We use Optical Character Recognition (OCR) during our scanning and processing workflow to make the content of each page searchable. You can view the automatically generated text below as well as copy and paste individual pieces of text to quote in your own work.
Text recognition is never 100% accurate. Many parts of the scanned page may not be reflected in the OCR text output, including: images, page layout, certain fonts or handwriting.
FEDERAL TRADE COMMISSION 257
2. No distributor will require as a condition of permitting an exhibitor to lease its pictures that such exhibitor shall also lease pictures of another distributor.
3. If an exhibitor shall claim within a reasonable time prior to the date fixed for the exhibition of any picture included in any block leased by him that such picture will be offensive to the clientele of his theater, because of racial or religious subject matter, such claim shall be arbitrated by the board of arbitration of the proper zone, and, if sustained, such exhibitor shall be relieved of obligation to take and pay for such picture.
4. If any exhibitor who has purchased an entire block of pictures offered by any distributor so elects, within a reasonable time prior to the date fixed for exhibition of any picture included in such block, such exhibitor may refuse to take such picture by paying one-half of the allocated price thereof, provided that the pictures so rejected out of any block shall not exceed 10% of the number included in such block, and if a rejected picture is resold by the distributor, one-half of the net price received on such resale shall be credited against the exhibitor's obligation in respect of such picture up to the amount of such obligation.
5. Reissues will not be included in any block with new pictures.
6. Newsreels and short subjects will not be included in any block with features, and the lease of newsreels or short subjects blocks shall not be required as a condition of being permitted to lease feature blocks or vice versa.
7. The matters dealt with by paragraphs 3 and 4 shall be covered by appropriate provisions to be included in the new standard form of contract.
At the Trade Practice Conference a committee was appointed and authorized to draw up a new standard exhibition contract to be used by all distributors.
This committee met in Chicago in February, 1928, and framed a new contract which was adopted by all distributors. On the subject of block booking it provided :
Twentieth: If the license herein granted shall apply to an entire group of photoplays offered by the distributor to the exhibitor at one time, and not otherwise, the exhibitor shall have the right to exclude from this contract up to but not exceeding 10% of the total number of such photoplays, but only if the exhibitor shall give the distributor written notice of such effect at any time not later than 14 days before the date fixed for the exhibition of any such photoplay hereunder, and if at the same time the exhibitor shall pay to the distributor one-half of the license fee payable in respect of any such photoplay. In computing such 10%, fractions of less than one-half shall be disregarded. If any such photoplay shall, because of such exclusion, be hereafter licensed by the distributor for the same run as that specified in this