The Dark Side of Netflix

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9/29/2005

Netflix to Settle Class Action Suit

Netflix anticipates settling a consumer class action lawsuit over false advertising claims. The case, Frank Chavez v. Netflix, et al., was filed on September 23, 2004 in the California Superior Court, City and County of San Francisco on the grounds of false advertising, unfair and deceptive trade practices, breach of contract and other claims relating to Netflix’s statements regarding DVD delivery times.

Netflix has not officially admitted wrongdoing but is expected to settle the case for $3 to $4 million.

Current and former Netflix subscribers in other parts of the country who suspect Netflix of fraud and wish to file lawsuits are advised to consult their local attorneys.

5 comments:

Anonymous said...

just started researching my problems, found that i got 21 movies in my first month with 3 at a time, and only got 12 thge following month, when the "problems" started happening" now i have 4 at a time and still hit 12 for the last month .. funny right

Anonymous said...

I have been a Netflix customer for 2 years now. In the beginning, it was great! I'd return a movie and Netflix would receive it the next day and ship out another movie that same day. With the 3-out plan, I was getting about 5 movies/week. However, after a couple of months I noticed the movie would take 2-4 days to be received by them. This would be from mailing from the same Post Office or street mailbox that only took 1 day for receipt into Netflix. So, instead of 5 movies/week, I was now doing about 2 movies/week. You can do the math to figure my rental cost per movie had jumped. When I called Netflix, all they would do is seemingly read from the same script by blaiming the US Post Office and saying they always log in movies the same day they receive them.

I think though this class action settlement is crapola. Netflix does have a sleazy policy of throttling rentals and this settlement does not hold them accountable to that.

seth said...

I agree Codeman. This is the most petty complaining I have ever heard. What a bunch of whiners. Amazing with all of the horrid things going on in the world that this is an issue for anyone.

I've been a Netflix member from day one and still love it. If there's a problem with a movie (scratches, skipping), I tell them thru the site, they send a new one even before I send out the other one.

A couple of times I lost a movie (my fault completely), told them so and they didn't even charge me at all. Just put it on a 'Lost DVD' list.

Count your blessings. Damn.

Anonymous said...

Codeman - why is it, then, that while it takes snailmail 3 - 4 days to send a DVD from my house to Netflix, the same post office always manages to get the DVDs to my house the day after Netflix ships them? If the postal service were the real issue, there'd be delays both ways.

Netflix intentionally delays shipments to lower costs and increase profits. If this practice were nonexistent, Netflix would not have settled.

No one is asking Netflix to change it's services, but only to deliver on promises made in its marketing materials and to provide the same speedy service that customers enjoy at the start of their memberships. If they cannot deliver the service as promised, they should not offer it.

Anonymous said...

I agree. When Netflix is trying to get you as a customer, it is amzaing. Things arrive in one day; you mail them back; they get back in one day. Then, they get your credit card number and the real Netflix plan emerges. Yes, they arrive in one day from Netflix and take 3 or 4 days to get back to them, once you are theirs. Try to cancel? Okay -- you will be charged for any movie that is out because they "won't get it back."
Right now, that is the battle I am fighting with them. Tired of getting no DVDs for my monthly fee, I cancelled. They are going to charge my card $20 for a movie mailed a week ago and which they "have not gotten." If you think Netflix is bing on the up and up -- if you think it is all the fault of snail mail - -think again . . . . All I can do is tell everyone I know the truth about Netflix. I can keep at least 20 people form joining and I can make certain they get no more of my money. Yes, I am mad about being ripped off -- it would have been nice if Netflix had been what they advertise themselves to be -- but they aren't. All I can do is take my credit card and no longer use them. Too many come to the same realization; too many feel ripped off; too many KNOW they are being lied to by Netflix. Bottom line, they are ripping the consummer off.