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I<br />
I<br />
theatre<br />
I<br />
$33 MILLION IN DAMAGES ASKED<br />
IN 19 suns FILED SINCE OCT. I<br />
From $50,000 to $1 1.895.000<br />
In Antitrust Verdicts<br />
Sought in Courts<br />
NEW YORK—AllhouKh aibllrallon of<br />
Industry disputes has been a major trade<br />
topic of the season, there has been no apparent<br />
letup on antitrust suits in the closing<br />
quarter of the year. Since October 1,<br />
19 suits have been filed asking a total of<br />
nearly $33,000,000.<br />
The litigation reached into every section of<br />
the country, and brought out some new<br />
angles on which exhibitors are .seeking re-<br />
(Iress in court. Whereas virtually all antitrust<br />
suits immediately following the Supreme<br />
Court decision involved illegal trade practices<br />
In previous years, many of the new suits are<br />
based on alleged violations of trade practices<br />
set up in the consent decree or practices<br />
established by the majors in an effort to<br />
carry out the court orders.<br />
SEEK METROPOLITAN BREAKUP<br />
In several instances, exhibitors in .small<br />
towns included geographically in metropolitan<br />
areas are suing for the right to play day-anddate<br />
with first run theatres in the metropolitan<br />
center. First runs in Boston are among<br />
those involved in a $1,500,000 suit filed by<br />
the Lendonsol Amu.sement Co., operator of<br />
the Adams Theatre in Quincy. The company<br />
contends that it has been denied the right to<br />
bid for day-and-date first runs, and is suing<br />
the majors. B&Q. New England Theatres and<br />
American Theatres circuits.<br />
The Boston area clearance system also is<br />
attacked in a suit filed by the Park Theatre<br />
In nearby Walpole. The Park Neponset Corp..<br />
operators of the theatre, is asking for $1,000.-<br />
000 in damages from the majors. Phil Smith<br />
circuit, the UPT affiliate in the area—New<br />
England Theatres, Inc.—and American Theatres<br />
Corp. because Boston's first runs have a<br />
21-day clearance over the Park.<br />
This same effort to get first runs on a dayand-date<br />
ba.sis with first run houses in a<br />
metropolitan center is the basis of a $2,250,000<br />
suit filed by Harold Field and Harold Kaplan<br />
In behalf of the St. Louis Park Tlieatre in<br />
suburban Minneapolis. St. Louis Park is an<br />
Independent municipality on the outskirts of<br />
Minneapolis and has grown tremendously in<br />
the past few years.<br />
UNUSUAL MIAMI COMPLAINT<br />
I<br />
In a number of other suits, distributors are<br />
being sued .singly along with one or more<br />
exhibitors in product availability disputes. An<br />
unusual argument is presented by the Colony<br />
Theatre in Palm Beach which has brought a<br />
$50,000 suit against 20th Century-Fox. The<br />
contends that it can't get first runs<br />
I<br />
for its ".sophisticated, discriminating tourist<br />
trade."<br />
Kar-Vue Theatres, Inc., which operates<br />
four Colorado drive-in theatres, is suing<br />
United Artists becau.se it allegedly can't buy<br />
a "proper run" of UA films. Named along<br />
With the distributor is the Wolfberg circuit<br />
Which, itself,<br />
recently sued and won a verdict<br />
in a suit against the majors.<br />
Hearing Set for Dec. 29<br />
On Federal 16mm Suit<br />
HOLLYWOOD — Arguments will be<br />
heard Monday i29i In federal dLsirlct<br />
court on a motion (lied by attorneys<br />
representing major company defendants<br />
in the government's antitrust action seeking<br />
to compel them to make 16mm prints<br />
of their theatrical features available to<br />
television and other competitive outlets.<br />
Defease attorneys filed a motion requesting<br />
Federal Judge William Byrne to<br />
order the government to clarify Its bill<br />
of particulars in the precedential suit,<br />
originally filed here last July. Defendants<br />
include 20th Century-Fox, Warners. RKO<br />
Radio, Republic, Columbia, Screen Gems,<br />
Universal-International, United World<br />
Films, Films, Inc., and Pictorial Films.<br />
In a suit filed by Mrs. Mabel Carter, who<br />
owns a theatre under lea.se to Fox Midwest<br />
Theatres in Sedalia. Mo., estimated earnings<br />
to 1961 are part of the basLs for a $1,500,000<br />
damage claim. Mrs. Carter claims that when<br />
a Fox lease on the theatre ran out in 1940.<br />
she attempted to operate it herself. Pox,<br />
however, opened a theatre in competition and<br />
Mrs. Carter alleges that .she was then unable<br />
to get product and subsequently gave the<br />
circuit a new lease on the house. The contract<br />
runs to 1961, hence the introduction of<br />
estimated earnings in the complaint.<br />
BIG DAMAGE CLAIM IN N.Y.<br />
The biggest damage claim filed against the<br />
majors has a New York setting. Max Cohen,<br />
head of the Cinema circuit, a.sks for $11,895,000<br />
through three corporations owning and operating<br />
the New Amsterdam Theatre, a 42nd<br />
street subsequent run situation. He is suing<br />
RKO. Warners. UA, Columbia, Paramount<br />
and United Paramount Theatres because he<br />
says he has been denied 21 -day availability<br />
after regular Broadway runs.<br />
Second in size to the Cohen suit was a<br />
$6,000,000 action filed this week in Charlotte<br />
by Allen B. Thompson and his wife. Brona,<br />
owners of the Graham Theatre in Graham,<br />
N. C, against the majors. Republic and United<br />
Paramount circuit affiliates in the area. The<br />
complaint goes back to 1930 when the Graham<br />
played first run films. In that year, it is<br />
alleged. North Carolina Theatres, a Wilby-<br />
Kincey operation, took over three theatres in<br />
nearby Burlington and obtained 14-day clearance<br />
over the Graham Theatre as a result of<br />
alleged acts of conspiracy by the defendants.<br />
The situation during the quarter was comparatively<br />
quiet in Chicago, where the court<br />
docket is jammed with theatre antitrust suits.<br />
The Queen Theatre filed suit for $108,000. contending<br />
it was being forced to operate on an<br />
83-day clearance .schedule while the Chicago<br />
Rena Corp.. operator of the Lawndale Theatre,<br />
sued for $225,000 damages against six<br />
majors, the B&K circuit and the 20th-century<br />
Tlieatre which is operated by Jack<br />
Klrsch, head of Allied Theatres of Illinois.<br />
Other suits (lied during the quarter Included<br />
:<br />
Indianapolis— ZarlnR Theatre v». LoeWs<br />
and Paramount (or allrRedly refustns to sell<br />
product on name terms a.i affiliated theatres,<br />
$300,000 damage'' atkcd<br />
New York Nathan Stelnbers of Square<br />
Theatre, Bronx, .wcklng Injunction and undetermined<br />
damaRc.i on grounds the theatre<br />
was denied a move-up In clearance with the<br />
Pilgrim and Interboro theatre.^ of the Skouras<br />
chain. The Square Theatre until 1950 waa<br />
operated by the Skouras InlereaUn.<br />
Mlnneupoll.s— Charles Rubcrvsteln and Abe<br />
Kaplan dt Hollywood Theatre. $504,000 damages<br />
asked on charge that Mlnne.sola Amusement<br />
Co. competing theatre.s are receiving<br />
preference In product.<br />
SUITS FILED IN BOSTON<br />
Boston- Walter E. Mitchell of the Morse<br />
Theatre In Franklin. Ma.ss .<br />
suing for $2,000,000<br />
against eight majors and Republic and RKO<br />
and UPT affiliates for alleged violation of<br />
runs and clearance provLslons of decrees.<br />
Boston—Herbert L. Brown of the Victoria<br />
Theatre. Greenfield. Ma.ss., $2,000,000 damages<br />
asked from majors and Shea circuit (or alleged<br />
discrimination In runs and clearances.<br />
Albuquerque—$927,000 .suit filed by Mary<br />
Trleb of El Capltan of Roswell against Griffith<br />
circuit and majors charging discriminatory<br />
practices.<br />
New York—Tower Theatre, Bronx, suing for<br />
$1,530,000 aaglnst the Skouras theatre interests<br />
and majors on grounds it was forced to<br />
close because of unavailability of product.<br />
Colorado City. Tex—Westerner Drive-In<br />
Theatre suing Warner Bros, and five competing<br />
exhibitors on product availability; $80,000<br />
damages asked.<br />
Austin. Tex—Eddie Jaseph, suing for $600.-<br />
000 damages against six majors. Interstate<br />
circuit and other Independent circuits on<br />
alleged unreasonable clearance and inadequate<br />
product granted the North AusUn<br />
Drive-In Theatre.<br />
Supreme Court Dismisses<br />
Government Crescent Action<br />
WASHINGTON—At the government's request,<br />
the Supreme Court on Monday il5»<br />
dismissed the pending appeal of a civil contempt<br />
action by the Department of Justice<br />
against the Crescent circuit for alleged violations<br />
of its consent decree. The Supreme<br />
Court earlier had agreed to hear argimients<br />
in the government plea from an adverse lower<br />
court ruling.<br />
The DofJ in 1950 filed both clvU and<br />
criminal contempt actions against Crescent,<br />
four alUed circuits and three officers, charging<br />
that the consent Judgment terminating Its<br />
antitrust suit against the chain had been<br />
violated. The department also asked the<br />
federal district court in Nashville. Tenn.. to<br />
amend the decree so as to tighten the bans<br />
against acquisition of new theatres.<br />
The lower court dismissed both suits, but<br />
reserved Jurisdiction over the request for<br />
strengthening amendments to the decree, so<br />
that it could, if desired, act on them at a<br />
later date.<br />
BOXOFFICE December 20. 1952<br />
19