Arrangements similar to this allowed most medium-sized United States cities to have two daily newspapers until fairly recently. The two publications have a joint-operating agreement that will end later this year. The Chattanooga Times and the Chattanooga News-Free Press's joint operating agreement became the first to be terminated on August 27, 1966.[1][2]. The agreement is based on the model joint operating agreement, and reflects the latest amendments made to that agreement with respect to dispute resolution: Model unit agreement A joint entity to perform these functions was created, with equal representation on its board from both papers. It exempted newspapers from certain provisions of antitrust laws. The parties are seldom considered to be in a partnership unless the agreement specifically states that they are. Indeed, some commentators, noting the expansive protection for operators in the wake of the decision, even questioned whether joint operating agreements still made sense for the other, non-operator parties.4 University of Pennsylvania Law Review 138 (November). American Law Institute–American Bar Association SB51 (February). The purpose of a joint operating agreement (JOA) is to protect a business from failure, yet prevent monopolization within an industry by allowing each party to retain some form of separate operation. The two publications have a joint-operating agreement that will end later this year. The Deseret News will also have a monthly magazine. With International Shoe Co. v. FTC, 280 U.S. 291, 50 S. Ct. 89, 74 L. Ed. Wall, Guy E. 1992. In the newspaper business, JOAs are used so that a failing newspaper can be paired with a parent newspaper and still retain separate editorial and reporting functions. JOAs are used in the newspaper, health care, gas and oil, and other industries. "The Newspaper Preservation Act of 1970: Help for the Needy or the Greedy?" https://legal-dictionary.thefreedictionary.com/Newspaper+joint+operating+agreement, The Committee for a Two-Newspaper Town (CTNT) -- which went to court to keep the Seattle, CEO Frank Blethen's family, is Exhibit A for the public policy argument to repeal the Newspaper Preservation Act of 1970 -- and prevent any future, For the first time ever a judge has put on hold the dissolution of a, Paul Farhi, a Washington Post reporter, has written about media mergers and, An issuance of $4,100 million in debt to buy TV stations, a restructuring of one of the last, Dictionary, Encyclopedia and Thesaurus - The Free Dictionary, the webmaster's page for free fun content, W.VA. ATTY. § 1802 et seq.) Joint Operating Agreements were protected by the Newspaper Preservation Act of 1970 under the administration of President Richard Nixon. The NPA lets newspapers form a JOA if they pass a less strict test. In 1965 the Justice Department questioned the legality of JOAs by issuing charges of antitrust violations to two publishers of daily newspapers operated under a JOA in Tucson, Arizona. Two or more gas and oil operators can enter into a JOA to share the risk and expense of gas and oil exploration. * Chief Counsel, Exploration and International, Oryx Energy Company; B.A., New York The two publications have a joint-operating agreement that will end later this year. 1989. It has been used for a long time in many parts of the world to transfer interests in land and resources from one party to the other. The Nixon Administration supported the Act's passage, and in the 1972 Presidential Campaign, every Hearst newspaper endorsed Nixon for reelection. "Recent Legislation, Cases, and Other Developments Affecting Healthcare Providers and Integrated Delivery Systems." Texas media consultant Ken Noble said the purpose of joint operating agreements nationwide largely has been to protect evening newspapers -- the second paper in a metropolitan market -- … It argued that the Sun doesn’t meet a “contractual obligation to produce a high-quality metropolitan print newspaper.” The operator is able to keep costs down, and the other participants still retain rights to their share of the gas and oil, which they can use at their own discretion. In 1987, the newspapers entered into the agreement, combining business operations while maintaining separate editorial staffs. The demise of the San Francisco agreement leaves 12 joint operating agreements from York, Pa., to Honolulu. In 1970 Congress passed the Newspaper Preservation Act, which granted antitrust exemption to joint operating agreements established by two daily newspapers that competed in the same geographic markets. JOAs are used in the newspaper, health care , gas and oil, and other industries. [3] By quietly and informally taking on some behaviors of a cartel, large newspaper chains were able to sustain artificially high profits while driving independent newspapers out of business (or forcing them to sell their stake to a chain). Both papers will offer a weekly print publication. A few observers believe that approval of a so-called joint operating agreement (JOA) in Detroit could hasten similar truces in the other few remaining two-newspaper towns. The Joint Operating Agreement (JOA) in oil and gas industry is an underlying contractual framework of a Joint Venture (JV). 431 (1930), the Supreme Court created the "failing-company" defense, by which mergers that would ordinarily violate antitrust laws are permitted where one of the businesses faces certain failure if no other action is taken. The disclosure came a day after the Salt Lake Tribune made a similar announcement. It was argued that a merger between two competitors, one of which is failing, cannot adversely affect competition because, either way, the failing company will disappear as a competitive entity. Under the NPA the attorney general may grant limited exemption from antitrust laws by approving a JOA. Any contract, agreement, Joint Venture, or other arrangement entered into by two or more businesses in which the operations and the physical facilities of a failing business are merged, although each business retains its status as a separate entity in terms of profits and individual mission. In practice two daily newspapers published in the same city or geographic area combine business operations while maintaining separate—and competitive—news operations. The Deseret News will also have a monthly magazine. The two newspapers serving Salt Lake City and other parts of Utah have announced that they will switch from daily to once-a-week print editions early in 2021. The Newspaper Preservation Act of 1970 was an Act of the United States Congress, signed by President Richard Nixon, authorizing the formation of joint operating agreements among competing newspaper operations within the same market area. Describe the main clauses contained with joint operating agreements and production sharing contracts. "Joint Operating Agreements in the Newspaper Industry: A Threat to First Amendment Freedoms." It is the agreement that hands over and transfers a certain interest in a property to another person. The JOA, also known in this industry as a virtual merger, allows the hospitals to retain separate boards of directors but turns over management to a separate company. joint operating agreement, the immediate result was consternation and confusion. Each news organization’s website operates outside the joint operating agreement. The hospitals coordinate services, construction needs, and the purchase of major equipment, yet maintain some of their own policies. The two publications have a joint-operating agreement that will end later this year. Agreements, and newspapers, have died in places like St. Louis. [4] In the 1969 letter, Berlin intimated that failure of the law to pass would carry political consequences and hinted that support from Nixon would conversely help the President and his allies. There were some journalist layoffs at the Deseret News. JOAS IN THE NEWSPAPER INDUSTRY Perhaps the most widely known, discussed, and analyzed JOAs are those involving newspapers. in 1970. Both papers will offer a weekly print publication. The purpose of a joint operating agreement (JOA) is to protect a business from failure, yet prevent monopolization within an industry by allowing each party to retain some form of separate operation. It called the joint operating agreement a “relic,” and derided Sun news offerings as “a stale combination of dated wire service stories” packaged with old staff reports and photos. This Manual seeks to educate the reader as to what the Joint Operating Agreement provides and to offer suggestions on how it can be improved. "Joint Oil and Gas Operations in Louisiana." Their agreement became typical of the type—both papers were printed on the same presses at different times of day. This fourth edition of the leading work on joint operating agreements (JOAs) provides a practical examination of the provisions of a typical JOA, with a particular focus on the critical issues of scope, the operator’s role, joint and exclusive operations, default, transfers and decommissioning. The model unit agreement has been prepared in cooperation with Norsk Olje og Gass and was approved by the Ministry of Petroleum and Energy in 2012. [3][4], Cities with newspaper joint operating agreements, Cities with terminated newspaper joint operating agreements, "Newspaper Marks 10 Years Since Sales, Merger", "The Publishers' Six Big Lies: A Federal Trial Shows How SF's Daily Newspapers Have Misled the Public for Decades", "Seattle P-I to publish last edition Tuesday", Learn how and when to remove this template message, https://en.wikipedia.org/w/index.php?title=Newspaper_Preservation_Act_of_1970&oldid=985957660, United States federal communications legislation, United States federal antitrust legislation, Articles needing additional references from May 2008, All articles needing additional references, Creative Commons Attribution-ShareAlike License, This page was last edited on 28 October 2020, at 23:32. The Salt Lake Tribune, which won the Pulitzer Prize for local reporting in 2017, is not cutting newsroom staff. [3] Note that many of the papers listed in the sections below have the same few ownership groups. • Detroit, Michigan—Detroit Free Press (owned by Gannett, formerly owned by Knight-Ridder) and the Detroit News (owned by Media News Group, formerly owned by Gannett) Last week's decision by U.S. Attorney General Edwin Meese III to permit a joint newspaper operating agreement in Detroit, Mich., has again focused attention on this practice in our industry. SALT LAKE CITY -- For 68 years Utah's citizens have enjoyed the benefits created by a joint operating agreement (JOA) between the Deseret News and The Salt Lake Tribune. “It is well-known that this is a challenging time for the print newspaper industry,” the court filing states. In fact, President Richard M. Nixon initially opposed the passage of the act (as had his predecessor, Lyndon B. Johnson) as being antithetical to the essential practices and character of free market capitalism. 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