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Netflix, Wal-Mart Sued Over Anti-Competitive Conspiracy

NetFlix, Wal-Mart Sued Over Anti-Competitive Conspiracy
It may sound like something out or a comic book, but a lawsuit out of West Virginia claims that Netflix and Wal-Mart executives held a secret dinner meeting and conspired to reduce competition in their respective fields. This evil meeting of the minds allegedly took place in 2005, and Netflix agreed to stay out of the DVD sales market if Wal-Mart steered clear of the DVD rental market.

Agreeing not to compete against each other kept prices artificially high, and if true, would be a violation of anti-trust laws. The companies face similar suits in other states including California and Pennsylvania. The firm handling the West Virginia suit is pushing to have the case certified as class action, allowing other consumers to join in the case and take advantage of any settlement reached.

See, major corporations are even more like the Legion of Doom than you imagined. [From: BetaNews]

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Tags: law, lawsuit, netflix, wal-mart, walmart

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