Netflix Hit with Class-Action Lawsuit by Russian Subscribers for Lack of Service

Netflix’s subscribers and users in Russia are filing a class-action lawsuit against the popular streaming platform for its decision to pull out of the country. According to the Russian state media outlet, RIA, as reported by Variety, twenty people have successfully joined the lawsuit and more than a hundred more individuals have applied to join. With twenty signatures, the case now has the minimum number of people required for a class-action in Russia.

Variety also reported that the grounds of the case lie in the claim that the streaming platform was in a public contract with the subscribers, under which, it can’t be subject the people to “unilateral refusal to fulfill obligations.” And hence, Netflix’s pullout from the market violates users’ rights to subscribed services, as well as violates Russian Federation’s Civil Code and Consumer Rights Laws. The plaintiffs involved in the lawsuit against Netflix are represented in the court by Chernyshov, Lukoyanov, and Partners, a Moscow-based law firm.

Earlier, Netflix had decided to abruptly end its service in Russia last month owing to Russia’s aggressive invasion of Ukraine. The suspension of services was a part of sanctions that are currently being imposed on Russia as it continues to wage war in Ukraine. Along with the suspension of services, Netflix also canceled further productions of originals it had planned to kick-start in the country, as well as the free-to-air propaganda channels the platform required to make available for stream under Russian law, and under its joint venture deal with Russian National Media Group.

Related: Jeopardy! Clarifies Ill-Timed Clue About Russia and Ukraine

The Plaintiffs Demand Monetary Compensation

The plaintiffs are seeking 60 million Rubles in compensation, approximately equaling $730,000, in pecuniary damages. Besides compensation, the plaintiffs have further asked the court to fine Netflix an amount equal to 50% of the amount that the court awards in favor of the plaintiffs. Netflix may be subjected to further penalties in case it loses the case or refuse or fail to comply with the court orders concerning the compensation and penalty.

Netflix started out in Russia in 2016 and since then, had amassed a million subscribers from the country, adding up to its 200 Million+ subscriber base Netflix has spread out across the globe. Russian subscribers were being charged $9.67 per month, which in Russian Rubles converted to 799 Rubles a month. Netflix’s abrupt suspension of services had cost viewers their subscription pays as well, against which, they’ve chosen a hefty compensatory fee from the streaming platform.

For now, neither Netflix, nor Chernyshov, Lukoyanov, and Partners have officially released any statement in this regard; however, it’s probable that Netflix will answer with its own legal ramifications in this case very soon. For now, the Russian invasion of Ukraine continues and the United States and the private corporations based out of it have further imposed more sanctions to create an economic downslide for Russia. Owing to the fact that major studios have suspended operations in Russia, it’s unlikely that Netflix will go down a different road against the States’ stand in response to Russia’s invasion of Ukraine.

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