OAKBROOK TERRACE, Ill. — Redbox here, a wholly owned subsidiary of Bellevue, Wash.-based Coinstar, won a partial victory in an antitrust lawsuit filed against Universal Studios Home Entertainment late last year.
The suit was initiated when Universal, in an effort to increase its revenue stream, instituted a 45-day period after new DVD titles became available to the public before they could be rented or sold through $1-per-night Redbox kiosks.
This week the United States District Court for the District of Delaware denied Universal Studios’ motion to dismiss the antitrust lawsuit.
“The Federal Court’s decision marks an important step forward in our effort to protect consumers’ right to convenient, affordable access to new release DVDs at redbox locations nationwide,” said Mitch Lowe, president, Redbox.
Redbox, which has its DVD rental kiosks in a number of supermarket chains and Wal-Mart Stores, recently filed another lawsuit in Delaware Federal Court against 20th Century Fox, challenging the studio’s decision to keep its DVDs out of Redbox kiosks for at least 30 days after a DVD’s public release.
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