Variety (Jun 1930)

112 VARIETY PICTURES Wednesday, June 26, 1930 U. A. and F.N. Put Into Meet Own Contracts with Exhibs, Without Any Arbitration Clause Coincident with schedulincr of date (June 30) for 5-6-5 confer- ences two producer-distributors bave approved Individual contracts that do not Include arbitration clauses, either of the voluntary or compulsory type. These companies are United Artists, and First Na- tional. They have sent their new contract forms to the exchanges for use in selling the '30-'31 product That virtually means that this duo is so little concerned over ar- bitration they are not even worry- ing about writing their own clauses for protection until a new standard exhibition contract with arbitration Is agreed on. If ever. . Paramount, first out with Its own Individual form, wrote liT a com- pulsory arbitration clause, refusing product to exhibitors unwilling to carry all claims to an arbitral traiard. . Metro followed, with a etif- fer clause through which it hoped to; clrcpmyent InefCectiial operation «f acbitratlob and deposits in. states where Iaw{( are unkihd In.this di- rebtloh..'- ' .]Qnfyersal attempted In Its form to isrei arpnnd these state laws' by UfUdng 'lt leKCtl to execute contraqts In ptheir states and bold- the arbi- tration in: those atates or where ^designktied oh signing' the contract. Coippatition Contracts The . UA 'and FN,'.contracts are to an e^nt serious competition against' thosd .bi! other ■ companies through their leniency and the absence^ :0f arbltrktim clauses, as w^U as obligatory deposits. These two features of contrieusts bave been the distributor whips ..exhibit have long ,cp'mp]|alned .a^o'\it. That they are. nilsskig wUh these two' com- panies brings uji the question of whethisr- a" stalndard exhibltlph' cori- traoit* and comp'ulsoiry'. arbitiratlon through Film Bpard^ of Trade or anPtl^et medium 'ai*e as'e'ssPhtial as the' Industry has been led to be- lieve. - In framing of sans-arbltration contracts, UA and FN . are re- ported haying stuck by the conten- tion tbiat a-. Contract Is no good with an exhib who Wants, to break it and dlstrlbs must go to court anyway. Attitude also seems to be that If an exhlb is a known welcher, ir^ responsible or a ohronio contract Jumper, why should the dlstrlb do business with him at all? FN. has eliminated the 10% can- cellation clause which permits an exhlb, on notice, to drop that amount of the product signed for. What the account signs under the new contract he will have to pay or play, without benefit of 10% can- cellation. UA never "used this clause and doesn't now because it sells pictures singly, rather than in groups, and'it Is impossible to can- cel 10% of one picture. Fair' Contracts FN contract is considerably sim- plified and irom examination con- sidered very fair.. The UA contract strikes the same estimate, but is a trlde more in- volved. Its highlights are: Eliminates arbitration altogether. Provides for deposits, with that discretionary with company.. Relieves UA of necessity of mak Ing shipment of film and expenses attached thereto when play dates ' are not assigned. Gives UA a longer time to make the pictures available. Provides that If an exhlb doesn't •elect any dates that he has breached his contract and the money involved Immeilately be comes due and payable. Gives UA the right, if he refuses to give dates, to cancel all the pic tures UA has under contract with that exhlb. Otlfgates the exhlb to play .the pii.'tures In the ordsr of the:r to. Imee These outstanding features of the TURN TO PACE tJA instrument, plus option to go into court if serious breach of con- tract arises, takes the place of arbi- tration as exercised under the old outlawed exhibition contract.' U. A.'s Own Play Dates A clause with UA is on play dates. Formerly when the exhlb failed to set a date, the dlstrlb arbitrarily picked a plajrdate and thereupon shipped the picture. If exhlb still refused to play it, he was stuck for express charges, etc. Now UA will set a playdate in such cases and all sums of money under the contract become due and payable, with the exhlb losing his protection. Ship- ment of film,''as required in the past, will now not be ntade by UA until exhlb confirms the playdfite designated by dlstrlb. The second paragraph of the UA contract provides the exhlb shall pay the dlstrlb seven days In advance instead of three as in the old contract, for pictures to be exhibited. Anpther change is UA's right to examine the exhib's books within a year's period after playing picture on percentage rather than 60' days. Under this clause, the ex- hlb is: asked tp render statements at the end of each day of exhibition and pay at the end of each day. Clause 20 in UA's form having to do with liquidated damiages on per- centage bpokingSi provides that If an exhib^refuses to'play a percent- aere contract UA can estimate the grrosB on the basis pt what exhlb did for the last 30 dayis and if the exhib. does not play la picture for the full time, UA figures 76% of the previous day's receipts for each remaining day. , A Year's Leeway .On availability and selection of. play dates, tJA ^has made several changes over the old standard ex-< hibltlon form. Instead of having to make a picture available within a year from thevidate of contract, UA reserves the right to make it avail- able witiiln 12 months immediately following the Aug. 1 next succeed- ing, date of acceptance of the appli- cation. Through this, UA will be given more than a year to make the picture available and in some cases possibly two years. Notice of avail- ability Is the same as heretofore, 12 days prior tp date picture, is avail- able, but there is no provision that the prints have to be In the exchange at the time notice of availability in sent out as In the old contract. Under one clause UA retains the right to cancel Individual contract In question (single contract goes for each UA picture) as well as all other contracts with account If ex- hlb refuses to live up to terms and provisions. Exhibitors cannot assign con- tracts to others without UA's con- sent ..in writing, with UA not. re- lieving such exhibs of obligations under contract. Claims by exhibs for defective prints, non-arrtvbl, etc. are barred unless such claims are made by telegram prior to the second pbbllc exhibition. Then UA has to notify exhlb within seven days after re- turn of print by him, If It Is received in a damaged condition or not. UA, as other compii.nles practice, retain the right to roadshow pic- tures on notice of such plan to ex- hibitor. Clause 20 of the old contract which gave the exhibitor the right to exclude pictures has been elimi- nated as w(;ll as Clause 21, which covered elimination of pictures be- cause of racial or religious reasons. FN has eliminated 'these clauses, also. "While the UA and FN contracts waive compulsory arbitration and have eliminated the 10% ^cancella- tion clauses, the contract of Warner Bros., even though that company controls FN, has chosen to do the opposite. The "WB arbitration clause is sim- ilar to Metro's, three times as long anl as Involved. Par's Is still the most simple. , "WB.'s Is the longest arbitration clause In any individual contract and one which seems to cover every point. It will doubtless arouse con- siderable discussion In both exhlb and dlstrlb circles biecause of its unusual features. JIMMY MYRTLE CONLIN and GLASS We have reason to congratulate Warner Bros, as %hey gave us the opportunity to make "Sharps and Flats" acclaimed the funniest talk- ing comedy released in 1928. Playing R-K-O Circuit for next three months. Production Survey MINIATURE COLF THEATRES Topeka. June 21. Sunday niinlature -golf vs. Sunday theatres la' now the question raisea by the showmen who declare the minliature golf has done more to hurt their summer business than baseball or any other outside at- traction. y H. G. Harryman of Augusta pleaded guilty in Butler county court tbis' week to' violation of the KansEis V labor law.-MtlcL forbids unnecessary, labor on the Sabbath, and paid a fine of $26 and costs, ile immediately served notice that he will Continue to operate his the- atre on Sundays as long as the miniature golf courses are allowed to operate pn Sundays. County of- ficers are puzzled. The Topeka city commission is trying to dodge the question, but neighboring property owners, claiming 'their .sleeping hours are hit by miniature golf operating -un- der flood lights, are demanding an ordinance regulating hoXirs for the new type of amusement City attorney declares state labor law which forbids theatre operation on Sunday does not include golf in Its provisions. Property owners, .however; point out that baseball and regular golf are played outside the city limits not under the bed- room windows and threaten to make miniature golf an issue in the coming city elections. City officials are trying to pass the buck to state attorney. Convicted ''Bomb" Tosser Granted New Trial Minneapolis, June 21. After previ »usly finding Percy Wing, stage hand, guilty of hurl- ing a stink bomb In the Grand theatre (Publix loop 2d run house). Judge P. S. Carroll reversed himself In municipal court and granted Wing a new vrlal. The city attor- ney then moved to have the case dismissed because of lack of suf- ficient evidence. Wing had been sentenced to 45 days In the work- house. Detectives claimed they had smelled the bomb on Wing's clothes which he had left In a locker at an- other theatre. The throwing of the bomb was thought to have been precipitated by the refusal of the Grand's operators to walk out when Publlx refused to put In stage hands at this theatre, which has a stage but never uses an orchestra or stage entertainment. State Bight Westerns Hollywood, June 21. Duke Worne is making arrange- ments to produce a serleft of six western talkers. ■ Pictures will be distributed through the state rlght- ers by Ray Johnson. Fli^st will go into production late in July. Hollywood, June 17. . Production activity on the Coast for May dropped three points from the peak total attained for the year during April, Yet with this drop, the total is Just one point below that of the corresponding period for 1929, and seven points above the general average struck for the en- tire year of 1929. Studios registered to be working closest to normal of the 1929 average are Fox, M-'G-M, United Artists, Tiffany, James Cruze, Chaplin, Tec-Art, Educa- tional and Sennett. Studios above normal of the 1929 average are Warners, Paramount, First Na- Metropolitan and Tech-Art equal foot with one and one each. Short subject group of studios remains about the same with thea exception of Darmour, who rents spai'e stage space to Independents. During May he averaged one feature to an out- side company in addition to two short subjects of his- own. Roach averaged two short units in work throughout the month, while Sen- nett and Educational had one apiece. Outlook for future activity is very hdalthy, pointing to a recovery of peak production established In April Pf this year. Radio, First National, Paramount and Metro, collectively. Monthly Production Survey THIS TABLE SHOWS SUMMARY OF PRODUCTION ACTIVITY AT THE 19 ACTIVE STUDIOS ON THE COAST DURING THE MONTH OF MAY, 1930, WITH COMPARISON OF AVERAGE ACTIVITY FOR THE SAME STUDIOS DURING 1928 AND 1929. STUDIOS ARE DIVIDED INTO GROUPS ACCORDING TO THEIR CHIEF PRODUCT Total stories Average Average Total Average In line for features ohorts units established future Name of Studio working working working , for , produc- Feature Group. May. May, Hay. 1028. 1920. tlon. Warner Brothers 6 .. / . 6 6.7 4.8 12 paramount 6 .. 6 8.8 4.8 36 Pox i.. 7 .. 7 8.0 7.2 34 First National 6 2 7 8.8 4.8 16 M-G-M ..wa.,, 6 1 6 6,4 6.2 25 Radio 4 .. 4 2.8 2.4 14 Columbia 3 .. 3 2.7 1.8 12 Universal '3 1 4 6.1 6.9 10 Pathe 2 2 4 2.7 1.8 21 United Artists ^ 1 3 2.0 1.6 14 Tiffany 2 .. 2 3.0 1.8 12 Jaines Cruze 1 .. 1 1.0 0.8 7 Chaplin 1 .. 1 0.6 1.0 0 Leasing Group Metropolitan 1 1 2 3.2 3.6 0 Tec-Art 1 1 2 2.0 2.5 .0 Short Subjects . Darmour 1 2 3 1.8 1.8 0 Hal Roach" 2 2 . 2.1 1.8 0 Educational 1 1 2.0 1.3 0 Sennett 1 1 1.6 1.6 0 Totals 50 16 66 71.3 68.5 212 Total average units working In January, 1930 65 Total average units working In February, 1930 61 Tbtal average units working in March, 1930 67 Total average units working In April, 1930 68 Total average units working In May, 1930 66 tlonal, Radio, Columbia, Pathe and Darmour. Studios below normal are. Universal and Metropolitan. Plants leading In activity during May wfere Fox and First National, with a total of seven units each throughout the month. These were followed closely by Warners and Paramount, with a total of six each. Runnersup In their respective order are M-G-M, with five features and one short; Radio four, and Columbia three; Universal, three features and one short; Pathe, two features and two shorts; Ulilted Artists, two fea- tures and one short; Tiffany, two features, and James Cruze and Chaplin, with one feature each. Leasing group of studios registers have more than 35 stories In this final drafting stages and will start work on them Just as soon as the proper casts can be assembled. In addition to this there Is another total of about 60 stories In final preparation ready to be started by the balance of the studios. As for the general marketing ot the stories, the studios as 'a whole seem to be well set on their next year's product, as more than 212 stories are pow set among the ac- tive studios here for production. Number of studios selected and set for future production by the varl* ous studios Is listed in the accom- panying summary chart of produc- tion activity. LEW COLDER Veteran Artists' Representative Is now a Warner Bros.' Executive His work'has always been in the interest of the best in vaudeville.