Disney has agreed to a $50 million settlement in a class action lawsuit over claims that it helped push streaming subscription prices higher. The deal covers YouTube TV and DirecTV Stream subscribers and now sets up a claims process for people who paid for those services during the covered period.
The lawsuit, Biddle v. Disney, was filed in 2022 by subscribers who said Disney used its control over in-demand programming, including and Hulu, to drive up the cost of live TV streaming plans. The settlement gives those claims a dollar value now, even though Disney denies wrongdoing and no court has found that it violated antitrust or consumer protection laws.
That matters because the money is not being split in a flat way. Eligible consumers who paid for YouTube TV or DirecTV Stream between April 1, 2019, and March 31, 2026, can seek a share of the fund, and DirecTV subscribers in the covered period include DirecTV Stream, DirecTV Now and AT&T TV Now plans. The size of each payment will depend first on how long a subscriber paid during the covered window, then on how many valid claims are filed, and finally on attorneys' fees, which are taken out before any individual checks are set. With a $50 million fund, the more claims that come in, the smaller each share becomes after those deductions are made.
The case has also already shown where the fight is heading next. Plaintiffs accused Disney of requiring streaming platforms to include in basic channel packages as part of carriage deals, a setup they say helped keep prices elevated for consumers. A similar case involving FuboTV has not reached a settlement, which suggests the dispute over Disney's pricing power is still moving through the courts even as one group of subscribers now has a path to payment.
The final approval hearing is set for Jan. 14, 2027. If the settlement is approved, eligible claimants are expected to be paid shortly after that hearing, leaving the main open question not whether the case produced a fund, but how much of it will reach each subscriber once the claims are counted and the fees are subtracted.
