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EU Set to Charge Hollywood Studios Jan 12, 11:15 AM EST European Union regulators are close to filing charges against Hollywood studios over a contract clause with pay-television companies that allegedly keeps the price of films high in Europe, sources said Monday BSkyB spokesman Robert Fraser declined to comment; a Disney spokesman could not be immediately reached for comment The Commission contacted Hollywood studios and carried out inspections at the offices of pay-TV companies in Europe in late 2002 The clause in question requires a pay-TV company to extend the best price and terms for a set number of films for one Hollywood studio to all studios it has contracts with An official statement of objections is expected as early as this month, the sources told The Associated Press on condition of anonymity BSkyB has deals with all the main Hollywood studios and shows around 2,000 movie titles a year on its pay-TV channels The charges could further strain trans-Atlantic ties just as the long-running EU investigation into alleged antitrust abuses by Microsoft Corp "The truth is in a particularly competitive business supplying to an increasingly monopolized distribution sector, you use every trick you can, as long as it's legal," David Halbert, president of Walt Disney International Television, said in an interview last summer Investigators believe the "cumulative effect" of the clauses keeps the price of Hollywood films high, resulting in higher pay-TV subscription fees for customers in the European Union While not going so far as to accuse the studios of forming an illegal cartel, the European Commission's investigation turned up similar language setting minimum prices in pay-TV contracts across Europe While it has declined to identify any of the companies involved, British Sky Broadcasting Group PLC and Walt Disney Television have confirmed they were among those contacted It's known as a "most-favored nation" clause after the status granted by Washington to trading partners nears a decision Hollywood studios argue such clauses are not illegal and can work both ways â€â€? preventing studios from reselling a package of films for a lower price to another platform, for example Commission spokeswoman Amelia Torres declined to comment on the status of the investigation, which began more than a year ago, other to say that the Commission's concerns were known and no conclusions have been made " The ABC show, though, features humorous hosts and contestants merely fighting to be king or queen of the jungle, with any monetary reward being donated to their favorite charity, she said " "Both shows combine well-known and frequently used elements of earlier works," she said The judge said "Survivor" had a serious tone featuring "cutthroat competition In the ABC show, eight celebrities would be put in a remote location, given tasks or trials to perform and be allowed to eat better food if they do well U One contestant is voted off the show each week, and the last person wins $1 million District Judge Loretta Preska said the two series will have to coexist â€â€? as did shows like "The Honeymooners" and "I Love Lucy," or "Bewitched" and "I Dream of Jeanie " In its lawsuit, CBS said the ABC show could irreparably damage the network, which rose from fourth place to first in the ratings partly because of the enormous success of "Survivor "Each series also includes well-known elements not in the other ABC Can Show Celebrity Survival Program Jan 13, 8:06 PM EST ABC can broadcast its new reality show featuring celebrities because it does not copy CBS' "Survivor" any more than earlier TV shows borrowed from their predecessors, a judge ruled Monday She also discounted a CBS argument that it would be damaged because the rival show was blocking its own plans for a celebrity-driven reality series, saying those plans did not seem to progress until CBS learned of ABC's show Get Me Out of Here!" â€â€? seems different enough that CBS is unlikely to prove ABC copied its hit "Survivor S , which owns ABC "We're delighted with the court's decision, which we believe is entirely correct, and look forward to giving the American public a chance to see this fresh new reality show," said John Spelich, a spokesman for The Walt Disney Co " ABC's parent company hailed the ruling " On "Survivor," 16 contestants in a remote location compete in challenges for food rewards and the right to stay on the show " While blatant copying is a no-no, network programming has been "a continual evolutionary process involving borrowing frequently from what has gone before," the judge said, summarizing testimony presented in a Manhattan courtroom for two days last week " But the judge noted the substantial harm that would be done to ABC if a show it was relying on during the critical February ratings sweeps period was halted The judge said ruling against ABC would "stifle innovation and stifle the creative process CBS sued ABC in November to stop the show from airing Preska said ABC's new show â€â€? "I'm a Celebrity " She also cited many differences between the shows, especially in "concept and feel ' We respect the ruling and are now studying our options The judge said the lighthearted celebrity show with its unpolished video was no match for the serious "Survivor" with its movie-quality images and attention to detail In a statement, CBS said: "The judge ruled that due to its quality and tone, the ABC program is substantially different than `Survivor |
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