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Netflix believes Blockbuster copied the way it allows customers to rent movies over the Internet

Netflix recently accused Blockbuster Inc. for patent infringement and has asked a federal judge to shut down Blockbuster's online movie rental service, according to reports.  Netflix holds two patents, one of which was issued on Tuesday.  The lawsuit states that Netflix's second patent, issued yesterday, "covers a method for subscription-based online rental that allows subscribers to keep the DVDs they rent for as long as they wish without incurring any late fees, to obtain new DVDs without incurring additional charges and to prioritize and reprioritize their own personal dynamic queue--of DVDs to be rented," the lawsuit claims.

Netflix sends out enough DVDs that it is one of the U.S. Postal Service's highest volume customers.  Netflix has also had a very strong impact on the way Blockbuster operates:  The movie rental chain store decided to drop late fees last year for all tardy rentals.

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BB online stinks in my area
By wmansfield on 4/5/2006 2:03:38 PM , Rating: 2
I had terrible service from BB when I tried them out. I went right back to Netflix that month. Turnaround times were over a week and their website never told me when/if a DVD I sent back arrived.

RE: BB online stinks in my area
By gplracer on 4/5/2006 2:31:00 PM , Rating: 2
This lawsuit is ridiculous! Blockbuster is getting into the same type of business and now Netflix is suing them. Maybe Blockbuster should sue Netflix for renting DVDs. Netflix can cross me off their list of being a potential customer now.

I tried netflix but did not like it because the turn around time was too slow. I teach school and I am off in the summer so it is nice to rent lots of movies. The local blockbuster has unlimited rentals for a monthly fee. That works out better for me.

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