Version: 2008
  • On mySimon: Meguiar's Gold Class Premium Car Wax

November 2, 2005 1:42 PM PST

Netflix members eligible for free upgrade

  • 7 comments
Thousands of Netflix subscribers are eligible for a one-month upgrade to their online movie rental plans under the terms of a proposed class action settlement.

The class action suit, filed in San Francisco on Sept. 24, 2004, by Frank Chavez, alleges that Netflix failed to provide one-day delivery and unlimited DVD rentals, as promised in marketing materials. The company notified its members of the proposed settlement in an e-mail Wednesday and denied any wrongdoing or liability.

Under the settlement, current Netflix subscribers who joined prior to Jan. 15, 2005, are entitled to a free, one-month upgrade in their service plans. For instance, subscribers with plans that allow for three DVDs at a time would be able to get four. Subscribers who joined prior to Jan. 15 and canceled before Oct. 19 are eligible for a free, one-month membership.

But if members aren't careful, they may end up paying for the upgrades. After a month of free benefits, the company will begin charging subscribers regular rates for the upgraded or renewed services, unless they proactively cancel or modify their plans.

Netflix, based in Los Gatos, Calif., has agreed to pay Chavez $2,000 in addition to $2.5 million for his attorneys' fees. More details on the settlement terms can be found on the Netflix Web site.

See more CNET content tagged:
NetFlix Inc., subscriber, class action

Add a Comment (Log in or register) (7 Comments)
  • prev
  • 1
  • next
Ridiculous
by Dead Soulman November 2, 2005 7:42 PM PST
This is the typical case of an idiot and a crook attorney looking to make a quick buck. Come on now, "unlimited" means, you can rent as many as you like, as long as you return the ones you've already received. Netflix delivers the next day 99% of the times. Don't forget that their shipment efficiency is in the hands of the US Postal Service. Compared to Blockbuster.com, Netflix is the best out there. Netflix has more distribution centers than Blockbuster.com, therefore, movies are delivered faster.

I've received the message from Netflix regarding the possible settlement, I'm not doing it. I like Netflix and love their service.
Reply to this comment
attorney fee
by vladperl November 2, 2005 8:21 PM PST
I agree with you on this.
I think attorney fee is really too big.
Something wrong with the system!
personal experience
by brothermoon November 2, 2005 8:23 PM PST
however, your personal experience with netflix may be completely different from that of another individual. i like netflix, also, even though they have not delivered according to their claims. that's why companies must be very careful of what they promise consumers and deliver accordingly or face the consequences of false advertising. if it's not accurate, then don't claim it.
Netflix non-existant Customer Support
by cbcooper79 February 14, 2006 9:01 AM PST
In response to your last post:

I have been throttled by Netflix since September. I get 3 DVD's at a time, and to get the DVD's across town, it sometimes takes 3 days. If ythey are not throttling my account, they are sending me DVD's from the East Coast, and I doubt that. Ever since the lawsuit has been settled, I have been getting my DVD's the next day, and I am no longer on the long list, but now I am on a short wait.

Imaging that! They have been doing this since I started, and I was about to quit.

Talk about customer service: It SUCKS! Whenever I question them about getting my DVD's late, I get what looks like a computer generated response, with no reason why, and it is always 3 days late. They have never answered any question I have sent them.
Stupidest lawsuit in the history of lawsuits...
by M C November 2, 2005 10:17 PM PST
And a "settlement" that will end up COSTING some of the plaintiffs just underscores the lawyers' greed.
Reply to this comment
"as many movies as you want"? BULL FECES
by SmithBarney February 28, 2006 9:27 PM PST
Netflix not honoring the promise "as many DVDs as you want" is FRAUD plain and simple. With 3-discs out at once, and returning movies the same day they're received one SHOULD be able to rent in excess of 25 movies/month. Whatever BULL FECES reason they offer up for not fulfilling this promise constitues at the very least BREACH OF CONTRACT. Do you smell another class action lawsuit??? I do.
Reply to this comment
Netflix-Deception business method
by shallm May 2, 2006 7:19 PM PDT
I wonder what are the benefits of the class action to Netflix customers?
For the last month I have been treated exactly how it was described in a law suit. Settlement did not seem to change business practice.

When business lies to it?s customers promising same-day service, unlimited rental,
do we call it a business model?
No, we call it Business-method and even patent it, and then sue competitors for stealing genius idea.

I find this approach to business and law very creative. Bravo!
Reply to this comment
(7 Comments)
  • prev
  • 1
  • next

Latest tech news headlines

RSS Feeds

Add headlines from CNET News to your homepage or feedreader.

More feeds available in our RSS feed index.

Markets

Market news, charts, SEC filings, and more

Related quotes

Netflix (-2.31%) -1.37 57.85
Dow Jones Industrials (-1.48%) -154.48 10,309.92
S&P 500 (-1.72%) -19.14 1,091.49
NASDAQ (-1.73%) -37.61 2,138.44
CNET TECH (-1.01%) -15.99 1,570.23
  Symbol Lookup
advertisement

Inside CNET News

Scroll Left Scroll Right