French Cinema and Moving Image Code
In forceI. - The following are required to contribute, either directly or through an intermediary, to the financing of the investments necessary for the initial installation of digital projection equipment in cinemas existing on the date of promulgation of Act no.
2010-1149of 30 September 2010 on the digital equipment of cinemas and the initial installation of digital projection equipment in cinemas approved before 31 December 2012:
1° Distributors who, as part of contracts for the concession of cinematographic performance rights mentioned in article L. 213-14, make available to the operator of the establishment concerned, in the form of a digital file, long-term cinematographic works not previously shown in cinemas. This contribution is due, for each cinema, during the first two weeks following the national release date of the cinematographic work for the first time the work is made available in the establishment. The contribution remains due beyond the first two weeks when the work is made available as part of an extension of the initial release plan. However, the contribution is not due when the work is made available for continued exploitation. The national release date, the extension of the initial release plan and continued exploitation are defined by professional practice;
2° Persons who make audiovisual or multimedia works or documents and works of an advertising nature, with the exception of trailers, available to the operator of the establishment concerned in the form of digital files or data. This contribution is due for each screening;
3° Persons who rent one or more theatres from the operator of the establishment concerned, where this rental involves the use of digital projection equipment in the theatres concerned. This contribution is due for each rental.
II - The financing of the initial installation of digital projection equipment in cinemas may be shared. Pooling may be carried out between operators of cinematographic establishments, operators who own the businesses of several cinematographic establishments or by intermediaries ensuring the financing of the necessary investments.
In this case :
1° The contracts relating to the amount and conditions of payment of the contribution provided for in 1° of I as well as the contracts relating to the financing of digital projection equipment concluded between the exhibitors of cinematographic establishments and the intermediaries mentioned in the first paragraph of I establish the list of establishments covered by the pooling and detail the terms and conditions of this pooling, in particular the distribution of contributions between the various beneficiaries;
2° The contracts relating to the amount and conditions of payment of the contribution provided for in 1° of I also stipulate the conditions under which the allocation of the contribution is reported.
III - The contribution provided for in I is no longer required once the cost of the initial installation of digital projection equipment has been covered for the cinemas concerned or for the cinemas pooling their funding, taking into account other funding. It is no longer required after a period of ten years following the initial installation of the digital projection equipment, without this period exceeding 31 December 2021.
The contracts relating to the amount and conditions of payment of the contribution provided for in 1° of I as well as the contracts relating to the financing of digital projection equipment concluded between the exhibitors of cinematographic establishments and the intermediaries mentioned in the first paragraph of I provide for the conditions under which the exhibitors report, directly or indirectly, to the distributors on the cost of the initial installation of digital projection equipment still to be covered.
In application of article L. 111-2 and at the request of distributors or exhibitors, the Centre national du cinéma et de l'image animée may assist in analysing the reports made in application of the previous paragraph. The Chairman of the Centre national du cinéma et de l'image animée shall request any information or document he considers useful from the persons mentioned in the same paragraph.
