Civil Litigation
Sep. 22, 2021
No Hulu, Netflix franchise fees for city, judge rules
Lancaster, in northern LA County, sought to charge Netflix Inc. and Hulu LLC 5% of their gross income derived from providing video services in the city.
Siding with Netflix and Hulu, a Los Angeles County judge said the city of Lancaster can't collect franchise fees under the Digital Infrastructure and Video Competition Act simply because the streaming giants use broadband wirelines in the public right of way.
In the lawsuit brought under Public Utility Code sections within the act -- mostly used to charge cable companies for constructing and using power lines on public lands -- the city in...
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