United States v. AMC Entertainment, Inc.

232 F. Supp. 2d 1092, 2002 U.S. Dist. LEXIS 22484, 2002 WL 31649984
CourtDistrict Court, C.D. California
DecidedNovember 20, 2002
DocketCV 99-01034 FMC(SHX)
StatusPublished
Cited by13 cases

This text of 232 F. Supp. 2d 1092 (United States v. AMC Entertainment, Inc.) is published on Counsel Stack Legal Research, covering District Court, C.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. AMC Entertainment, Inc., 232 F. Supp. 2d 1092, 2002 U.S. Dist. LEXIS 22484, 2002 WL 31649984 (C.D. Cal. 2002).

Opinion

ORDER ON PARTIES’ MOTIONS FOR SUMMARY JUDGMENT

COOPER, District Judge.

A movie-theater owner who provides wheelchair seating only in the front rows of the auditorium deprives persons with disabilities of equal access, benefits, and services in violation of the Americans with Disabilities Act. This rather unremarkable proposition has been the subject of extensive litigation and heated debate, culminating in the following Order.

This matter is before the Court on a number of motions. Oral argument was heard on November 18, 2002, at which time the parties were in receipt of the Court’s summary of its tentative order.

Specifically, this Order resolves the following motions:

1) the parties’ cross-motions for Partial Summary Judgment on the “Line-of-Sight” Issues (docket # 346, 366); the Court hereby grants the Government’s Motion, and hereby denies AMC’s Motion;

2) the Government’s Motion to Strike the September 26, 2002, Declaration of Gregory G. Hurley (docket #371), which the Court hereby grants in part;

3) the Government’s Motion for Summary Judgment regarding Defendants’ Affirmative Defenses (docket # 379), which the Court hereby grants.

I. Nature of the Case

This case arises out of the placement of wheelchair seating in Defendants’ stadium-style theater complexes. The United States Department of Justice (“the Government”) has filed suit against Defendants claiming that the placement of this seating denies persons with disabilities equal access, benefits, and services in violation of Title III of the Americans with Disabilities Act, 42 U.S.C. § 12181 — 12189 (“ADA”). The Government is seeking declaratory relief, injunctive relief, compensatory damages on behalf of individual claimants, and imposition of civil penalties.

In resolving the issues currently before it, the Court interprets § 4.33.3 of the ADA Accessibility Guidelines, 28 C.F.R., Pt. 36, Appdx. A, which requires that wheelchair-bound patrons in assembly areas be provided with “lines of sight comparable to those for members of the general public.” 1 The Court determines Defendants have violated § 4.33.3 in light of their wheelchair seating placement design. The Court also concludes the Government’s articulated position on § 4.33.3 is worthy of the deference generally afforded administrative agencies.

Defendants’ Motion for Partial Summary Judgment asks the Court to examine whether due process considerations preclude the Government’s position from being applied retroactively. That Motion also concerns issues regarding Defendants’ theater complexes that are located in the Fifth Circuit; the Fifth Circuit Court of Appeals has rejected the Government’s position on § 4.33.3 in a similar but unrelated case. The Court concludes that due process does not preclude retroactive application of the Government’s position, and that *1095 issues regarding the theater complexes located in the Fifth Circuit may be addressed in this action.

II. Factual Background 2

A. The First Stadium-Style Theater Complex — The Grand

Defendant AMC Entertainment, Inc., and American Multi-Cinema, Inc., a wholly owned subsidiary of AMC (collectively referred to as “AMC”), are corporations with principal places of business in Kansas City, Missouri. AMC operates movie theaters throughout the United States. In 1995, AMC opened a twenty-four screen theater complex in Dallas, Texas, called the Grand Theater 24 (“the Grand”).

The Grand was built according to a new type of theater design in which the majority of the seats were located in rows that had been placed on a series of flat, elevated risers or platforms, as opposed to a gradually sloping floor. The result is a series of tiered rows. In addition to the tiered seating, approximately 2 — 4 rows of seats in the front of each auditorium nearest the screen were placed on a sloped floor. Unlike traditional movie theaters, where all the seating is elevated through the use of a sloped floor and accessed by walking up or down an adjacent sloped aisle, the seats in the stadium-style section of the Grand can only be accessed by climbing up stairs to each of the risered-tiers. The seating platforms or risers at the Grand, and at other AMC stadium-style theaters, typically measure 12 to 18 inches in height and elevate each consecutive row of seats up to 18 inches above the immediately preceding row of seats. The entire tiered section of the auditorium is elevated above the sloped floor portion of the auditorium. This tiered-seating design is commonly referred to in the theater business as “stadium-style seating” or “stadium seating.” The Grand was a financial success for AMC — breaking AMC’s attendance records. 3

B. The Popularity of Stadium-Style Theaters

AMC’s primary purpose in designing and constructing stadium-style theaters was to provide customers with enhanced, unobstructed lines of sight to the screen. AMC markets its stadium-style theaters as providing enhanced and elevated lines of sight that “change the way ... moviegoers experience the movies.” In press releases, advertisements, and other publicity materials, AMC has described stadium seating as providing “unobstructed viewing” through a tiered seating design that “virtually suspends the moviegoer in front of the wall-to-wall screen.” The audience is thus “totally enveloped in the motion picture because of the enhanced sight and sound presentation” which, combined with unobstructed views of the screen, guarantees that “all seats” are the “best in the house.”

*1096 AMC’s stadium-style theater complexes have proven to be very popular with the theater-going public who have attended these complexes in greater numbers than AMC’s theater complexes with only traditional, sloped-floor theaters. In a recent annual report, AMC stated that these theaters have “become the industry benchmark” and that AMC’s customers have “overwhelmingly embraced” the stadium-style theater concept. In addition, accordingly to this report, “[virtually every [stadium-style theater complex] that [AMC has] opened has become one of the industry’s most successful in terms of attendance and film revenue.”

Douglas Seibert, AMC’s former Director of Construction for its Northeast and Southeast regions, has stated that the “public generally likes stadium theaters better than sloped-floor theaters.” James Beynon, Senior Vice President and Treasurer for AMC stated that “the consumer prefers stadium seating.” Overall, AMC’s stadium-style theater complexes outperform its traditional sloped-floor theater complexes in terms of revenue, revenue per person, and/or attendance per screen. At the beginning of the fiscal year 1999, the average revenue per customer at a stadium-style theater complex, including ticket sales and concessions, was $6.90, whereas the average revenue per customer at a traditional style theater complex was $6.15.

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Bluebook (online)
232 F. Supp. 2d 1092, 2002 U.S. Dist. LEXIS 22484, 2002 WL 31649984, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-amc-entertainment-inc-cacd-2002.