Play Meter

Issue: 1986 October 15 - Vol 12 Num 18

HEWS
AMU FIGHTS JUKEBIX·LICENSE
ELIMlllA 11111
T
he Amusement and Music Opera-
tors of America (AMOA) is urg-
ing its members to write their
representatives in Congress "with this
simple message: The compulsory
license for jukeboxes must be
retained!"
The request is in response to leg-
islation "introduced to eliminate the
compulsory license for jukeboxes in
order to make U.S. copyright law
compatible with the Berne Convention
for the Protection of Literary and
Artistic Works, a century-old interna-
tional agreement that governs the
treatment of copyrighted material in
countries other than the country of
origin."
According to the AMOA, the Senate
next year will consider whether the
U.S. should join the Berne Convention.
As a prerequisite to joining, according
to the association, domestic U.S. law
must be made "compatible" with the
convention, and that would require
elimination of the compulsory jukebox
license.
In its request that members voice
opposition to elimination of the com-
pulsory license, the AMOA said that
without the license individual royalty
agreements could be required, opera-
tors would be "wide open to legal
actions for copyright infringement,"
and performing-rights societies would
have a better chance to collect more
money from operators.
The AMOA asked that operators
who write their Congressional repre-
sentatives forward a copy to the
AMOA Government Relations Office at
1101 Connecticut Ave. .W., Suite 700,
Washington, D.C. 20036. Operators
also were encouraged to call Mark
8 P!AY METER/ October 1986
Griffiths of the Washington office at
(202) 857-1127 with "questions, com-
ments, or suggestions."
CIAllE MERCHAllllSERS
APP•VAlS, ACT•llS
B
etson Enterprises has reported
that its California version of the
Big Choice skill crane has been
approved as a skill game in all parts
of the country where it has been
challenged.
The joystick skill version of Big
Choice allows sufficient player control
to qualify it as a skill game, accord-
ing to the company, which reports the
merchandiser has been approved by
the New York City Department of
Affairs, in Los Angeles
Consumer
and San Diego counties in California,
in the states of Massachusetts and
South Carolina, and, on September 4,
by the License Appeals Board of Phoe-
nix, Ariz.
In Phoenix, the board determined
that the crane did not meet the
state's criteria for gambling devices.
Local police, basing their opinion on a
1957 Arizona Supreme Court decision
involving another crane game, origi-
nally had recommended that the game
not be licensed.
Bob Snyder of the Walnut, Califor-
nia -:based gaming consulting firm of
Bob Snyder and Associates, Inc.,
appeared before the board on behalf
of a local arcade and explained
improvements in features of the crane,
such as claw size and prize accessibil-
ity, that make skill the determining
factor in player success. The inade-
quacy of a crane 20 years ago
prompted the state to consider the
crane essentially a "slot machine." The
board's favorable ruling permits the
licensing of Big Choice for Phoenix
arcades.
Betson is the exclusive distributor
of the cranes.
UAI New Jersey, Inc., has reported
that the Skill Crane manufactured by
Segasa (dba Sonic of Madrid, Spain)
was placed on the "approved list of
games" on September 26 by the New
York City Department of Consumer
Affairs. The game is licensed for use
in New York City in amusement
arcades only.
UAI is the sole distributor of Skill
Crane.
The issue of crane legality, how-
ever, is not free of controversy. There
have been assertions and counter-as-
sertions recently, including for
example, a claim that Big Choice is
not approved in San Diego county.
S_nyder pointed out that much of the
problem is semantics. Legality and
approval, he said, are not necessarily
the same thing.
Police often shy away from
approving crane merchandisers, Snyder
said. It's not their job to issue
approvals, he said. And if police sanc-
tion the operation of a crane, and
the operation of that crane becomes
the subject of litigation in another
jurisdiction, the approving police offi-
cials may find themselves pitted
against disapproving police officials in
the other jurisdiction. They don't want
that to happen.
In addition, Snyder explained,
cranes per se are not illegal in Cali-
fornia. They become illegal only if
they, as in Phoenix, fit the state law's
definition of a "slot machine," that
is, the outcome of the play is deter-
mined by chance.
Big Choice was, in fact, scrutinized,
tested, and played in National City in
San Diego County, Snyder said, in the
presence of a San Diego police officer
and a county deputy sheriff. And,
HEWS
based on the results of that evalua-
tion, he said, National City officials
declared that the game was not in
violation of any law.
Summing up, Snyder stressed this:
a legal product does not have to be
approved.
Mickey Starks of Quality Amusement
in Portland, Ore., however, reported
that Big Choice and the crane
Coallenger are not faring so well in
his neck of the woods. Starks, presi-
dent of the metropolitan area's Skill
Game Operators Association, said that
at least six of the cranes were provi-
sionally approved by Portland's Bureau
of Licenses in mid-April this year.
During the city's Rose festival in
June, however, a carnival company
brought in crane games that police
felt required more luck than skill. The
police recommended that crane games
be declared illegal.
Starks said his association has
hired a lawyer to "negotiate" with
the city on the issue. If the cranes
are declared illegal, he said, the asso-
ciation plans to fight it.
Fii SEIZES PRIHH .. CllCllT
llUB
T
hirty-four allegedly counterfeit
printed-circuit boards that were
enroute from Japan to U.S. dis-
tributor Video Ware, Inc., were seized
in Los Angeles by the FBI on Sep-
tember 9.
Bob Fay, director of industry
affairs and enforcement for the Amer-
ican Amusement Machine Association
(AAMA), reported that U.S. Customs
inspectors at Los Angeles Airport
detained the shipment of Tiger Helis,
whose U.S. copyright is held by Taito
America Corp. , because of the "suspi-
cious nature of the boards." Fay said
Customs officials then called the FBI,
who obtained a seizure warrant from
the U.S. magistrate in the Central
District of California, Los Angeles, on
September 8.
John Hibbs, president of Video
Ware, reportedly said that Video
Ware's shipments are routinely
detained by Customs officials and
have always been found to be "legally
importable," and that he expects the
same outcome with the Tiger Heli
boards.
The matter has been turned over
to the U.S. attorney in Los Angeles.
CIST IF JUKEllX UCEHSE
Tl IHCIUSE
T
he cost of a jukebox license
from the U.S. Copyright Office
will increase to $63 from the
current $50 on January 1, 1987.
According to George Lanier of the
Copyright Office's licensing division,
94,495 machines were licensed in the
U.S. last year, and operator accounts
numbered 3,662.
The new rate will remain in effect
through 1989, Lanier said, but will be
adjusted "through negotiation" after
that.
A 1985 agreement signed by the
AMOA and the performing rights
organizations BMI, SESAC, and ASCAP
allows for a $3 rebate per machine in
1987 if at least 110,000 jukeboxes
are registered by the end of that
year, and a $3 rebate in 1988 if at
least 115,000 jukeboxes are registered.
There will be no rebate in 1989.
AIACHHll AWAITS HWIHG
IAH IH IAMAGES
T
he U.S. Court of Appeals for the
Federal Circuit in Washington,
D.C., has unanimously affirmed a
decision reached last December by a
federal district court in Chicago that
found that Industrial Design Electron-
ics Associates, Inc. (IDEA), had
infringed a dart-game patent held by
Arachnid, Inc.
According to Arachnid, the appellate
court's September 4 decision read, in
part, that the "jury's factual findings
are adequately supported by substan-
tial evidence, and we conclude that
the district court's legal rulings with
respect to validity and infringement
were correct."
Bernard "Bernie" Powers, Arach-
nid's marketing and sales director,
said that the appellate court also
upheld a preliminary injunction filed
in district court against the manufac-
ture, sale, or distribution of IDEA
products that were redesigned after
the jury verdict.
In the first of back-to-back Sep-
tember announcements, however, IDEA
reported that it is "taking orders and
shipping dart games as well as pre-
paring for a big tournament this
October in Germany." The company
said it is now shipping non-infringing
dart games "with the full knowledge
of the court," and that "major
improvements" in the games will be
on display at the AMOA show.
In the second announcement, IDEA
explained that the dart games now
being shipped were redesigned after
the injunction was issued. Samples of
the second redesign, IDEA said, have
been submitted to the federal district
judge and to Arachnid's attorneys.
According to IDEA, the new games
"couldn't possibly infringe or she
[District Judge Barbara Crabb] would
have held us in contempt of court."
IDEA also said that the judge's
refusal to stop the use of IDEA's
games in the AMOA National Dart
Association tournament indicates the
company's latest design does not
infringe.
Arachnid, however, believes that the
second redesign also infringes on its
patent, but Powers said, "we couldn't
take them to court over that, because
they filed for bankruptcy." The bank-
ruptcy court is expected to assign
IDEA's Chapter 11 filing back to dis-
trict court. Arachnid is seeking more
than $2 million in damages.
Powers said the appellate court's
decision also "clears the way" for
October 1986/ PLAY METER 9

Download Page 8: PDF File | Image

Download Page 9 PDF File | Image

Future scanning projects are planned by the International Arcade Museum Library (IAML).

Pro Tip: You can flip pages on the issue easily by using the left and right arrow keys on your keyboard.