Fanaa to Delhi 6: Revenue sharing drama unfolded

MUMBAI: Indian multiplexes & producers/distributors have been roiling in controversy since the last three years.

It began with Yash Raj Films’ Aamir Khan – Kajol starrer Fanaa in 2006. Even as multiplexes bowed down to the demands of the veteran film producer, the next one to follow suit was Vidhu Vinod Chopra who demanded a higher share for Lage Raho Munnabhai.

Prior to the release of every big and medium sized movie, negotiations would be held and decisions would be reached only on the very eve of the film’s release. Some movies lost out on their Friday release, some didn’t release until Sunday and yet some didn’t release in multiplexes for almost a week. The result — a loss incurred by both parties alike, not to mention the fact that audiences were also deprived of their weekend dose of movies!

Year-on-year, a handful of movies were victims of this controversy. The issue finally reached its climax with UTV Motion Pictures’ Delhi 6, which was the last nail in the coffin for both producers and multiplxes alike.

Negotiations went kaput after the release of Delhi 6 in February this year and the film industry is on the brink of coming to a standstill from 4 April onwards. Even four days after both parties came out and washed their dirty linen in public, a decision on the matter is still awaited. While many producers are going ahead with the shooting of their new movies, the greater dilemma lies for the films that are ready for release.

Over the last three years, Businessofcinema.com has been privy to the developments around this issue. Here, we chart out the path this controversy has taken since 2006.

2006

Vidhu Vinod Chopra firm on his stand against multiplexes for Lage Raho Munnabhai
31 August, 2006

Multiplexes mum on revenue sharing terms for Lage Raho Munnabhai
31 August, 2006

Munnabhai multiplex issue resolved
1 September, 2006

Lage Raho Munnabhai releases after strenuous conflicts with multiplexes
2 September, 2006

2007

Sony, Eros negotiate for equal shows, terms
19 October, 2007

Sony & Eros’ multiplex battle continues
22 October, 2007

Sony Pictures signs with multiplexes for Saawariya
03 November, 2007

Eros, multiplexes resolve OSO share issue
06 November, 2007

UTV, multiplexes disagree over Goal’s terms
19 November, 2007

Studio 18 eyes OSO revenue share for Welcome
07 December, 2007