Netflix spends an estimated $110,000 a year lobbying in Israel, court documents indicate
A receipt filed by lobbying firm JLM Public Policy shows a $9,145 payment for regulatory and policy work in May. The invoice surfaced during litigation over Netflix's content agreement with Kan.
Netflix spent $9,145 on lobbying efforts in Israel in May, according to documents filed in court by JLM Public Policy, a firm that provides lobbying services to the streaming giant in Israel. Although this figure represents a single month's expenditure, companies typically engage lobbying services on a fixed retainer basis; consequently, Netflix's annual lobbying costs in Israel can be estimated at approximately $110,000.
The documents were submitted as part of an administrative petition filed by the "Hatzlacha" organization against the public broadcaster Kan and Netflix, demanding that both parties disclose the details of their agreement. About three years ago, Kan signed a deal with Netflix making the broadcaster's original series available for streaming to viewers in Israel. The arrangement sparked criticism within the local content industry: producers claimed they were not receiving adequate royalties for the Netflix broadcasts, while actors, voice actors, and musicians stated they received no royalties from the company at all.
Against this backdrop, the "Hatzlacha" organization filed a lawsuit last month against Kan and Netflix, seeking to compel them to disclose the full agreement between them, including all appendices, addenda, amendments, and updates.
"The right to obtain information from government authorities is a cornerstone of the democratic system of government and is inherent in the very functioning of these authorities in promoting the public interest," the claim stated. "This applies with even greater force to matters of public importance."
As Netflix is a foreign company with no local branch, a request was successfully made to serve the petition papers upon JLM as its local representative. In a response filed with the court last week, JLM argues that it does not act as Netflix’s representative for the purpose of service of process, noting, among other things, that it provides lobbying services to a Netherlands-registered subsidiary of Netflix, and that these services are unrelated to the subject matter of the petition.
As part of its response, JLM also attached a receipt issued to Netflix for services provided last May. According to the receipt, Netflix paid $7,750 that month for "regulatory and strategy (policy)" services provided by JLM, a total of $9,145 plus VAT.
