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Cinemark Theatres |
| Type | Public company (NYSE: CNK) |
|---|---|
| Founded | 1984 |
| Headquarters | Plano, Texas |
| Key people | Lee Roy Mitchell, co-founder and Chairman of the Board Alan Stock, CEO |
Cinemark Theatres (NYSE: CNK) is the fourth largest movie theater chain in North America (only Regal Entertainment Group, National Amusements and AMC Entertainment Inc are larger.) Cinemark Theatres was founded in 1984 as a small chain of theatres and has since expanded. The company is based in Plano, Texas, and its theaters can be found in several countries.
Cinemark Theatres can have up to 25 screens, but Cinemark Theatres no longer builds new 24 or 25 screen theaters. Depending on how busy a theater is, it is classified between a level 1 (the lowest) and a level 6 (the highest). Level 6 theaters typically have over 1.25 million customers per year. Cinemark USA recently acquired Century Theatres, adding more than 80 locations (including some locations with 24 or 25 screens) with over 1000 total screens to its current crop.
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In 1997, several disabled individuals filed a lawsuit against Cinemark, alleging that their stadium style seats forced anyone in a wheelchair or who was otherwise incapable of climbing steps to sit in the front row of the theatre, effectively rendering them unable to see the screen without assuming a horizontal position. The case was heard in El Paso district court as Lara v. Cinemark USA, where a judge ruled that the architecture of Cinemark's theatres violated the Americans with Disabilities Act. The ruling was later overturned by the Fifth Circuit Court of Appeals, which ruled that, according to the ADA, Cinemark only had to provide an "unobstructed view." Since, by sitting in the front row, handicapped patrons' view was only awkward and not technically obscured, Cinemark was not violating the law.1
In response, the United States Department of Justice, which had appeared at the appeals hearing amicus curiae, filed their own suit against Cinemark while appealing the appellate court's decision. The DOJ argued that, while Cinemark was not technically violating the ADA, it was nevertheless discriminating against handicapped patrons by relegating them to the worst seats in the auditorium. 2 Cinemark responded by filing a lawsuit against the Department of Justice, alleging misconduct on the DOJ's behalf. 3 Cinemark's lawsuit was thrown out, and the Department of Justice proceeded with its lawsuit. Cinemark ultimately agreed to settle out of court before the court came to a ruling, agreeing with the DOJ that it was in the company's best interest to end litigation before a ruling was issued.2 Per the terms of the settlement, Cinemark had to agree to renovate all existing theatres to provide wheelchair bound and other handicapped patrons access to rows higher in its theatres, and also had to agree that all future theatres would be constructed so as to allow handicapped patrons better access to higher rows. In turn, the Department of Justice agreed not to bring further litigation against the company in relation to the architecture of stadium seating as it applies to the ADA.2
In 2008, CEO Alan Stock donated $9,999 toward the successful passage of Calfornia's Proposition 8, which overrode the decision of the California Supreme Court establishing same-sex marriage in California as a fundamental right. An ensuing campaign has been encouraging patrons to see the Gus Van Sant film Milk, starring Sean Penn in the title role of assassinated gay-rights activist Harvey Milk, at a competing theater in protest.4 Others have called for a more general boycott.5
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