In the District Court of the United States, for the Eastern District of Pennsylvania, the United States of America, petitioner, vs. Motion Picture Patents Company, et al., defendants (1914)

Record Details:

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2772 Houston N". Morgan, Direct Examination. Q. And during that same period, have you been familiar with the prices charged by the licensed exchanges? A. I have. In my position as manager. Q. How do the prices charged by the unlicensed exchanges compare with the prices charged by the licensed exchanges during the same period? A. Well, now, that is a very peculiar question to answer, and I will tell you why. Being an ex-assistant manager of an independent exchange, I know their methods and standard of prices that they were getting, and being an exhibitor wTho has been renting from the licensed people, I have my knowledge from them. I have found that it has been a very hard proposition to keep thoroughly posted as to the prices maintained by independent exhibitors — not exhibitors, but film exchanges, owing to certain peculiarities of their ways of doing business, while the General Film Company — my experience with them has been that their prices have been about the same, and not changeable and fluctuating, as you might say. Q. What theatre did you have which for some period ran an unlicensed program? A. The Mclvinley Theatre. Q. Did the McKinley Theatre ever run a licensed program? A. Yes, sir. Q. What price did you pay for the unlicensed program? A. For the unlicensed program, I paid twenty — I think it was twenty seven dollars a week. Q. What price did you pay for the licensed program? A. I think I paid twenty-eight dollars a week. I think it was just about the same price. Q. Did you have the same number of reels? A. Yes, sir; yes, sir. Q. So that the price did not vary to any great extent, so far as the number of reels Avas concerned? A. Not as to reels, but the difference in price was — with the unlicensed program I did not have to pay for posters, while the licensed program I had to pay for every poster used. There was the difference. Q. Do you recall your experience as the manager of a motion picture theatre in 1909 and the early part of 1910 with respect to keeping your program clear from that of your competitors? A. What do you mean, the General program and the Universal program? Q. No. I am speaking now — A. Any particular program?