Barry Willis

The world's largest video rental chain has been slapped with a class-action lawsuit over what plaintiffs' attorneys are calling "excessive late fees." Asserting that late fees are punitive and exceed any real costs incurred, Santa Monica law firm O'Neill, Lysaght & Sunn, LLP filed suit against <A HREF="http://www.blockbuster.com/">Blockbuster Inc.</A> Wednesday, August 23, in Los Angeles. The plaintiff: one Monica Rocha of Hollywood, and a "class" of other Blockbuster customers.

The world's number-one video rental business will join the Internet gold rush early next year. <A HREF="http://www.blockbuster.com/">Blockbuster Video</A> announced October 20 that it will relaunch its website in November with sales of new and used VHS tapes and DVDs. Video rentals will be available online sometime in the second quarter of next year, company executives said.

Many of <A HREF="http://www.blockbuster.com/">Blockbuster Inc</A>.'s 5100 US video outlets will soon become satellite stores for <A HREF="http://www.radioshack.com/">RadioShack Corporation</A>, thanks to a partnership agreement announced by the retailing giants February 27.

The business world has a strange way of making putative adversaries into the best of friends. <A HREF="http://www.blockbuster.com/">Blockbuster Inc.</A>, the nation's largest video rental chain, has struck a sweetheart deal with <A HREF="http://www.directv.com/">DirecTV</A>, the nation's largest direct-broadcast satellite service. The two businesses have long been viewed as competitors for the same customers.