Netflix Settles Class Action, Changes Policies on Saving Customer Rental Histories

Netflix has settled a class action lawsuit related to violating the Video Privacy Protection Act (VPPA). The VPAA holds that video rental companies cannot share the rental habits of its customers. U.S. District Court papers filed Friday reveal that Netflix has settled the class-action lawsuit filed against it in 2011. Netflix agreed not to hold onto data showing which movies its former customers rented for as long as it has in the past. Earlier this year the company announced that it had settled the lawsuit for $9 million in restitution and attorney’s fees, but didn’t divulge any of the changes it made to its policies.

The VPPA law was passed in 1988 as a direct response to the Superpose Court nominee Robert Bork, who had his Blockbuster rental history revealed during his Congressional approval hearings. It is also the same reason that video viewing habits cannot be shared on Facebook.

All parties involved in the lawsuit have asked Judge Edward Davila to approve the settlement by June 29.

Source: Paid Content

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