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]. joint operating agreement, the immediate result was consternation and confusion. For example, a Catholic hospital entering into a JOA can maintain its stand against Abortion and continue its individual programs for treating people who are poor. A joint entity to perform these functions was created, with equal representation on its board from both papers. In all JOAs the parties retain some aspect of their original organization, whether it is editorial voice, religious affiliation, mission statement, or the ability to use the resources of the business as they choose. The NPA lets newspapers form a JOA if they pass a less strict test. 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. 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 JOAs are used in the newspaper, health care, gas and oil, and other industries. 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. 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. 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 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. However, mounting evidence suggests the passage of the Act was less about protecting editorial diversity within community newspaper markets than about inflating the profit margins of national newspaper chains. Arrangements similar to this allowed most medium-sized United States cities to have two daily newspapers until fairly recently. 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. 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. 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. § 1802 et seq.) Steel, Robbie. The two publications' joint-operating agreement will also end at the end of the year. The hospitals coordinate services, construction needs, and the purchase of major equipment, yet maintain some of their own policies. JOAs are used in the newspaper, health care , gas and oil, and other industries. The Joint Operating Agreement (JOA) in oil and gas industry is an underlying contractual framework of a Joint Venture (JV). Newspaper transactions handled by Broadwater & Associates professionals. • 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) "Joint Operating Agreements in the Newspaper Industry: A Threat to First Amendment Freedoms." 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 -- … 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. There have been 28 Joint Operating Agreements to date. 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. JOAs have been questioned as providing a means of avoiding antitrust problems. University of Pennsylvania Law Review 138 (November). There were some journalist layoffs at the Deseret News. 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. The disclosure came a day after the Salt Lake Tribune made a similar announcement. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional. The number of joint operating agreements, as well as the number of evening-published daily newspapers, has declined considerably in recent years, due to the ongoing consolidation of the newspaper industry as a whole, and the decline in readership and interest in evening newspapers in particular, which many observers have attributed to television and the internet, of which the former seems to be magnified by the presence of several 24-hour-a-day news operations on cable television. Detroit Media Partnership is the result of a 100-year joint operating agreement between the Detroit Free Press and The Detroit News. 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 1987, the newspapers entered into the agreement, combining business operations while maintaining separate editorial staffs. The Nixon Administration supported the Act's passage, and in the 1972 Presidential Campaign, every Hearst newspaper endorsed Nixon for reelection. The 170-year-old Deseret News said Tuesday it will stop publishing daily starting next year. American Law Institute–American Bar Association SB51 (February). The two publications have a joint-operating agreement that will end later this year. 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. The two publications have a joint-operating agreement that will end later this year. Joint Operating Agreements were protected by the Newspaper Preservation Act of 1970 under the administration of President Richard Nixon. 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. 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. Apply the accounting procedures set out in joint operating agreements and production sharing contacts; Prepare cash call request, joint … [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. JOAs are used in the newspaper, health care , gas and oil, and other industries. 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. In Citizens Publishing Co. v. United States, 394 U.S. 131, 89 S. Ct. 927, 22 L. Ed. The Newspaper Preservation Act was touted as a relief measure to allow multiple newspapers competing in the same market to cut costs, thus ensuring that no one paper could have supremacy in the market by driving the other(s) out of business. Classified advertising sales were consolidated, as were distribution agents. All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. He reversed himself upon receiving a letter from Richard E. Berlin, CEO of the Hearst chain of newspapers and magazines. "Recent Legislation, Cases, and Other Developments Affecting Healthcare Providers and Integrated Delivery Systems." 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. The Salt Lake Tribune, which won the Pulitzer Prize for local reporting in 2017, is not cutting newsroom staff. Wall, Guy E. 1992. Both papers will offer a weekly print publication. The two publications have a joint-operating agreement that will end later this year. in 1970. [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). Agreements, and newspapers, have died in places like St. Louis. The first joint operating agreement was between Albuquerque Tribune (then the New Mexico State Tribune) and the Albuquerque Journal in Albuquerque, New Mexico, signed on February 20, 1933. A.A.P.L. Painter, William S. 1993. Both papers will offer a weekly print publication. Two or more gas and oil operators can enter into a JOA to share the risk and expense of gas and oil exploration. 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. Congress responded to Citizens Publishing by passing the Newspaper Preservation Act (NPA) (15 U.S.C.A. "The Newspaper Preservation Act of 1970: Help for the Needy or the Greedy?" The Deseret News will also have a monthly magazine. The demise of the San Francisco agreement leaves 12 joint operating agreements from York, Pa., to Honolulu. Newsgathering and editorial operations remained completely separate, although located under one roof in different portions of the same building. 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