Is Netflix Licensed and Legal For Business

netflix

One of the biggest questions we hear from business owners is regarding Netflix use. Is using Netflix legal to use for business?

According to section 4.2 of the Netflix terms of service, Netflix is only licensed for personal and non-commercial use.

  • 4.2. The Netflix service and any content viewed through the service are for your personal and non-commercial use only and may not be shared with individuals beyond your household. During your Netflix membership we grant you a limited, non-exclusive, non-transferable right to access the Netflix service and view Netflix content. Except for the foregoing, no right, title or interest shall be transferred to you. You agree not to use the service for public performances.

We talk to many business everyday who use Netflix and other over the top streaming options as their primary form of customer or employee entertainment. Many don’t see how this could prove them liable in a lawsuit when they get caught. Content providers employ staff who canvas cities and come into businesses to investigate which places are using services licensed for private use only. Businesses that have been found to be using non-commercial accounts in a commercial setting are liable for thousands of dollars in penalties and fees. That person sitting at a table who just ordered a drink may be canvasing businesses in your area. To avoid the risk of paying thousands of dollars in penalties, a commercial cable or satellite account is currently the only way to legally show television content in a business.