Broadway Producers Sue Strikers

[BrookArtsCenter]

Posted: 11/21/07 at 10:29pm

http://www.reuters.com/article/domesticNews/idUSN2120127920071121?feedType=RSS&feedName=domesticNews&rpc=22&sp=true

[Taka]

Posted: 11/21/07 at 10:39pm

That's very classy right there.


Gimme a break. And a frappichino.

[rosscoe(au)]

Posted: 11/21/07 at 10:43pm

NEW YORK (Reuters) - Several Broadway producers sued striking stagehands for $35 million and a New York judge on Wednesday separately ordered a theater to allow "Dr. Seuss' How the Grinch Stole Christmas! The Musical" to reopen.

Producers of nine shows sued members of Local One of the International Alliance of Theatrical Stage Employees and its president James Claffey Jr. in Manhattan federal court seeking to recover damages for lost revenues.

The League of American Theaters and Producers has said the strike that has darkened some 25 productions since November 10 is costing a total of about $17 million for every day it lasts.

The producers in the lawsuit, which was filed late on Tuesday, are part of the long-running shows "Wicked," "Hairspray," "The Drowsy Chaperone," "Rent," and "The Lion King" and newer shows "Grease," "Legally Blonde," "Cyrano De Bergerac" and "The Little Mermaid."

The producers said in the lawsuit that to date their nine shows have lost $35 million in gross revenues from ticket sales, concessions, merchandise and other related items.

The strike follows three months of negotiations which bogged down over a new set of work rules for stagehands and the specific duties they perform. Producers have complained that they now have to pay for long stretches of idle time.

Talks between owners and producers and striking stagehands broke down late on Sunday, keeping some 25 productions dark until at least November 25.

The last strike to hit Broadway was in 2003 when musicians walked out for four days. Before that it had been nearly two decades since Broadway was affected by a labor dispute.

Updated On: 11/21/07 at 10:43 PM

[henryt]

Posted: 11/21/07 at 10:43pm

I don't get it. I understand how the Grinch can sue, but how can the other shows? The stirke is 100% legal.

[Bobby Maler]

Posted: 11/22/07 at 12:53am

The Associated Press goes into more detail. All of those shows are playing in Nederlander houses, and the Nederlanders have a separate contract with the stagehands.

Associated Press (New York)--Meanwhile, The Nederlander Producing Co. and producers of seven shows in its nine Broadway theatres have filed a lawsuit in U.S. District Court in Manhattan seeking $35 million in damages from striking union members.

Nederlander said the strike against them is unlawful because they have a separate contract with the stagehands union.

The $35 million represents revenues lost since the strike began, including lost ticket sales, concessions and merchandise. Nederlander theatres currently house "Grease," "Wicked," "The Drowsy Chaperone," "Rent," "Hairspray," "Legally Blonde," "The Little Mermaid," "The Lion King" and "Cyrano De Bergerac," a limited run play starring Kevin Kline that's scheduled to close Dec.23.

Bruce Cohen, a spokesman for Local One of the International Alliance of Theatrical Stage Employees, said the union had not yet seen the lawsuit and could not comment.

[localonecrew]

Posted: 11/22/07 at 1:55am

the last act of desperate men.

the are throwing everything but the kitchen sink at this point.

[winston89]

Posted: 11/22/07 at 1:55am

I had thought that yes the Nederlanders do have a seperate contract with local one. But, they did promise to lock out their theatres if there was a strike to show thier support to the league.

By the way, the strike overall is totally leagle. There is not a case for them suing the union. It is legally two priviate groups going at it seperatly. The city can offer help but no side has to say yes and take it.

And it is stupid for the Nederlanders to do the lockout considering the fact that they own the two theatres that are home to broadways two top selling shows. Those of course are Wicked and the Lion King. If the shows are making a ton of money then they see some of that as well.

[MaronaDavies]

Posted: 11/22/07 at 2:08am

The Nederlanders did have a separate contract, yes, but as others have noted on other threads, it was expired just as the League's was. They don't have a current valid contract with Local One, so it's not as if IATSE breached a current negotiated agreement. They also did threaten to lock out the union, which would have had the same effect on business. There's no way this lawsuit's going to hold any water in court.

[Tkt2Ride]

Posted: 11/22/07 at 2:29am

Margo said that they didn't have to lock out but that the Union decided to strike anyways against them.

Unfortunately for Nederlanders, the Union released the letter that was sent to them stating that they hoped the Union will accepts the League's last proposal. Well where do they really stand? It was published in the Newspaper that Nederlanders will support the League if a strike was called. So their case is really bad and some Lawyers are making a fool out of them. Don't these people watch Court TV! Too bad.

Margo said it was agreement, not a Contract but maybe it was in writing. Even so, it wasn't a guarantee not to ever strike, just that they would not hold them as much in contempt as they would the others. Yeah sure but then where is the new written and signed Contract? When did Nederlanders quit the League?

I just saw it as the League saying you are with us or against us Nederlanders, which will it be and Nederlanders caved.

Hey people Nederlanders caved! Okay it wasn't to the Unions advantage but folks even the big guys cave when people start waving big sticks and money all around.

The Union will just waltz into the Courtroom, armed with a big print out stating that the League has $20 million dollars to give them so what are they complaining about? Is $$4 million gonna make up for everything they just lost? Maybe for a week! If you don't count The Little Mermaid or what they are facing from the Lawsuit Disney has written up against them. Disney has lots of money and Lawyers on Payroll with nothing else to do with their time. Nederlanders has big pockets and don't think Disney doesn't know this. They are probably saying it violates their contract with Nederlanders to side with the League.

I bet they told Disney they have it all under control when it came to signing under that dotted line.

Remember folks, Disney's Lawyers got a good look at what the League was doing on their dime and I bet they don't appreciate their Union Busting on their time with their shows suffering for it.

Disney is probably the only Corporation big enough to afford to pay for a big long Court case and appeals so yeah, this is how Nederlanders is hoping to cover their tracks.

Good luck. Read the papers folks and then weep. At least these people at Nederlanders have a reason to cry themselves to sleep every night the strike lasts. I mean this Union can survive a longtime on strike. A lot longer than many others. It will hurt them but they don't have to give in until they are ready.

People don't call them the biggest Union in Town for fun. It's a fact. Someone else pointed out that only a section of their workers aren't working. Many who are will be as supportive as they can be to prevent them from suffering too much for the time being.

$20 million was hardly enough for even a month long strike. Take it to two and they might have to sell some property. I bet there are investors right now pulling out their calculators while Real Estate Agents around the World are trying to figure out the profit level of making a sale off of a huge Broadway Theatre these days are.

Vultures everywhere. Just one more reason why this strike should have been avoided at all costs. I don't see the Union not giving them something back but you don't negotiate a losing contract either. Both sides better gain something or forget about it ever being settled nice and tidy.


Updated On: 11/22/07 at 02:29 AM

[roadguy]

Posted: 11/22/07 at 4:34am

Is it just me or does anyone else do the math??

Nederlander is suing for $35 million. They claim this is what they have lost in the 12 days of the strike.

They make $35 mil every 12 days out of the year?? Yes it's the holidays now, so they might be up a couple bucks a week during this time... But...

365 / 12 = roughly 30, 12 day blocks per year.

Even if they make $30 mil every 12 days with their 9 shows, they are still making $900,000,000 a year with 9 shows.

Almost a billion dollars a year is what they are claiming here.

A bank account with 3% interest earns them almost 3 million on this money.

I understand they have bills to pay, salaries to pay, etc... but come on.....

what the hell are these producers whining about???

[Tkt2Ride]

Posted: 11/22/07 at 5:00am

Well they are closed on Mondays. They have nine theatres that run eight shows a week. You have to allow for those days a show may not be up and running or charity events to some extent.

It is still a big figure and the Judge is never going to buy it. They have people who can add the numbers. It is still a hefty sum of money.

I'd try 52 weeks with 8 shows times 9 Theatres. Too tired to do the Math but it is still more money then they really make but I don't know how far off that figure really is?

It does make they look like bandits though huh! If they told the Union to strike knowing they would lose that much money, they are really making themselves look very stupid in the Press.

Lawyers, always good for entertainment when your favorite shows are shut down.

I want my sharks to have laser beams on their heads!

[roadguy]

Posted: 11/22/07 at 5:08am

Tkt, i understand what you are saying about mondays, but they used the length of the strike already including mondays to say they've lost $35 mil..

I know the final number isn't exact, but still it's up there.. They aren't hurting for money..

As i've said before in other posts.. I don't go buying stocks in companies i hear are going bankrupt.. If 80% of broadway is a financial failure why the heck would investors think it's a good idea to drop tons of money there??

This lawsuit shows how much money these people make.

[allofmylife]

Posted: 11/22/07 at 6:44am

This is the dumbest lawsuit I have ever heard of. They may be starting to get realy desperate. The united front of the producers/theaters is obviously fracturing.

[Tkt2Ride]

Posted: 11/22/07 at 3:33pm

I'm not sure if they were really counting Mondays or shows either. That 80% doesn't represent Nederlanders who actually are running a huge rate of success right now with their shows. I presumed that was why they remained Neutral in the beginning.

Tom Short may not be the best negotiator but Disney found a very sneaky way to look at the League's books to decide how much money they want to sue for. A rather brilliant move on their part and their "sharks" now deserve a good raise in salary.

Nederlanders could very well be guilty of what they are claiming the Union is, of breaking their verbal agreement with the Union by siding with the League. Why bring this upon yourself? Coming from a Lawyers perspective, more Court time more money, better profits.

They could be very well initiating their own judgment against themselves! It is terrible when people with money don't read much. It never works really well when you pay someone else to think for you. St. Martin doesn't care, either way she gets paid. This was always my argument against her tactics. These are much bigger fish and the capitol is through the roof.

I don't really want Nederlanders to loose a Theatre except maybe the old fashioned way, that is by selling one to Disney. Though Disney will take it in retribution because of what they spend on Theatre rentals these days. Too bad the Nederlanders didn't love Theatre half as much as some of these people do.

Almost as bad as fans who love the shows better than the people performing in them or who make everything work right.


At least The Grinch is playing and that makes some of us happy.
Updated On: 11/22/07 at 03:33 PM

[Taka]

Posted: 11/22/07 at 4:42pm

"I want my sharks to have laser beams on their heads!"


Oh my God, I had just finished watching "Austin Powers" when I read that.

[Mooo]

Posted: 11/22/07 at 9:15pm

The league and the Nederlanders have really gotten off message here. I love watching them fall apart. The Nederlanders have aligned themselves with a losing cause and now they are paying the price. You don't need an MBA in labor relations to see they've made a terrible mistake and now they are falling apart.

Their Lawyers still think they are fighting the transit union here that is bound by state laws.

I posted this link in another thread but if you haven't seen it you may find it interesting.

http://www.nydailynews.com/entertainment/arts/2007/11/21/2007-11-21_local_one_stage_union_amasses_5m_strike_.html

[Fosse76]

Posted: 11/23/07 at 1:15am

Under no stretch of a generously large imagination could they have lost $35 million dollars. Even IF each show in a Nederlander House pulled in $1 million per week (which they don't), that would only be $18 million.

Aside from that, they only had an agreement to adopt the League's contract, so as soon as an impasse was reached in October, they could have walked off the job - even at a Nederlander house. This is exactly what the NLRA was passed to protect: firing or suing striking workers.

[sondhead]

Posted: 11/23/07 at 3:10am

3 % of $900,000,000 is $27,000,000, not $3,000,000.

[leko2]

Posted: 11/23/07 at 10:36am

First off, does it really matter if the Nederlanders threatened to lock out Local One or if they had a separate contract? They've been working without a contract for over 3 months and to me, that just seems like it's unfair.

Secondly, if you are going to sue someone, why should you sue right down to the last penny? You always sue for more than you need to. This way, if your suit falls on the right ears, you might be awarded some extra cash.

[nygrl23]

Posted: 11/23/07 at 10:42am

Sure, why not try to get extra cash out of the people you're trying to downsize? Makes infinite sense.
Updated On: 11/23/07 at 10:42 AM

[Jonny boy]

Posted: 11/23/07 at 3:57pm

FIRE EM ALL!!!!

[Jonny boy]

Posted: 11/23/07 at 3:57pm

FIRE EM ALL!!!!

[Tkt2Ride]

Posted: 11/23/07 at 5:29pm

Some people.....

Moo I did read the article you posted and I think it is more balanced. Thank you for posting it here for us. A lot of what we hear from the big press is all propaganda from Business' who are looking for tax breaks. The economy though is slower because so many of us haven't forgotten those long lines at the gas pump during the recession.

A lot of Adults here also know when your Country is so far into Debt with another Foreign Country that soon they might name us Little China, things do not look bright for our future.

Too much money at the top and not near enough at the bottom. I am just sorry all of you had to work under these conditions. It really hasn't been so much too much time without a contract. It is more the case of an Organization that feels they are so powerful they can and will impose whatever work rules they feel like.

The highest price will those who are very talented leaving Broadway for LA or somewhere else, taking their talent with them because they are sick of Broadway and all of it's silly games. Broadway has never been better but it certainly can be much worse.

[DoranC]

Posted: 11/23/07 at 6:58pm

Just out of curiousity, is this comment in the article linked true: "most theaters were playing to full houses."

Are (well, before the strike) most Broadway shows selling out?

[Mr Roxy]

Posted: 11/23/07 at 7:02pm

This is an exercise in futility as was the producers blocking the Grinch. It made them look petty.