Judge Dismisses Key Antitrust Claims Against Netflix

Law360, New York (June 14, 2007, 12:00 AM EDT) -- A judge has dealt a significant blow to customers that brought a putative class action against Netflix Inc., tossing their antitrust claims that the online DVD rental service restrained competition by fraudulently obtaining two patents.

William Alsup sided with Netflix in the U.S. District Court for the Northern District of California, saying the plaintiffs’ federal antitrust claims failed because they were unable to plead a sufficient level of patent enforcement against Netflix’s potential competitors.

“Plaintiffs simply allege that potential competitors’ awareness of Netflix’s patents deterred competition....
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