Blockbuster shot back at Netflix today and says they will
fight the suit vigorously. They have declared in a securities filing in Federal
Court in California, that they feel the suit is "without merit."
The lawsuit accuses Blockbuster's online service of
infringing on patents that protect Netflix's business method of allowing
subscribers to prioritize their choices of movie titles in a "dynamic
queue" and of sending DVDs to subscribers in the order of titles in the
queue.
The patents were issued in 2003 and on Tuesday.
In a press release, Blockbuster Online general manager Shane Evangelist
said the Netflix lawsuit "is an attempt ... to stifle competition and, as
a result, reduce consumer choice."
Blockbuster said Netflix "appears to have singled out Blockbuster and
no other online competitor for litigation, waiting nearly three years
after receiving its first patent and 19 months since the launch of
Blockbuster Online before filing the
action." |
You can find the rest of the report from Reuters by following this link.
Source: Reuters