Netflix Wants 'Nonsense' Suit Over Financial Reports Ejected

Law360, New York (August 28, 2012, 12:53 PM EDT) -- Netflix Inc. pressed a California federal judge on Monday to dismiss a putative class action alleging it didn't file separate financial reports for its streaming and DVD services after announcing a split of the businesses, calling the claim “nonsense" under federal securities laws.

Los Gatos, Calif.-based Netflix lodged a motion to dismiss shareholder claims over its ill-fated decision in July 2011 to offer customers either streaming-only or DVD-only subscriptions. The change, instituted in September 2011, eliminated a popular hybrid subscription and angered customers, sending the company’s...
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