Netflix has been ordered to issue refunds to local subscribers in Italy after the Court of Rome ruled that the streamer’s price hikes over the past seven years were illegal.
The high-profile court case was brought about by Movimento Consumatori, an Italian consumer group which alleged Netflix’s repeated price increases for Italian subscribers were illegal. Movimento Consumatori brought the injunction action against Netflix Italia in January 2025.
The court ruled that the Netflix clauses that allowed the price hikes were unfair as they failed to clearly communicate a valid reason for the increases, which breached the national Consumer Code of Italy.
According to reports, Italian Netflix subscribers could be owed up to $578 in refunds depending on the length of their subscription during the various price increases between 2017 and January 2024. Each eligible subscriber is also entitled to a reduction of their current subscription price.
Netflix Italia has also been ordered to publish the ruling on its official website, as well as in major national newspapers, to inform customers of the refunds they’re entitled to.
Netflix reportedly has 90 days to comply with the court’s order or else the company could face daily penalties.
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Meanwhile, the president of Movimento Consumatori said that if Netflix Italia does not reduce its prices and issue refunds in a timely manner, the consumer group will launch a class action lawsuit.
In a statement to Reuters, Netflix said they “take consumer rights very seriously and believe our terms have always complied with Italian laws and practice.” The company plans to appeal the court’s decision.
Netflix’s price hikes are nothing new. Just last month, Netflix raised its monthly U.S. subscription prices yet again, increasing its standard plan with ads from $7.99 to $8.99 a month; its standard plan without ads from $17.99 to $19.99; and its premium plan from $24.99 to $26.99.
Netflix U.S. last raised their prices in January 2025, only 15 months before their latest price hikes.
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