Motion Picture Daily (Oct-Dec 1934)

The Leading Daily Newspapl ^fthe Moti Picture Industry MOTION PICTURE DAILY Alert, Intelligent the In in All Branches VOL. 36. NO. 106 NEW YORK, SATURDAY, NOVEMBER 3, 1934 TEN CENTS New Operating Deal Is Made On Music Hall RKO, RCA, Rockefeller Center in Agreement A new Music Hall operating agreement providing for autonomous operation of the house in the future was completed yesterday and filed with the U. S. District Court here for approval. The agreement, made jointly by RKO, RCA and Rockefeller Center, provides for a readjustment of RKO's indebtedness to RCA resulting from the latter's guarantee of rental deficits on the Music Hall. Rockefeller Center was authorized in the past to draw upon funds advanced by RCA whenever Music Hall profits were less than the minimum rental participation agreed upon between RKO and Rockefeller Center. The agreement appears to indicate ihat Rockefeller Center's operation of the house, under the direction of W. G. Van Schmus, will be an independent one. Indications are, however, that a minimum amount of RKO product will be contracted for annually. Xeither Van Schmus nor M. H. Aylesworth could be reached for comment on the agreement last night. Deal on RKO Notes Approved by Court Approval of the agreement reducing die monthly maturities of $1,500,000 di" RKO secured notes held by Consolidated Film Industries was given v-esterday in an order signed by Federal Judge William Bondy directing {Continued on page 2) "Happiness" Pulls $77,000 for Week "The Pursuit of Happiness" at the Music Hall held up nicely last week :ompared to grosses of other houses along Broadway. The intake for the Paramount picture was $77,000. The Roxy on the second week of "Little (.Continued on page 4) Whitney to Produce Technicolor Series Los Angeles, Nov. 2. — Plans to •pend a minimum of $7,000,000 on a ?roup of nine or more Technicolor matures to be produced by Pioneer (Continued on page 4) Supreme Court Is Asked To Review Tri-Ergon Case Equity Council Ratifies Plan For Actors 9 Guild Affiliation The council of Actors' Equity Ass'n, formally ratifying the affiliation agreement with Screen Actors' Guild, yesterday voted to create a new affiliate membership class in Equity to include members of the guild. Coincident with the action, the council authorized the drafting of new bylaws by which persons qualified for the new Equity affiliate membership shall be members of the guild, which now becomes "the motion picture division in California of Actors' Equity Ass'n." The formal affiliation agreement drawn by Equity's legal department is being forwarded to the governing board of the guild "for their favorable action," Frank Gillmore, Equity president, said. Under the agreement there will be no Equity representation on the guild's board, nor guild representation on Equity's council. Neither will Equity ask any direct dues of the guild, it is understood, although the guild will be expected, of course, to bear its share of dues paid into the A. F. of L. Assessments For Code Are Finally Set Washington, Nov. 2. — Producerdistributor assessment schedules today were finally agreed upon and are now in process of receiving the approval of the various NRA officials whose signatures are necessary to make them effective. Pointing out that there are some 300 independents and 12 larger concerns, Administration officials declared that it does not aopear unfair to expect 96 per cent of the companies to contribute the $18,000 asked, (Continued on page 4) Film Labeling Is Opposed by Baltimoreans Baltimore, Nov. 2. — The system of labeling productions "A" and "F" as to their suitability for adults or for the family does not appeal to three exhibitors in this city interviewed on the matter so far. J. Harry Gruver, proprietor of the Glen, Glenburnie, Md., and manager of the New Theatre, first run here, thinks parents should find out for themselves by calling the theatre and asking the manager for such information because he always tells the truth (Continued on page 4) K. C. Is Nettled by Majors ' Stand on Clearance Setup Kansas City, Nov. 2. — Objections by major company sales heads to Kansas City's new clearance schedule are termed "ridiculous" by members of the local clearance and zoning board. Distributors' chief objection that identical availability to subsequents charging the same admission would create a print shortage is answered by exchange managers with the assertion that this system has been in vogue here for the last five years and at no time has it created a shortage. Local exchange executives are at a (Continued on page 4) Para. Charges Fox with Attempting to Coerce Entire Industry By CLARENCE LINZ Washington, Nov. 2.— Charging that William Fox is using the recent decisions favorable to American TriErgon "to coerce substantially the entire industry," Paramount Publix today asked the U. S. Supreme Court to reconsider its recent action in refusing to review the suit. "There is no conflict of decision as between different circuits on the question of the validity of this patent," the company admitted in its petition, "but," it added, "events have occurred since the denial of the writ which clearly take the case outside the general rule requiring a conflict of decisions as a prerequisite to the grant of a writ of certiorari in the ordinary patent case." Since the court refused to review the case, it was said, suits have been filed against 18 companies, including M-G-M, Warners, Columbia, First Division, Universal, Consolidated Film Industries, 20th Century, Monogram, Reliance and several laboratories, thus including, it was declared, "large sources of production of motion pictures, including substantially all of the (Continued on page 3) Tri-Ergon Mandate Argued in Brooklyn Contending that it would be unduly injured if a mandate putting into effect the original decree of Judge Marcus B. Campbell in favor of American Tri-Ergon were to be issued, Paramount Publix moved in Federal District Court at Brooklyn yesterday to obtain a modification of the decree which enjoined Paramount from using (Continued on page 3) Changes in Phila. Boards Are Denied Washington, Nov. 2. — Reorganization of the Philadelphia clearance and zoning boards was today refused by Division Administrator Sol A. Rosenblatt in answer to complaints from the Independent Exhibitors' Protective Ass'n., Inc., of that city, that because of their tieup with Warner through their membership in the M. (Continued on page 4)