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Thanks to all, will try to get under the car after work in the next couple days, and see about the cross member. West thanks, if you get under thanks so much, much work on my behalf, thanks for making my life easier.
Did you ever order any of the trim clips from Restoration?
HH the two lines for oil, you are right may not work. I will have no way to tell if more oil is getting to the galley or not. I suppose as stated will enlarge all canister and fitting passages for maximum flow. While I have things apart if any of you have any more suggestions let me know. Other people with earlier 356's may have the same problem and I guess we might learn something from this. I have looked at four canisters from this period, what might be stock, and couple after market for sure, they seem to flow from inside filter out. Regardless of how marked on outside of canister. In and out on side or bottom. Am I still missing something?

Not sure exactly when they changed the inlet to the side for the 356 engine. I am guessing it might have been 42. Parts manual lists the same filter used on Clipper 356 engines 20 and 21 series and my 21st (if original) is side inlet. The 40-41 engines have a different number so that is probably the bottom inlet. That 40-43 period is when they were doing all the changes to filter plumbing because of the noisy lifters.

They used a different part number and same filter for all engines 22nd thru 54th and those are all side inlet. What confuses the issue more is some of the aftermarket filters had a bottom inlet even when Packard was using side inlets and there are a few of those fitted on engines -- maybe by dealers, maybe by the corner gas station -- so it is kind of a mismash.

As far as the filter operation, it will work either way as long as the flow is there. IMO, the main advantage to the side inlet is there is considerably more surface area on the outside diameter of the filter and time until it fills up and starts restricting flow will probably be longer than if all the crud was directed to the small inner core.

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I received one clip. I'm still trying to figure out if it can be modified to work. Haven't had a second to look into it yet. The clips are $1 each.

Do you need me to take a photo of my oil filter canister? I might be able to find a canister for you.

sure would like a picture. Remember my clips were 8 dollars for 100, the legs are too long, but can be shortened a bit. You will need to bench grind down the face to make a bit thinner to fit under the ledges. Do your clips look a bit more original?

Perhaps I didn't see the clips you were talking about. You posted a link, but none of the clips that I saw were even close to correct.
This is a photo of what it's supposed to look like. The feet go into the trim, while the flat part is what you see on the inside of the trunk rack (and sidemount cover)

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Here's the oil canister, and the lines leading to the block. This is a very late 1940 engine.

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Is that a late 40 356 engine? If so the engine looks like it escaped all the sticking valve and noisy lifter related mods except maybe the longer fill tube. Filter plumbing looks original, oil cap and tube looks to be style after the tube lengthen to try and get more air as it passed the filter but before they added the next mod of horizontal ventilation tube blowing into a side air inlet on the cap.

It's not THE highest 1940 serial number known, but it's very close (I think second highest). The oil filler tube has been changed since I got the car. It had a 1941-42 tube and cap on it when I got it.

It only had 50,000 miles on it when I bought it, and is unrestored. I installed new wiring, and painted the engine when I had the front clip off of it.

We are wandering off of the trail of the original subject of this discussion, but that said let me take you farther off track.

Attached are photos of the Fram oil filter installation on my 47 Custom Clipper. It has the side feed and bottom drain, along with the pig tail tubing to distribute most oil to the lifters. This is the by-pass type installation.

Also note the oil breather cap and fan blast tube which differs from the photos West posted and agrees with Howard's comments.

(o{}o)

Edit: The first photos were not oriented correctly, they came straight from my iPhone. I took them into iPhoto and re-oriented them. Here they are.

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I think it was the OP who directed us off topic, so it's okay.
I'm curious as to where the drain line leads to???