Italian Court Deems Netflix Price Hikes Illegal, Orders Refunds

Photo Credit: Thibault Penin

An Italian court has ruled that Netflix illegally raised monthly subscriber rates without providing a valid reason to consumers, and now it must pay.

An Italian court in Rome has ruled that Netflix price hikes from 2017 to 2024 are illegal, and subscribers are entitled to a refund. According to the court, Netflix did not provide consumers with a valid reason for the price hikes, and now the video streaming giant has 90 days to comply with the ruling and begin issuing refunds.

Netflix’s total refund liability could exceed $2.3 billion if all eligible subscribers received a refund. Unsurprisingly, Netflix said it would be appealing the decision. However, the company is reportedly being hit with similar litigation over its price hikes in Poland, Spain, and Germany.

“At Netflix, our members come first. We take consumer rights very seriously, and we believe our terms have always been in line with Italian law and practices,” said Netflix in a statement.

Movimento Consumatori, an Italian consumer advocacy group, filed the original complaint. It argues that Netflix allegedly violated the country’s consumer laws, which mandate that price hikes cannot be made without stating a legitimate reason to consumers. The group’s attorneys say Netflix owes premium subscribers from 2017 to the present a $577 refund, while standard subscribers from the same period are owed $288.

The Roman court ordered Netflix to lower monthly rates from $23.13 to $13.87 for premium subs, and from $16.19 to $11.56 for standard subs. If upheld, the Italian court’s ruling could represent a landmark move that would have a domino effect on subscription streaming platforms across Europe.

Notably, similar legal action has been taken in Germany, the Netherlands, and Poland, but thus far has amounted to little or no consequences for Netflix. In May 2025, a single Netflix subscriber in Germany won a case against the company over its price increases in a Cologne regional court that ruled he was entitled to a refund, but that case has not had any further reaching repercussions.

Meanwhile, the Italian court’s legal decision follows Netflix’s second announced price increase in the United States in the last 12 months.