Netflix Faces Heat: Procon Takes Action on Password Sharing Controversy in Brazil!



Netflix Faces Heat: Procon Takes Action on Password Sharing Controversy in Brazil!

Netflix Limiting Password Sharing and Imposing Additional Charges Faces Legal Challenge in Brazil


Million Spain Netflix Subscribers Dump Netflix over New Password Sharing Rules



After Netflix's controversial announcement about additional charges for password sharing in Brazil, some users contacted Procon — a legal entity that protects and defends consumers in each state. For this reason, on Friday (26), the entity in the state of Paraná notified the streaming platform to provide clarifications about its new measure.

According to Procon-PR, the company's concept of residence is confusing since the service can also be used on mobile devices. The organization points out that it is not yet clear how Netflix will identify password sharing, as a single user can access the service from cell phones, television devices, and computers.



Netflix's Controversial Move: Charging Extra for Password Sharing Beyond Residences


This means that if the app is available on mobile devices, there would be no reason to limit consumers' access based on their residences. In this sense, the additional charge could be unfair and even violate the Consumer Protection Code.

On Tuesday, May (23), Netflix sent out email notifications to its subscribers regarding a new measure: in order to share passwords with users who are not living in the same location, an additional fee of R$ 12.90 per month will be required for each additional profile. This has also been rolled out recently in the U.S.A. charging additional account users $8.00/month as well as in other countries.

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Multiple Procon Entities Take Action Against Netflix's New Measure on Password Sharing


In addition to the Procon entity in Paraná, the Procon in São Paulo has also notified Netflix to provide clarifications about its new rule. Similar actions have been taken by Procon entities in Rio Grande do Sul and Maranhão. These organizations state that numerous consumers have lodged complaints against the streaming platform following the announcement made this week.








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