862.4061 Motion Pictures/12: Telegram
The Secretary of State to the Ambassador in Germany (Schurman)
134. Department’s No. 130, December 17, 6 p.m. Department’s understanding is that new film regulations contain the provision that allocation of a certain proportion of permits will be to German renters who have actually maintained independent rental organization during past two years the remainder being at the disposal of Federal Commissioner. The Department is likewise informed that the total number of permits has been set at 210, of which 150 will be allocated to German renters, the remaining 60 held by the Commissioner for companies who have distributed German films in foreign countries. This regulation would effectively prevent the United Artists from any distribution in Germany in the coming year except through German renters. Since this company could not base its policy upon a requirement which was nonexistent and unforeseeable during the last two years, you should protest through appropriate authorities against the retroactive nature of the decree in its effect on companies such as the United Artists.
[Paraphrase.] The German Government would naturally desire to avoid any unfavorable publicity which might arise as a result of films of many of the principal stars of American motion pictures being forced to withdraw from the German field. [End of paraphrase.]