Fine Print Friday is a weekly column where I examine and analyze Contracts that affect many of us in our daily lives. Each installment will point out a few interesting provisions the average reader may not have noticed.
Fine Print Friday: Netflix Watch Instantly
Netflix made headlines this week when it announced that it made a deal with Epix (a pay-TV service that is a joint venture between MGM, Lionsgate and Viacom Inc.’s Paramount) to stream movies from those studios, greatly increasing the size of their Watch Instantly library. This is great news for Netflix subscribers (including me), and likely means that Netflix will have a lot of new subscribers in the coming months. This development makes Netflix’s Watch Instantly policies ripe for Fine Print Friday. (Note: Using Netflix’s Instant Watch requires adhering to the general Terms of Use as well.)
So what have all Netflix users agreed to that they didn’t know about?
1. Software License. Netflix users are allowed to make one backup copy of the software, and can install it on up to six computers in their household.
2. Consent to Use of Data. The software you use to access Netflix may provide Netflix with information about the device with which you access Netflix, including information that identifies your particular device (computer, Playstation 3, Xbox, Wii, etc.), identifies your operating system, amount of available storage space, internet connectivity, and your interaction with the software. This all seems to be for the purposes of allowing the software to efficiently provide you with the Watch Instantly content.
3. Duties Surviving Termination. Even if the agreement with Netflix ends, the user is still bound by the confidentiality, proprietary rights, and nondisclosure provisions in the Terms of Use. Although the provisions that related to intellectual property make sense in this context (because intellectual property law covers those issues anyway), extending other provisions past the termination of a contract seems unfair at best, and potentially unenforceable. But it’s usually good practice to assume that any term in a contract that you willingly sign is going to be enforceable.
4. iPhone, iPod, and iPad Users. If for any reason Netflix’s software does not work, neither Apple nor Netflix is responsible for the lack of functionality, or any other problems the software might cause.
5. Sharing of Personal Information. The Privacy Policy suggests that users’ personal information may be given to parties affiliated with Netflix. Aggregated information may be provided to partners, advertisers, or third parties, and Netflix may provide anonymous information about movie ratings and movies watched to third parties. You can opt out of this information sharing by managing your Email Preferences.
All in all, this is a pretty typical set of end-user agreements, and there is not much to be concerned about. You can control Netflix’s sharing of your information for the most part, and there isn’t much that is shocking in terms of the user’s obligations or assumed permissions, and various terms can be altered simply by changing the level of your subscription level. This is a good set of contracts, and as it currently stands, there is no reason to be concerned about any of it.
If you do find that you are concerned with any of the Privacy Policy, you can contact Netflix Customer Service by emailing privacy@netflix.com. Their street address is 100 Winchester Circle, Los Gatos, CA 95032, Attention: General Counsel.
Thanks for reading this week’s Fine Print Friday. Please let me know if you have requests for future editions.
If you need to contact Netflix regarding these policies or anything else, you can do so in a number of ways here.
About Graham Martin
Graham Martin is a solo practitioner focusing on Contract law (including drafting, review, and litigation). He operates Martin Legal Services, LLC in the Minneapolis-St. Paul area.
