SETTLEMENT AGREEMENT BETWEEN THE UNITED STATES OF AMERICA AND AMC ENTERTAINMENT HOLDINGS, INC.

BACKGROUND

1. The parties to this Settlement Agreement are the United States of America and AMC Entertainment Holdings, Inc. (“AMC”).
2. This matter was initiated by a complaint alleging a violation of Title III of the Americans with Disabilities Act, 42 U.S.C. §§ 12181-89 (the “ADA”), received by the United States Department of Justice, USAO Complaint No. 2018V01025, DJ No. 202-12C-652. The United States Attorney’s Office for the Central District of California (“USAO”) conducted an investigation under the authority granted by the ADA, 42 U.S.C. § 12188(b).
3. The United States and AMC have reached an agreement that is in the parties’ best interests, and that the United States believes is in the public interest, to resolve this matter on mutually agreeable terms. The parties have therefore voluntarily entered into this Agreement, as set forth below. 

TITLE III COVERAGE AND DETERMINATIONS

4. The Department of Justice is responsible for enforcing Title III of the ADA, 42 U.S.C. §§ 12181-89, and the relevant regulations implementing Title III, 28 C.F.R. Part 36.
5. The Complainant has a physical or mental impairment that substantially limits her hearing. Accordingly, she has a disability within the meaning of 42 U.S.C. § 12102 and 28 C.F.R. § 36.105.
6. This matter is based on a Complaint alleging that the captioning devices at the Galleria did not work on several occasions. According to the Complainant, when she complains to the Galleria staff about an inoperable captioning device, Galleria staff provides her with a different device but often the replacement device does not work. The United States has investigated the complaint and has determined that the Complainant’s allegations are credible. In addition to the Complainant’s allegations, the Galleria’s captioning devices at times had operational problems. For instance, in Spring 2018 a patron complained that a captioning device turned off in the middle of the movie, and shortly thereafter, another guest made a similar complaint. Within two weeks, the Galleria management looked into the devices and learned that five of the 12 captioning devices had problems holding a charge and replacement batteries were ordered and installed.
7. AMC owns and operates a movie theater, the AMC Tyler Galleria 16 (the “Galleria”), located at 3775 Tyler Street, Riverside, California 92503. The Galleria is a “place of public accommodation” under Title III of the ADA. 42 U.S.C. § 12181(7)(C). Accordingly, AMC is a public accommodation subject to Title III of the ADA.  Id. The Galleria has 16 auditoriums, all of which have the capability to exhibit digital movies.
8. Under Title III of the ADA, no person who owns, leases (or leases to), or operates a place of public accommodation may discriminate against an individual on the basis of disability in the full and equal enjoyment of the goods, services, facilities, privileges, advantages, or accommodations of a place of public accommodation. 42 U.S.C. § 12182(a). Discrimination under Title III of the ADA includes the failure to take such steps as may be necessary to ensure that no individual with a disability is excluded or denied services because of the absence of auxiliary aids and services, unless the entity can demonstrate that taking such steps would fundamentally alter the nature of the good, service, facility, privilege, advantage, or accommodation being offered or would result in an undue burden. 42 U.S.C. § 12182(b)(2)(A)(iii); 28 C.F.R. § 36.303(a).
9. Under the regulation implementing the ADA, a public accommodation shall ensure that its movie theater auditoriums provide closed movie captioning and audio description whenever exhibiting a digital movie that is distributed with such features. 28 C.F.R. § 36.303(g)(2).
10. A public accommodation must properly maintain each captioning device and each audio description device. 28 C.F.R. § 36.303(g)(5). A public accommodation must ensure that each captioning device and each audio description device is fully operational, available to patrons in a timely manner, and easily usable by patrons. Id.
11. Whenever a public accommodation provides captioning and audio description for digital movies, it shall ensure that at least one employee is available at the theater to assist patrons seeking or using captioning or audio description devices. 28 C.F.R. § 36.303(g)(9). Such assistance includes, but is not limited to, knowledge of how to: locate and quickly access such devices, operate and address problems with such devices prior to and during the movie, communicate effectively with individuals with disabilities about how to use, operate, and resolve problems with such devices. 28 C.F.R. § 36.303(g)(9).
12. Whenever a public accommodation provides captioning and audio description in a movie theater auditorium exhibiting digital movies, it shall ensure that all notices of movie showings and times at the box office and other ticketing locations, on websites and mobile apps, in newspapers, and over the telephone, inform potential patrons of the movies or showings that are available with captioning and audio description. 28 C.F.R. § 36.303(g)(8).
13. Because the Galleria movie theater has 16 auditoriums exhibiting digital movies, AMC is required to have at least 12 captioning devices and eight audio description devices. 28 C.F.R. § 36.303(g)(3)–(4).
14. Although AMC has asserted that it provides training to team leaders, supervisors, and managers at the Galleria regarding captioning devices and audio description devices, the United States has determined that AMC does not have a formal process or checklist for Galleria staff to ensure that each such device is fully operational, available to patrons in a timely manner, and easily usable by patrons. See 28 C.F.R. § 36.303(g)(5). The United States has determined that the Galleria’s devices had operational problems at times.
15. AMC denies and continues to deny that it has violated the ADA and maintains that any alleged lapses in service alleged by the Complainant were temporary and intermittent in nature. 28 C.F.R. § 36.211. AMC states that it voluntarily began providing closed-captioning devices years prior to any legal requirement to do so.

ACTIONS TO BE TAKEN BY AMC

16. Within 45 days of  the effective date of this Agreement, AMC will submit a plan to the United States for its review and approval to ensure that each captioning device and each audio description device at the Galleria is fully operational, available to patrons in a timely manner, and easily usable by patrons. That plan will also include ensuring that at least one AMC employee is available at the Galleria to assist patrons seeking or using captioning or audio description devices as required by the relevant regulation. Within 30 days after the plan has been approved by the United States or a California or Riverside City or County order determining that movie theatres may reopen to the public during the COVID-19 pandemic, whichever is latest, AMC will adopt, maintain, and implement that plan for the duration of this Agreement.
17. Within  30 days of the effective date of this Agreement or  a California or Riverside City or County order determining that movie theatres may reopen to the public during the COVID-19 pandemic, whichever is  latest, AMC will post inside the Galleria’s box office and wherever the Galleria stores its captioning and audio description devices, instructions about how to assist patrons seeking or using such devices, as well how to contact the Galleria employee responsible for assisting these patrons.
18. AMC shall continue to provide training to its Galleria crew members, crew leaders, assistant managers, and general managers regarding the ADA and captioning and audio description devices.
19. Every six months, for the duration of this Agreement, AMC will provide the United States written reports describing the activities AMC has taken to comply with Paragraphs 14–16 of this Agreement. Upon request, AMC will provide the United States all documentation underlying or related to AMC’s written reports. AMC shall send its written reports via electronic mail to the United States (to the attention of Acrivi Coromelas at acrivi.coromelas@usdoj.gov or other person specified by the United States) or via Federal Express to:

    Acrivi Coromelas
    Assistant U.S. Attorney
    Civil Rights Section, Civil Division
    United States Attorney’s Office
    300 North Los Angeles Street, Rm. 7516
    Los Angeles, CA  90012

    In the same written reports, during the duration of this Agreement, AMC will notify the United States if any individual brings any lawsuit, written complaint, charge, or grievance alleging that the Galleria engaged in disability-based discrimination or did not provide an operable captioning or audio description device. Such notification will include, at a minimum, the nature of the allegation, the name of the individual making the allegation, and any documentation possessed AMC or any of its employees or staff relevant to the allegation.

MONETARY RELIEF FOR THE COMPLAINANT

20. Within 30 days of receiving the Complainant’s signed release and completed Form W-9,  AMC shall pay a total of $1,500 to the Complainant to compensate her as authorized by 42 U.S.C. 12188(b)(2)(B); 28 C.F.R. § 36.504(a)(2). Such payment shall be made by check payable to the order of the Complainant (in her legal name) and delivered to counsel for the United States.
21. Within 15 days of the effective date of this Agreement, the United States Attorney’s Office will deliver to AMC a release signed by the Complainant. The release is attached hereto as Exhibit B.

IMPLEMENTATION

22. In consideration for entering this Agreement, the United States will refrain from undertaking further enforcement action relating to this investigation or from filing a civil action alleging discrimination based on the allegations set forth above. However, the United States may review AMC’s compliance with this Agreement or Title III of the ADA at any time. If the United States believes that any portion of this Agreement or Title III of the ADA has been violated, it may institute a civil action in the appropriate U.S. District Court to enforce Title III of the ADA, following written notice to AMC of the possible violation and a period of 21 days in which AMC has the opportunity to cure the alleged violation.
23. Failure by the United States to enforce any provisions in this Agreement is not a waiver of its right to enforce other provisions of this Agreement.
24. If any term of this Agreement is determined by any court to be unenforceable, the other terms of this Agreement shall nonetheless remain in full force and effect, provided, however, that if the severance of any such provision materially alters the rights or obligations of the parties, the United States and AMC shall engage in good faith negotiations in order to adopt mutually agreeable amendments to this Agreement as may be necessary to restore the parties as closely as possible to the initially agreed upon relative rights and obligations.
25. This Agreement is binding on AMC, including all principals, agents, executors, administrators, representatives, employees, successors in interest, beneficiaries, and assigns. In the event that AMC seeks to sell, transfer, or assign all or part of its interest during the term of this Agreement, as a condition of sale, transfer, or assignment, AMC will obtain the written agreement of the successor, buyer, transferee, or assignee to all obligations remaining under this Agreement for the remaining term of this Agreement.
26. The signatory for AMC represents that he or she is authorized to bind AMC to this Agreement.
27. This Agreement is the entire agreement between the United States and AMC on the matters raised herein and no other statement, promise or agreement, either written or oral, made by any party or agents of any party, is enforceable. This Agreement can only be modified by mutual written agreement of the parties.
28. This Agreement is a public document. The Parties agree and consent to the United States’ disclosure of this Agreement and information concerning this Agreement to the public subject to any applicable privacy laws.
29. This Agreement is not intended to remedy any other potential violations of the ADA or any other law that is not specifically addressed in this Agreement. Nothing in this Agreement changes AMC’s obligation to otherwise comply with the requirements of the ADA.

EFFECTIVE DATE/TERMINATION DATE

30. The effective date of this Agreement is the date of the last signature below.
31. The duration of this Agreement will be two years from the effective date.