Netflix, Inc., and the Agency IP Holdco, LLC sued for $128 million over Shutterstock image used on the Netflix Series Show- “Buying Beverly Hills.”
On Thursday, a Superior Court Judge indicated a likelihood of granting Netflix’s demurrer in a lawsuit related to the docu-series “Buying Beverly Hills.” However, the judge also expressed that the plaintiffs would be permitted to revise and resubmit their complaint.
The mentioned Netflix series follows the endeavors of real estate agent Mauricio Umansky, known as the spouse of Kyle Richards from “The Real Housewives of Beverly Hills,” along with his company, The Agency.
While the show showcases a variety of opulent multi-million-dollar mansions available for purchase in the Los Angeles area, the lawsuit in question revolves around a residence that was never actually shown in the series itself. Instead, the focus is on a thumbnail image utilized as a “tile” on Netflix’s website or app. This thumbnail serves as the square that viewers click on to initiate playback of the show. Aharon Dihno and Fernando Cortez’s house in the Hollywood Hills is the house visible in this thumbnail shot taken from above.
Dinho and Cortez have demanded at least $128 million in damages.
Netflix noted in its demurrer petition that Shutterstock, a website that sells stock footage, took the image in question, not them.
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The motion reads, “Plaintiffs’ complaint spins out numerous causes of action ridden with legal flaws and factual holes, attempting to turn Netflix’s routine use of a publicly available stock photo into a $128 million litigation.”
The complaint in the lawsuit lists the following claims:
Intrusion Upon Seclusion;
(2) Consumer Legal Remedies Act
Violations, Cal. Civ. Code § 1750;
(3) Section 43 Of The Lanham Act
Violations, 15 Usc 1125;
(4-5) Violation Of The California
False Advertising Laws, Cal. Bus.
And Prof. Code § 17500;
(6-7) Violation Of The California
Unfair Competition Law, Cal.
Bus. And Prof. Code § 17200;
(8) Violation Of The California
Privacy Rights Act, Cal. Civ.
Code §1798.100;
(9) Negligent Infliction Of
Emotional Distress; And
(10) Intentional Infliction Of
Emotional Distress
After the advertisement was published, Mr. Dihno and family suffered constant onslaught of visitors interested in seeing the property as detailed in paragraphs 46-67 of this Complaint. The constant harassment of these visitors has caused the Dihno family to fear for their safety and lose any sense of privacy that they had. Further, Mr. Dihno and Mr. Cortez has suffered from harassing constant phone calls from realtors and real estate brokers interested in selling the property. These harassing phone calls are detailed in paragraphs 68-88 of the following complaint.
The advertisement has caused Mr. Dihno and his family harm by way of interruption of Mr. Dihno’s business, which he operates out of his family home. Further, Mr. Dihno and his family have suffered significant damage through mental anguish and suffering, emotional distress, as well as impairment of reputation and standing in the community, and personal humiliation. “These people come on a daily basis,” the 38-page complaint says. “They ring the doorbell. They ask to see the house. They claim they learned the house was for sale from the Buying Beverly Hills advertisement.”
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Superior Court Judge Barbara Scheper was quick to tell Thomas what she thought of the complaint. “This complaint is grossly over-pled,” the judge said. “You do not have the standing to assert many of these causes of action. You have not established economic loss.” In addition, she said, “I just don’t think your complaint is sufficient.”
The attorney Joseph Thomas said, Netflix knows this is an unlicensed photo,” “It’s obviously continuing to create privacy violations at my clients’ residence.”
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