Variety (July 1919)

t -&=jw?r-nwz vxa "-.'-'•"'.-■ ./'".■'"' " ' .' --,:'■■"■"'" ■ . ■ '.' ' • - ■'■.-:;V.",*-'J ■■■■■■ VARIETY Z3 •-.-..v-i FEDERAL INVESTIGATION 1 Continuation from last week of the verbatim testi- mony in the proceedings of the Federal Trade Com- i mission in the matter of the vaudeville Investigation. The* bearing was resumed, pursuant to notice, before Examiner Charles S. Moore, Esq./ Appearances as heretofore noted. The report below is of the proceedings THURSDAY, MAY 22 (Continued) commission I was going to pay or the amount of jump never enters into It. There are certain theatres In certain sec* tlons of tie country whore if an actor Is asked to play he wants so much more money on account of the long jump. For instance, what is known as the Southern time, it he Is playing It from New Tork, but that Is additional to his salary, not figured In It. By Mr. Goodman: Q. That is the point I am getting at. He figures a certain salary for himself, and because It is a big railroad jump be figures in some more? ' • A. No, he does not. That Is only In an extreme case where he is playing the Southern time and be bas an extremely long jump and he has to go from New Tork to Atlanta to play a certain few weeks there, that be adds the amount of the railroad fare on bis ordinary salary. In the ordinary salary, no railroad Item has been computed. T VMPC UUTT T TAM •TTT'/'PATBfPK' 0- Do you mean to tell us that an actor who has to pay gj i JA31JC.O W lLJLdAM r 11 Lr AlXVlL/IV a royalty for a monologue of $100 a week, does not take that fact Into account In asking for more than $100? ' I ' (CROSS EXAMINATION CONTINUED) Q. Isn't it customary when an actor buy a advertising or s anything else In connection with bis act to give the seller an I. 0. U. or an assignment of some kind to the seller drawn on tbe box office when he Is to play the performance? . A. Never to the best of my knowledge. You mean for advertising? . Q. Well, for anything, advertising or anything else. A. For instance, if I take an ad to the Variety, I make an assignment to the editor of Variety and make it collect- able at the box office? Q. Something like that has to be done. A. Never to my knowledge, and I advertise considerably In Variety Q. Isn't It a fact that that custom of giving an assignment under the circumstances I have outlined arose because of tbe nomadic existence of an actor, that be Is constantly being on tbe road? A. I don't think so. Q. Did not the White Rats Actors' Union in Its constitution take practically the same method for securing Itself against its own members for money loaned to them?' . , . . A. No, indeed. Q. I call your attention to Article 24, entitled "Loans," of the Constitution and By-Laws of the White Rata Actors' Union as follows: "Section 1. Tbe International Board In Its discretion or the discretion of Its duly appointed representatives, may advance a loan or ticket tor transportation to members In full benefit who are In need and who have no other means of providing money for traveling expenses to an engagement *"-:■ that the member Is about to perform upon the presentation of an enforceable contract with a responsible manager for such • engagement or satisfactory evidence of such engagement with 'a responsible manager.' Such loans or transportation must be evidenced by a promissory note signed by such member who agrees to repay the amount of the loan out of the salary of said engagement, and such member shall also execute an order upon any manager tor whom the member Is or may be under engagement authorizing such manager to deduct the >. . amount of such loan from such member's salary and pay the same to this organization, or Its proper representative to be used upon the member's failure to pay from said engagement At' the discretion of the International Board, all expenses Involved in granting a collection of such loans must be paid '' by the member receiving such loan." A What la the question on that? Q. Now, the question Is whether the White Rats Actors' Union have not by their own constitution taken means to pro- tect themselves In a fashion similar to that of the Vaude- ville Representatives? A. No, I don't think so. They take measures, yes, but - similar to that used— ' , Q. Ton have answered the question. What elements did you take into consideration in fixing a price for your act? A. Which act? Q. Any act? ' A. How much I could get for it. Q. Did you have three people in your act all the time? A. In the "Turn of the Tide" there was a period when we P'-' did not carry a third man. And "The Wanderer" we had two people. Q. When you had the act with three people In It, that is, one besides you and Mr. Madden, did you carry certain Sir baggage? A. Yes. ; .; Q. Did you have any scenic effects of your own? A. No. Q. Nothing but just some stage property? A. That is all. Q. Costumes? A. Just tbe stage clothes we wore. Q. You paid this third person a salary, did you not? 1 A. We did, yes. Q. You would not have accepted a salary, would yon, that would have meant a loss to you, that is to say, a salary less than sufficient to pay this third person's salary? I A. No. ^ Q. You also had to consider your railroad fares, your ex- pense of baggage, did you not? • A. Did not consider any railroad fare, because no one ever U t knew what It was going to be. > Q. Does not the average actor In fixing his salary, of course, •'- try to get as much as he can, and doesn't be take into account the expenses be Is to be put to? Vf 1 -. ■ A. I don't think so, Mr. Goodman. Q. If an actor has eight or nine people in his act and a lot of Bcenery and has to pay royalty tor the music or sketch, do you mean to say that he does not consider the elements of expense In arriving at his salary? :' • A. He might consider it, but the man who hires him does ji not x • -» Q. I am talking only of the actor, now. A. No, you ask as a general rule. No, I think, Mr. Good- man, he does not do anything of the kind. I think any average -- •• actor looking tor an engagement says, "I have got an act and I want so much money for it" He don't figure the com- mission, he don't figure the railroad tare, be don't figure anything else. He figures, "This la my act and It is worth so much by virtue of Its drawing power or entertaining power." That is one of the reasons I have for saying that I think tbe old type of booking has certain advantages because a man comes In contact with the man who wants to engage him and discusses these things. I don't think be considers those things at all. I am of moderate intelligence and I never did. It never occurred to me. Q. So, if an actor makes a profit on bis act it is Just' pure chance? A. No, I don't say that Q. There have been actors In this proceeding wbo have testified to the Commission tbat they did take Into account the expenses they bad In arriving at what the asking price should be. A. I don't think it 1b tbe general habit, Mr. Goodman. I know I never did it Examiner Moore: It would depend on distance, wouldn't It, somewhat? Tbe Witness: Oh, no, be don't know what tbe distance is going to be. In all the negotiations I have ever bad with managers about booking my act, tbe question of how much A. He probably does, yea, if he Is not a fool, but he does not take his railroad tare into consideration, because be never knows what it is going to be, nor bis commission. Q. Suppose be spends $5,000 on building an act, scenery, gropertles and so forth, wouldn't he consider tbe amount that e would have to charge up by way of depreciation? A. No, I don't think they know what the word depreciation means. Q. No, I know that, but you do. A. I don't mean what the word depreciation means, but what the Idea of depreciation means. That it losea a certain amount on it— Q. The actor knows he would have to get his $4,000 back somehow? A, Yes, be does. Q. And he naturally would consider In the fixing of his salary, or in his asking price, a certain amount covered over a period of weeks to make sure that he got his investment back at least? A. No, I don't think I wonld, Mr. Goodman. I think he figures he wants so much money; if I get so much work, I. will get out with a clean skin; If I don't, I lose. That is my absolute honest conviction. V Q. Then it is your opinion that the great majority of the actors in this country fix their salary arbitrarily and without any basis of expense, their investment or cost to them? A. They toy to fix their salary. They ask tor a certain figure, I believe, first of all, because of the quality of the act, its novelty and entertaining quality. I don't think they consider the railroad item at all, because they never know what it is going to be. Q. What I am getting at, Mr. Fitzpatrlck, is this, that til* actor does not arbitrarily fix upon an asking salary without giving some consideration to bis cost and his expense, his initial cost and the expenses of bis help, his tips, for in- stance, each week - It may be that he does not get all that he asks, but in asking and trying to get it he must take into ' account the moneys he lays out? / a. I don't think he does, Mr. Goodman. I am quite euro that he does not Q. Then he fixes his salary on a purely arbitrary basin, doesn't be? A. No, it is not an arbitrary basis. It is a question of what he thinks the value of bis act la and the quality of entertainment and what the need of it is and what the novelty of it is. Examiner Moore:. The number of people cuts some .figure, doesn't it? ... The Witness: Yes, there are certain considerations which enter in, but the idea of an actor sitting down with a pencil and paper and saying, "I will get so much tor commission, and I have to pay so much for salary, and I have to pay so much for railroad fare, and I have to pay so much for tips, and I have to pay so much for depreciation, and I have to pay so much and I have to pay so much"—they don't do it, that Is all. By Mr. Goodman: Q. Then it is your judgment that an actor never considers his overhead charges In arriving at an asking price? A. As a general rule, no, I think he does not Examiner Moore: He knows In' a general way what an act is worth, doesn't he? The Witness: He knows in a general way, Mr. Moore, what he wants to get; in a rough sort of way it is worth several hundred Pollers. Examiner Moore: If it is a two-man act it would be so much: and if it is a live-man or five-woman act, it would be so much? The Witness: No, that goes back to the question of standardizing the amount of salary for an act which nobody ever dreams of ever doing. Examiner Moore: There are certain kinds of acts, a group of tumblers, whatever you call them, five or six people, which would be worth more than two people, wouldn't they? The Witness: It all depends on tbe quality of tbe act Two people might be of such extraordinary ability and such extraordinary skill, and such extraordinary value as an enter- tainment tbat they would be worth a troupe of fifty acrobats of mediocre ability. , - By Mr. Goodman: ' Q. Isn't it a fact that when everything is said and done, Mr. Fitzpatrlck, it Is the manager who is paying the 10 per cent commlslson and not the actor? A. No, it Is not Mr. Goodman. Q, The Player was the official organ of the White Rats of America and its successors the White Rats Actors' Union, 1 was it not?. A. Yes sir. Q. In 1000,' Mr. Mountford was the editor of that paper, was he not? A. I believe so. Q. And Mr. Mountford then was also International Execu- tive of the White Rats of America, was be not? A. Yes, sir. Q. Do you recall the existence of the Independent Booking Agency In 1008 and 1000, and part of 1010? A. No, I do not (It is agreed that the following be substituted for Respond- ents' Exhibit No. 57, which has been already copied Into the record): "SERIOUS. IF ANY ONE GOES TO WORK AGAINST THE STRIKE ORDER - • WE ADVISE THEM TO CARRY A LILLY IN HI8 OR HER HAND THERE WILL BE NO . . OTHER FLOWERS." Examiner Moore: We will take a recess until two o'clock. (Whereupon, at 12:80 p. m., a recess was taken until 2:00 p. m.) * AFTERNOON SESSION JAMES WILLIAM FITZPATRICK CROSS EXAMINATION (Continued). By Mr. Goodman: Q. Mr. Fitzpatrlck, I will call your attention to Respond- ents' Exhibit No. 10, which is an article In Variety of December 10, 1915, entitled "Our Policy," by Harry Mount- ford, to which article Mr. Mountford made this statement: "We desire the elimination of more than one agent In pro- curing an engagement We do not believe tbe system of . compelling or Inducing the' actor to go to more than one intermediary is of any advantage to the artist or to the manager. The system of .the free-lance agent who has. to book through another agency invariably leads to some collu- sive agreement between the two agents,-an agreement entered Into simply with a view of making more money for one or both of the two and having no bearing whatever upon tbe supply . of a good show to the manager, or providing good employment' for the artist If the actor. Is wise, the management pays the extra percentage in tbe form of an increase of salary. If the actor is not wise tbe actor pays the money and the management is obtaining an Inferior act for the salary which be agrees to pay." And I ask you whether you agree with that statement? A Parts of It I do and parts of It I do not Q. Do you agree with Mr. Mountford's statement that If the actor Is wise the management pays the extra percentage in the.form of an increase in salary?. *■......'.: '.. •. -._:.'__ A. No, i don't You will have to ask Mr. Mountford about that, Mr. Goodman. r ••'■• Q. You have answered the question.' We know what Mr. Mountford's views are, because they have been published.' In your open letter you made statements concerning conditions in vaudeville as you understood them covering tbe yean from 1000 down to 1010, and did you not run across some data or records about the Independent Booking Agency? . A. No, I did not Q. Do you know what the Independent Booking Agency was? A. No. I do not Q. Did you know who was connected with Itt "•>?. A. No. Q. Did you ever hear it referred to as the White Rats Book-k- ing Agency?... v A. Since the investigation started. I have, yes. Q. I show you this paper headed "The Independent Booking Agency," and ask you to state if you can, whether the John. J. Qulgley who Is thereon stated to be the business manager, is the same Qulgley who was a witness In this proceeding? '. A. i could not say as to that, Mr. Goodman. Q. Do you recognize this paper which I now show you as a copy of "The Player"? A. Yes sir. Q. And that was the official organ of the White Rats of America in 1010. j^_ Yes bIp ■ Q. I am going to read to you, Mr. Fitzpatrlck, a statement appearing in The Player of January 7, 1010, on page 8, and I want to state to you, Mr. Examiner, that I do not read this tor the purpose of having tbe statement go into the record as a statement of facts. I am not going to prove any facta. I am trying to prove the occurrence of a fact, that la alL I read this to you, Mr. Fitzpatrlck: "Mr. Fiber stated that graft has gone on for some time in the above office by a certain gentleman, meaning the Independent Booking Ageney, name not mentioned, who was collecting commissions and at - the same time drawing a salary. This waa a direct violation ei the principles of that office, and that these graft charges were put directly up to tbe board of directors, and that tbe other three directors took no action in the matter. He further stated thatjio had on several occasions notified the White Rats of America as to these graft charges, and as far: as he knows, no action bad been taken. He said that it bad , been published and circulated tbat the White Rats of America were affiliated with the Independent Booking Agency, and that they controlled Mr. Mozart," Now in connection with that there appears in the second volume of "Tbe Player" what purports to be a copy of a letter from Mr. Mountford, tbe secretary to Ed Mozart, reading as follows: "Dear Sir: I have just received the following certified copy of a letter from Mr. O'Brien, which I enclose, and which please return. If the charges contained in this letter are true, this is graft pure and simple, and If after investigation you find. this man guilty, you ought to fire him. Here is the very thing tbat we have been fighting against, apparently coming up In the I. B. A. Besides, It the actor Is paying two com- missions, one secretly and the other to his recognized agent it is tbe manager who is paying the commission . In the long run. not the actor. Very truly yours, Board of Di- ' rectors, - Harry Mountford, Secretary." I ask you whether you still adhere to your statement that the actor, in the long run, and not the manager, pays the commission? A. I still insist that the actor pays the commission. I know nothing of that incident at all. Q. I know, you don't, but this expresses Mr. Mountford's opinion. I wanted to find out whether you agree with him or whether you do not. A.I don't know whether all the facts contained in It are Mr. Mountford's opinion or not. I don't know what he alludes to by "the manager In the long run pays the com- mission." It is not clear to me. I don't know what he means. Q. In your testimony you testified at page 1871 of the expense and trouble the performers, were put to when they were out on the road and cancelled on short notice. Now isn't it in just such cases where a personal representative fits In and performs a service to the performer tbat he could only accomplish himself if he were personally present in . New York City? \ A. How do you mean a service? In straightening out the cause of bis cancellation? ; , •. Q. In representing blm, talking for blm. A..I don't think they Interest tbemsolvcs at all. Q. Well, If a personal representative was a man of good character and a good business man and desired to represent his client to the best of his ability, why, he would be of service, would he not, In tbat respect? . A. If he were working actually for the actor, but they are not. I had an Instance in my own— Q. No, you need not give me your instances now. I want to get your opinion about some matters. When you engaged Hart, didn't you employ blm to act as your alter ego, act tor you as though you were personally present? A. No, I did not. I hired blm to secure work for me. Q. Well, it you did not have a personal representative, and had nobody elso to do it, you would do it yourself, wouldn't you? v A. I would try to, yes. Q. What I am getting at Is to clearly define If we can, through you, tbat tbe personal representative is engaged ' by tbe performer to do for him what the performer himself would do If he could, or was a. le to do It? A. Yes, I think that Is true. Personally I have no objec- tion to tbe personal representative. Q. I understand tbat. I am just trying to get the exact service tbat the personal representative does. A. Is supposed to do. ■ Q. Well. I am not going to quibble with you about words. You say "supposed" and I Bay he does. m v.. m, v^-iaic .:- .- & J':-. : : -^ •"'■• : ' : i?. 'M __ ./ _