AMC, Regal Ask Judge to Order N.J. Cinemas Opened for Summer

Jul 14, 2020

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(Bloomberg) -- AMC Entertainment Holdings Inc., Cinemark Holdings Inc., Regal Cinemas Inc. and other movie theater operators asked a federal judge in New Jersey to let them reopen in time to save the summer movie season.

The companies, led by the National Association of Theater Owners, sued the state and Governor Philip Murphy earlier this month over the decision to keep cinemas dark due to the risk of coronavirus transmission while letting churches, libraries and shopping malls reopen. They ratcheted up the pressure Tuesday by asking for a temporary restraining order allowing them to show movies again.

“The movie exhibition industry is heavily dependent on the summer movie-going season,” the cinema operators said. “As a result of the ongoing government-required closures, movie theaters are suffering considerable and ongoing harm, including injuries to their businesses, reputations and relationships with customers, vendors, landlords and employees.”

The theater owners said they are only seeking to “be treated the same as the other places of public assembly” that the state has allowed to reopen. In their July 7 complaint, they argued that going to the movies -- where talking isn’t permitted and movement is limited -- is less risky in terms of virus spread than attending organized religious services where participants often interact with each other.

Read More: AMC Among Chains Saying Movies Safer Than Church in N.J. Suit

The New Jersey attorney general’s office didn’t immediately respond to a request for comment on the motion for a restraining order.

Companies in the entertainment and leisure industries have been among those hardest hit by state and federal guidelines to stay at home. AMC on Monday said it had approval for a deal to raise cash to help it stay in business while it tries to ride out the pandemic.

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