Netflix is sued for 28-day delay of new release DVDs Buzz this

Posted by Prasada Martala Mar 4, 2010


Susan Uman, a Netflix subscriber from Manhattan, is suing the movie rental company and Warner Bros. in a class action lawsuit filed in Manhattan Federal Court for the 28 day delay of new release DVDs. Warner Bros. and Netflix announced on Jan 06 that Netflix subscribers would have to wait 28 days from the day new release movie DVDs and Blu-ray discs are available for public to rent. In return, the DVD rental company got access to older movie catalogs from the studio to be used in it Watch Instantly streaming service. Warner Bros. made a similar agreement on Feb 16 with Redbox, the operator of DVD vending kiosks in grocery stores for $1 a night DVD rentals. This move is seen as a desperate effort by Hollywood studios to sell more DVDs during the 28 day period.

The lawsuit claims the 28-day waiting period is a"scheme to restrain trade" that limits the value of Netflix subscription and demands Netflix to stop the practice.


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