Motion Picture Herald (May-Jun 1946)

MPTOA OPPOSES DECISION; WANTS MODIFIED DECREE By The Herald AT THE MPTOA executive eommiifee meeting in New York Wednesday: seated, Morris Loewenstein, Fred Wehrenberg, newly elected president; Lewen Piior, and Herman Levy; standing, MacJc Jackson, Mitchell Wolfson and R. R. Biechele. Condemns Auction Block'* Sales; Upholds Right of Old Customers Dissatisfied with the industry's anti-trust suit decision, the executive committee of Motion Picture Theatre Owners of America will submit proposals for its modification in. the final decree. The action was authorized Wednesday in New York at a special meeting of the committee at the Commodore Hotel. Specific objections were directed against the licensing of films to the highest bidder, elimination of the rights of established customers, and the method of determining eligibility of run. Says Bidding Procedure Would "Skyrocket" Prices The auction plan, according to the committee, would "skyrocket rentals of films to a point where admission prices will have to increase accordingly, so that the Sherman Act . . . would work to the detriment of the public by virtue of increased admission prices." The system of bidding suggested by the court, the committee held, "may very well result in the ruination of independent theatre owners with years of creditable performance in their communities by competition from ruthless 'big money' sources." Other factors that should determine acquisition of product were described by the committee as the exhibitor's "reputation for fair dealing, the theatre's service to its community, and its value in the industry." The committee declared that "it should not be legally sanctioned that the most money may force to the wall an exhibitor of long standing." It was further suggested that there should be a penalty for over-buying, and that such over-buying should be a matter for arbitration. U rges Extended Tests in Determining Runs In determining runs, the committee suggested that the distributors and the arbitrators should "apply the same seven tests named by the Court to be used in determining reasonable clearance," in addition to reputation, community service, industry value and established customer rights. Herman M. Levy, general counsel, was designated to prepare a statement setting forth for the Court, the Department of Justice and the defendants the committee's suggestions. A meeting of the entire board, the executive committee and local representatives of -all member units may be called later in the summer for ratification of the text. It will be determined later, perhaps at the summer meeting, whether MPTOA will seek to appear as amicus curiae at the hearing of the appeal in the U. S. Supreme Court. WESTERN PA. A resolution opposing affiliation with the American Theatres Association was adopted in Pittsburgh last week by the board of Allied Motion Picture Theatre Owners of Western Pennsylvania, meeting at the William Penn Hotel. The action was an endorsement of the national Allied resolution adopted May 25 in Chicago. NORTH-CENTRAL ALLIED Unless the U. S. Supreme Court divests the distributors of theatre interest on appeal from the U. S. District Court decision, legislation will be introduced in Minnesota, North and South Dakota to order divorcement, according to Benjamin Berger, president of North-Central Allied Theatres. ATO OF IOWA Members of the Allied Theatre Owners of Iowa and Nebraska adjourned their two-day convention in Des Moines Tuesday without taking action on the question of aligning their organization with the ATA. A committee was appointed to consider the matter. The convention passed two resolutions opposing forced percentage pictures, and opposing audience collections except in the case of national emergency. Plans were made for another convention in Des Moines, October 14 and IS. Elected at the Tuesday session were the following officers : Howard Brookings, presi dent; George March, vice-president; T. J. Evans, executive secretary and acting treasurer, and Leo Wolcott, chairman of the board. Elected to the board were Harold Klingman, John Ladue, Oscar Hanson, Rudy Raulds, Herman Fields, Charles Niles, Neal Munkres, and Ben Brinck. NEW MEXICO Organization of the New Mexico Theatres Association was completed last week at a three-day meeting in Albuquerque. The new organization, following an outline of aims by Paul Williams, general manager and counsel of Southern California Theatre Owners Association, voted to join the American Theatres Association. Other speakers were Charles Gilmour, of Gibraltar Enterprises, and Harold Rice, Fox-Intermountain Theatres. Milas Hurley, Tucumcari, was named president. Other officers are : Edward Ward, Silver City, first vice-president ; J. P. Brandenburg, Taos, second vice-president; Wayne Patterson, Hobbs, secretary and treasurer. Directors are : George L. Tucker, Albuquerque ; Mike Zalesney, Las Vegas ; Russell Hardwick, Clovis ; Marlin Butler, Albuquerque ; C. W. Bartlett, Artesia ; Lloyd Franklin, Clovis; Mrs. J. W. Allen, Ft. Sumner ; Russell Allen, Farmington ; Tom Murphy, Raton. TRI-STATE MPTO The directors will decide whether the Motion Picture Theatre Owners of Mississippi, Arkansas and Tennessee will affiliate with the American Theatres Association. The board was so empowered Tuesday at the convention in Memphis. James West, president, was expected to call the board into session this week. MOTION PICTURE. HERALD, JUNE 29, 1946, 13