Legal Niches

Netflix and GameFly Battle Plods On

By pete_gallagher

It's been awhile since we checked in on the Netflix/GameFly legal battle, but the rental firms are still duking it out.

To recap quickly, GameFly filed a complaint against the United States Postal Service last year, alleging that the USPS gave Netflix preferential treatment by manually processing their discs, while GameFly mailers were relegated to sorting machines, where discs were routinely crushed or maimed.

Now, as detailed by Home Media Magazine, in a filing from Netflix, the rental firm claims that GameFly is simply attempting to 'gain for free' what Netflix obtained after significant market research. NetFlix wrote, 'Instead of investing the time and resources that Netflix has in reducing its costs … GameFly is attempting to get reduced postage costs … so they can get the economic equivalent of what Netflix has achieved on its [disc] breakage reduction.'
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Full post as published by GamePolitics.com on September 02, 2010 (boomark / email).