The book that will be written about the amazing rise and fall of MoviePass will read like a how-to-run-a-business-into-the-ground-guide-meets-trashy-romance-novel. Seriously, who knew that a massive tech/subscription service company could be filled with this much alleged drama and deceit?
In the latest chapter of the “RIP MoviePass” saga, we get word, via Deadline, that one of the board members for the company, Carl Schramm, has resigned from his post, effective immediately. This sort of thing happens all the time in business, but it’s the way that Schramm exited, “spilling tea” so-to-speak, that has caught the public eye.
In a letter to Helios & Matheson (MoviePass parent company) CEO Ted Farnsworth, Schramm laid out exactly why he was leaving the failing company. Long story short, the subscription service is the shitshow that we’ve always thought.
The now-former board member says that there were “significant transactions” that occurred without board approval or knowledge, no notice of last-minute meetings, and information that was withheld from the board for months.
“These and other actions have interfered with my ability to execute my responsibilities as a board member. Taken together, they confirm that, despite my best efforts, my ability to effectively discharge my duties as a director have been compromised beyond repair,” Schramm wrote.
In an SEC filing announcing Schramm’s departure, MoviePass responded to Schramm’s claims and said, “The board and committees of which Mr. Schramm was a member have met at least 25 times at duly convened meetings thus far in 2018. And the company firmly believes that it has kept the board fully informed and has provided all information needed for board members to exercise their responsibilities.”
However, as we’ve seen time and again in the past, the subscription-based company appears to be totally okay with lying to customers, the press, and just about anyone who will listen to Mitch Lowe or Farnsworth talk.
All that being said, MoviePass is moving forward and boy, are they optimistic!
In an email I just received (literally as I write this article), even though I canceled my account weeks ago, MoviePass has announced a new partnership with DraftKings. Now, I’m going to assume that many reading this are film fans and maybe not avid sports fans. So, as a refresher, DraftKings is the online gambling service that allows sports fans to bet on games through Fantasy-like contests to win big prizes.
So, what’s the partnership going to include? Well, in a twist that is sure to attract tons of entries (you can’t see it, by my eyes are basically rolling into the back of my head), MoviePass is offering a FREE ONE YEAR SUBSCRIPTION! Oh, and $10,000 worth of credits with DraftKings.
You can’t make this up. The company that seems (by most reports) looking at a December 18 potential doomsday believes that offering a one-year subscription to a service that is impossible to use, changes almost weekly, and lies to customers is a good deal.
No thanks.