WE HAVE followed through these various purchases, in order to make a consecutive story. But we must now go back to the days before the Loew purchase, in order to become familiar with another aspect of this deal.
One of the major problems confronting an American big business man who wants to incorporate some new company into his own, is the problem of coming to an arrangement with the Attorney-General's office of the United States Government. We have a law called the Sherman Anti-trust Act, a statute which has been revised and edited and rewritten by innumerable court decisions until it has become a labyrinth to which the justices of our United States Supreme Court themselves do not possess a key. We have seen that the Government has graciously permitted the moving picture makers to do the very thing which it sternly forbade the Chicago meat packers to do--that is to own and operate their means of retail distribution.
The use of this comparison brings me a letter of protest from W. F. He does not like to be compared with the "beef trust," and explains in detail the reasons which compelled him to begin buying chains of theatres. There had been formed what was practically a motion picture trust, through the alliance of the Loew family with that of Zukor, president of Paramount. These two big concerns had an understanding between them. They would run each other's pictures in their chains of theatres, but they would not run the pictures of any outsider. It made no difference how good the Fox pictures might be, the exhibitors decided that they were not worthy of exhibition. If they used Fox pictures at all, they would use them in third or fourth grade houses, and then only when the joint products of Loew and Paramount were insufficient in number to fill these houses. So
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Publication information: Book title: Upton Sinclair Presents William Fox. Contributors: Upton Sinclair - Author. Publisher: The author. Place of publication: Los Angeles,Ca.. Publication year: 1933. Page number: 80.
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