Netflix faces class-action suit from shareholders

A group of Netflix shareholders have sued the top online video provider, alleging that it conceled negative subscription trends and released false and misleading statements about its negotiations and contracts with content providers. Netflix has been pummeled in the last year from subscriber losses that resulted from a rate hike, and it is also struggling to replace movies that it offered subscribers through a contract it had with Starz. Its stock has fallen from about $300 to $90 since last summer. FierceOnlineVideo has more on the suit. Read more...