New Britain herald., 1922-11-29
FAMOUS PLAYERS
 SUED POR MILLIONS
Vitagraph Company Starts Action
 for S6,0o0,0OO

New York, Nov. 2a.-suit for sG,. o0o,000 under ,the sherman antitrust law was filed in the United States ditrict court yesterday by the Vita graph company Of America against the Famous Players-Lasky Corpora- ton. The action is the result of dif- kferences between the two film com panies which formed the basis of an inquiry into charges against the Fam ous Players of unfair competition. started by the Federal Trade comms- sion more than year ago.
 The bill of complaint filed by Will liam Marston Seabury of 36 West torty-fourth street, attorney for Vita graph, named as defendants Adolpn Hukor, Jesse l.. Lasky, Jules F. Brula- tour, Frank A. Garbutt. Cecil B. De Mile, Daniel Frohman, Emil E. Shauer, Eugene zukor Sidney K. Kent, William H. English, Frederick G. Lee, Maurice Wertheim, Gaycr C. Dominick. Felix F. Kahn and Theo- dore Whitmarsh. in addition to the company.
 The, suit is based upon the claim that in 1919 the defendants con- spired to control 8 large number of first run theaters for the purpose of restraining trade and suppressing competition among the producers and distributors of motion pictures by booking all the pictures produced by Famous Players and its subsidiaries and by excluding the pictures of the Vitagraph company and of other pro- dlcers and distributors.
 Vital, Say Indeepndents
 Albert E. Smith, president of the Vitasraph company, last nigh. said the action was not only the csse of Vifagraph against the Famous PIay- efs-Lasky Corr oration, but the suit of every Independent producer and every Independent exhibitor in the country"
 The complaint describes in detail the part played in the industry by the producers, the distributors and the ex- hlbitors. There are, it says, about SS key centers' in the country, in which there are first run" theaters. and iii IS asserted the value of exhibition in the first run" houses. represents at least 50 per cent. of the American Canadian gross receipts of any pie ture
 Vitagraph alleges further that the exhibition of a picture in Broadway first run" theater is essential to the proper exploitation of the picture country.
 Famous Players, it is alleged, ob- tained control over about 60 theaters in New England. In the Philadelphia territory, it is alleged. Famous Play CTS controls 149 theaters. Similarly, it is charged, 140 theaters in the south and southwest were controlled.
 Interference Is Charged
 Interference" with the vitagraph stars and other employees by "fcti- tious inducements" chiefly by prom se of salary increases and additional opportunity for publicity, is alleged.
 AS further evidence a letter written. in January by S. R. Kent, as sales naneger for Famous Players, advising l branch manager to kick out every account you can find irre- 'pective of the terms you may have to nalse' is alleged to have caused loss ,f sSOO,0OO
 Vitagraph says it has capitalization ,f $2,176,000. Its profits, it says, 'anged from $353,s49 in 1900 to S1,- '04.S21 in 1913, with approximately ;7b0,000 as an average for the period 'nded 1920. In 1921, it is alleged, the 'rofits were only $106.490 as a result # the control of key theaters.
 Asked to- comment on the suit, rep of the Famous Players -aslsy corporation referred inquirers o their attorneys, Crovath, Tender on, Leffingwelk and De Gorsdoff of ? William street. The attorneys said heyIhad no comment to make.