From BoingBoing….
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Geektronica says: Netflix has settled a lawsuit with … Frank Chavez, who spent $300 filing a suit complaining that you can’t actually rent ‘unlimited’ DVDs from the company.

“Netflix apparently does throttle accounts that rent more than 12 DVDs a month, which they admit in their TOS. They do this so light users get priority over heavy users.

“The company is offering a one-month, one-disc free upgrade to all customers (which they will charge you for if you don’t cancel after the month is over). Big w00t. Chavez got $2,000, and his lawyers got $2,528,000.

“Netflix fan reports, and NetflixSettlementSucks.com tells you how to opt out of the class. If more than 5% of members opt out, the decision will be invalidated.”