MPAA'S DVD BAN RANKLES PRE-OSCAR 'SCREENERS' HELP SMALL FILMMAKERS.

Byline: Greg Hernandez Staff Writer

With the 76th annual Academy Awards 142 days away, all-out war has broken out over the Motion Picture Association of America's controversial banning of awards season DVDs and videotapes as a means to protect the films from illegal piracy.

Battle lines have been drawn over the past week between the MPAA, its major film studio members and scores of independent distributors and producers, directors and performers, as well as studio-affiliated specialty divisions.

Known in the industry as ``for your consideration'' screeners, the home videos allow voters to see entries at home and give exposure to smaller, independent films such as recent Oscar-winners ``The Pianist,'' ``Pollock,'' ``Monster's Ball'' and ``Boys Don't Cry.''

``We've seen a real payday for the little films reigning at the Oscars,'' said Tom O'Neil, author of the book ``Movie Awards.'' ``These limited-release movies claim top categories routinely whereas it would happen only rarely in the old days - and it's happening because of the screeners.''

There is widespread concern that the ban will affect Oscar voting as distributors scramble to rent movie theaters and organize screenings of their films well before their release dates.

Further complicating matters is the fact that the Oscar ceremony was moved up an entire month next year, to Feb. 29, giving the industry less time to adjust to the ban announced only last week.

But as of Thursday afternoon, the MPAA gave no indication that it was willing to budge.

``Now the small movies are doubly cursed,'' O'Neil said. ``Not only are they going to be getting fewer Oscar voters seeing them but they will make less money because they will be in theaters a shorter time because of the shorter Oscar season.''

MPAA President Jack Valenti has called the ban ``a determined commitment to combat digital piracy and to save movie jobs in the future.'' He stated that the Academy functioned for more than 50 years without screeners until studios began sending them out more than a decade ago.

MPAA member companies Warner Bros., 20th Century Fox, Sony Pictures Entertainment, Paramount Pictures, Universal Pictures, Walt Disney Pictures and MGM as well as DreamWorks Pictures and New Line Cinema signed off on the ban.

But since the major studios have been largely unsuccessful in major categories at the Oscars in recent years, most impacted are their specialty labels including Disney-owned Miramax Films, Fox Searchlight, Sony Pictures Classics and Universal's Focus Features. The specialty labels and other independent labels have been releasing the bulk of the award contenders in major categories.

Opponents have suggested several short-term alternatives to the ban including:

--Require all screeners be marked and individually numbered so they can be traced.

Have screeners be sent to voting members by registered/return-receipt requested mail.

Have screeners be limited to Macrovision-protected VHS tapes.

Have a small percentage of tapes randomly coded so recipients would be aware that if their tapes are sold or copied, it might be traced back to them.

Longer-term suggestions include single-use DVDs and a password- controlled video-on-demand delivery.

``I think this pioneering spirit of trying to come up with some solution is a fabulous thing that's happening because I think this is a group to do it,'' said Donna Daniels, a spokeswoman for the Independent Working Group. ``I don't think they've ever been faced with this situation and I think a lot of people are doing a lot of talking and coming up with ideas.''

The group, which consists of the studio specialty divisions and independent distributors, held a conference call meeting last week to discuss alternatives to the ban. The ad-hoc group has made clear to Valenti that while it supports the anti-piracy effort, it believes the ban is not an acceptable solution at this point of the movie season.

It held its first direct dialogue with Valenti on Wednesday during a one- hour conference call.

``Nothing is decided yet but it was very positive,'' Daniels said. ``I think that because it went so well and it was a very productive conversation and hope for a compromise or resolution.''

The MPAA released a statement Thursday confirming that Valenti has had conversations with many in the industry on the issue ``and welcomes the exchange of thoughts and ideas on the critical issue of combating piracy.''

But MPAA Vice President of Public Affairs Rich Taylor added, ``That said, the screener policy remains as it was originally announced.''

Meanwhile, members of the independent film community came together last week to denounce the ban in a letter to the MPAA signed by more than 150 artists including Oscar winners Sissy Spacek, Hillary Swank, Olympia Dukakis, Faye Dunaway and Ellen Burstyn.

``This last minute policy change will seriously diminish the diversity and quality of independent films immediately and the mainstream film industry in the long run,'' they stated.

In addition, a group of prominent directors including Robert Altman, Francis Ford Coppola, Jonathan Demme, Nora Ephron, Lasse Hallstrom, Ang Lee, Barry Levinson, Robert Redford, David Lynch and dozens of others sent a letter directly to Valenti asking that the MPAA repeal its decision immediately.

``We condemn piracy but are unconvinced that material links exist between screeners and the illegal industry of pirating our work and the work of our colleagues,'' the directors letter stated.

The group claimed that alternatives to combat piracy had not been sufficiently or legitimately explored.

``It has been said that we in the film industry are honor-bound to go along with this ban,'' they wrote. ``We believe that as filmmakers, we are honor-bound to oppose it.''

Some studios have begun to screen their Oscar hopefuls early to give voters more of a chance to see their films. Special screenings for Oscar hopefuls are nothing new but paying to run a film for an extended period of time for award purposes is.

DreamWorks' ``House of Sand and Fog,'' for example, isn't due to be released until Dec. 26 but the studio will start screening it twice a night beginning Nov. 14 at Laemmle's Music Hall in Beverly Hills for Academy members only. Fox Searchlight has announced screenings of ``In America'' and Disney's Touchstone Films will be screening its ``Veronica Guerin.''

``There is really no good side to this at all,'' O'Neil said. ``The studios have underestimated the backlash that is still yet to come to this. It's Hollywood's goal to put out the greatest movies it can and the Oscars are called to recognize it and celebrate it.''

Greg Hernandez, [phone]

greg.hernandez(at)dailynews.com

CAPTION(S):

2 photos

Photo:

(1 -- color) DreamWorks has scheduled private screenings of its upcoming ``House of Sand and Fog'' for Oscar consideration.

DreamWorks SKG 

(2) After the MPAA banned pre-Oscar ``screener'' DVDs and video tapes, producers are opting for private showings at theaters, as Fox Searchlight is doing with its upcoming ``In America.''

Fox Searchlight