daniels Motor Car Co. and the Keystone Vehicle Co., both of Reading. The company recently acquired about six acres at Hunting Park Avenue and Westmoreland Street, Philadelphia, and has plans under way for a number of buildings. It is proposed to develop a capacity of 1,500 high-grade pleasure cars during the coming year.”

From William Bradford Williams - Munitions Manufacture in the Philadelphia Ordnance District, pub 1921:

“KEYSTONE VEHICLE CO., E.T. Preston president (now Daniels Motor Co.)

“The Keystone Vehicle Co. (later Daniels Motor Co.), of Reading, Pa., during the World War were designers of the special drivers' tops for the Nash Quad. They supplied 500 for overseas shipment for the Engineering Division of the Army, and received orders for 1,200 from the Ordnance Department. “The Keystone Vehicle Co. also furnished other manufacturers with samples, as models from which to build their tops.

“Another contract was received by them for 500 tops from the Engineering Division for overseas shipment.

“In addition to the above they designed and built sample tops for the Dodge Repair Truck, the five and ten-ton tractors and the artillery.

“Also seventy-five Class B bodies on an order for 500, which order was cancelled by reason of the Armistice. The company had other orders, as sub-contractors, for 250 bodies for limbers and caissons.

“As many as 350 employees worked, at one time, on war production.

“The regular line of the Keystone Vehicle Co. (now the Daniels Motor Co.) is high grade pleasure automobile bodies.

“The War Executive Personnel follows: Geo. E. Daniels, President and General Manager; W. S. Eaton, Superintendent (later succeeded by Sydney Atterby); F. W. Sheadle, Purchasing Agent; A. W. Zechman, Shipper.”

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Bibliography:

John W. Leonard - Who's Who in Pennsylvania: A Biographical Dictionary of Contemporaries, pub. 1908

Morton Montgomery - History of Berks County, Pennsylvania, pub. 1909

Biographical Publishing Co. - Book of Biographies, Biographical Sketches of Leading Citizens of Berks County Pa., pub. 1898

Atlantic reporter, Volume 73, July 8 - October 8, 1909, pub. 1909

Herbert Ridgeway Collins - Presidents On Wheels, pub. 1969

Keystone Vehicle Company - Pennsylvania Heritage, Fall 1986 issue, pp28

Keystone Vehicle Works Factory – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 34

Keystone Wagon & Carriage Works – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 51 

Industrial and Commercial Resources of Pennsylvania, pub 1887

William Bradford Williams  - Munitions Manufacture in the Philadelphia Ordnance District, pub 1921

© 2013 Mark Theobald for Coachbuilt.com

Bibliography:

Lauren Suter - Daniels 8; Antique Automobile, Vol. 18 no. 1; Spring 1954 issue;

The Dauntless Daniels - Dec. 1974 issue of Car Classics 

John W. Leonard - Who's Who in Pennsylvania: A Biographical Dictionary of Contemporaries, pub. 1908

Morton L. Montgomery - Historical and Biographical Annals of Berks County, Pennsylvania, pub. 1909

Biographical Publishing Co. - Book of Biographies, Biographical Sketches of Leading Citizens of Berks County Pa., pub. 1898

Atlantic reporter, Volume 73, July 8 - October 8, 1909, pub. 1909

Herbert Ridgeway Collins - Presidents On Wheels, pub. 1969

Keystone Vehicle Company - Pennsylvania Heritage, Fall 1986 issue, pp28

Keystone Vehicle Works Factory – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 34

Keystone Wagon & Carriage Works – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 51 

Industrial and Commercial Resources of Pennsylvania, pub 1887

William Bradford Williams - Munitions Manufacture in the Philadelphia Ordnance District, pub 1921

Howe B. Willis - The Motor Car Industry, Spur, May 15, 1922 issue

"Daniels Eight of Strong Construction" The Automobile, October 21, 1915 issue

"The Cars of 1916" The Motor, January, 1916 issue

Sergeant John F. Brennen - Automobile Identification, pub. 1924

D.W. Burrell - Memorandum of D. C. Peck on a letter of D. W. Burrell's

Floyd Clymer - A Treasury of Early American Automobiles, Floyd Clymer, Los Angeles, 1950

Lauren Suter - Daniels 8; Antique Automobile, Vol. 18 no. 1; Spring 1954 issue;

The Dauntless Daniels - Dec. 1974 issue of Car Classics 

John W. Leonard - Who's Who in Pennsylvania: A Biographical Dictionary of Contemporaries, pub. 1908

Morton L. Montgomery - Historical and Biographical Annals of Berks County, Pennsylvania, pub. 1909

Biographical Publishing Co. - Book of Biographies, Biographical Sketches of Leading Citizens of Berks County Pa., pub. 1898

Atlantic reporter, Volume 73, July 8 - October 8, 1909, pub. 1909

Herbert Ridgeway Collins - Presidents On Wheels, pub. 1969

Keystone Vehicle Company - Pennsylvania Heritage, Fall 1986 issue, pp28

Keystone Vehicle Works Factory – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 34

Keystone Wagon & Carriage Works – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 51 

Industrial and Commercial Resources of Pennsylvania, pub 1887

William Bradford Williams - Munitions Manufacture in the Philadelphia Ordnance District, pub 1921

Paul A. Cube – Wagon-Making In the United States During the Late-19th Through Mid-20th Centuries,  pub. 2005

xxxxx

RODENHATJSEN V. KEYSTONE WAGON Co.1

(Circuit Court, E. D. Pennsylvania. April 29, 1893.)

Patents For Inventions—Construction Op Claim—Noveltt.

Letters patent No. 211,052, for a dumping-wagon, are to be construed as for a. dumping-wagon wherein the body is raised front and rear simultaneously, by folding arms connected with the body and running gear, and suitable connections between the forward ends of the arms and wagon body, whereby, as the latter is raised, it moves rearwardly also with a single power device operating upon one or more of its arms, whereby a single continuous operation will elevate both ends of the body, and move it rearwards, and embrace patentable novelty.

Bill in Equity by Leonhard Rodenhausen to restrain the Keystone Wagon Company from infringing letters patent No. 211,052, for dumping-wagons. Decree for complainant.

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Brandenburg & Company had a contract with the Keystone Wagon Works, running from February 1, 1907, to July 1, 1910, constituting the former sole agents for the latter for the sale of automobile bodies, etc., at a commission to be figured at ten per cent upon the aggregate net price of all automobile bodies, etc., sold, manufactured and shipped by the company during the continuance of the contract. The company was to furnish to the agents monthly, between the fifth and fifteenth, a statement of the bodies, etc., shipped during the preceding month, and

between the tenth and twentieth to pay them the percentage figured thereon. It was provided that the contract should be binding unless either of the parties became insolvent, in which case it might be terminated as soon as all payments then due should have been made. On November 29, 1907, the company, having become insolvent, went into the hands of a receiver, who under authority from this court proceeded to complete the bodies, etc., for which orders were on hand, and shipped them, when completed, to the persons to whom they had been sold. At the date of the appointment of the receiver the company was in arrears in the payment of the stipulated percentage past due and becoming due to the agents, and no further payments were made to them by the receiver.

 

xxxxxxx

On October 24, 1907, defendant became Indebted to plaintiff upon a note for $2,500, payable February 24, 1908. As collateral security he pledged to the plaintiff 70 shares of the preferred stock of the Keystone Wagon Works, a corporation the majority of whose stock was owned by the plaintiff, and which the plaintiff had been instrumental In organizing In order to protect itself against loss upon heavy advances made by It to the Keystone Wagon Company. Prior to February, 1907, the wagon works had built up and was doing a profitable business manufacturing wagons. About that time, against the defendant's protest, this business was abandoned, and that of manufacturing metal bodies for automobiles entered upon. The departure proved disastrous, so that the stock pledged by defendant to plaintiff became worthless, entailing upon him a loss greater than the amount of his indebtedness to plaintiff. Whilst the affidavit declares that the plaintiff made the change that wrecked the wagon works, It does not allege or point to any corporate act on the part of the plaintiff corporation as In any way directing or connected with it. What Is meant is obviously to be gathered from the averment that the plaintiff owning the majority of the stock was, as such stockholder, through the majority of the directors of the wagon works, in control of Its business and affairs. After all the change was brought about by the action of the management of the wagon works, and the most that can be charged against the plaintiff, according to this affidavit is, that It did not exercise Its Influence upon the management to prevent the change. It Is not asserted that the failure to do so was actuated by any fraud or wrongful purpose, much less by any design to depress or destroy the value of the collateral pledged by defendant (which might be a defense, see Ritchie v. McMuIlen, 79 Fed. 522, 25 C. C. A. 50).

"The question thus presented is therefore simply this, whether a stockholder in a company who accepts as collateral from his debtor other stock of the same company loses his debt by the destruction of the value of the entire stock of the company consequent upon the action of Its directors which he was

In a position, but honestly failed to prevent? There can be but one answer. The plaintiff could not be expected as pledgee of defendant's stock to understand the Interests of the company differently from what he understood them as a stockholder. In assenting as a stockholder, honestly, however mistakenly, to a change in the business of the company by its directors, the plaintiff certainly did not make Itself liable to defendant for the loss resulting to him in common with It and all other stockholders In proportion to their holdings.

"But, in addition to this, the change of business bad been made long before the plaintiff became the holder of defendant's stock as collateral security. The Improvidence or negligence he Imputes to It antedated by eight months the Inception of the relation of pledgee and pledgor, trustee, and cestui qui trust. There Is nothing in the affidavit indicating any act or omission on plaintiff's part entitling defendant to redress after the defendant's stock came into plaintiff's hands. There is therefore nothing alleged which in any view could ground a defense in this action. To go behind the date of the pledge and hold the defendant entitled to a release from his debt by reason of the injury resulting to him from plaintiff's previous acts and omissions would be to hold the plaintiff responsible to defendant for the consequences of what it did, not as the bailee of defendant's, but as the owner of its own stock. Of course, that cannot be. because in what plaintiff did or did not do as a stockholder in the wagon works It was dealing with Its own and not accountable to the defendant by reason of any privity between them.

"Notwithstanding the earnest and interesting argument made In behalf of the defendant, there seems to be no choice but to enter the Judgment demanded by the plaintiff.

"The rule to show cause is made absolute."

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FIRST NAT. BANK OF READING v. FERGUSON.

(Supreme Court of Pennsylvania. April 12. 1909.)

Pledges (f 28*) — Impairment Of Value —

Rights Of Pledgee.

A national bank owned the majority of the stock of a corporation, and accepted as collateral for a note stock of the same company. The entire value of the stock was destroyed by a change in the business made by the directors prior to the pledge as collateral. Held, that the bank could enforce its debt, though it could have prevented the change in the business.

[Ed. Note.—For other cases, see Pledges, Cent. Dig. § 69; Dec. Dig. § 28.*]

Appeal from Court of Common Pleas, Berks County.

Action by the First National Bank of Reading against Nathaniel Ferguson. From an order making absolute rule for judgment for want of a sufficient affidavit of defense, defendant appeals. Affirmed.

For other cases see same topic and section NUMBER in Dec. & Am. Digs. 1907 to date, & Reporter Indexet

The following is the opinion of Endlleh, P. J., In the court below.

"Conceding the general principle upon which the defense set up In this case is claimed to be founded—that, If collateral in the bands of the creditor Is Impaired In value through the creditor's negligence, he Is liable to the pledgor to the extent of the loss—It Is impossible to perceive how It can be applied to the facts alleged in this affidavit On October 24, 1907, defendant became Indebted to plaintiff upon a note for $2,500, payable February 24, 1908. As collateral security he pledged to the plaintiff 70 shares of the preferred stock of the Keystone Wagon Works, a corporation the majority of whose stock was owned by the plaintiff, and which the plaintiff had been instrumental In organizing In order to protect itself against loss upon heavy advances made by It to the Keystone Wagon Company. Prior to February, 1907, the wagon works had built up and was doing a profitable business manufacturing wagons. About that time, against the defendant's protest, this business was abandoned, and that of manufacturing metal bodies for automobiles entered upon. The departure proved disastrous, so that the stock pledged by defendant to plaintiff became worthless, entailing upon him a loss greater than the amount of his indebtedness to plaintiff. Whilst the affidavit declares that the plaintiff made the change that wrecked the wagon works, It does not allege or point to any corporate act on the part of the plaintiff corporation as In any way directing or connected with it. What Is meant is obviously to be gathered from the averment that the plaintiff owning the majority of the stock was, as such stockholder, through the majority of the directors of the wagon works, in control of Its business and affairs. After all the change was brought about by the action of the management of the wagon works, and the most that can be charged against the plaintiff, according to this affidavit is, that It did not exercise Its Influence upon the management to prevent the change. It Is not asserted that the failure to do so was actuated by any fraud or wrongful purpose, much less by any design to depress or destroy the value of the collateral pledged by defendant (which might be a defense, see Ritchie v. McMuIlen, 79 Fed. 522, 25 C. C. A. 50).

"The question thus presented is therefore simply this, whether a stockholder in a company who accepts as collateral from his debtor other stock of the same company loses his debt by the destruction of the value of the entire stock of the company consequent upon the action of Its directors which he was

In a position, but honestly failed to prevent? There can be but one answer. The plaintiff could not be expected as pledgee of defendant's stock to understand the Interests of the company differently from what he understood them as a stockholder. In assenting as a stockholder, honestly, however mistakenly, to a change in the business of the company by its directors, the plaintiff certainly did not make Itself liable to defendant for the loss resulting to him in common with It and all other stockholders In proportion to their holdings.

"But, in addition to this, the change of business bad been made long before the plaintiff became the holder of defendant's stock as collateral security. The Improvidence or negligence he imputes to it antedated by eight months the Inception of the relation of pledgee and pledgor, trustee, and cestui qui trust. There is nothing in the affidavit indicating any act or omission on plaintiff's part entitling defendant to redress after the defendant's stock came into plaintiff's hands. There is therefore nothing alleged which in any view could ground a defense in this action. To go behind the date of the pledge and hold the defendant entitled to a release from his debt by reason of the injury resulting to him from plaintiff's previous acts and omissions would be to hold the plaintiff responsible to defendant for the consequences of what it did, not as the bailee of defendant's, but as the owner of its own stock. Of course, that cannot be, because in what plaintiff did or did not do as a stockholder in the wagon works It was dealing with Its own and not accountable to the defendant by reason of any privity between them.

"Notwithstanding the earnest and interesting argument made In behalf of the defendant, there seems to be no choice but to enter the Judgment demanded by the plaintiff.

"The rule to show cause is made absolute."

Argued before FELL, BROWN, MESTREZAT, POTTER, and STEWART, JJ.

C. H. Ruhl and Richmond L. Jones, for appellant. J. Bennett Nolan, for appellee.

PER CURIAM. The judgment is affirmed on Judge Eudlich's opinion.

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HOPPES BROS. vs. KEYSTONE WAGON WORKS.

Contracts—Selling Agents—Receivership—Kes Adjudicate.

By contract the B. Co. became the sole agents of the K. Works for the sale of automobile bodies from Feb. 1, 1907, to July 1, 1910, at a commission of 10 per cent, upon the aggregate net price of all automobile bodies sold, manufactured and shipped by the K. "Works during the continuance of the contract. The Works was to furnish the agents monthly, between the 5th and 15th, a statement of the bodies shipped during the preceding month, and between the 10th and 20th to pay them the percentage thereon. The contract was to be binding unless either of the parties became insolvent, in which case it might be terminated as soon as all payments then due should have been made. On Nov. 29, 1907, the Works became insolvent, and a receiver was appointed with authority to complete the bodies for which orders were on hand and to ship them to the persons to whom they had been sold. At the date of the appointment of the receiver the Works was in arrears in the payment of the stipulated percentage past due and becoming due to the agents, and no further payments were made to them by the receiver. The B. Co. thereupon brought two suits: one against the company tor payments due on shipments up to the date of the receivership: and the other for payment claimed to have become due on shipments made after the appointment of the receiver. In the first action a verdict was rendered in favor of the B. Co. and judgment entered. In the second action judgment was entered against the B. Co. on the ground that there was no adoption of the contract by the receiver, and that the claim of the B. Co., if it had any, was against the Works. The B. Co. then filed its claim for commissions covered by the second action with the auditor appointed to distribute the fund in the hands of the receiver. The auditor allowed the claim and exceptions were filed on the ground (1) that the recovery by the B. Co. in the first action must be treated as having been in full of their demand against the Works, and precludes them from making any further claim, and (2) that under the contract the B. Co. was not entitled to percentage on shipments made subsequently to the beginning of the receivership. Held, (i) that the claim of the B. Co. against the Works was fully adjudicated by the first action, and (2) that under the terms of the contract the insolvency of the Works ended the right of the B. Co. to commissions on sales or shipments made subsequently to the appointment of the receiver.

The rule that what has been judicially determined shall not again be made the subject of controversy extends to every question in the proceedings which was legally cognizable, and applies where a party has neglected the opportunity of trial, or has failed to present his cause or defense in whole or in part under the mistaken belief that the matter would remain open and could be made the subject of another proceeding.

In the Court of Common Pleas of Berks County.

No. 946, Equity Docket, 1907.

Exceptions to report of D. N. Schaeffer, Esq., Auditor.

Joseph R. Dickinson and J. Bennett Nolan for the exceptants.

Opinion by Endlich, P. J., October 10, 1910.—Brandenburg & Co. had a contract with the Keystone Wagon Works, running from Feb. 1, 1907, to July 1, 1910, constituting the former sole agents for the latter for the sale of automobile bodies, etc., at a commission to be figured at 10 per cent, upon the aggregate net price of all automobile bodies, etc., sold, manufactured and shipped by the company during the continuance of the contract. The company was to furnish to the agents monthly, between the 5th and 15th, a statement of the bodies, etc., shipped during the preceding month, and between the 10th and 20th to pay them the percentage figured thereon. It was provided that the contract should be binding unless either of the parties became insolvent, in which case it might be terminated as soon as all payments then due should have been made. On Nov. 29, 1907, the company, having become insolvent, went into the hands of a receiver, who under authority from this Court proceeded to complete the bodies, etc., for which orders were on hand, and shipped them, when completed, to the persons to whom they had been sold. At the date of the appointment of the receiver the company was in arrears in the payment of the stipulated percentage past due and becoming due to the agents, and no further payments were made to them by the receiver. The agents brought two suits for the recovery of what they considered themselves entitled to—one to No. 36 Nov. T. 190S, against the company for payments due on shipments up to the date of the receivership, and one to No. 37 Nov. T. 1908, for payments claimed to have become due to them on shipments made since its commencement. In the former a verdict was rendered for plaintiffs for $1,451.98 and judgment entered thereon. In the latter, a verdict having been rendered for plaintiffs, judgment was subsequently entered, notwithstanding the same, in favor of defendant, which was affirmed upon appeal: Brandenburg v. Coxe, 228 Pa. 212. The ground of the decision was that there was no cause of action against the receiver, the plaintiffs' claim, if the" had any, being against the company, because any indebtedness to them arising by virtue of the contract was the company's debt at the date of the appointment of the receiver. Says the Supreme Court:

"* * * there was not an adoption by the receiver of the contract between the plaintiffs and the Keystone Wagon Works, as a continuing contract, but merely the use by him of orders received by the corporation before his appointment. The plaintiffs' claim for orders procured for and accepted by the corporation was complete at the time of the appointment of the receiver, and for it they have the same remedies as other creditors.

After this decision Brandenburg & Co. presented before the auditor appointed to distribute the fund in the hands of the receiver, as a claim against the Keystone Wagon Works, the claim they had made against the receiver for pro rata allowance out of that fund. To his allowance of it these exceptions have been filed. They are in substance (1) that the recovery by Brandenburg & Co. in No. 36 Nov. T. 1908 must be treated as having been in full of their demand against the company and precludes them from making any further claim— and (2) that under the contract they are not entitled to percentages on shipments made subsequently, to the commencement of the receivership.

(1) The decision in Brandenburg vs. Coxe, supra, conclusively settles that whatever claim Brandenburg & Co. had under their contract with the Keystone Wagon Works was a claim against that company, complete at the time when the receiver was appointed. Though the precise amount of the claim was not then ascertained, it was ascertained, or capable of ascertainment before the institution of the suits referred to. As a whole it comprehended all that was sought to be recovered in both of them, and might have been included, and in so far as recoverable at all, recovered, in the action against the company to No. 36 Nov. T. 1908. It is inexorable law, as laid down, among many cases, in Schwan vs. Kelly, 173 Pa. 65, 71, and as lately as Stradley vs. Cement Co.. 228 id. 108, 114, that—

"The rule that what has been judicially determined shall not again be made the subject of controversy extends to every question in the proceedings which was legally cognizable, and applies where a party has neglected the opportunity of trial, or has failed to present his cause or defense in whole or in part under the mistaken belief that the matter would remain open and could be made the subject of another proceeding."

In their action against the Keystone Wagon Works, Brandenburg & Co. asserted that they had a claim for so and so much against the company, and as the ground for that assertion alleged the existence and provisions of the contract of Feb. 1, 1907, performance of their duties under it, involving numerous sales between March 1 and Nov. 29, 1907; their right to percentages according to it amounting to a certain sum; a designated expenditure at defendant's request for a designated purpose; the fact that adding this expenditure to the aggregate of the percentages coming to them, and giving defendant the credits it was entitled to, their claim was as stated. For it they got and accepted a verdict and judgment. In the words of Mr. Justice Moschzisker, in Stradley vs. Ceneut Co., supra, at p. 115—

"The entry of the judgment judicially ascertained these facts, and as that judgment stands unreversed and unappealed from, those facts are in law absolute and cannot be gainsaid in another proceeding."

That is to say, Brandenburg & Co., having stated their claim under the contract as measurable upon such and such a basis, and as amounting to such and such a figure. and all this having been adjudicated as being the fact, they cannot now be permitted to say that it was not the fact, but that their claim under the contract was to be measured on a broader footing and amounted to so and so much more. They had the opportunity in that action of including all that was coming to them under the contract and payable at the time the suit was brought. It is not necessary to say that the contract was an entire one in the sense that but one action could be maintained upon it for what became due to Brandenburg & Co. under it. -It may be regarded as more consonant with the intention of the parties, in view of the subject-matter they were dealing with (and such is the controlling consideration: see Silk Mfg. Co. vs. Reilly, 187 Pa. 526, 534, and cases there cited), that the failure of the company at any appointed period during the running of the contract to pay what up to that time had become due would entitle the agents from time to time to sue therefore. The point is that after the contract had come to an end, all that then remained payable to the agents under it constituted one entire claim, which, under the rule stated and its application in such cases as Buck vs. Wilson, 113 Pa. 423; Raiisig vs. Graf, IT Pa. Super Ct. 509, could not be split up into distinct demands for so much due up to such a date, so much up to another, and so on, and proceeded for separately; and that therefore, when the agents came to sue upon the contract and alleged that under it their present claim was such and such, and a judgment to that effect was entered, they became estopped from alleging thereafter that at that very time their claim under the contract was something different and greater. Of course there is nothing in the language of the Supreme Court in Brandenburg vs. Coxe, supra, which can be understood as deciding or intimating that the demand there made upon the receiver might still be made upon the company. When it was said of that demand that "for it they have the same remedies as other creditors," it was simply intended to say that their remedy was not against the receiver with the effect of obtaining a preference over other creditors, but that if they had a remedy, it was the same as that of other creditors of the company against the latter. The language of a judicial opinion is always to be understood with reference to the question presented for adjudication: Rv. Co. vs. Com'th. 66 Pa. 84, 88. The question presented in Brandenburg vs. Coxe, supra, was soleh whether the particular claim there made was one against the receiver or against the company. Whether or not its assertion against the latter was still permissible in view of the suit to No. 36 Nov. T., 1908, was not involved. The effect of that proceeding, not being in the case, was not in any way passed upon.

The conclusion thus appears unavoidable that this first ground of exception to the auditor's allowance of Brandenburg & Co.'s claim is well taken. It may be confessed that this conclusion has been reached with reluctance and with a disposition to escape from it if possible; not only because it contravenes the opinion of the learned auditor which is entitled to great respect, but also because its effect is, by the interposition of a rigid rule of the law, to bar a claim without reference to its merits and equities. Lest this might appear to operate harshly against a claimant who has acted in good faith, it is proper not to rest the decision upon this ground only, but to discuss also the remaining contention of the exceptant.

(2) This contention does not hang upon the formal circumstance that the shipments subsequent to the appointment of the receiver were made by him and not by the company. It is that after and by reason of the company's insolvency and the commencement of the receivership there was no further right in Brandenburg & Co. to claim the payments provided for by the contract, or any payments whatever.

The contract is a peculiar one. It was pointed out in the decision of Brandenburg vs. Coxe, supra, that the payments to be made by the Wagon Works to Brandenburg & Co. monthly were not a percentage "upon the price of this or that particular body, etc., or of all the bodies, etc., they had found purchasers for, but a sum equal to 10 per cent, upon the aggregate sales of bodies, etc., shipped by the company during the preceding month, no matter by whom sold, and so on until the termination of the contract by its expiration or of the business of the company by its insolvency." As shown by the specified dates of the beginning and ending of the contract, and the apparent understanding and practice of the parties under it: see Bower vs. Walker, 220 Pa. 294. the "preceding" month was that running from the first of one month to the first of the next in which the payment therefore became due. In consideration of these payments Brandenburg & Co. were to render certain continuing services in the effecting and promoting of sales for the company and to abstain from any attempts to sell the product of any competing manufacturer. In other words, we have here a contract whereby, for a period

beginning Feb. 1, 1907, and ending July 1, 1910, Brandenburg & Co. agree to render certain continuing services and to maintain a certain relation to the company in exchange for certain periodical payments to be made by it to them, Which payments are not to be measured by the services rendered to it by Brandenburg & Co. during the preceding interval, but by the aggregate of the business done by the company during the same. The payment, therefore, falling due in any given month was not a compensation for specific services rendered in any preceding period. It was an installment of the compensation stipulated in return for the services contemplated by the contract as continuing from the inception to the termination of the' contract, services already and still being and still to be rendered. The obvious analogy is that of an employment of a person for a designated period at a salary to be paid in periodical amounts, their quantum and therefore their aggregate being in this instance left to determination by a measure to be applied as they fell due. Under such an arrangement it is manifest that the moment the contract comes to an end the liability of the one party to make payment to the other under it ceases, regardless of the question whether the former is still benefitting by the latter's past services or not. It is written that the soundness of a proposition is often best tested by looking at the results to which it leads: Mayer vs. Walter, 64 Pa. 283, 286, taking an extreme case: Philadelphia vs. Scott, 81 id. 80, 88. Suppose the company to have prospered in its business, the contract between it and Brandenburg & Co. to have run to its contemplated expiration on July 1, 1910, all the monthly payments accruing upon shipments up to that date to have been made, and yet the company then to have had on its hands and under construction any quantity of bodies, etc., under orders sent in previously by Brandenburg & Co., could it be contended that they, having ceased per* forming any services to the company—having perchance become the sales agents for a competing concern—could go on demanding monthly accountings and payments from the company upon the basis of its entire output, partly, it may be, on orders from other agents, until every one of the orders sent in by Brandenburg & Co. had been worked up and filled? Assuredly the contract does not say so nor would there be any equity in such a view of it. On the other hand, to hold Brandenburg & Co. in the event indicated entitled to further payment of percentages calculated, not upon the basis of the entire output, but on that portion of it traceable to the particular orders sent in by them, would be to introduce into the contract something it nowhere contains, something altogether inconsistent with what it does contain—in a word, to that extent to make a new contract for the parties ex aequo et bono, which cannot be done: Weaver vs. Shenk, 154 Pa. 206, 208. Yet one or the other of these things necessarily, logically flows from the position presently taken by Brandenburg & Co. This contract came to an end on Nov. 29, 1907, by virtue of its own terms and the failure of the receiver to continue it. Thereupon the claim of Brandenburg & Co. was for "all payments then due," i. e., for the monthly payments provided for by the contract which were past due and became due in December, 1907, on shipments made up to the first of that month. Beyond that they had no claim. Any further liability on the part of the company to them could arise only on the theory that Brandenburg & Co. were still rendering the continuing services in contemplation of which, as an essential and integral part of their undertaking, the continuing compensation was by the contract made payable. In truth, with the contract those services were at an end, and with them the right and liability to further compensation.

It would appear, therefore, that, as these parties in their contract fixed their mutual rights and liabilities, there is nothing inequitable or unfair in rejecting the demand now made by Brandenburg & Co. as one not supported by the contract. And upon this point again there is nothing to the contrary to be gathered from the decision in Brandenburg vs. Coxe, supra. The question there was as to who were to be deemed parties to the contract sued upon. Here it is as to the construction and effect of the contract between the ascertained parties to it. When it was there said that, the contract being between the company (and not its receiver) and Brandenburg & Co., the latter's claim under it was "perfect," "complete" at the date of the commencement of the receivership, the reference was of course to such claim as upon a proper construction of the contract might be found to exist against the company. It was not declared whether the precise claim asserted by Brandenburg & Co. did or did not so exist. For the purpose of the case it was assumed that it might, and upon that assumption, the most favorable possible one to them, it was held- that there was no right to recover against the receiver. Whether in truth there was anything due to Brandenburg & Co. by the company, under the contract, was not a question in the case, and hence remained undiscussed and undecided in and in no way concluded by that decision.

It follows that, whilst upon the ground first discussed, standing alone, we should be compelled to negative the right of Brandenburg & Co. to share in the distribution beyond the judgment recovered by them in No. 36. Nov. T.. 1908, the second ground equally precludes them therefrom. It is thus apparent that they lost nothing by splitting their claim into two and bringing separate actions, in one of which they failed. Had it been presented as a whole in No. 36, Nov. T., 1908, there could have been no recovery beyond what was actually there recovered. As to the remainder (the part now before us) they would have been bound to fail.

The exceptions to the auditor's report are sustained and the distribution made by him is directed to be revised and modified accordingly.

The Daniels Motor Car Company was incorporated on June 25, 1915, under the leadership of George E. Daniels. Daniels had previously served as Vice President and General Manager of the Oakland Car Company. Manufacturing of the Daniels auto began in the Mount Penn Stove Works near 3rd and Greenwich Streets, and in 1920 moved across the street to what had been the Keystone Vehicle Works. The Daniels automobile was known for its powerful V-8 engine that was built by the Light Manufacturing Company of Pottstown. 

The Daniels Motor Car Company first produced cars in 1916 in an old coach factory at Reading, Pennsylvania. This old, red-brick building was to house, for the next eight years, the manufacturing of the Daniels automobile, "The Distinguished Car, with just a little more power than you'll ever need."

The big man in the company was Mr. George E. Daniels, and he really was big, he stood about six feet four inches. He was a cordial person, very much of a gentleman, and an excellent engineer and mechanic. There is a disagreement as to whether Mr. Daniels had been working in the field of automobiles for ten years or longer, but at any rate, he was a "leader in the production of distinctive and original body designs." He was not only gifted along mechanical lines; he was a lawyer in Philadelphia,and had been head of Buick distribution in eastern Pennsylvania, and then vice president and general manager of the Oakland Motor Car Company (later Pontiac).

He was a member of the original board directors of General Motors when he and Mr. Neff E. Paris got together and founded the Daniel Motor Car Company in 1914.

July 30, 1914 Motor Age:

“Daniels to Make Light Car?—It is reported that a new concern to manufacture a light car is now being formed at Detroit by George E. Daniels, formerly vice-president and general manager of the Oakland Motor Car Co., Pontiac, Mich.; Howard Bauer, former assistant sales manager of this company, and J. H. Newmark, former advertising manager of the same concern.”

From the same issue of Motor Age:

“DANIELS FORMING NEW COMPANY

“Pontiac, Mich., July 27—Several men formerly connected with the Oakland Motor Car Co. now are organizing a new company which is to have a capital of not less than $300,000 and which is to build a popular-priced light car which it is said will cost between $800 and $900. The promoters are former Vice-President George E. Daniels, former Assistant Sales Manager Howard Bauer; J. H. Newmark, former advertising manager; W. R. Williams and L. Eccleston, well known in the industry.

“There was a meeting of citizens of Pontiac under the presidency of President J. L. Marcero, of the commercial association, last Friday, at which not only resolutions were passed welcoming the idea of these men starting a new concern, but tendering them as a token of appreciation and inducement to locate in their home city a sum of $7,500 towards a site and buildings under such terms as may be mutually satisfactory.

“Before the meeting was half over $1,600 had been subscribed, while on the next day, Saturday, nearly all the balance had been pledged. Mr. Daniels now is in Now York and only upon his return will the final decisions be made, although in local banks it is said that the new concern surely will locate here. There is one site which the citizens have specially in view of trying to secure because it has already a factory building and could give employment to about 200 men to start with.”

Mr. Daniels felt that he had me good ideas for mechanical improvements but lacked funds, and Mr. Parish had some mechanical knowledge and funds. So they got together to build a car. Mr. Parish, who became vice president of Daniels and was in charge of its policies, had manufactured parts and frames for automobiles for years previously. He was said to be an expert on heat treating and steel alloys. Mr. Parish supplied the frames for several expensive makes of passenger cars, among them, Pierce-Arrow. This manufacturing of frames for other concerns was carried on while he was connected with Daniels. In contrast to Mr. Daniels, Mr. Parish was short and rather stocky. He was a quiet man and not as amiable as Mr. Daniels.

The first Daniels car was completed in 1915. A catalogue announced that the Daniels car was going on the market in 1916, and that now, at last, carriage builders were able to put a good looking body on an automobile, the chassis being now well enough developed to allow it. In the beginning Daniels only put on bodies, then they made their own frames, and a little later, added their own engines. Since the Daniels company was as much interested in the bodies as in the chassis, there was very little coachwork from other companies on Daniels chassis.

September 25, 1915 Automobile Topics:

“Daniels Eight Price $2,350

A price of $2,350 has been set on the new Daniels Eight, the car that is to be built by the Daniels Motor Car Co., which is headed by Geo. E. Daniels, formerly president of the Oakland Motor Co. The car, which is to be made in Reading. Pa., will be practically a made-to-order one, special attention being given to the desires of the customer as to the finish and equipment of the body, which will be replete with luxurious fittings.

“The motor is of the V-type. 3% x 5 inches, with L-head cylinders, and is rated at 33.8 horsepower. Cylinders are cast in two blocks, with the intake manifold integral. A single camshaft will actuate the 16 valves. The cylinder blocks are staggered, thus permitting the connecting rod big end bearings to be placed side by side on the crankshaft throws. Electrical equipment for ignition, starting and lighting is Westinghouse, and the carbureter is a Zenith.

“There is a dry disc clutch and a Brown-Lipe-Chapin three-speed gearset, integral with the motor. Drive is taken through the springs. The rear axle is three-quarters floating. Springs are semi-elliptic, undershmg. at the rear.

“This characteristic is particularly marked in the case of the new limousine, which is so low that a man of ordinary build, standing on the curb beside the car, is able to look over the roof. Combined with the low suspension and compact design is an extreme width of body that affords the most roomy of accommodations, while wide doors impart an air of luxuriousness to the vehicle and ensure easy entrance. The finish and equipment is as distinctive as is the general design, while the qualities of the chassis and the suspension render both limousine and town models well adapted for touring, as well as city work. Deliveries have been promised for next month.”


October 23, 1915 Automobile Topics:

“DANIELS EIGHT CAR HAS CUSTOM STYLE

“Machine Is Now Completely Ready for Market—Comfort and Elegance Are Present in Marked Degree—Test Trip Highly Satisfactory.

“Although it is but four months since the formal announcement of its organization, the Daniels Motor Car Co., of Reading, Pa., is practically ready with its new Daniels Eight, which is a distinctively finished seven-passenger vehicle of the better class, priced at $2,350. Having just completed an inspection trip of more than a thousand miles through New England, George E. Daniels, head of the enterprise, who won his spurs as vice-president and general manager of the Oakland Motor Car Co., pronounces the car highly satisfactory, and particularly commends its ability for bursts of speed and the general performance qualities that enable it to be driven at fair weather schedules under foul weather conditions, such as he experienced during several days of the trip.

“As distinguished from many cars now being offered to the American purchaser, the Daniels Eight conveys an impression of comfort and even elegance that is usually attributed to the custom-finished motor. Contributing factors to this impression are the mahogany garnish rail surrounding the entire exposed edge of the coachwork, the mahogany paneling on the back of the front seat, which conceals the extra folding seats when out of service; the mahogany-framed windshield; a step-light operated by the opening of the right-hand door, and numerous other niceties of detail. The body is a modernized version of the streamline form, harmonious in appearance, with the sloping hood and rounded radiator. The inward roll of the cowl is carried back along the front door and reappears in the second cowl strip at the back of the front seat, affording the impression of good protection for the occupants that is carried out in the high sides and relatively low-placed cushions. The upholstery is deep, well-sprung and covered with long-grain, hand-buffed leather. Flat mudguards, or nearly so, conforming closely to the wheel contour, help to distinguish the product from those of lower price, whose more elaborate metal shapes indicate the repetition work of the drawing-press.

“The standard top, a one-man design of conventional pattern, is effective in appearance, and promises to meet the requirements of the average purchaser. For those desiring a more distinctive and, in a sense, formal effect, however, the Victoria top, such as is carried by Daniels's own car, here illustrated, is destined to prove decidedly attractive. While ostensibly protecting only the rear portion of the car, a frameless extension of the top is available, whereby a complete enclosure of the entire body may be quickly and easily effected.

“In the design of the motor the twin-block staggered arrangement of cylinders has been selected as having the advantage of avoiding the forked type of connecting-rod construction. The cylinder dimensions are 3 1/4 x 5 inches, affording a nominal rating of 33.8 horsepower. The integrally-cast intake manifold, single camshaft with 16 integral cams—one for each valve—and semi-steel flywheel with machine-steel starting gear bolted in place, are among its special features. Duplex centrifugal pumps are used for water circulation, while a gear oil pump feeds the pressure lubricating system, the operation of which is governed by a safety-valve controlling a bypass. Drilled holes in the crankshaft conduct the oil to the main bearings and the connecting-rod big ends, while pipes attached to the rods lead a supply to the upper rod and piston pin bearings. The carbureter is a 1 1/4-inch Zenith duplex, fitted with dash regulating means for the hot-air intake.

“Westinghouse 6-volt equipment is used throughout for the electrical system. The generator is located at the front of the engine and driven by a cross-shaft and spiral gears. Constant voltage is maintained by an automatic regulator, practically independent of engine speed, while it also automatically controls the charging rate of the Willard 100-ampere-hour battery, in accordance with the needs of that accumulator, providing a "tapering charge" as the battery nears its fully-charged condition. The ignition distributor, which is built in conjunction with the generator, is so devised that the period of contact is practically the same at all speeds. The starting motor is geared direct to the flywheel by means of the Bendix type of automatic pinion, whereby all mechanical clutch or gear-shifting arrangements are obviated and the control of the system is reduced to the operation of a simple push-button.

“A multiple-disc dry-plate clutch of large diameter is used, in connection with which is a ball-bearing clutch release that is of particularly easy operation. The three-speed gearset is of Brown-Lipe-Chapin make, mounted as a unit with the engine, and selectively actuated by a center control lever. Final drive is through a Spicer double-universal shaft,  that is guaranteed to be free from whipping at the highest speeds, and spiral-bevel gears on the three-quarter-floating rear axle. The tractive effect is transmitted through the under-slung semi-elliptic rear springs, while torsion stresses are absorbed by a separate torque arm. Taper roller bearings are used for the rear axle equipment, which carries 15inch brakes of the familiar inside and outside acting pattern.

“Although presenting a substantial and even massive appearance, and looking every inch of its 127-inch wheelbase, the weight of the car complete is under 3,600 pounds. It carries 34 x 4 1/4-inch tires on Firestone demountable rims, and wood wheels. That it has the newly-accepted "standard" tread of 56 inches almost goes without saying. Despite its large proportions, however, it is so laid out that it can be turned comfortably in a 36-foot street. This advantage is, of course, due to the ample turning angle of the front wheels, that is rendered possible by the tapering of the frame to narrow width in front, and which, besides the advantage of a great range of steering lock, conveys not unappreciable benefits, it is thought, in the way of easier riding tendencies.”

Mr. Burrell, of Temple, Pennsylvania, says of the Daniels Motor Car Company, "At first the Daniels car units were bought and only assembled with a custom built body produced outside of the plant. The Daniels car was using a V-8 motor made by Herschell-Spillman. The total output was later purchased by another company, and the Daniels company started producing their own motor. The cost of producing this engine was too great for the company."

The organization, started by Mr. Daniels and Mr. Parish, and including Mr. Charles Luft of Philadelphia, an automobile designer, was soon producing almost three hundred cars a year. The first model was the "Model A," then came the "Model B." Both of these cars had Herchell-Spillman V-8 motors.

Jan 6, 1917 Automobile Topics:

“Daniels Eight is Smart

“That the Daniels Motor Car Co., Reading, Pa., is an exceedingly fortunate one is unmistakably revealed at the Salon, for the bodies in which it is being shown are taking second place to none. When to this statement is added the fact that the bodies are made by the Keystone Vehicle Co., of Reading, and that H.S. Daniels himself is the managing director of this company and designer of the bodies, the exact way in which the company is fortunate is seen. It is one of the few American makers that does not have to go far outside in order to provide special bodies, and by that token, is one of the few in the world, practically all European chassis and body makers are quite distinct. The Daniels and Keystone companies, however, are practically one, and face each other across a Reading street.

“Among the Daniels cars to be seen is a five-passenger touring car, which is unique among open cars in having cloth upholstery in the rear seats, while leather is used in …”

January 3, 1918 Motor Age:

“Daniels Eight, Daniels Motor Car Co., Reading, Pa.

“A FIVE PASSENGER, close-coupled, collapsible sedan is a new body of universal design which has been added to the Daniels line for the coming season. The one chassis remains practically the same as last year’s. Some fine custom-built bodies were produced last season to meet the demand for special bodies, and this policy will be continued this year.”

May 23, 1918 The Automobile:

“Contracts Awarded by Ordnance Department

“WASHINGTON, May 17—Following is a list of contracts and purchase orders included in the awards placed by the Ordnance Department on May 11, 1918:

“Keystone Vehicle Co., Reading. Pa.; tops for drivers' seats, trucks.”

Post war records indicate Keystone was awarded $11,250 in truck body contracts and after arbitration was awarded an additional $8,345.45 in compensation for the completed goods. Report to Congress of claims adjusted under act of Congress approval Mar. 2, 1919, entitled “An act to provide relief in eases of contracts connected with the prosecution of the war, and for other purposes”.

In 1919, the "Model C" came out with the first Daniels built engine. There were still many bugs in the new Daniels engine design, so only one or two hundred cars of this model were produced.

November 17, 1919 The Automobile/Automotive Industries:

“Ten American and Six Foreign Cars At Salon

“TEN makes of American cars to six of foreign construction are being exhibited at the Automobile Salon in the Grand Ballroom of the Hotel Commodore…

“Among the accessories shown is the Michelin disk wheel, the American rights for which have been secured by the Budd Wheel Corporation. Wheels of this type are shown both in the stand of A. Faure who exhibits a French tire and on that of the Daniels Motor Car Co., fitted to a Daniels 8. While the Michelin disk wheels manufactured in France are all provided with clinch rims, in this country the wheels will be made with straight side detachable rims. The single steel disk is flanged to form a drum of great strength, reinforcing the rim at every point. The demountable wheel is locked to the hub by 4 or 6 self -locking nuts. The locking studs pass through flanged holes in the disk, and the flanges are of such shape that they do not bear up against the radial flange on the hub, to which the disk is bolted, thus giving a spring washer effect. These wheels are of the demountable type.

“The cars at the Salon were Cunningham, Daniels, Delage, Dupont, Lancia, Locomobile, Meteor, Singer, Porter, Renault, Revere, Rolls-Royce and Sunbeam. Body builders exhibiting were Barker, London; Brewster, Brooks-Ostruk, Fleetwood and Rubay. Equipment dealers showing were Dunlop, Faure, S. Smith & Sons, the Laidlaw Co., Westinghouse, Klaxon and Reese.”

May 13, 1920 Iron Age:

“The Daniels Motor Car Co., Reading, Pa., has acquired property at Hunting Park Avenue, Westmoreland and Fox streets. Philadelphia, averaging about 310 x 1421 ft, for the erection of a new plant estimated to cost close to $500,000. The total site aggregates about 6 acres and will be improved with a number of buildings. It is planned to move the present works from Reading to the new location as soon as the structures are ready for occupancy.”

May 22, 1920 issue of Michigan Manufacturer and Financial Record:

“MOTOR CAR COMPANIES MERGED - The Daniels Motor Car Company and the Keystone Vehicle Company have been merged under the name of the Daniels Motor Car Company and will continue to manufacture the Daniels car in Philadelphia, on a production schedule of 1.500 cars a year. George E. Daniels, formerly manager of the Oakland Motor Car Company, is president; Neff E. Parish, vice-president, and Warren Davis, secretary and treasurer.”

The Keystone Body Company of Reading, Pa was purchased by George E. Daniels, the former president of Oakland and Vice President of General Motors, in 1918 to produce the production bodies for his Daniels automobile. Later custom-bodied Daniels were built by Fleetwood, which was also located nearby. Daniels went out of business in 1924. - The Daniels Motor Car Company was incorporated on June 25, 1915, under the leadership of George E. Daniels. Daniels had previously served as Vice President and General Manager of the Oakland Car Company. Manufacturing of the Daniels auto began in the Mount Penn Stove Works near 3rd and Greenwich Streets, and in 1920 moved across the street to what had been the Keystone Vehicle Works. The Daniels automobile was known for its powerful V-8 engine that was built by the Light Manufacturing Company of Pottstown. The company continued production until the winter of 1924.

June 10, 1920 Iron Age:

“The Daniels Motor Co., Reading, Pa., has been organized to take over the plants and business of the Daniels Motor Car Co. and the Keystone Vehicle Co., both of Reading. The company recently acquired about six acres at Hunting Park Avenue and Westmoreland Street, Philadelphia, and has plans under way for a number of buildings. It is proposed to develop a capacity of 1,500 high-grade pleasure cars during the coming year.”

The Keystone Vehicle Company was incorporated May 4, 1909, with a capital of $75,000, for the manufacture of wagons and automobile bodies, as successor of the Keystone Wagon Works, which had carried on a large business at Reading since 1890, extending to all parts of the United States. It secured the established plant along the Lebanon Valley railroad at Third street, consisting of a four-story brick structure, 200 by 225 feet, equipped with first-class modern machinery.  Operations were started immediately and employment was given to 100 hands.  The annual wages will amount to $50,000, and the product to $300,000.  The officers of the company are:  Edward C. NOLAN, president; G. Stanley HENDEL, secretary;  John L. COXE, treasurer and manager.

August 14, 1920 American Contractor:

“Contracts Awarded.

“Factory (add ): $10,000. Thorn St., bet. L. V. R. R. & Green st. Priv. plans. Owner Keystone Vehicle Co., on prem. Gen. contr. let to Chas. N. Schlegel.”

October 17, 1920 Decatur Daily Review:

“DANIELS AUTO IN TEST TRIP HERE

“New Machine Made In Reading, Pennsylvania.

“A man from Reading, Penn., was in Decatur Friday morning: on his way back from California. He was driving a Daniels car. It will not necessarily betray your ignorance if you admit that you never heard of the car. It is one of the automobiles that has a hallmark but not a trademark. It weighs 4,400 pounds, cost $5,000. It has an aluminum body, speaking tube, electric lights wherever electric lights are very likely to be needed and all of the other accessories and conveniences that human ingenuity could think of. The car had run 10,840 miles and looked as highly polished as if it had just come out of the shop. It has an eight cylinder motor and is made by the Daniels Motor Car company in Reading, Pa.

“The man driving the car is a road man and he had taken the car to California on a test trip. He had with him a woman seventy-six years old and they were making 300 miles a day.”

After sixteen months of experimenting on the "Model C's" mechanics, the Daniels Motor Car Company announced the "Model D." This was the last model produced and by far the best. In 1921, Mr. Daniels said that this engine had been tested for sixteen months and was now better than any other engine he had ever seen. This new Daniels, although it looked a good deal like the others, was really as much better mechanically as was claimed for it. It had twenty-five more horse-power than the "A's" and "B's," and this made it noticeably more powerful than most other cars on the road. The extra power for hill climbing and for fast acceleration was the reason for the car's great popularity in Pittsburg and Los Angeles. It was shipped by rail to Los Angeles and not merely driven as were many other makes.

The make was in such demand in Los Angeles that one night Mr. Daniels received a telephone call from the dealer there, saying that if the dealer did not receive more Daniels cars, and soon, he would come east and buy the whole company, because he made that much money as their dealer. There was another dealer in Tulsa selling cars to the Indians who had struck it rich in oil and wanted the biggest, fastest cars they could buy. These were just two of about fifteen agents all over the United States.

From William Bradford Williams - Munitions Manufacture in the Philadelphia Ordnance District, pub 1921:

“KEYSTONE VEHICLE CO., E.T. Preston president (now Daniels Motor Co.)

“The Keystone Vehicle Co. (later Daniels Motor Co.), of Reading, Pa., during the World War were designers of the special drivers' tops for the Nash Quad. They supplied 500 for overseas shipment for the Engineering Division of the Army, and received orders for 1,200 from the Ordnance Department. “The Keystone Vehicle Co. also furnished other manufacturers with samples, as models from which to build their tops.

“Another contract was received by them for 500 tops from the Engineering Division for overseas shipment.

“In addition to the above they designed and built sample tops for the Dodge Repair Truck, the five and ten-ton tractors and the artillery.

“Also seventy-five Class B bodies on an order for 500, which order was cancelled by reason of the Armistice. The company had other orders, as sub-contractors, for 250 bodies for limbers and caissons.

“As many as 350 employees worked, at one time, on war production.

“The regular line of the Keystone Vehicle Co. (now the Daniels Motor Co.) is high grade pleasure automobile bodies.

“The War Executive Personnel follows: Geo. E. Daniels, President and General Manager; W. S. Eaton, Superintendent (later succeeded by Sydney Atterby); F. W. Sheadle, Purchasing Agent; A. W. Zechman, Shipper.”

By 1921, then, they had a good car, some experience, and, although not widely known, a good reputation. They considered themselves over the initial hump and now the customer could buy with assurance.8 The Daniels Company had a right to be proud, for the company was successful, the car stood up extremely well, and it had as much power and speed as a small, light car. This speed and pep was surprising because the car weighed about three tons with its heavy construction even though the body was aluminum.

In an interview in May of 1922, Mr. Daniels said that there had been a tremendous increase in the demand for cars in the last six months. The drop-off of automobile sales had been caused by the minor depression in about 1920, which was a result of the war. Mr. Daniels said that optimism was growing as was business, and that now there was much more demand for a "high-grade, quality, car." He said that this rise was especially noticeable in the Central West. He believed that the downward fall of auto prices was stopping, that good cars like the Daniels would be in more demand, and that any cut in cost would come Out of the quality of the materials used in an automobile, since wages could go no further down. This cut in quality would mean that a buyer would get more for his money from Daniels, which would not cut down its quality (or, therefore, the cost.)

About the same time as Mr. Daniels' interview, a new issue of preferred stock was announced. The issue was ten thousand new shares of preferred stock at eight percent, with a par value of one hundred dollars. At that time their preferred stock outstanding was $1,732,475, with three hundred thousand shares of common stock having no par value. The price was ninety-five and the accrued dividend yielded 8.42 percent.

Along with this sale of stock the Daniels Company announced their financial standing and prospects. They said that this stock was to pay off the bank loans and provide more working capital. The plant was well equipped and built so that it could expand. The inventory had been kept down during the depression so that they were now ready with capital to expand. As trade had revived in 1921 and '22, so had the Daniels' sales, and it was figured that the Daniels' assets would always be above the amount of all the preferred stock, including the new issue. The company expected to be quite prosperous soon, with a demand for at least one thousand cars a year more than they were making at that time. The company had paid all its dividends on its limited production, and now, with a possible thousand cars a year or more, it should pay much more. It should net more than the preferred stock of $136,000, and have some left for the common stocks. The Daniels Company did have to start at a high dividend to get things moving, but the eight percent stock was certainly one of the factors contributing to their going broke.

In 1922 the price for one of the more expensive Daniels cars was $7,450. This is a rise in price from the earlier cars, but it is not surprising because they were making better automobiles. Although the body design changed very little in the ten years of manufacturing, each car was slightly different than any other one. There was no stock models built, each auto being made for an individual customer with "European craftsmanship and American experience."  The company also stressed the point that their cars were built for comfort, as is shown by this excerpt from an ad, "The deep-cushioned seats, the handsome coachwork, the continental body lines, the correct appointments—all these things make getting somewhere as pleasant as being there." The eight-cylinder engine was said to give better speed, power, and smoothness of riding, because it had a "V" of less than ninety degrees. This writer feels that the reason for the claim was more an advertising stunt than a mechanical fact.

One thousand five hundred of these "cars for the most particular" were in the hands of owners by 1922 or '23, and if the public wanted to look at some Daniels cars, they could find them at the best automobile shows, such as the ones at the Drake Hotel in Chicago.

In about the middle of 1923 the break came in the Daniels Motor Car Company. Mr. Parish gave his stock in Daniels, the controlling interest, to a friend for personal reasons. This made Mr. Daniels so angry that he told Mr. Parish what he thought of the action, and in no uncertain terms. Mr. Parish, in turn, became so angry that he withdrew his financial support of the Daniels Company.

Of course, Mr. Daniels was very unhappy about this break. Although he should not have lost his temper with Mr. Parish as he did, yet he had reason to be angry. The stock incident was not the first disagreement. Other things had come before, such as Mr. Parish's insisting, when the Chicago sales-branch changed hands, that its name be changed to "The Daniels Parish Motor Company."

Mr. Daniels tried for about nine months to find someone else to take the place of Mr. Parish. Being able to find none, he had to sell the company. During the nine month period of searching, the factory -workers had to be released and the office workers went into the shops and finished the cars which were on order.

January 20, 1923:

“Receivers appointed for Daniels Motor Co. of Reading, Pa., in a friendly proceeding.”

August 6, 1923 Oakland Tribune:

“Receivers of the Daniels Motor Company have asked the court for permission to sell the assets of the company at public sale on October 2.”

September 30, 1923 Oakland Tribune:

“Plant To Be Sold At Receivers' Sale

“Announcement is made by Samuel T. Freeman & Co., auctioneers, that they will sell at a receiver’s sale the plant of the Daniels Motor Company of Reading, Pa.., on October 4 at Reading. The sale will include the real estate, service rights and good will, machinery and equipment and stock and fixtures.”

October 30, 1923 New Castle (PA) News:

“Offers Made For Daniels Company Assets Rejected

“(International New Service) PHILADELPHIA, Pa., Oct. 30.— Federal  Judge Dickinson Monday rejected offers of $84,271 made for the entire assets of the Daniels Motor company at public auction last week at the company’s plant at Reading, Pa., on the ground the offers were inadequate.”

By 1924 Daniels Motor Car Co. was in the hands of Philadelphia-based Levine Motors Co., a firm that specialized in buying the parts inventory of failed automobile manufacturers for pennies on the dollar. They would then supply the inventory to orphaned dealers enabling them to support exiting owners with parts and service.

The company was sold to The Levine Motors in Philadelphia. Levine Motors was, and still may be, a company which bought up failing automobile manufacturing concerns in order to sell parts to the owners of that particular make of car in years to come.

In April of 1924, a letter from Mr. B. N. Levine, the vice president, went around to all Daniels owners telling them that the company was reorganized, and they would now supply factory service and spare parts in Philadelphia although the dealers would carry them as well. They also suggested that owners send their cars to Philadelphia to be rebuilt.

As well as parts and rebuilding, Levine planned to keep on manufacturing the Daniels. Levine said, "The new line of cars will be, bar none, the best in America." This comment not only gives an idea of what they expected to do, it also shows how the company changed in type. The earlier management would never have made such outlandish claims in this gaudy manner; they were quiet and sophisticated, as was their car. The fact that very few of the original men stayed with the company bears this out quite well. As far as this writer knows, only one or two cars were manufactured by Levine, and those were merely a conglomeration of other Daniels parts. A man came through Chicago on his way to California with one of the late Daniels and said that he did not know whether he would get to California or not.

This mistrust of a Daniels car certainly is in contrast to a man in Chicago who owned an earlier model. He did not have to earn a living so drove all over the country just for the fun of it. His Daniels car had traveled four hundred thousand miles. It never broke down, and all he did to keep it up was to have it checked over every hundred thousand miles.

With a performance like the one just mentioned, it can be readily seen that the Daniels automobile would stand up favorably against the cars of today. The chassis, with its high engine performance and pep, was as good as many of those manufactured now, thirty years later. The body was very good for its time, but could not really compete with todays.

The usual way to identify a Daniels was by the "Y" shaped spare-tire carrier on the side, and by the peaked shape of the hood. The police used the headlamp diameters for identification. The "B" was 9 3/8 inches in 1918, in 1920 the "C" was 9 3/8, the "D" was the same, but changed in 1921-'23 to 9 inches. The police also used the hubcaps and the serial and motor numbers for identification.

As can be guessed from above, there was very little change in the design of the Daniels during its years of production. Therefore, the best way to see how it advanced is to look at the separate parts of the models, and how they were modernized.

The first car was the model 'A" of 1916 and '17. This car had a Herschell-Spillman, V-8, L head, engine with a bore and stroke of 3 1/4 inches by 5 inches. The bore and stroke of the engine on the runabout was 3 inches by 5 inches since it was a lighter, more streamlined car. The engine was cast in blocks of four, with the intake manifold on the interior and the exhaust manifold bolted on. It had staggered cylinders and a single camshaft with valves in the center of the "V." The oil was force fed and the engine had a drilled crank shaft. The rated horsepower was 33.8 (another source says 37). The displacement was 331.8 cubic inches.

On the model “B” the inlet manifold was placed outside. In the later model “B” of 1919 splash oiling was added to the force feed.

The specifications for the model “C” were not published, although this was when Daniels started making their own engine. In the model "D-19," advertised in 1920, the bore and stroke was 3 1/2 inches by 5 1/4 inches in an eight cylinder, eighty-four degree "V." Again they were cast in blocks of fours, now with removable heads. The rated horsepower was now 39.2, or 90 brake horsepower at 2000 rpm. The camshaft was not drilled for oil, although force feed was still used. The average number of miles per gallon of gas was thirteen. The oil capacity was eight quarts and the car got about two hundred miles to the quart. With this new engine the displacement was 404.1 cubic inches. The engine specifications changed only slightly in the remainder of the years in which the car was manufactured.

The radiators on the "A's". and B's" were nickel plated, but later they were of German silver of the type used on the Mercedes-Benz. The water pump was a “duplex centrifugal”, and the system had a capacity of about ten and one half quarts.

At first a Zenith, one and one fourth inch, duplex, carburetor was used. Later a Zenith vertical outlet was installed. Zenith carburetors were used until 1923, when the company switched to a Stromberg one and eleven-sixteenth inch model.

A three speed gearbox was used, with the same shift pattern as is used on the present day American autos. It was a unit power plant. A double universal helped to eliminate whip at high speeds. The clutch was an eight and one half inch, dry, multiple-disc.

On the model "D-19" there were nine points requiring grease and fifteen oil. This was less than the twelve grease cups and many oil cups on the earlier models.

The rear axle in the model "A" was three quarter floating. The fifteen inch brake drums were only on the rear, with internal expanding and external contracting members. The rear axle had a ratio of 4.42 to 1. In the model "B" the only change was making the ratio 4.46 to 1. In 1919 the rear axle was changed to a full floating with a ratio of 4.08 to 1. The model "D" still had a full floating rear axle but the ratio went up again to 4.40 to 1.

The ignition system on the “A” was a six volt, single system, single unit, Westinghouse. In 1917 it was changed to a two unit system. The model "D" had a Delco six volt system.

Gasoline was supplied by a pressure system. The gas tank and fuel line were airtight and the gas was forced by air pressure from the tank into the carburetor. This pressure was built up in the tank by a pump on the dash panel operated by the driver after he had put gas in and sealed the tank. After pressure was built up, the car was started and the tank sustained its own pressure even though gas was being used. This pressure was kept up by a pump operated by the camshaft.

The bodies were quite good for their day. "Streamline design characterizes the body which had a double cowl finished with a heavy mahogany garnish around the top. Battery and tool boxes are set in the sides of the splash shields. With equipment the car sells for $2,350.”

The wheelbase of the model "A" was 127 inches and the body had mahogany cabinet fittings and, as the advertisement said, a mahogany rail all around. The touring car was just about the only model then, and sold for $2,350. The next year the model "A" touring went up to $2,800.

The model "B" touring car cost $3,100 in 1918, which shows that the prices of that time were rising, and also that the Daniels Company was gaining assurance. In 1919 the touring car cost $3,750.

When the "D-19" was advertised in 1920, the cheapest car, the touring car, cost $4,500. The wheelbase was now 132 1/4 inches and many new body styles were available. The five -passenger touring car was to cost $4,850 in 1921, but ended up about $5,000. By then it was a very expensive car for its day and even the chassis was out of the line of what many people wanted to pay. The price kept going up until 1924, when no more cars were produced in mass. To give a general idea of how the various body styles differed in cost here is a list of prices for 1921 with a few of 1924 for comparison.

Town Brougham. ---------------------$6750

Landau Brougham                           7250

Landaulet Brougham ..................7100

Sedan...........................................6950 ($8000 in 1924)

4-Pass. Close Coupled Sedan        6950

Calif. Special Sedan ....................7800

Special 4-Pass. Sedan .................7000

Suburban Limousine ---- ............7025   ($10,000 in 1924)

Standard Limousine ...................6750

Landaulet Suburban ...................8000

Collapsible Winter Roadster ……..6500

Coupé...........................................6250

Touring Cars ...............................5350   ($7000 in 1924)

Emergency Roadster ...................5350

Marine Roadster .........................5350

3-Pass. Roadster ...........................5350

Speedster           ............................5350

The wheelbase of the cars which were fabricated by Levine was 138 inches, but aside from that there was almost nothing different. Just a few massive looking sedans were built.

The Daniels automobile did not change the auto industry or make a heavy mark on it, but it did have its effects. As did all other automobile companies, it increased the amount of knowledge, both technical and executive, in the automotive industry. Since the Daniels Company was producing an expensive car and trying to give its buyers the best, it could afford to experiment with new ideas. The Daniels car helped show how successful a V-8 engine could be.

The Daniels Company helped foster in the buying public the demand for a comfortable car. One of their selling points was that a Daniels was very comfortable, and this demand for comfort is still one of the problems of automobile manufacturers today.

Just about the most important function of the Daniels, and the other expensive cars of their day, was that they made the United States independent of Europe in our demand for high quality cars. Previous to that time, the best automobiles and designs had been imported, but now we could build cars of equally good quality.

Daniels went to work for his friend Billy Durant at Locomobile.

Body designer for the "90" was Sydney Atteby, formerly of the Daniels Motor Co. of Reading, Pennsylvania. This was not a surprise since Durant installed George P. Daniels as vice president and general manager of Locomobile in January 1925. Daniels had been the first interim president of General Motors in 1908 and from 1915 to 1924 was the head of his own company which produced small quantities of an expensive, powered luxury car known for its smart "Submarine" speedster models. It was unfortunate that Mr. Atteby had not been able to infuse the Locomobile "90" with some of the rakish lines present on the Daniels.

June 18, 1928 Lebanon Daily News:

“NEFF E. PARISH, READING, DIED IN BERLIN, GERMANY

“Reading, Pa., Today,—(AP),—Neff B. Parish, aged 65 years, founder of the Parish  Manufacturing company, maker of automobile frames, died in a Berlin, Germany, sanatorium following an operation for  an internal trouble. He came to this city from Cleveland in 1905 and started a large plant, later sold to the Spicer Mfg. company. He was a native of Atlanta, Ga., and was a member of the Society of Automotive Engineers and the Carriage Builders' Association.”

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Daniels 
The Daniels Motor Car Co. 
Reading, PA 
1916-1924

George E. Daniels and Neff E. Paris formed The Daniels Motor Car Co. in 1915. The Daniels Motor Car Company first produced American Automobiles in 1916. For eight years they made large, expensive luxury cars of high quality from in an old coach factory at Reading PA.

George Daniels was an excellent lawyer, engineer and mechanic while Neff Paris produced automobile parts and frames.

In addition George Daniels worked in the automotive field for ten years as head of Buick Motor Car Co. distribution in eastern Pennsylvania, Vice President and General Manager of the Oakland Motor Car Company and was a member of the original board of directors of General Motors. Neff Parish owned a company that manufactured automobile frames for several expensive makes of passenger cars including frames for the Pierce-Arrow.

The first Daniels automobiles were a Model "A" and about 300 cars were produced. The Daniels Model "A" used a 34 horsepower eight cylinder V-8 engine made by Herchell-Spillman Co. of North Tonawanda, NY. A two passenger Roadster or Speedster (shown above), Four passenger Touring Car, Seven passenger Limousine and a Landaulet were produced in 1916. All were produced with a 127 inch wheel base.

In 1917 and 1918 the now popular Model "A" and a new Model "B" also with a 127 inch wheel base were produced by The Daniels Motor Car Co. The Model "A" and "B" production included a Roadster, Touring Car, Cabriolet, Sedan, Brougham, Limousine and a Berline. Prices ranged from $3,100.00 to $5,200.00.

In 1919 the Model "C" came out along with the first Daniels built engine. However, only one or two hundred Daniels Model "C" were built due to Daniels engine design problems. A new and improved Daniels V-8 engine was introduced in 1920 on the Daniels Model "D". The new and improved Daniels engine had more horsepower and the Daniels Model "D" was much better mechanically than previous model "C".

The 1920 Daniels Model "D" was made in seven different body styles. (1) $4,750.00 seven passenger Touring Car, (2) $4,750.00 four passenger Touring Car, (3) $4,750 two passenger Roadster (4) $4,750.00 three passenger Coupe, (5) $6,250.00 four door Sedan, (6) $6,250.00 Suburban, (7) $6,250.00 Limousine.

The 1921 Daniels Model "D" was also made in seven different body styles. 1921 saw changes in both body styles and price. (1) $5,689.00 Four passenger Touring Car, (2) $5,350.00 two passenger Speedster, (3) $5,350.00 three passenger Roadster, (4) $5,350.00 six passenger Touring Car, (5) $6,250.00 three passenger Coupe, (6) $6,500.00 Collapsible Winter Roadster and (7) $6,950.00 four passenger Sedan.

Seven body styles continued at The Daniels Motor Co. for 1922. (1) $5,350.00 four passenger Touring Car, (2) $5,350.00 seven passenger Touring Car, (3) $5,350.00 two passenger Speedster, (4) $6,250.00 three passenger Coupe, (5) $7,000.00 four passenger Sedan, (6) $7025.00 Suburban and (7) $7,250.00 Broughan.

1920, 1921 and 1922 Daniels Model "D" specifications include optional paint, left side driver, 132 inch wheel base, electric starter, electric lights, speedometer, ammeter, voltmeter, clock, tire pump, electric horn and demountable rims.

In addition to the above specifications the Daniels used nickel plated cellular radiators, duplex centrifugal water pumps, Zenith or Stromberg carburetors, Brown-Lipe three speed transmission, Williard Battery, Westinghouse Generator, dry multiple disc clutch, 15 inch brake drums and full floating axle.

The Daniels was advertised as "The Distinguished Car With Just A Little More Power Than You'll Ever Need". The Daniels were made in Reading, PA but had 15 to 20 agents all over the United States. By the 1920s the Daniels although not widely known had a good reputation.

Although the body design changed very little in the ten years of manufacturing, each car was slightly different than any other one. There was no stock models built. Each Daniel automobile was made for an individual customer. The Daniels were considered made of "European Craftsmanship" and "American Experience".

The 34 horsepower Herschell Spillman V-8 Engines gave plenty of power and speed for the Daniels automobile. Specifications included a 3 1/4 inch bore and a 5 inch stroke, L-head, cylinders cast in two blocks of four each, two bolt cap construction, Force feed lubrication and Westinghouse ignition.

The total output of the Herschell Spillman Engine Co. was purchased by another American Automobile Company in 1919. So the Daniels company started producing their own engine. The Daniels engine looked a good deal like the Herschell Spillman V-8 Engines. Horsepower was increase and after some experimenting the quality got better also. The Daniels engine made the 1920s Daniels noticeably more powerful than most other cars on the road.

Internal business problems led to The Daniels Motor Car Co. being sold to The Levine Motors in Philadelphia in 1924. Levine Motors was a company that brought up failing American Automobile companys to sell parts and services in the years to come.

Xxxxxx

The Daniels cars were produced in Reading, Pennsylvania. Production lasted from 1915 through 1924. This is the only Fleetwood-bodied Submarine Speedster in existence, from 100 that were produced. 

The Daniels V8 that displaces 404 cubic-inches produced 80-90 horsepower. The body was built by Fleetwood, another Pennsylvania firm.

The radiator is made with German silver. It was advertised as 'The Distinguished Car to the Discriminating. The principals of the company included George Daniels (a former vice-president at GM) and Neff Parish (owner of Parish Pressed Steel) both experienced automotive people. But a personality clash between these two men, ultimately led to the demise of hte Daniels Company.

After the conclusion of the First World War, America entered a ten year period of wealth and prosperity. Known today as the 'Roaring 20's,' it was a decade that was marked conspicuous consumption, ragtime music, flappers, speakeasies and fast automobiles.

While most people owned conservative touring cars and sedans, wealthy 'playboys' of the 1920's had two-seat sports cars which were often called speedsters or raceabouts. These earliest sports cars featured simple bodies that were light weight and sporty in design.

This 1921 Daniels is an example of such a car. Built in Reading, Pennsylvania, it is powered by a 464 cubic-inch V-8 engine that produced 90 horsepower. The crankcase is made of cast aluminum and the cylinder blocks are cast iron. The radiator is made of German silver. The body construction is framed in wood, which provides the inner structure and strength. The wood frame work is covered with a sheet metal overlay. This construction method was very typical during the 1920's.

The body style on this rare Daniels was called the Submarine Speedster and has several design features and accents that would normally be found on sporting boats of the period. Only 100 Submarine Speedsters were built by Daniels and this example is the only one known to exist today.

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DANIELS (1916-24)

1916-24 Daniels Motor Car Co, Reading, PA
1924 Levene Motor Co, Philadelphia, PA

The Daniels was a low production, highly esteemed luxury car built under the direction of its company president, George E Daniels, erstwhile president of Oakland and a vice-president of General Motors. It was at once a quality automobile and a heavy one, with weight on its closed models approaching 3 tons. It was powerful as well, all Daniels cars being equipped with side-valve V8 engines by Herschell-Spillman into 1919 and its own motor from then to the end of production in 1924. It featured a bore and stroke
of 3 1/2 x 5 1/4 inches with a potential of 90 bhp at 2000 rpm.

The Daniels was advertised as 'The Distinguished Car With Just a Little Bit More Power Than You'll Ever Need' and identified by its high 'cathedral' type radiator, similar to the Fiat, and devoid of a radiator badge, identified only by the letter 'D' on its hubcaps. The Daniels was tailored by coachwork of the highest and best executed quality, first by the Keystone Vehicle Works of Reading and after 1920 by Fleetwood, also of that community and prominent for custom coachwork for other contemporary expensive automobiles.

The Daniels was a high priced car with prices starting at $5350 for open models and rising after 1920. In 1921, top year for Daniels production, closed cars were priced from $6750 for the town brougham to $7800 for the 'California' limousine. In 1924 the Daniels was taken over by the Levene Motor Co of Philadelphia, which specialized in supplying parts for orphan makes and servicing them. The Levene concern announced that it planned to continue production of the cars, although it appears that this was just its way of completing cars from existing parts. Only a few of these last Daniels were completed, but at greatly raised prices, the suburban limousine costing from $7025 to $10000. These cars proved to be faulty in their construction, a sad ending to a once proud automobile.

Not to be confused with the Columbus, Ohio firm of the same name (Keystone Vehicle Co.) that manufactured commercial, funeral and omnibus bodies.

There was another firm called the Keystone Buggy Co 1880s-1901 in Cincinnati, Ohio that was headed by Albert Armstrong who went on to found the A. Armstrong Co. from 1904-1920, a firm that manufactured carriages for export.

 

    For more information please read:

Lauren Suter - Daniels 8; Antique Automobile, Vol. 18 no. 1; Spring 1954 issue;

The Dauntless Daniels - Dec. 1974 issue of Car Classics 

John W. Leonard - Who's Who in Pennsylvania: A Biographical Dictionary of Contemporaries, pub. 1908

Morton L. Montgomery - Historical and Biographical Annals of Berks County, Pennsylvania, pub. 1909

Biographical Publishing Co. - Book of Biographies, Biographical Sketches of Leading Citizens of Berks County Pa., pub. 1898

Atlantic reporter, Volume 73, July 8 - October 8, 1909, pub. 1909

Herbert Ridgeway Collins - Presidents On Wheels, pub. 1969

Keystone Vehicle Company - Pennsylvania Heritage, Fall 1986 issue, pp28

Keystone Vehicle Works Factory – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 34

Keystone Wagon & Carriage Works – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 51 

Industrial and Commercial Resources of Pennsylvania, pub 1887

William Bradford Williams - Munitions Manufacture in the Philadelphia Ordnance District, pub 1921

Howe B. Willis - The Motor Car Industry, Spur, May 15, 1922 issue

"Daniels Eight of Strong Construction" The Automobile, October 21, 1915 issue

"The Cars of 1916" The Motor, January, 1916 issue

Sergeant John F. Brennen - Automobile Identification, pub. 1924

D.W. Burrell - Memorandum of D. C. Peck on a letter of D. W. Burrell's

Floyd Clymer - A Treasury of Early American Automobiles, Floyd Clymer, Los Angeles, 1950

Lauren Suter - Daniels 8; Antique Automobile, Vol. 18 no. 1; Spring 1954 issue;

The Dauntless Daniels - Dec. 1974 issue of Car Classics 

John W. Leonard - Who's Who in Pennsylvania: A Biographical Dictionary of Contemporaries, pub. 1908

Morton L. Montgomery - Historical and Biographical Annals of Berks County, Pennsylvania, pub. 1909

Biographical Publishing Co. - Book of Biographies, Biographical Sketches of Leading Citizens of Berks County Pa., pub. 1898

Atlantic reporter, Volume 73, July 8 - October 8, 1909, pub. 1909

Herbert Ridgeway Collins - Presidents On Wheels, pub. 1969

Keystone Vehicle Company - Pennsylvania Heritage, Fall 1986 issue, pp28

Keystone Vehicle Works Factory – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 34

Keystone Wagon & Carriage Works – Passing Scene, Historical Society of Berks County, Pa.,Vol. 16 pp 51 

Industrial and Commercial Resources of Pennsylvania, pub 1887

William Bradford Williams - Munitions Manufacture in the Philadelphia Ordnance District, pub 1921

Paul A. Cube – Wagon-Making In the United States During the Late-19th Through Mid-20th Centuries,  pub. 2005

Beverly Rae Kimes - The Classic Car

Beverly Rae Kimes - The Classic Era

Beverly Rae Kimes - Packard: A History of the Motorcar and Company

Beverly Rae Kimes & Henry Austin Clark Jr. - Standard Catalog of American Cars 1805-1942

Richard Burns Carson - The Olympian Cars

Raymond A. Katzell - The Splendid Stutz

Marc Ralston - Pierce Arrow

Brooks T. Brierley - There Is No Mistaking a Pierce Arrow

Brooks T. Brierley - Auburn, Reo, Franklin and Pierce-Arrow Versus Cadillac, Chrysler, Lincoln and Packard

Brooks T. Brierley - Magic Motors 1930

Nick Georgano - The Beaulieu Encyclopedia of the Automobile: Coachbuilding

John Gunnell - Standard Catalog of American Cars, 1946-1975

James M. Flammang & Ron Kowalke - Standard Catalog of American Cars, 1976-1999

Daniel D. Hutchins - Wheels Across America: Carriage Art & Craftsmanship

Marian Suman-Hreblay - Dictionary of World Coachbuilders and Car Stylists

Michael Lamm and Dave Holls - A Century of Automotive Style: 100 Years of American Car Design

Thomas E. Bonsall - The Lincoln Motorcar: Sixty Years of Excellence

Fred Roe - Duesenberg: The Pursuit of Perfection

Arthur W. Soutter - The American Rolls-Royce

John Webb De Campi - Rolls-Royce in America

Hugo Pfau - The Custom Body Era

Hugo Pfau - The Coachbult Packard

Griffith Borgeson - Cord: His Empire His Motor Cars

Don Butler - Auburn Cord Duesenberg

George H. Dammann - 90 Years of Ford

George H. Dammann & James K. Wagner - The Cars of Lincoln-Mercury

Thomas A. MacPherson - The Dodge Story

F. Donald Butler - Plymouth-Desoto Story

Fred Crismon - International Trucks

George H. Dammann - Seventy Years of Chrysler

Walter M.P. McCall - 80 Years of Cadillac LaSalle

Maurice D. Hendry - Cadillac, Standard of the World: The complete seventy-year history

George H. Dammann & James A. Wren - Packard

Dennis Casteele - The Cars of Oldsmobile

Terry B. Dunham & Lawrence R. Gustin - Buick: A Complete History

George H. Dammann - Seventy Years of Buick

George H. Dammann - 75 Years of Chevrolet

John Gunnell - Seventy-Five Years of Pontiac-Oakland

 




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