A PYMNTS Company

US: Judge rules AMC must face antitrust lawsuit over spanish-only filmgoers

 |  August 18, 2016

A Texas judge rejects the theatrical giant’s dismissal bid.

The film exhibition giant is facing Sherman Act claims brought by Houston-based Viva Cinemas Theaters, which contends that AMC pressured Disney, Sony, Universal and other studios into withholding first-run films from a competitor.

Viva serves the Hispanic community, and what makes this lawsuit unique from the many others challenging so-called “clearance pacts” is the specific allegation that AMC’s anti-competitive behavior has deprived Spanish speakers of being able to see Star Wars and other hit films.

In reaction to the lawsuit, AMC pointed to the fact that many Hispanics speak English. Attacking the notion that Viva defined a relevant product market, the defendant argued that films in English are “interchangeable” for many Hispanics. According to its math, “Only approximately 7 percent of Houstonians are Hispanic moviegoers who exclusively speak Spanish.”

Full Content: Hollywood Reporter

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.