The Film Daily (1923)

THE Charges Bad Faith (Continued from Page 1) "Dillon of Cor( landt" who, he d, was ""lil film at a much highei rate than he had been accustomed to paj ing. When Sherry insisted thai some adjustment be made with Dillon, be cause he had been "oversold," Zukor and Walter I ■ . Greene, accoi ding to Sherry, said the exhibitor would be pi rmitted to cancel only a few pictun s and would ha\ c to play the hulk. Shen \ described a dinner given in honor of Zukor at the Astor. He told Zukor, according to his testi mony, that "we would have to shoot Straight with exhibitors and make adjustments on bookings." He also reminded Zukor that the exchange contract referred to above had never been given him, said Sherry. Zukor remarked to James Steele, according to Sherry: "We must make those adjustments. Steele has never received his exchange contract either. \Yc must get to that matter." On several other occasions, SIkim said he spoke to Zukor about the contract, and quoted Zukor as -a\ ing. "it would be taken care of." "He has never done it," the win ss added. In the early summer of 1917, after all .the exchanges "went into Paramount," Sherry was moved to the home office at 485 Fifth Ave., and made head of the purchasing department at $300 a week, he said. "I told Mr. Zukor I didn't like the arrangement," he ; Ided. "1 wanted to be in the selling end." Green told Sherry that all the stuck holders sho ild be at 485, at cording tu the witness. At this time Arthur Whyte (ceded Sherry at the New York exchange. "I realized 1 had been moved to make room for Whyte," l ry declared. Short l\ afterwards. Sherry sent in In n signation a head of the curing department and also as a director of the company, but tin board of directors declined to accept it. he said. "Zukor sugeested that I take a long ii -l and a position would be made for me when I returned. I replied that if I couldn't make a position for myself, I would leave and I left." Vfter he left, Sherry said F. P.-L. discontinued dividends, with the re -"lt that he had "in. im me " I le finally sacrifii ed hi stock in order to satisfy the loan he had madi in the "loan of the Woman" matter, 'he witness declared. About this time he started his own system of exchange-. About a j . ar and a half ago, Shi "w ith his bat k iii the wall" finam iallv. a. cording to In t. stimony, wroti Zukor a letter, telling the latter "he lad to ha\ <■ money." "I had been cheated nut of my contract and had suffered heavy losses on the 'Joan' picture," hi dared. "F. P.-L. then loaned me $15.oii(). but in order to get u i compelled to sign an nt waiv ing all claims against Zukor. Fan Players-Lasky, and the Cardinal Film Corporation (producers of 'Joan')." The witness -aid he paid the in • the first 3 ear on this loan, but not been able to pay it sini i lie admitted that Zuk<.r and F. P.-L. "did cancel" the $25,000 note given by Sherrj when be bought the New York rights to "Joan." The defense counsel (lid not cross examine Sherry, John M. Quinn, general manager "i Vitagraph, and Sam Morris, general manager of Warner Brothers, were the only other witnesses of the day. Ihi former furnished a list of pictures produced b\ Yitagraph since and marked i! ose which he considered entitled" to first runs. On cross-examination Robert T. Swaine, for the respondents, brought out that Yitagraph had a lease on and operated what is now the Criterion theater, New York, from February. 1914 to January. 1916. Quinn said Yitagraph gave up the theater two years before he joined the company. Referring to the list, Swaine asked n "The Sheik's Wife" was playing throughout the country at the time "Flie Sheik" was, and Quinn assented, but said that picture and one other on the list — "Gypsy Passion" — were not produced by Vitagraph, but were made "outside.' 'In response to questions, the witness enumerated the number of pictures released by Vitagraph from 1919 to 1922. The list for the present year had not been made up, he declared. Morris, who was given a brief examination, furnished a list of seven pictures made by the Warners which Morris considered entitled to first runs. They had got first runs m practically every key city, he stated on cross-examination, and on redirect examination was asked if they had received first runs in New York. He named those which had. They w ere shown at the Strand and ( apitol. A large number of first run inquiries were being received for "Main Street," he testified, and the picture was now being given orerelease showing at the Mission, I os Vngeles, owned by Mack Sennett. There was no afternoon session, as Governmeent counsel asked leave to examine various documents called for on subpoenas to determine what portion of them would be placed in the record. The hearing will he re swumI this morning at 10.30 o'clock, Plan French Revolution Film The Times slat' that the French Government has granted a company then permission to film scenes at \ ■ i iailles for a French Revolution Story. Logan-Baynham Prod. Formed ' ii to lilt' III \l DAILY) Los Angeles — Logan Baynham Prod, have launched their first unit to pi "die i _' ree! situation comedies featuring Milburn Morante. Tom 'i w ill dii ' ire Wipes Out Caldwell (Special to THE FILM DAILY) St. Joe, Mich. — Fire has destroyed Caldwell, a Fitzpatrick & McElro3 house. Damage is estimated at $15,000. Southeastern News (Special to THE FILM DAILY) Dallas The Little Theater Co., has purchased a lot on Olive St.. and will erect a new theater seating 400. Dallas — An ordinance has been introduced in the City Council proposing to establish a Board of Censors. Paramount has transferred Harry C Smith, exploiter from Cincinnati to \ew Orleans and Jack Hays to Dallas, succeeding W. E. Conway. Sherman, Texas — L. L. Dent, has purchased the Travis, from the Musselman interests. Fred Minton will continue as manager.. < Iklahoma City — The Liberty has changed its policy from pictures to vaudeville and pictures, and admissions reduced to 10 and 30 cents for both performances. Jennings, La. — A special election was held recently to determine the Sunday closing question. The ordinance was defeated by a majority of 109 and as a result there will be no Sunday shows in Jennings. New Paramount Pep Club (Special to THE FILM DAILY) Wilkes-Barre, Pa. — A Paramount Pep Club has been launched here by Earl Sweigert and Bud Gray. The constitution of the home office club was adopted. WOULD EXTRA CASH BE A LIFESAVER NOW? This organization will finance your proposition in such an emergency. REASONABLE RATES AND CONFIDENTIAL. SPEEDY SERVICE Let's Get Acquainted CHROMOS TRADING CO. 1123 Broadway Smite 1207-8 'Phone Watkins 4522 Thursday, May 3, 1923 BBi Mrs. Eleanor Beecroft, wife il Chester Beecroft, died on Frida)1 following an operation. IN PRODUCTION TUTANKHAMEN | A Wm. P. S. Earle Classic j Duratize YOUR FILMS Write or phone us at once about Re-enforcing sprocket holes in your film DURA FILM PROTECTOR CO. ALLAN A. LOWNES, PRES. 220 West 42nd St., N. Y. Phone: Bryant 5576 INSIST UPON Duratized FILMS Ready Soon E. K. LINCOLN with an all-star cast The Super-Special "THE RIGHT OF THE STRONGEST" Zenith Pictures Corp.'n Jesse D. Hampton is doing Rex Beach "The Spoilers'9 Goldwyn is </oi»£ g|0 Thine®