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Netflix class action settlement

looks like some dude sued netflix, and here is our "windfall". one month of +1 dvd service that will end up netting them more money from people who forget to cancel.

You are receiving this notice because you were a paid Netflix member before January 15, 2005. Under a proposed class action settlement, you may be eligible to receive a free benefit from Netflix.

A class action lawsuit entitled Chavez v. Netflix, Inc. was filed in San Francisco Superior Court (case number CGC-04-434884) on September 23, 2004. The lawsuit alleges that Netflix failed to provide "unlimited" DVD rentals and "one day delivery" as promised in its marketing materials. Netflix has denied any wrongdoing or liability. The parties have reached a settlement that they believe is in the best interests of the company and its subscribers.

Netflix will provide eligible subscribers with the benefit described below, if the settlement is approved by the Court.

* Current Netflix Members: If you enrolled in a paid membership before January 15, 2005 and were a member on October 19, 2005, you are eligible to receive a free one-month upgrade in service level. For example, if you are on the 3 DVDs at-a-time program, you will be upgraded to the 4 DVDs at-a-time program for one month. There will be no price increase during the upgraded month. (If you cancel your membership after October 19, 2005 and before you receive the upgrade, you will have to rejoin to get the upgrade.)


* Former Netflix Members: If you enrolled in a paid membership before January 15, 2005 but were not a member on October 19, 2005, you are eligible to receive a free one-month Netflix membership on your choice of the 1, 2 or 3 DVDs at-a-time unlimited program. (If you rejoin after October 19, 2005 but before you receive the free one-month membership, you will receive a credit for the free month when it becomes available.)

These benefits will be provided after the Effective Date as defined in the Settlement Agreement. Your eligibility for the benefits is based on your membership status as of October 19, 2005. The full Settlement Agreement is available for review at www.netflixsettlement.com.

You have four options to respond to the proposed settlement. You have until December 28, 2005 to make your decision:

Option 1. Sign Up For The Benefit As Part Of The Settlement
To receive the benefit, you must complete the online registration process no later than February 17, 2006, at www.netflixsettlement.com. By signing up for the benefit, you waive your right to bring a separate lawsuit against Netflix concerning the Released Claims (as defined in the Settlement Agreement found at www.netflixsettlement.com).

Option 2. Do Nothing
If you do not wish to receive the benefit, do nothing. You will not receive the benefit but will remain a Class Member. You therefore waive your right to bring a separate lawsuit against Netflix concerning the Released Claims.

Option 3. Exclude Yourself From the Class
To exclude yourself from the class, you must mail a letter by December 28, 2005. By excluding yourself, you preserve your right to bring a lawsuit against Netflix concerning the Released Claims. However, you will not get the benefit described above.

Option 4. Make An Objection To The Settlement In Court
To object to the settlement, you must file legal papers in the San Francisco Superior Court by January 5, 2006.

To receive your benefit, you must register by February 17, 2006 as described above in Option 1. You will not receive any other reminders to register for the benefit. If you have registered for the benefit and your eligibility is confirmed, then you will be provided additional information by email following the Effective Date as defined in the Settlement Agreement.

After the benefit period ends, the new or upgraded level of service will continue automatically (following an email reminder) and you will be billed accordingly, unless you cancel or modify your subscription. You can cancel or modify your subscription at any time.

In addition, if the settlement is approved by the Court, Netflix will modify portions of its Terms of Use. Netflix also will refer to its Terms of Use in certain advertisements.

To get more information about the settlement and procedures, and to take options 1, 3 or 4, visit www.netflixsettlement.com.
 
Class action = no settlement, except for the lawyers. You did get an opportunity to opt out, and go after a separate settlement, so if you chose not to, too bad, so sad.
 
Originally posted by: paulney
I wonder what he sued them for.

being on the frequent returner list and them making him wait on movies....

quite like 50% of the ATOT Netflixers...
 
I'd sue them for artificially slowing down the queue if you watch a lot.
That's not part of 'watch unlimited DVDs'
 
Originally posted by: paulney
I'd sue them for artificially slowing down the queue if you watch a lot.
That's not part of 'watch unlimited DVDs'

It sucks, but it's all in the fine print. We still get enough dvds each month to make it well worth the money.
 
So what are they saying? Do I get 4 dvd's at a time for one month free? Or, do I get to pay for 3 out, but get 4 out instead. I'm kind of confused here. I'm thinking my best bet is to cancel when this month is over, then go through the settlement website to get one free month of service. Right?
 
Current members get screwed...I only get a 1 month upgrade, so for one month I get 1 additional DVD at a time. If you aren't a member any more, you get a free month of service or a 1 month credit if you sign up.
 
Originally posted by: MikeyIs4Dcats
Current members get screwed...I only get a 1 month upgrade, so for one month I get 1 additional DVD at a time. If you aren't a member any more, you get a free month of service or a 1 month credit if you sign up.


I think it is alright to cancel and then sign up for the free month. It has a very large window to claim the free month.

And man, if only would have waited a few more weeks to sign back up. I haven't been a member since late July, but in early October I decided to get some classic movies I hadn't seen yet.
 
it attorneys get $2,500,000 the plaintiff gets $2,000 and everyone gets ~4 free rentals. I suggest everyone reads the Settlement Notice and check out the part about how to object to the settlement. It looks to me like Netflix doesn't even have to stop advertising unlimited rentals and one day shipping. Totally bogus.
 
I filed for the free month today. A free month is better than nothing 🙂 Wonder when it's going to go into affect.
 
The free month goes into effect right away, and they won't take it off unless you specifically request.

And the month isn't really "free" either. If you've got the 3 DVD at a time plan, they bump you to 4 while keeping you at the 3 DVD price. And they'll keep you there (with a corresponding price bump) unless you opt out at the end of the month.

So if you forget, they make more money than they normally would've off of this settlement. I don't see any point to joining this at all.
 
This is such a stupid class action lawsuit that I don't know if I feel like taking advantage of it. What's next? Gong to see all you can eat buffet because you can only eat during store hours or because no one told you when you went inside that you are not allowed to stay all day? Sheesh.
 
I for one will be opting out of this. There will be bigger and better law suits later.

Maybe I should consult some lawyers here in Virginia and get my own $2,000 settlement.
 
Originally posted by: CrackRabbit
Almost all Class Action settlements are a joke for the consumers. The Lawyers are the only ones making money.

Would you care to provide some support for this statment? Specifically, did the lawyers in this case "make money"?

The settlement in this case seems like an ok deal for consumers, to me. But you seem to suggest the outcome is a joke. What outcome, in this situation, would not be a joke in your opinion? Maybe a $10000 payout to every customer, something like that? :roll:

 
Originally posted by: aidanjm
Originally posted by: CrackRabbit
Almost all Class Action settlements are a joke for the consumers. The Lawyers are the only ones making money.

Would you care to provide some support for this statment? Specifically, did the lawyers in this case "make money"?

The settlement in this case seems like an ok deal for consumers, to me. But you seem to suggest the outcome is a joke. What outcome, in this situation, would not be a joke in your opinion? Maybe a $10000 payout to every customer, something like that? :roll:


I've been with NetFlix since 2004 and in the past 8 months I've noticed increase delay with sending me my DvDs. I just though it was me because I can rotate the DvDs very quick. I'd get one, watch it and send it back the same day. Netflix would sit on the Dvd for 2 days to a week before they would say they received it. It is funny when the dvd was in the mail for a week I file a lost report and 2 hours latter they found the DvD. Yeah fracking right. They sat on it and when I said something they "found it" BS.

I think a good settlement would be a 50% refund of the service fees paid since 1-2005.
 
Originally posted by: Solodays
why are they offering 1 free month?

Smoke and Mirrors.

If you take the settlement they will upgrade your account. You will have to remember to manually downgrade your account in order to not be charged for the upgrade in later months. Also if you take the settlement you can't be part of furture law suits(there will be more and bigger ones).

I just sent my Opt out letter(certififed mail with delievery confirmation). Wounder if I can contact a lawyer for my own lawsuit now.
 
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