Survey-in-Depth


FILM INDUSTRY REFORM
Research Questions


"In general, there are few grounded analyses in film studies that use large systematically selected samples of films . . . The methods of the various social sciences have only sporadically been brought to bear upon Hollywood.." -- Custen, 24 & 27.


Email:

20. Do you feel there are any patterns of bias in motion picture content or motion picture biographies with respect to the interests, values, cultural perspectives or prejudices of the Hollywood control group?


21. Do Hollywood motion pictures demonstrate any pattern of bias through the consistent favorable or unfavorable portrayals of, for example, African-Americans, Hispanics, women, gays\lesbians, Arabs, Asians, native Americans, regional populations in the U.S. (i.e., the American South), certain religious groups or others?


22A. Can you list, all or any of, the U.S. presidents whose biographies have been made into movies and comment on whether such presidents were liberal or conservative, Republican or Democrat and whether the movies portrayed them in a favorable or negative manner?


22B. Conclude whether Hollywood movies contain a bias with respect to which presidents are portrayed in biopics and how they are portrayed.


23. How many of the Hollywood films during a selected term of years and containing positive portrayals of Jewish characters were directed by non-Jewish directors, from screenplays written by non-Jewish writers and financed or distributed by companies not controlled by Jewish males of European heritage?


24A. MPAA Films--By considering all of the movies released by the MPAA companies within a specified time period (e.g., in the early '90s) can you comment on what percentage of such movies involve or include so-called Jewish stories, sub-plots and themes, or portrayals of Jewish characters?


24B. Does Hollywood exhibit a preference for treating such matters more favorably that the similar matters of other religious/cultural groups in the U.S.?


25A. What were the subjects of as many biopics as you can recall of Hollywood biographies from 1960 through the present (include distributor, year of release, name of director)?


25B Can you briefly describe the subjects' backgrounds and determine whether their is any common theme in a significant number of the biopics, that might suggest why they were chosen as subjects for Hollywood screen biographies (see Custen's Bio/Pics--How Hollywood Constructed Public History and this book's companion volume, Motion Picture Biographies)?


26A. What are the usual religious, cultural, racial and ethnic characteristics of the gangsters featured in the body of Hollywood gangster movies?


26B. Does Hollywood have a bias with respect to the gangsters it portrays on the screen?


27. Compare the shorter and longer versions of Sergio Leone's Once Upon A Time in America to determine to what extent, if any, the edits ordered by the film's U.S. distributor were actually designed to de-emphasize the fact that the criminal gang featured in the movie was Jewish.


28. Johann Strauss was the subject of the motion picture biography The Great Waltz (1938). Provide a brief biographical sketch of Johann Strauss and try to determine why that movie was made, and why it took the approach it did. Also, determine what the religious/cultural backgrounds of the main characters were.


29. The film Hello Dolly! was based on the Broadway play The Matchmaker (1954) which in turn was based on the life of Dolly Levi. Can you give a biographical sketch of Dolly Levi, specifically her religious/cultural heritage?


30. Can you determine why this film was remade so many times?


31A. Provide an analysis of You Can't Win 'Em All (1970), which stars Tony Curtis, Charles Bronson, Michele Mercier, Gregoire Aslan and Patrick Magee with Curtis and Bronson playing "two-fisted . . . WWI adventurers out to make a big financial killing as the Ottoman Empire is collapsing all around them." (Peter Collinson-Director).


31B. Determine the religious/cultural backgrounds of these two movie's characters. Was this information revealed in the movie itself? Why was this movie made?


32A. Why was the book, What Makes Sammy Run? by Budd Schulberg, never made into a Hollywood movie?


32B. Can you shed any light on the history of the efforts to make a movie out of What Makes Sammy Run?and whether this history involves any Hollywood favoritism?


33A. Who were the merchants and slave traders who brought African slaves to the American South?


33B. Can you provide any copies of historical sources which shed light on the answer to this question, and include bibliographical information (see "The Hollywood Spin on Slavery" in A Study in Motion Picture Propaganda)?


33C. Are Hollywood movie portrayals of slave traders consistent with historical fact? If not, in what way do such movie portrayals differ?


34A. How extensive is nepotism in Hollywood and what forms does it take?


34B. Is nepotism more extensive in the U.S. film industry than in other industries?


34C. Has nepotism always been a problem in the Hollywood-based U.S. film industry?


35A. What do you know about the history of blacklisting in Hollywood?


35B. Does some form of blacklisting exist in the motion picture industry today? If so, what and how does it operate?


35C. Could blacklisting, if it exists, be prevented in an industry structuredlike the Hollywood-based U.S. film industry?


36A. Who have been the top-level executives of the major studio/distributors throughout the existence of such entities?


36B. Can you provide the titles and term of service of these top-level executives, along with any brief biographical materials on each that is not generally known or disclosed in publications such as the Katz Film Encyclopedia?


36C. What are the backgrounds of the top-level executives with respect to sex, (male/female), race and religious/cultural heritage?


36D. From what you have personally observed, do any readily identifiable hiring patterns exist within the top-executive levels of the major studio/distributors?


37E. In your opinion, do these hiring patterns constitute any evidence of discrimination at the highest levels in Hollywood?


38A. By compareing the professional careers, and other characteristics of women executives (such as a Sherry Lansing, a Dawn Steel, a Lucy Fisher or a Paula Weinstein) who have reached high level studio status in the Hollywood film industry, can you determin if there are any similar hiring patterns as discussed above?


38B Do these women executives for instance, have anything in common as to how long they stayed in their positions and for what reasons they left?


39. In light of the number of film jobs that have been given to immigrants by U.S. film companies over the years, is it fair to say the Hollywood-based U.S. film industry has exhibited favoritism towards immigrants throughout its history?


40A. What directors have directed films for RKO during the time that Howard Hughes owned the studio?


40B. How many of those directors went on to have successful directing careers at other major studios after Hughes sold his interest in RKO?


40C. Were those directors actively sought as directors of other major studio/distributor films while Hughes was still at RKO? Yes No
Additional comments, if any:


40D. Can you comment on whether these directors' salaries were significantly higher at RKO than at other studios?


41A. Various Hollywood outsiders have been labeled as "anti-Semitic" over the years (e.g., D.W. Griffith, Joseph P. Kennedy, Howard Hughes, William Randolph Hearst, Kirk Kerkorian, etc.), can you add to this list or comment as to its validity?


41B. Do you feel such charges of "anti-Semitism" were warranted? Yes No
Additional comments, if any:


41C. To what extent, if any, were such charges used as a "sword" to inflict damage to the reputation and credibility of persons who are critical of the Hollywood establishment?


41D. Do you feel that the so-called "anti-Semitic sword" tactic is regularly used against film industry critics? Yes No
Additional comments, if any:


42A. When a major studio/distributor acts like a bank, (i.e., loans production money for a film and charges interest), should they have to abide by the same or similar rules that regulate the activities of banks? Yes No
Additional comments, if any:


42B. What charges do you feel the major studio/distributors or any other distributors be allowed to make?

interest in addition to reserving a profit participation
interest at rates in excess of banks
interest on advances
interest on monies not yet spent
be free to stop charging interest at the end of an accounting period instead of when payments are actually received
defer recoupment of negative cost balances until after payment of distributor fees and expenses thus extending the time period during which interest is charged
characterize gross participations as part of the negative cost of a picture and thus charge interest on gross participations

42C.Your Comments or suggestions regarding the last Question?



43A. How many U.S. films are produced each year by independent producers with production money financing provided through a production/financing distribution agreement with an independent distributor?


43B. How many U.S. films are produced each year by independent producers when production money financing is provided by a major studio/distributor utilizing the production-financing/distribution agreement?


44. Which of these typical film finance/distribution scenarios do you feel offers the greatest level of creative control for the producer and director of the film:
the major studio/financed in-house production?
the major studio financed production-financing/distribution agreement with an independent producer?
a negative pickup with a major studio/distributor?
a film financed through a privately placed feature film limited partnership and acquired by a distributor on a pure acquisition or rent-a-distributor basis?
Why?


45. In which situation does an independent producer have more creative control:
when the negative costs of the movie are being provided by a major studio/distributor?
when funds are being provided by a lender who requires that a completion guarantor monitor the producer's production activities?
when production funds are provided by a feature film limited partnership?
Why?


46A. How much money do you feel comes into the major studio/distributors and from what sources?


46B. What percentage of this money (from the last question) do you feel is paid out to:

major studio/distributor management
above-the-line personnel
below-the-line production costs
distribution expenses
stockholders as dividends


46C. Do you feel such percentages are reasonable?


47A. How well did the limited partner and LLC investors fare in such ventures?


47B. Did they recoup their original investment? Yes No


47C. Did they receive a fair return on their investment? Yes No


47D. Could the financial results for such investors have been predicted based on available knowledge of the business practices of film distributors?


48. If the results of such investments were disappointing and could have been predicted does that mean that attorneys and broker/dealers who participated in such offerings were negligent in the conduct of their due diligence activities and in providing fair disclosures on behalf of the producers to the prospective investors?


49. How many U.S. films are financed each year using the negative pickup financing arrangement? How many U.S. films are financed each year using the negative pickup arrangement with major studio/distributors? How many U.S. films are financed each year using the negative pickup arrangement with independent distributors?


50A. In your understanding, how does the negative pickup deal work and what is required in order to put such a film financing arrangement together?


50B. How does a negative pickup deal differ from a pure acquisition? A fractured rights deal? A split rights deal? A rent-a-distributor transaction?


51A. How many U.S. made films are produced each year utilizing the limited partnership or limited liability company (LLC) to raise all or a significant portion of the production funds?



51B. How many of those were financed through the use of a public/registered limited partnership such as the Star Partners (MGM/UA) and Silver Screen Partners (Disney) series?



51C. How many of those were financed through the use of privately placed limited partnership?



51D. How many of the LLCs were sold as non-securities?



52. What can be done to prevent the major studio/distributors from avoiding the higher costs of below-the-line union wages and fringes through the use of the "artificial pickup"?


53. During the past 10 years, how many films distributed by the major studio/distributors fall into the following film finance/distribution scenarios:

(1) in-house production/distribution?
(2) production-financing/distribution agreements (with independent producers)?
(3) negative pickups?
(4) pure acquisition deals?
(5) rent-a-distributor deals?


54. What trends relating to these 5 forms of film finance and distribution appear to be developing?


55. What percentage of feature films produced in the U.S. each year appear to be financed with money provided by elements of organized crime?



56. Are such investment opportunities being utilized to launder money?


57. How difficult do you feel it is to get a handle on what is really going on in Hollywood without accurate numbers or statistics?


58. How many pitches of concepts or ideas are made to major studio/distributors each year?

59. How many synopses, treatments and scripts are submitted to the major studio/distributors each year?

60. How many synopses and/or treatments are registered with the WGA each year?

61. How many screenplays are registered with the WGA each year?

62. How many screenplays are registered with the U.S. Copyright office each year?

63. Looking at the above numbers, would you say the system is out of balance or that it simply must develop this amount of product to obtain a certain level of quality control?


64. What are the realistic odds that a pitched film project will result in a major studio development deal?


65. What are the realistic odds that a film being developed by a major studio/distributor will receive a "green light" for production?


66. What are the comparative odds of taking a film project to a major studio/distributor for development and production financing, as opposed to obtaining a negative pickup deal arrangement, a pure acquisition deal, or investor financing, or some of the other forms of production financing?


67. How many U.S. films have been produced each year by independent producers during the last ten years?


68. What is the trend with respect to the number of independently produced films?


69. How many of the U.S. films produced by independent producers are distributed by major studio/distributors each year?


70. How many of such films are distributed by independent distributors?


71. How many of such films do not obtain a domestic theatrical release?


72. What are the trends with respect to these questions?


73. How many U.S. made films are produced each year with a substantial portion of the production costs financed through bank or other lending entity loans?

74. What percentage are negative pickup deals?

75. What percentage are so-called foreign pre-sales?

76. What percentage of the pre-sales are "fractionalized rights" deals?

77. What percentage of the pre-sales are so-called "splits rights" deals?

78. How many involve so-called "gap financing"?

79. What are the trends, (e.g., are more negative pickup and pre-sales deals being effected each year than production-financing/distribution deals)?


80. How many U.S. made films are produced each year using a completion bond?

81. What is the aggregate amount of film budgets covered by completion bonds in a given year?

82. How many completion guarantors currently operate in the marketplace?

83. What fees do they charge?

84. How many films covered by completion bonds are actually taken over by the completion guarantor in some way?

85. What percentage of domestic theatrical box office gross has been generated in the past 10 years by U.S. films produced and distributed by major studio/distributors?


86. What percentage of domestic theatrical box office gross has been generated in the past 10 years by U.S. films produced by independent producers and distributed by major studio/distributors?


87. What percentage of domestic theatrical box office gross has been generated in the past 10 years by U.S. films produced by independent producers but distributed by independent distributors?


88. How many U.S. films involve awards of some form of gross participation to others besides the domestic theatrical distributor, (e.g., writers, directors, producers, actors, etc.)?


89. How many such deals provide for net profit participations?


90. What percentage of these deals actually result in the payment of gross or net profit participations?


91A. What business practices do you feel the major studio/distributors have engaged in to gain their power over the rest of the industry?


91B. What do you feel is the key to understanding the Hollywood-based U.S. film industry?


92A. How many independent film distribution or production companies have gone out of business in the last 5 years and why?


92B. Is it because they failed to produce hit films, poor financial planning, or is it because of unethical or unfair, business practices of the major studio/distributors?


93A. Would it be fair to characterize all, or a significant portion, of the feature film distribution agreements between major studio/distributors and independent producers as contracts of adhesion?


93B. What percentage of such contracts, in your opinion, contain unconscionable provisions?


93C. Are these agreements enforceable in the courts?


94. Which, if any, of the terms of the production-financing/distribution agreements used by the major studio/distributors are likely to be considered unconscionable by courts if challenged?


95A. Do the distribution agreements of the MPAA companies regularly exclude revenue from the gross receipts revenue stream of independently produced motion pictures for the purpose of then contributing such moneys to favored charities?


95B. If so, do these MPAA companies then deduct such contributions from their U.S. federal income taxes? Comment?


95C. How much money is diverted from the gross receipts revenue stream of independently produced motion pictures during the course of a given year in this manner and what charities are being favored with such contributions?


95D. Approximately how much money do feature film gross and net profit participants lose each year through this distributor gross receipts exclusion?


95E. If such exclusion provisions are contained in the film distribution agreements of MPAA companies are they unconscionable?


95F. What other revenues are excluded from the definition of gross receipts by the language of the major studio/distributor distribution agreements?


95G. Are such exclusions reasonable?


96A. Of those U.S. films granting some form of gross participation to others besides the distributor, do any involve a gross participation in pure gross distributor rentals?


96B. What are the various levels of gross revenues made available to gross profit participants?


97. Of those U.S. films granting some form of gross participation to others besides the distributor, how many involve a gross participation in some form of adjusted or accountable gross distributor rentals and how are such terms defined?


98A. If the major studio/distributors stopped granting gross participations to actors, directors, producers, screenwriters and others wouldn't that substantially reduce the production costs of such motion pictures and at the same time increase the value of net profit participations, thus making all of such persons much more willing to accept net profit participations? Comments?


98B. Why are gross profit participations considered production costs?


98C. Is that a fair characterization?


99. Is it fair to say that the major studio/distributors actually prefer to grant gross profit participations on some films because gross participations are included as part of the negative cost and thus increase the amount of interest the major studio/distributor earns on the project, while at the same time the granting of gross participations do not otherwise decrease the major studio/distributor's earnings on a film although gross participations have a devastating effect on net profit participants?


100A. What percentage of U.S. films distributed each year that do achieve net profits are audited?


100B. What percentage of U.S. films distributed each year that do achieve net profits do not achieve net profits until after they are audited?


100C. Of those films that are audited, how many provide for the recovery of a significantly larger amount of net profits than would have otherwise been reported were it not for the audit?


101. Do feature film distributors owe a fiduciary duty to independent producers and other net profit participants to avoid settling with exhibitors for less than the contractually owed amount of film rentals?


102. Is the failure of feature film distributors to refuse to settle with exhibitors for less than the contractually owned amount of distributor rentals (thus excluding significant amounts of revenue from distributor gross receipts) a violation of the implied covenant of good faith and fair dealing?


103. Is the failure of a major studio affiliated distributor to settle with an exhibitor for the contractual amount of film rentals due to such distributor an anti-competitive practice designed to prevent independent producers from effectively competing with the studio production companies?


104. Is this practice a violation of the federal Sherman antitrust Act, the Clayton Act and/or the FTC Act?


105. Is the distributor protected from claims alleging that the settlement transaction is illegal because it is not mentioned in the distribution agreement; even if the distribution agreement is a contract of adhesion?


106A. Should exhibitor/distributor settlement transactions be outlawed?


106B. Which major studio/distributors engage in settlement transactions with exhibitors and which do not?


106C. If a major studio/distributor is not willing to settle for less gross receipts than owed by the exhibitor to the distributor does this have any effect on the ability of that studio/distributor to get its movies shown in those same theatres in the future?


106D. In the course of a given year, how much money is diverted annually from the gross receipts revenue stream that might ultimately accrue to the benefit of all gross and net profit participants of independently produced films by virtue of the settlement transaction?


106E. On what legal grounds can motion picture gross and net profit participants attack the settlement transaction as between exhibitors and distributors?


107A. After a comparison of distribution expenses in major studio distribution deals could one conclude there are any differences between the definitions found in the production-financing/distribution agreement as opposed to negative pickup deals or pure acquisition deals?


107B. Given the existence of such differences, what are the possible reasons?


107C. In other words, why would an expense be considered a distribution expense in one distribution deal but a production expense in another?


107D. Could the answer to the above questions relate to who put up the production money and who is getting paid interest and production overhead charges based on those funds?


108. Should entities such as film distributors who pay foreign remittance taxes on revenues generated from the exhibition of their films in such foreign countries be allowed to claim the U.S. foreign tax credit when the amount paid in taxes is charged against the gross receipts of the distributor as a distributor expense and is thus actually paid by the net profit participants?


109A. What firm or firms provide motion picture box office checking services?


109B. exactly what services do they provide?


109C. what kinds of exhibitor (or distributor) practices are they trying to prevent?


109D. who hires them?


109E. what are their fees and on what percentage of films are they used?


110. What is the difference between rebates, discounts and kickbacks and how can independent feature film producers protect themselves from abuse in this area?


111. Should film distributors be allowed to exercise their discretion with respect to making expense and revenue allocations:

(A) among films being licensed or syndicated together as a package in a foreign territory, to networks or independent television stations?

(B) relating to the costs of advertising several films?

(C) with respect to which portion of film rentals should be considered earned by their shorts and trailers as opposed to an independently produced feature film?


112. What system is used in the current marketplace for determining which exhibitors will be able to exhibit which feature films?


113 Who benefits from the current system?


114. Explain the distributor practice of blind bidding, discuss the pros and cons of the practice and identify which film industry groups favor the practice and which are opposed to it? 115A. Which states currently have anti-blind bidding statutes and which do not?


115B. Have the major studio/distributors carried out their reported threats to reduce the number of location shoots in the so-called regulatory states, (i.e., those states that have passed anti-blind bidding statutes)?


115C. Should a federal anti-blind bidding statute be considered by Congress?


115D. Is blind-bidding still a problem?


115E. Did the exhibitors and the major studio/distributors cut a deal which caused the exhibitors to back off their efforts to pass anti-blind bidding legislation in more states?


115F. Did this supposed "deal" involve a promise by the major studio/distributors to halt purchases of ownership interests in major theatre exhibition chains?


116. Are the independent producers whose films have been distributed on a rent-a-distributor basis satisfied with the manner in which their films were distributed, (i.e., does the inherent distributor conflict of interest situation in which a distributor may be distributing one of its own films at the same time that it is distributing a film produced by an independent producer result in discriminatory treatment of the independently produced film)?


117A. How many U.S. films are obtained each year by the major studio/distributors as pure acquisition deals?


117B. How many U.S. films are obtained each year by the independent distributors by acquisition?


118A. How many U.S. films are distributed each year on a rent-a-distributor basis?


118B. What portion of the distribution expenses in these rent-a-distributor deals have been paid for by monies provided by the non-distributor financier?


119A. Is there any reason why directors, producers or stars of studio-financed films that were considered "commercial failures" would not be willing to talk openly about the performance of the film or how the studio handled distribution?


119B. Are directors, producers or stars of studio films cowed?


120A. Are the shareholders of the major studio/distributors treated more or less fairly than net profit participants?


120B. If Orion owner John Kluge is one of this country's most wealthy individuals, while at the same time his company was in bankruptcy, was it fair to raise the question as to whether the shareholders of Orion had been properly compensated for their ownership interests?


120C. Who are the majority shareholders of the major studio/distributors?


121A. Are distributor rentals for films produced and distributed by major studio/distributors consistently higher than the distributor rentals for films produced by independent producers, but distributed by major studio/distributors?


121B. If so, what causes this difference?


121C. Do the major studio/distributors negotiate better terms in their agreements with exhibitors on their own films?


121D. Or do the major studio/distributors discriminate against independent producers by settling for a smaller amount of film rentals on the independently produced films that they distribute?


122A. What percentage of U.S. films distributed each year achieve net profits?


122B. By major studio/distributors?


122C. By independent distributors?


123. Why can't the screenwriter, director and actor guilds get the major studio/distributors to agree to collective bargaining agreements which prohibit:
(A) unfair settlement transactions?
(B) the granting of gross profit participations?
(C) unfair home video royalty provisions?
(D) distributor participation in net profits?
(E) unreasonable allocations in package sales and other unreasonable distributor business practices?
the elimination of which would greatly increase the chances that a given movie will generate net profits for the benefit of such directors, screenwriters and actors (i.e., the members of these guilds)? Your comments on all or part of A-E?


124. Is it feasible that independent producers form an effective association of independent feature film producers and work toward the same important financial goal, (i.e., the elimination of predatory distributor business practices which significantly decrease the chances of the vast majority of motion pictures for generating net profits)?


125A. What is the history of U.S. anti-trust law enforcement in the motion picture business?


125B. What were the Paramount Consent Decrees and how are they currently implemented, (i.e., what is left of the Paramount Consent Decrees)?


125C. Did the Paramount Consent Decrees actually do much harm to the major studio/distributors?


125D. Did the decrees achieve their goals?


125E. Provide an objective presentation of the arguments of the major studio/distributors and the independent film community with respect to current antitrust issues.


126. Has the policy of the U.S. Justice Department toward enforcement of the federal antitrust laws in the motion picture industry been relaxed in the past few decades and why?


127. In 1986, the Reagan administration asked Congress to make the most significant reforms in antitrust law in decades. The Reagan proposals raised controversial issues relating to when and how the government should intervene in the marketplace. The administration's legislative package primarily sought to facilitate mergers and to reduce the penalties for certain economic practices that could cost violators millions under current law. What happened to this reform effort?


128A. Is it true that the American feature-film industry has shown a tendency toward monopoly, oligopoly or a shared monopoly throughout its history and if so, why?


128B. Would such activities be actionable under the present U.S. antitrust laws if they were vigorously enforced by the U.S. Justice Department?


129. Do the activities of the MPAA companies constitute an illegal cartel?


130. What effect does vertical integration of the major studio/distributors have on the independent producers, distributors, exhibitors and movie-going audiences?


131A. What is the effect of the re-entry of the major studio/distributors into the field of motion picture exhibition on independent exhibitors?


131B. On independent distributors?


131C. On independent producers?


131D. How does such re-entry affect the movie-going public?


131E. How many theatres and/or screens or owned or partly owned by major studio/distributors?


132. What are the inter-relationships through common ownership of the motion picture studio, production company, distributor, video, cable and television entities?


133A. How can the distributor practice of block booking be prevented as between a distributor and a theatre chain that is either owned or controlled by that distributor?


133B. How does the so-called blockbuster strategy differ from block booking?


134A. What are tipical financial and creative results of movies that have been packaged by agencies?


134B. What agencies do most of the packaging for the MPAA companies?


134C. Also, what percentages of MPAA releases are packaged deals?


134D. Which studios release the most packaged films each year?


134E. How do the packaged films perform at the box office?


134F. Does agency packaging violate antitrust laws?


135A. What are the existing ownership relationships between the various entities in the home video arena?


135B. What film production entities, are affiliates with film distributors?


135C. Which distributors are associated with affiliate or subsidiary video manufacturing entities?


135D. Which of the manufacturers are affiliated with wholesale distributors and which wholesale distributors are affiliated with retail outlets?


136. The studios, in dividing up each dollar received from home video (and laser video disc) sales and rentals, assigned an arbitrary share of 20% of the total as profits. Those profits are the amount later used to calculate how much will be paid to profit participants in a movie or TV program. That means if an actor or director or writer is to get 10% of the net profits, they are actually getting 10% of the 20%. It is one of those issues that frequently raises cries of 'creative accounting.'" What Hollywood lawyers, agents and studio business affairs executives call 'the 20% rule?'


137. Federal Judge John Singleton issued a directed verdict of insufficient evidence against defendants Columbia, 20th Century Fox, Warner Bros., United Artists, Buena Vista, General Cinema, ABC Theaters (now Cineplex Odeon/Plitt), Interstate Theaters and Loews. They had been accused by Universal Amusement Company and its subsidiary, Entertainment Projects, of illegal product-splitting, unlawful clearances, monopolistic practices, limitation of prints and distributor-circuit collusion. The Houston-based theatre circuit had sought $1.9 million in damages. What is your analysis of the issues involved.


138A. Steven Bach reported in his book Final Cut that "black books" containing " . . . columns of figures earned by each picture released by each major company . . . were exchanged on a monthly courtesy basis by the several chief executive officers (of the major studio/distributors) and were privileged and confidential: bottom-line numbers, picture by picture, month by month, dollar by dollar." Does this practice continue today?


138B. Are these numbers significantly different from what appears from time to time in the trades or other articles about the movie industry?


138C. Are they different than the numbers reported to the IRS and the motion picture corporate stockholders?


138D. Does this secret exchange of information among competitors run afoul of the antitrust laws?


139A. What is the ratio of major studio/distributor rentals to box office gross receipts for any given year expressed in the form of a percentage?


139B. Does that ratio vary with respect to the films produced and released by the major studio/distributors as opposed to the ratio for films produced by independent producers but released by the major studio/distributors?


139C. If so, what is the difference in those ratios?


139D. How much money is involved on an annual basis?


139E. Assuming there is a difference, why would such ratio differ for studio productions as compared to independent productions? Are any anti-competitive practices involved?


140A. In your opinion, do the major studio/distributors engage in any anti-competitive behavior and if so, what?


140B. In ypour opinion, does the practice of agency package violate the U.S. antitrust laws?


141A. Who controls (owns and/or manages) the top ten U.S. theatrical distributors?


141B. How many theatres and screens does each firm control?


141C. To what extent do the major studio/distributors have ownership interests in such theatre chains?


141D. Does their ownership interest give them a competitive advantage over independent distributors that do not have similar interests in theatres?


142. In your opinion, have any of the business practices of the major studio/distributors which amount to a pattern of racketeering been used to attempt to control a relevant market, thus creating an antitrust law violation in addition to the RICO violation?


143. In your opinion, do any of the business practices of the major studio/distributors fall within the federal RICO definition of racketeering activity, (i.e. constitute bribery, mail fraud, wire fraud or extortion)?


144. In your opinion, do any of the business practices of the major studio/distributors constitute an illegal pattern of racketeering under the federal RICO statute?


145. In your opinion, do any of the business practices of the major studio/distributors involve gifts, offers or promises of anything of value made to any federal official with the intent of influencing any federal official or any official act, thus falling within the federal bribery statute?


146. To your knowledge, have any plaintiff's (writers, directors, actors, producers, attorneys or any other person) been injured in their business or property by reason of a pattern of racketeering activity committed by a major studio/distributor enterprise that engages in or affects interstate commerce and that invests in or operates the organization with its ill-gotten funds?


147. In your opinion, do any of the business practices of the major studio/distributors involve a victim's reasonable fear, under the circumstances of losing property (including business accounts, franchises or unrealized profits) unless he or she complies with the major studio/distributor's (extortionist's) demands, thus falling within the federal extortion statute?


148. In your opinion, do any of the business practices of the major studio/distributors involve a use of the mails or use of wire, radio or television communications to obtain money or property by a scheme or artifice to defraud, (i.e., violate a standard of moral uprightness, fundamental honesty, fair play and right dealing in the general and business life of members of society), thus coming within the RICO definitions of mail or wire fraud?


149. To your knowledge, have any claims under RICO and Section 1 of the Sherman Act been successfully asserted by film industry plaintiffs? The Clayton Act? The FTC Act? Against film industry defendants and otherwise?


150. Is the judgment of three people who have proclaimed over the years that the Hollywood establishment has a proclivity for wrongdoing (a U.S. Supreme Court Justice, a judge that administered the Paramount Consent Decrees and a litigating attorney) a fair overall assessment of the business practices and behavior of the Hollywood control group? [see Politics, Movies and the Role of Government, along with Hollywood Corruption]


151. Should the U.S. Congress consider specific legislation, (e.g., "The Motion Picture Industry Fair Practices Act") which would be designed to prohibit certain unfair, unethical, predatory, anti-competitive and/or illegal business practices of motion picture distributors and others in this industry?


152. Should federal and state policies encourage or discourage a broader participation of interest groups in the production, distribution and exhibition of U.S. made motion pictures?


153A. Is it fair to characterize the U.S. motion picture business as an entertainment industry or a communications industry, or should it be considered both? 153B. Does the answer to the former question have any implications with respect to governmental policies which affect the motion picture business, (e.g., governmental policy relating to such issues as vertical integration, block booking, blind bidding, settlement transactions, etc.)?


154. What special tax benefits the studios have been able to lobby through Congress from time to time?


155. Which high level executives of the MPAA companies (and/or their spouses) have made significant political campaign contributions to U.S. Presidential candidates in the last several elections, how much and to whom?


156. Is there any relationship between such contributions and the shift in U.S. antitrust policy in the U.S. Justice Department?


157A. What issues has the MPAA lobbied for and against in Congress during the past ten years?


157B. What issues has the MPAA lobbied for and against in state legislatures around the country?


157C. What issues has the MPAA lobbied for and against at the federal regulatory agencies such as the Securities and Exchange Commission and the Federal Trade Commission and the Federal Communications Commission?


157D. What issues has the MPAA lobbied for and against at the federal law enforcement agencies such as the Internal Revenue Service and the U.S. Justice Department?


157E. Is their a relationship between which issues are of importance to the MPAA and where their PAC money goes?


158. What special tax laws have the MPAA companies lobbied for during the past decade and what special tax benefits are enjoyed by the major studio/distributors?


159. What is the history of political activism in Hollywood, among studio executives and motion picture stars?


160. What are the main industry issues of concern to the National Association of Theatre Owners?


161A. What issues of concern to the Motion Picture Association of America come within the purview of the U.S. Congress?


161B. Briefly discuss each and identify which parties are on both sides of such issues?


162. How does the policy of the governments of other countries as such policy is directed toward their film industries differ from the policy of the U.S. government as it relates to the U.S. film industry?


163. What is the role, if any, of federal and state governments in ensuring that all interest groups have a fair opportunity to participate in the production, distribution and exhibition of U.S. made motion pictures?


164A. What organizations, if any, represent the interests of the independent feature film producer in this industry?


164B. Evaluate whether such organizations effectively represent such interests. Can any existing producer organization be truly considered an advocacy or lobby group?


164C. Does any group primarily focus its efforts on behalf of independent feature film producers?


164D. Why haven't independent feature film producers organized into an effective professional association in an attempt to protect their interests on vital issues that significantly effect the well-being of independent producers?


165. In what significant ways do the various U.S. film industry organizations protect the interests of such organizations' members, (e.g., professional and trade associations and guilds)?


166. Is it possible that all net profit participants of motion pictures released by the major studio/distributors or any single major studio/distributor within the period permitted by the statute of limitations could be certified as a class for purposes of litigating a class action lawsuit against such distributors based on unconscionability, antitrust, RICO and/or fraud allegations?


167A. Is it too late to file a class action lawsuit on behalf of all of the limited partner investors who invested in the Star Partners or Silver Screen Partners public limited partnership film offerings?


167B . What theories of liability may be utilized in such a law suit: (1) securities fraud? (2) unconscionability, (3) antitrust law violations? (4) RICO violations? What other causes of action might be fairly alleged?


168A. What is true history of the beginnings of the movie business and then Hollywood?


168B. Is there any evidence to suggest that some historians of the movie business tend to confuse the two in an effort to rewrite such histories?


168C. What is the evidence that the original invention of the motion picture projector was stolen from its inventor?


168D. Who was the real inventor of the motion picture projector?


168E. Was Hollywood created primarily in an effort by the independent producers of the day to break the Edison trust?


168F. Were the activities of the early Hollywood independent producers illegal at the time?


169. What responsibility, if any, do producers have in advising moviegoers as to what portion of their movie is considered factual, what is arguable and what is purely fiction?


170 . If a motion picture is about an historical event, does the filmmaker have a greater obligation to be truthful to his or her best ability?


171A. What are the demographics of the Academy membership and how do such characteristics influence Academy voting?


171B. How does someone become a member of the Academy and do Academy membership admission policies affect the Academy Award voting?


171C. Approximately what portion of the Academy voters are voting on motion pictures they have never seen?


171D. What is the economic result of an Academy Award nomination or win and how widespread is the practice of hiring people to influence Academy members voting?


171E. Is it true that the Academy voters are more interested in nominating successful movies that can still be "helped" as opposed to honoring unsuccessful movies or those that have already passed through the video supermarkets?


171F. Is it true that the Academy generally honors films of the last quarter of the year?


172A. Why are some film industry executives and creative talent paid such high salaries?


172B. Are such high salaries really a true reflection of the market or has an artificial market been created in the interest of Hollywood insiders?


173A. What kinds of incidents have been covered up?


173B. Who is involved in the cover-ups, studio executives, law enforcement officials and/or others?


174. How do film industry corporations cheat their shareholders?


175. Is it fair to say that the so-called motion picture trade publications, (e.g., The Hollywood Reporter, The Daily Variety, etc.) do not provide adequate critical analyses of the motion picture industry, (i.e., they primarily publish the "good news" about their major advertisers the major studio/distributors)?


176. Which source of motion picture industry information relating to box office performance and industry economics is the most current and reliable: Paul Kagan and Associates, The Hollywood Reporter, The Daily Variety, Variety, the Goldman Sachs annual Investment Research Report on the Movie Industry, The Motion Picture Almanac, Baseline, NATO's Encyclopedia of Exhibition, Harold Vogel's book Entertainment Industry Economics, The Ernst & Young Entertainment Business Journal, Art Murphy's Boxoffice Register or some other source? Why?


177A. When is an independent producer no longer independent?


177B. What is your exact definition of an Independent Producer?


178A. Do some film critics generally provide more favorable reviews for the releases of the major studio/distributors than the releases of the independent distributors? Give examples.


178B. Do some of the film industry critics seem to prefer the work of certain actors, directors or writers because of the racial, ethnic or cultural identity of such persons? Give examples


179. Is there a positive correlation between the amount of money spent on advertising a motion picture and its performance at the box office?


180A. Is it true, as reported in the April 1991 issue of American Film magazine that " . . . film-study programs graduate 26,000 students every year . . . " and that " . . . only 5 to 10 percent of the 26,000 students actually find their way into the industry . . . " after graduating?


180B. What responsibilities do our colleges and universities have for achieving a more reasonable balance between the number of students they accept in these glamour film programs and the number of realistic job opportunities that exist in the film industry? Is this a national scandal?


RESEARCH PROJECTS


Optional:

Name:

Phone:

Address:

Email:

How I was referred to this Survey:

Date:






Copyright 1997 - 2002 John W. Cones All rights Reserved