Hollywood Breakdown
Fox scores a legal victory over Netflix in executive poaching case
Nearly three years ago, Fox sued Netflix over the poaching of executives who were under contract.
This has been a closely watched case in the entertainment industry and beyond. Up for grabs was the very concept of contracts, and if they actually mean anything. Interestingly, Fox didn't sue the executives who left, but Netflix itself. By siding with Fox, which is now Fox-Disney, the court has acknowledged that contracts have meaning and can't be intentionally disrupted by other competitors. As Netflix works to rapidly bulk up on content, they also need executives to oversee all that growth. But breaking in and offering executives who are under contract tons of money so that they'll breach their contracts and leave, is not OK, a California judge ruled.