RJ Justice Demands Change at Netflix; The daily fine is 50,000 BRL

Netflix is ​​not having a good time. In addition to the decline in the number of subscribers, the recent mass layoffs in the United States and New ad pack The Brazilian branch is now dealing with the return of last year’s problem.

An injunction from the Rio de Janeiro Court of Justice requires the service to stop using an HD video compression technology called DivX. Otherwise, you will receive a fine of R$50,000 per day. The court order was already overturned by Netflix in 2022, but it’s back in effect.

platform flow He will benefit from the technology without the appropriate license, which is protected in Brazil by registering with the National Institute of Intellectual Property since 2018.

Just like last year, Netflix refused to use DivX, but five technical opinions submitted by the developer to TJRJ were understood as dissenting evidence.

Carlos Aboim, lawyer the moviesclaims that “going to court was the resource that was found to protect new investments in the development of this and new technology”.

Netflix says it will incur significant losses with TJRJ’s decision but that should not affect the image quality and live broadcasts of its subscribers.

* With information from lawyers