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Author Topic: Rules are meant to be broken?
Ron Funderburg
Jedi Master Film Handler

Posts: 814
From: Chickasha, Oklahoma, USA
Registered: Nov 2007


 - posted 12-28-2008 08:02 AM      Profile for Ron Funderburg   Author's Homepage   Email Ron Funderburg   Send New Private Message       Edit/Delete Post 
Rules are meant to be broken?

I have heard this statement all my life and do understand that it seems to be a real thrill to some people to break rules. I was raised to believe that rules were not meant to be broken, that laws were laws and that rules were rules and that doing right was something you just do. You do the right thing not out fear of being caught or because you don't want to be punished but because doing the right thing is how you are suppose to live your life.

In the theater business there are reasons that film companies have become so hard to work with. Their reasons that film companies charge such high percentages for film we as operators like to say it is because the film companies are greedy or are out to break the theater. Those reasons may or may not be accurate but there are other reasons as well.

A certain Drive-in is currently operating only on weekends they openly report their grosses to Rentrak and EDI for the world to see; however, at Thanksgiving and again at Christmas they have been open during the week but not reported those grosses to Rentrak or EDI. They have also opened films those weeks ahead of the national opening day. These special open days were only for their “special” customers who subscribe to their newsletter. Actually it is just that the newsletter was the only means of advertising used for these films.

The other theater in town, an multi screen indoor, is aware of what the drive in is doing. They have not informed the film companies feeling it isn't their business to dobb them in. Film companies are aware of this type of actions and when one group does it they come down hard, pulling films or refusing to play films with operators for specific periods of times. They have been known to take the offending owners to court to try to recover unreported incomes.

Viewing this as a third party, not activity involved with either operator, I am slightly appalled by the drive in operator. What he is doing is clearly a violation of the rules and clearly not the right thing. It puts the other operator at a disadvantage if he turns them in he runs the risk as looking to both the film company and the other operator as suffering from sour grapes. If he doesn't and the other operator continues the practice the drive in gets the first customers and doesn't have to pay the percentages to the film company.

Of course, the drive in operator runs a risk of seriously jeopardizing his relationship with the film companies, could lose first run status or even the ability to book film. He would have to be caught for any of that to take effect. Working to his favor this drive in is a Podunk little drive in a tucked away part of the country so not really on the radar for the film companies.

Now I realize that a lot of operators under report the grosses and I know that being honest is matter of personal morals; however, it is so blatant that it is almost begging to be caught. Would the film companies even care about this? I am guessing it depends on how the booker feels about the operator.

See this little drama transpire I can see the reasoning behind a film companies attitudes sometimes.

What do you guys think no big deal or is it a big deal?

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Louis Bornwasser
Film God

Posts: 4441
From: prospect ky usa
Registered: Mar 2005


 - posted 12-28-2008 09:37 AM      Profile for Louis Bornwasser   Author's Homepage   Email Louis Bornwasser   Send New Private Message       Edit/Delete Post 
The moral dilema is: "Given that everyone cheats on taxes,causing the taxes to be too high, so you should cheat, too?"

This problem, like middle east peace, will be around for a long time for all of us to ponder. Louis

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Mark Gulbrandsen
Resident Trollmaster

Posts: 16657
From: Music City
Registered: Jun 99


 - posted 12-28-2008 11:14 AM      Profile for Mark Gulbrandsen   Email Mark Gulbrandsen   Send New Private Message       Edit/Delete Post 
I know of a number of owners that have "turned in" the competition when he very definately knows and can proove the other owner is cheating.

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Mike Blakesley
Film God

Posts: 12767
From: Forsyth, Montana
Registered: Jun 99


 - posted 12-28-2008 02:30 PM      Profile for Mike Blakesley   Author's Homepage   Email Mike Blakesley   Send New Private Message       Edit/Delete Post 
Under-reporting grosses is bad, but opening a movie early for "special" customers (and then probably not reporting those grosses, either) is really outrageous.

Ron, if you know of an operator doing this you should definitely turn him in. Sign up for their "newsletter" and the next time it happens, instead of just posting here, actually do something about it. Make a copy of their "ad" and send it to the film company involved.

quote: Ron Funderburg
Working to his favor this drive in is a Podunk little drive in a tucked away part of the country so not really on the radar for the film companies.
The film company would still like to know. Even a little money, they care about. There was a theatre near here (now closed) who "stacked" another movie on top of one of the late '90s Star Wars reissue films, got caught, and was taken off service by Fox for one year. This in a town of under 3000 people.

I think of the saying "rules are meant to be broken" as more of a joke, or when something unusual happens that 'just shouldn't happen,' than a real life fact.

[ 12-28-2008, 08:02 PM: Message edited by: Mike Blakesley ]

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Monte L Fullmer
Film God

Posts: 8367
From: Nampa, Idaho, USA
Registered: Nov 2004


 - posted 12-28-2008 08:59 PM      Profile for Monte L Fullmer   Email Monte L Fullmer   Send New Private Message       Edit/Delete Post 
How about if a theatre, that is first run, has a special "reduced price" day to help bolster his business due to these recent hard times?

Does this also fall into this scenario as well along with also the possibility of jepardizing his relatioship with the film companies?

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Jeremy Weigel
Phenomenal Film Handler

Posts: 1062
From: Edmond, OK, USA
Registered: Mar 2007


 - posted 12-28-2008 09:31 PM      Profile for Jeremy Weigel   Email Jeremy Weigel   Send New Private Message       Edit/Delete Post 
quote: Monte L Fullmer
How about if a theatre, that is first run, has a special "reduced price" day to help bolster his business due to these recent hard times?
Isn't that why the studios also have a ticket per capita requirement so that if you're ticket per cap is below the threshold the owner has to make up the difference to "pull" it up to meet it? That's always been my understanding.

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Ky Boyd
Hey I'm #23

Posts: 314
From: Santa Rosa, CA, USA
Registered: Jun 99


 - posted 12-28-2008 09:53 PM      Profile for Ky Boyd   Author's Homepage     Send New Private Message       Edit/Delete Post 
Certain studios are very diligent about auditing and billing theatres that fall below per cap or exceed the allowable ratio of passes. Fox now considers any show starting at 5:30pm or later to be a primetime show. In the long run it doesn't pay to be anything less than honest as an operator. The studios are like elephants...they never forget a slight.

As to the original issue of this thread, I agree with Mike, turn them in. The rules only work if everyone plays by the same rules.

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Galen Murphy-Fahlgren
Master Film Handler

Posts: 405
From: Canton, MI, USA
Registered: Oct 2007


 - posted 12-28-2008 10:23 PM      Profile for Galen Murphy-Fahlgren   Email Galen Murphy-Fahlgren   Send New Private Message       Edit/Delete Post 
Well, following arbitrary rules for the sake of following rules (or laws) is not necessarily doing right, but in this case, they are breaching an agreement they made, and there is no justification for that. I would turn them in in a heartbeat.

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Dominic Espinosa
Phenomenal Film Handler

Posts: 1172
From: Boulder Creek, CA.
Registered: Jan 2004


 - posted 12-29-2008 12:26 PM      Profile for Dominic Espinosa   Email Dominic Espinosa   Send New Private Message       Edit/Delete Post 
quote: Monte L Fullmer
How about if a theatre, that is first run, has a special "reduced price" day to help bolster his business due to these recent hard times?
Ky was on the money with his response; if your ticket per-cap is say $6.50 and your general is $10 a $7 student night discount or something like that won't make a difference.

It's all about the MLA.

Me? I'd rather never discount opening weekend. If your numbers are lagging on opening weekend but your prices in general are competitive it's time to find a gimmick. Preferably one that won't get you turned into the studios...

I'm with the rest of them, I say, turn their a$$es in!

EDIT: There is a big difference between being competitive (competition is fun, brings out a good side I think) and trying to cheat your way through (no satisfaction!)
Being fair is a necessity.
If nobody had the gumption to chin check the majors we'd still be playing day-and-date.

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John T. Hendrickson, Jr
Jedi Master Film Handler

Posts: 889
From: Freehold, NJ, USA
Registered: Apr 2001


 - posted 12-29-2008 01:10 PM      Profile for John T. Hendrickson, Jr   Email John T. Hendrickson, Jr   Send New Private Message       Edit/Delete Post 
We're talking more than "rules" here. We're talking "contract", and a violation of same is serious stuff. Rules might be made to be broken, but contracts are not.

I agree. Turn them in.

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Frank Angel
Film God

Posts: 5305
From: Brooklyn NY USA
Registered: Dec 1999


 - posted 12-29-2008 02:14 PM      Profile for Frank Angel   Author's Homepage   Email Frank Angel   Send New Private Message       Edit/Delete Post 
Sour grapes my butt....even if my competition is getting a break that I am being denied by a distrib, I will scream bloody murder. If he's breaking the law and huring me, I damn well will report him. Regarless of the moral issues, under-reporting or hiding grosses is criminal theft and should be exposed wherever it rears its ugly head. In the end, one theatre doing that hurts all theatres who are honest.

And how does a DI get to play a picture before anyone else? Haven't we been discussing here the problem with the distribs sending prints only hours before opening date? Were does this DI get prints before anyone else that he can advertise and open it even for one day ahead of time?

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Mike Blakesley
Film God

Posts: 12767
From: Forsyth, Montana
Registered: Jun 99


 - posted 12-29-2008 04:06 PM      Profile for Mike Blakesley   Author's Homepage   Email Mike Blakesley   Send New Private Message       Edit/Delete Post 
We got our Marley print on Tuesday the 23rd. I think this DI operator is just going on the fly: Print comes in, he schedules a quickie show, sends out the newsletter to his mailing list and cashes in.

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Lyle Romer
Phenomenal Film Handler

Posts: 1400
From: Davie, FL, USA
Registered: May 2002


 - posted 12-30-2008 12:26 PM      Profile for Lyle Romer   Email Lyle Romer   Send New Private Message       Edit/Delete Post 
If I knew a competitor was breaking rules like that, I'd have to turn them in. It creates very unfair competition. How can I compete if I'm following the rules and a competitor is having shows where his film cost is zero?

That would be like if I owned a burger stand and my competition stole their meat for 4 days a week and I paid for mine. How can I stay in business against that?

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Louis Bornwasser
Film God

Posts: 4441
From: prospect ky usa
Registered: Mar 2005


 - posted 12-30-2008 12:42 PM      Profile for Louis Bornwasser   Author's Homepage   Email Louis Bornwasser   Send New Private Message       Edit/Delete Post 
You are correct, Lyle. I have a nearby competitor who does not pay taxes; they just reform. Meanwhile, I pay my taxes. I am at a competitive disadvantage. (This has gone on for over 20 years.) Louis

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Jack Ondracek
Film God

Posts: 2348
From: Port Orchard, WA, USA
Registered: Oct 2002


 - posted 12-31-2008 10:59 AM      Profile for Jack Ondracek   Author's Homepage   Email Jack Ondracek   Send New Private Message       Edit/Delete Post 
quote: Frank Angel
And how does a DI get to play a picture before anyone else? Haven't we been discussing here the problem with the distribs sending prints only hours before opening date?
He's probably just "inviting" people to his Wednesday and/or Thursday night staff screening.

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