Sunday, August 30, 2026

‘Zone System’ Sparks Controversy in Toronto Cinema

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A cinema in downtown Toronto had to cancel showings of a new movie because the film’s distributor unexpectedly withdrew access. The Carlton had already sold tickets for the first week of screenings of ‘Tony,’ a film by Canadian director Matt Johnson, before A24 decided to no longer provide the film. Stefan Kern, the director of operations for Imagine Cinemas, which owns the Carlton, explained that the film was pulled due to a clearance issue related to another theater playing it nearby.

Independent theaters have criticized the longstanding ‘zone system’ in Canada, where distributors grant exclusive access to a single theater in a given area for new releases. This incident at the Carlton was not the first time Imagine Cinemas had a film pulled from them, according to Kern.

The zone system, as noted by Sonya Yokota William, director of the Network of Independent Canadian Exhibitors, originated in the era of limited film prints, with studios choosing which theaters would get early access. She highlighted that the system now predominantly benefits Cineplex, which holds a significant share of Canada’s box office revenue and movie screens.

Yokota William emphasized that Cineplex’s dominance skews distributors’ decisions on prioritizing theaters for new releases, favoring the cinema giant to keep its top customer satisfied. A survey conducted by her organization in 2024 revealed that many independent cinemas had to wait for a nearby Cineplex to finish showing a new release before being allowed to screen it.

Cineplex declined to comment on the zone system or the ‘Tony’ screenings cancellation, stating that film distributors determine where their films are shown. Currently, ‘Tony’ is being screened at two Cineplex locations near the Carlton. A24 did not respond to inquiries about why they initially offered the film to the Carlton or what led to its withdrawal.

Kern refrained from mentioning Cineplex in his statements, urging patrons to reach out to A24, Matt Johnson, or the Competition Bureau to report unfair business practices in theatrical distribution in Canada. While the Competition Bureau did not confirm any reviews related to the zone system, Yokota William hopes that increased awareness will help bring an end to the practice without legislative intervention.

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