Netflix appeals French Community's "disproportionate" production support rules in court
Netflix has filed an appeal with Belgium’s Constitutional Court against a media decree adopted by the French Community Government. The streaming giant says that it is required to contribute too much to audiovisual productions in Wallonia and Brussels.
The decree, which has been in force since 2023, gradually increases the financial contribution that both domestic and international audiovisual media providers operating in the French Community must make to support independent local productions.
Under the previous rules, media companies were required to invest 2.2 per cent of the turnover generated in the French Community. That percentage will rise in stages to 9.5 per cent by 2027. Companies can either invest the amount directly in local co-productions or pay it into the Centre du Cinéma et de l’Audiovisuel, which supports Belgium's French-speaking audiovisual sector.
Netflix, backed by Walt Disney, is seeking the annulment of the decree. According to the streaming platform’s lawyers, the regulation is "disproportionate and discriminatory". They claim that the required contribution is significantly higher than in several other countries and maintains that the decree infringes on its freedom of enterprise.
The company also argues that the measure goes beyond promoting culture and instead pursues an economic objective. If that is the case, the company contends, it cannot be compelled to comply under the current legal framework.
Deregulation
Lawyers for the French Community Government counter that Netflix and Disney are effectively seeking “deregulation”. They argue that the companies are hoping for a favourable ruling from the Court of Justice of the European Union that would grant streaming services more freedom across Europe.
Netflix is not the first company to appeal an investment requirement in Belgium. In late 2024, Google, Meta and TikTok announced they would challenge a similar scheme by the Flemish government in the Constitutional Court.
A judgment by the Constitutional Court is not expected in the short term and could take several months. If the court decides to seek a preliminary ruling from the EU’s top court in Luxembourg, the procedure could be extended by years.
PHOTO © Chris DELMAS / AFP
Related news
