Suit Accuses Netflix, Walmart of DVD Collusion
A recently filed class action suit accuses Walmart and Netflix of unlawfully conspiring to establish a monopoly in the DVD rental market.
According to the Southeast Texas Record newspaper, the suit was filed this week in federal court in the Western District of Arkansas. It alleges that when Walmart and Netflix agreed in 2005 to no longer compete with one another, with Walmart getting out of the DVD rental business and Netflix no longer selling DVDs, the two were acting to create a monopoly.
A similar suit has also been filed in California.