Variety (Dec 1939)

^edncsdajt December 13, 1939 PICTURES VARIETY m BAN ON STOCK SHOTS Hollywood Scribes Miffed at Actors For Ducking Theff Yams on Guild Show Hollywood, Dec. 12. Film writers are mildly miffed over the treatment of their pet brain offspring by big name actors making radio appearances for Gulf-Screen Guild series. Writers were original- ly solicited for originals, to be de- veloped for radio I by advertising agency scriveners.' Of late film writers have been given a discreet go-by. Tlicy make no bones about where the blame lies. It's the pic- ire stars who have become fussy lOut what literary company they travel with. Recently when Robert Montgom- try drew a bid from tlie Guild he chose Noel Coward's 'We Were Dancing' as his vehicle. Later Helen Hayes put in with an Arthur Wing Pinero piece. Gertrude Lawrence and Herbert MarsHall decided on Samson Raphaelson's 'Accent on Vouth,' and Charles Laughton de- manded "The Beachcomber,' more to get in a plug for a recent flhn re- lease. Norma Shearer is due to re- vive 'Smilin' Through' on the Dec. 17 broadcast. Originals from studio scribes liave been frowned on by tlie name play- ers. n>ey contend that since tliey're doing the broadcast free gratis they at least should be accorded tlxe privilege of picking their own plays. Although Young & Rubicam story buyers say that the discrimination against studio contributions docs not add up to important expense, they are trying to squelch the practice. ,Too many headaches in reaching the author for clearance and the thing U spreading. The recent Tallulah Bankhead publicity about 'these writers smell' didn't help matters Limy. " Studio writers like the idea of fubmitting synopses for the radio credit angle and also the possibility that it might be developed into a fllm 5arn. Every scribe has at least a ozen ideas for a play that never sees daylight. It's not then a total loss when it's performed on the air even M a non-commercial venture. SorrellsPlanTo Insure 42 Wks. Work Yearly Hollywood, Dec. 12. Herbert Sorrell, business repre- aentative of Motion Picture Paintors Local 644, has submitted a plan to Joseph M. Schenck which would call ^ tor producers to guarantee workers mt2 weeks employment yearly. Tlie occasional workers would receive 10% above the scale. S-.rell asked that the producers appoint a com- mittee composed of Pat Casey, Charles Boren and Fred Myers to discuss the proposal. Schenck prom- ised his full cooperation. Sorrell meets with producers this Week to discuss his demands for a 15% pay increase for the painters. Society of Motion Picture Art Di- rectors has submitted demands to producers calling for a closed shop, improved working conditions and pay increases for low-salaried di- rectors. The art directors also are seeking uniftcation of screen credits. All but one of the major studios now give the art directors screen credit, tome of them listing both the di- rector anc^. ins associates. The Screen Cartoonist Guild is how an affiliate of tlic Brollierhood of Painters, Decorators and Paper- hangers of America. New charier «>.-• the Guild was installed by Ray Gelstein, international organizer. Too Many Husbands' Off Hollywood, Dec. 12, Wesley Ruggles gave the gun yes- terday (Mon.) to 'Too Many Hus- bands,' a Somerset Maugham play scripted by Claude Binyon at Colum- bia. Jean Arthur, Fred MacMurray and Melvyn Douglas head the cast Col. Not to FoUow WB, At Least This Season, In Bankrolling Legits Columbia, which has been toying for the past several months with the idea of following Warner Bros, into backing legit productions on Broad- way, has dropped the plan for this season. D. A. Doran, special as- sistant to prez Harry Cohn, who was sent east several weeks ago to o.o. the situash and go ahead with pro- duction if he thought it feasible, de- clared Monday (11) it has been de- cided that it is too late in the sea- son to go ahead with the plan. Whether Col will enter the legit field in the 1940-41 semester is very vague, Doran said, although not be- yond possibility. Doran, who stated several weeks ago Col's only inter- est in legit would be as a means of getting story properties for filming w'hicli it could get in no other way, said he has seen nothing since he has been here that would fall in that category. He will remain In New York to develop material which wouldn't be submitted in the regular course of events, he said, and also to dig out some new ideas, if possible, for a b.o. pic off the well-trodden path. Ha indicated that the company has an interest in acquiring screen rights to one or more current Broadway legiters. SAG COIiFOlS TO >Atlas (Odium) Submits New RKO Underwriting Plan-$3 Per Share, A Cut of $1 Since Aug 3; Ae War! Also Throws Into Discard Its Policy Requiring Pro- ducers to Issue Standby Checks to Extras Where Waivers Issued by Guild DUMMIES OKAYED Hollywood, Dec. 12. Ban on the use of stock shots in fllm production is being lifted by the Screen Actors Guild. Actors are setting the pace for other Hollywood pix unions and guilds in revamping operating policies to confoi-m with flve-point ruling of Thurman B. Arnold, special assistant U. S. at- torney general on violations of Sher- man anti-trust law by labor unions. Majority of proposed changes are based on Arnold's statement that it is unlawful for labor unions to at- tempt to force an employer 'to pay for or use more labor than he needs,' Government's No. 1 trust-buster in- dicated that labor tops could be prosecuted for conspiracy to violate anti-trust laws. Another important SAG rule to go into tlie discard required film com- panies to issue standby checks to extras in certain cases where waiv- ers are issued by *he Guild. This applied particularly where waivers were granted for use of football teams and other specialty actors. Can Vse Dummies The actors are also dropping de- mand that companies use live talent instead of dummies in war scenes, etc. The SAG has alrtfady dropped its protest on use of dummies by Selznick-International in Atlanta battle scenes for 'Gone With the Wind.' Actors had insisted extras were entitled to standby checks for each dummy used and had filed claim with Producer-S.\G standing com- (Continued on page 22) Carroll Pic Stalled Hollywood, Dec. 12, Paramount postponed shooting of 'A Night at Earl Carroll's' for two months. Carroll is busy organizing two new stage shows for Christmas opening, which activities would in- terfere with filming. Picture was to hav« rolled this week with Kurt Neuman directing. Allan Jones' 3-Montli Concert Tour, Then Back To Par for 2 Musicals Allan Jones, currently at the Para- mount, N. Y, in connection with the showing of 'The Great Victor Her- bert', will make a three-month con- cert tour, opening Jan. 9 in Mont- gomery, Ala., and calling for three dates a week. When he winds up his present engagement next Tues- day (19) he'll plane to the Coast with Irene Hervey (Mrs. Jones) to spend Christmas with their children. He goes to the Chicago theatre, Chi- cago, for personal with 'Herbert' be- ginning Dec. 29. After his concert tour, which Is being handled by Charles L. Wag ner, the singer is set for 'The Count of Luxemburg,' slated to start April 1. He's committed for two pictures a year with Paramount. The second for 1940 will probably be a modern musical, which is being written for Jones and Mary Martin. Miss Hervey has a two-pictures-a- year deal with Universal, but has no assignment at present, so she'll ac- company Jones on his tour until the studio schedules a production lor her. k WEBB'S MONO KIDEES 5 Hollywood. Dec. 12. I , Monogram signed Harry Wcbl) to I nandle production of a new series of f. ^^'^ Randall sagebrushcrs. For 34 years Variety has served show business as the leading medium of its news and advertising. Outstanding figures in whatever field of endeavor — as artist, manager, or agent — have gained and held their prominence first through talent and ability; second, by exploiting themselves to their professional associates. Competition demands greater showmanship today than ever before. Advertising forms closing soon for 34th Anniversary Issue ISl AL ADVERTISING RATES PREVAIL AdverlUing copy wmy be sent to nny Vuriety office NEW YORK 154 West 46(h St. HOLLYWOOD 1708 No. Vine SI. CHICAGO 51 W. Rundolph St. LONDON 8 SI. Martin's PI. The Atlas Corp., proponents of the RKO plan of reorganization, yester- day (Tues.) submitted an underwrit- ing agreement on the new RKO com- mon for the purpose of giving the company additional working capital. The agreement, approved by the ma- jority of the board of RKO yester- day, calls for the company to issue 500,000 shares of full paid, non- assessable common stock at $3 a share to the. holders of unsecured allowed claims and to Rockefeller Center, Inc. This is a reduction of $1 a share from the agreement of Aug. 3, 1939, which was allowed to expire. 'The new agreement provides that no holder of unsecured allowed claims is entitled to subscribe for fractional shares, ond those shares not subscribed to will be sold to Atlas at $3 a share. The offer by RKO of this stock must be made before Dec. 31, and must be picked up by 20 days after the offer Is made. Atlas also listed its compensation, which is in two parts, and provides - for a sum equal to l-3c for each com- mon share offere.d for each day the oiTer is in existence. This amounts to $1,750 daily. Atlas will also receive 25c a share on each unsubscribed share of stock, making the amount they have to pay on those shares not subscribed to $2.75. Sleeper Clause A sleeper in the agreement de- clares that if the U. S. Supreme Court grants a writ of certiorari now before it (which refers to the ap- peals taken by stock and bondhold- ers), the agreement can be cancelled, if Atlas should so desire. Since a de- (Continued on page 55) Stirn Takes His RKO Reorg Beef To UJJ. Sup. Ct. Washington, Dec. 12. More of the tangled RKO reorgani- zation affairs were laid before the U. S. Sunreme Court, Monday (11) ■ when Ernest W. Stirn of Milwaukee I asked a review of his complicated i litigation with Atlas Corp. It's all ! part of a long-raging feud which has resulted in numerous intircate moves ill state and Federal courts. Stirn describes himself as a Class .\ stockholder and challenges the ; Icsality of reorganization moves un- I dcr which such securities were re- : duced in value and reclassified. ; Squawked that Atlas, which had ho legal standing at the outset of the RKO "financial house-cleaning, did not recognize the A paper. Claim was made that the amend- mcnl.i to the certificate of incorpora- tion 'purportedly adopted' Dec. 14, 1931, were improper because less than 100% of all A investors voted. These amendments scaled down the securities. In the brief, the Supreme Court is told that Stirn bought cer- tificates for 1,234 shares at $33,5H0 between April, 1930, and. September, 1931, but experienced great difficulty in having the actual securities trans- ferred to his account. ' Raising questions about both the Maryland corporate statutes and Federal bankruptcy laws, the Mil- waukee investor Asserted the de- cision of the Second Circuit Court of Appeals in one phase of his legal feuding with Atlas conflicts with both state and national court de- cisions. Wants the highest tribunal to stale, among other things, whether lower courts erred in failing to limit llic claims of Atlas and Rockefeller Center, Inc., against the film com- pany.