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Disney Agrees to $50M Class Action Settlement over Streaming
The deal could send cash to eligible subscribers while denying allegations that Disney used ESPN to force pricier base packages.
- On Thursday, The Walt Disney Company agreed to a $50 million settlement resolving class action antitrust claims that it inflated subscription costs for YouTube TV and DirecTV Stream through mandatory channel bundling.
- Plaintiffs alleged Disney used leverage over must-have programming, particularly ESPN, to force 'anticompetitive agreements' on platforms, preventing cheaper bundles and driving up consumer costs across the industry.
- Eligible consumers who subscribed to YouTube TV or DirecTV Stream between April 1, 2019, and March 31, 2026, must submit claims by September 8, 2026, to receive a portion of the settlement fund.
- Disney denied wrongdoing but agreed to settle, committing to 'consider' offering distributors the option to carry fewer channels, including ESPN, for three years following final approval of the settlement.
- A final approval hearing scheduled for January 14, 2027, will determine the settlement's fate, after which administrators will process verified claims and distribute payouts to eligible subscribers.
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Disney settles class action over YouTube TV, DIRECTV bundling
(Photo by Natalie Voy) The Walt Disney Company has agreed to settle a class-action lawsuit brought by streaming consumers over the company’s prior practice of bundling ESPN with entertainment and local broadcast channels. The suit, filed in California several years ago, claims subscribers of YouTube TV and DIRECTV were wrongly overcharged for service because Disney insisted on bundling ESPN, one of the most-expensive pay TV channels for a servic…
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Total News Sources13
Leaning Left1Leaning Right0Center7Last UpdatedBias Distribution87% Center
Bias Distribution
- 87% of the sources are Center
87% Center
13%
C 87%
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