The Exhibitor (1952)

EXHIBITOR 11 Protests Mount Against D. of J. Action Leading Exhibitor Units Call Move Unwarranted; Reply By Department Spokesman Stresses Clearance Feature New York — Angry protests over the government anti-trust suit seeking to compel the licensing of 16mm. films to television and other media competitive to theatres continued to mount last week as the industry began mobilizing for a counter-attack. In Dallas, Texas COMPO’s executive committee wired President Truman and Democratic Presidential nominee Adlai Stevenson charging that the suit was poli¬ tically inspired, and predicting that the nation’s motion picture screens would be used as a publicity medium in self de¬ fense. “The suit wears so many earmarks of punitive and extortionate motives that it will outrage the entire electorate, and confirm a widely-held belief that bureaus under a Democratic administration are strong-arm political operatives and not administrators of law and equity,” the identically-worded messages charged. They were signed by Robert J. O’Donnell, Colonel H. A. Cole, Edward Rowley, Claude Ezell, H. J. Griffith, and Phil Isley. The Texas group met to plan opposition to the court action. Rowley was named chairman of a committee for group ac¬ tion in the state. Also in Dallas, Ezell, president, Texas Drive-In Theatre Owners Association, contacted all members of his organization, urging them, all employes of their the¬ atres, merchants of their towns, and per¬ sonal friends to write letters of protest, to Attorney General McGranery and to the Congressmen and Senators. In San Francisco, Rotus Harvey, presi¬ dent, Western Theatre Owners, pledged the support of his organization in fighting the action, in a wire to Eric Johnston, MPAA president. Harvey’s message de¬ clared: “If the government should win this action, it will be one of the most detrimental things that could ever hap¬ pen to this industry, because it will put schools, churches, grocery stores, bars, and everybody else in direct competition to us, in addition to giving our films to TV. It will run us out of business.” In Indianapolis, the board of directors, Allied Theatre Owners of Indiana, met to map battle plans. Meanwhile, members were urged to send protests to the At¬ torney General and state senators and re¬ presentatives. In New York, a bitterly-worded protest was sent by Allied President Wilbur Snaper to Attorney General McGranery, asking for an explanation of McGranery ’s “new concept of economics” which would drive the independent theatreman out of business. In response to a telegram of protest from Harry Brandt, president, Independ¬ ent Theatre Owners Association, Newell A. Clapp, Acting Assistant Attorney Gen Winner of the top prize of $500 in the recent MGM "Invitation" promotion prize "Picture Of The Month" contest was Willis E. Shaffer, city manager. Fox Midwest Theatres, Hutchinson, Kans., shown as he receives the check from William Gaddoni, resident manager, MGM Kan¬ sas City branch, while Bernie Evens, left, MGM field press representative, and Fred Souttar, right. Fox Midwest division manager, look on. eral, wrote: “We are cognizant of the problems confronting exhibitors as re¬ sult of the development of television. If the defendants are found to have violated the Sherman Anti-Trust Act, we shall give solicitous attention to those prob¬ lems in considering what action is to be taken to prevent and restrain a continua¬ tion of defendants’ activities. Please be assured that the objective of this suit is not to deprive theatres of an opportunity to exhibit motion pictures at a profit nor do we think that the relief asked for in the suit is reasonably subject to such an interpretation.” Clapp enclosed a copy of the complaint, and called attention to a paragraph in it which he said recognized the desirability of continuing “reasonable clearance periods between runs of a par¬ ticular feature motion picture in a theatre and exhibitions (including telecasts) of the same motion picture on 16mm. film.” Brandt’s reply to Clapp’s letter stated: “We sincerely believe that the Justice Department’s objective is neither to des¬ troy theatre nor to bar the production of feature films of high quality. However, these would be the incidental and most important by-products of a successful prosecution of this suit by the govern¬ ment. You fail to mention that . . . the complaint calls for a decree directing each of the defendants to grant unre¬ stricted licenses for an unspecified num¬ ber of feature films as the court may deem necessary to eliminate the effects of this alleged conspiracy. The Justice De¬ partment also asks for such relief as the court may deem appropriate to establish competition in the distribution and ex¬ hibition of feature films. We would like to remind the Justice Department that it was a similar request for relief that first brought competitive bidding into the mo¬ tion picture industry.” Brandt further outlined the ill effects which would result from a successful prosecution of the suit, and stated, “We are firmly convinced that this suit would have been brought for the release of ” Ivanhoe " Breaks Record At RCMH New York — With the opening of “Ivan¬ hoe” heading toward the biggest non-holi¬ day week ever chalked up by Radio City Music Hall, and with “Jumping Jacks” accounting for healthy second-week grosses at the Paramount, business along Eroadway was definitely on the upgrade last week. According to usually reliable reports reaching Exhibitor, the breakdown was as follows: “JUMPING JACKS” (Para.). Para¬ mount, with stage show, looked for the second week of this Martin-Lewis starrer to bring $102,000. “DREAMBOAT” (20th-Fox). Roxy, with stage show, claimed $58,000 for Fri¬ day through Sunday, and estimated the second-week total at $98,000. “IVANHOE” (MGM). Radio City Music Hall, with stage show, grossed $105,000 for Thursday through Sunday, and antici¬ pated the opening week to total $175,000 to break the house record for a non-holi¬ day week. “STORY OF ROBIN HOOD” ( (RKODisney). Criterion was heading toward an $18,000 sixth week. “DON’T BOTHER TO KNOCK” (20thFox). Globe set the third week total at $14,500. “HIGH NOON” (UA). Mayfair looked for the second week to bring $39,500. “THE STORY OF WILL ROGERS” (WB). Astor claimed the third week would garner $12,000. “GLORY ALLEY” (MGM). Loews State was heading toward $9,000 for the opening week. “CARRIE” (Para.). Capitol set its sights on $33,000 for the third week. “AFFAIR IN TRINIDAD” (Col.). Victoria expected the opening week to draw $39,000. 35mm. prints to TV even if these com¬ panies didn’t have 16mm. departments.” Herman M. Levy, TOA general counsel, issued the following statement: “TOA is shocked at the action by the government in instituting the 16mm. anti-trust suit, and, further, in naming TOA as a co¬ conspirator in alleged claims of restraint of interstate commerce in 16mm. film. TOA knows no reason at all why it should have been named. As general counsel, I feel very keenly TOA’s and my obligation to our constituents, and to the entire in¬ dustry, to do all in our power, by all means available to us, to strike down this brazen attack. I shall place the entire matter before our board of directors for full discussion at its next meeting in Sep¬ tember, at our annual convention. I shall ask it to decide whether or not it wishes to take the necessary steps to seek per¬ mission to be made a party defendant in the suit so that we may better, and to the fullest extent possible, combat this un¬ justifiable and unwarranted attempt on the part of the federal government to in¬ vade the motion picture industry.” In Indianapolis, the Allied Theatre Owners of Indiana board of directors voted unanimously to offer the organiza( Continued on page 22) August 6, 1952