“Forgotten Hollywood”- Bye Bye Consent Decrees…

Posted on August 8, 2020 by raideoman1 | No Comments

Manny P. here…

“`A federal judge has approved the Department of Justice’s efforts to end Paramount Consent Decrees; seventy-year-old court orders that prevented film studios from engaging in a variety of anti-competitive behaviors, including ownership of movie theaters. The termination of these Decrees were part of  Department of Justice’s review of legacy antitrust judgments that dated back to the 1890s and has resulted in the termination of nearly eight-hundred perpetual decrees.

“`Motion picture distributors that were not subject to the Decrees have entered the market since the 1940s; most significantly, Walt Disney Company, Lionsgate, Focus Features, Roadside Attractions, and STX Entertainment. Plus, no internet streaming company  — Netflix, Amazon, Apple, and others — that produce and distribute films are subject to the Decrees. The remaining defendants were at a disadvantage, and subject to legal constraints that do not apply to their competitors.

“`Few in 2020 are thinking it is a good idea to get into the movie theater business. Domestic attendance was already on the decline, even before COVID-19 forced most theaters to close.

“`Netflix and Amazon had shown some interest in owning theaters before this. Amazon was reportedly in the running to purchase  Landmark Theatres, and rumors that it might acquire AMC made the theater chain’s stock more valuable earlier this year.  The acquisition fell apart after AMC stabilized their finances. Netflix signed a long-term lease for New York City’s Paris Theatre last year, and it may have been interested in the  Egyptian Theatre in Los Angeles. These potential acquisitions would provide streaming service distribution of movies in theaters allowing the productions to then qualify for Academy Award consideration.

“`This court ruling could spell the end of the traditional movie theater chain. The CoronaVirus may have additionally contributed to the eventual demise of how we watch cinema.

Until next time>                               “never forget”

This entry was posted on Saturday, August 8th, 2020 at 10:47 pm and is filed under Blog by Manny Pacheco. You can follow any comments to this post through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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