The Video Privacy Protection Act (VPPA) was a bill passed by the United States Congress in 1988 as Pub.L. 100-618 and signed into law by President Ronald Reagan. It was created to prevent what it refers to as "wrongful disclosure of video tape rental or sale records ." Congress passed the VPPA after Robert Bork's video rental history was published during his Supreme Court nomination. It makes any "video tape service provider" that discloses rental information outside the ordinary course of business liable for up to $2500 in actual damages.
In 2008, a class action lawsuit against Blockbuster Inc. was filed over the release of customer rental and sales records to Facebook through the controversial Facebook Beacon program. The lawsuit alleged the release of the records was a violation of the Video Privacy Protection Act.
In December 2009, an anonymous plaintiff filed a lawsuit against the online DVD rental company Netflix over its release of data sets for the Netflix Prize, alleging that the company's release of the information constituted a violation of the VPPA.
This act was referenced in the Lane v. Facebook, Inc. class action. Based on this act it is generalized to other forms of rental records such as DVDs and Video games etc.
Netflix cited the act in 2011 following the announcement of its global integration with Facebook. The company noted that the VPPA was the sole reason why the new feature was not immediately available in the United States, and it encouraged its customers to contact their representatives in support of legislation that would clarify the language of the law.
In 2012, Netflix changed its privacy rules so that it no longer retains records for people who have left the site. This change was due directly to a lawsuit indicating violation of the act.
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