Netflix must refund customers for years of price hikes, Italian court rules
Ars Technica • • business
Key Points:
- A Rome court ruled that Netflix's price hikes in Italy from 2017 to 2024 were unlawful, ordering the company to refund affected subscribers up to 500 euros depending on their plan.
- The ruling was based on Italian consumer protection law, which prohibits unilateral contract changes without justified reasons explicitly stated in the contract.
- Netflix must notify millions of current and former customers about their refund rights within 90 days or face daily penalties; the company is appealing the decision.
- The court also mandated Netflix to reduce current subscription prices by amounts equal to the unlawful increases, with potential class-action lawsuits if Netflix fails to comply.
- This ruling highlights growing consumer dissatisfaction with streaming service price hikes and may influence future regulatory actions within Italy and the broader European Union.
