SETTLEMENT AGREEMENT BETWEEN THE UNITED STATES OF AMERICA AND BLOCKBUSTER INC.DEPARTMENT OF JUSTICE COMPLAINT NUMBER 202-35-231

BACKGROUND

1. This matter was initiated by a complaint filed under Title III of the Americans with Disabilities Act of 1990 ("ADA"), 42 U.S.C. §§ 12181-12189, with the United States Department of Justice ("United States") against Blockbuster Inc. ("Blockbuster"), the owner and operator of retail stores where Blockbuster provides video rental services and sells videos and other goods to the public. Blockbuster owns and operates more than 3,000 retail stores located throughout the United States. The Complainant, an individual with a disability, alleges that Blockbuster denied her an equal opportunity to enjoy its goods, services, and facilities at several stores because the Complainant was accompanied by the Complainant´s service animal. The Complainant alleges that the denial of access continued to occur at Blockbuster stores even though the Complainant had contacted Blockbuster management to ensure that she and her service animal would be allowed in Blockbuster stores and had been assured that such access problems would be properly addressed.

2. The Attorney General of the United States ("Attorney General") is authorized to enforce Title III of the ADA by seeking damages, civil penalties, and full compliance with Title III´s provisions. 42 U.S.C. § 12188(b); 28 C.F.R. § 36.504. The Attorney General may commence a civil action to enforce Title III in any situation where the Attorney General believes that a pattern or practice of discrimination exists or a matter of general public importance is raised. 42 U.S.C. §12188(b)(1)(B); 28 C.F.R. § 36.502.

3. The retail stores owned and operated by Blockbuster are places of public accommodation covered by Title III of the ADA. 28 C.F.R. § 36.104. As the owner and operator of the retail stores, Blockbuster is a public accommodation covered by Title III of the ADA. 42 U.S.C § 12181(7)(F); 28 C.F.R. § 36.104.

4. The ADA prohibits public accommodations, including those operating retail stores, from discriminating against an individual on the basis of disability in the full and equal enjoyment of its goods, services, facilities, and accommodations. 42 U.S.C. §12182(a); 28 C.F.R. § 36.201.

5. The ADA specifically requires public accommodations to make reasonable modifications in policies, practices, and procedures to permit the use of service animals by persons with disabilities. 42 U.S.C. § 12182(b)(2)(A)(ii), 28 C.F.R. §36.302(a),(c)

6. Prior to the United States´ investigation, Blockbuster had taken certain steps to comply with Title III of the ADA, including the adoption and dissemination of relevant policies and providing certain training to store personnel.

7. None of the agreements, statements, or actions reflected herein shall be deemed an admission of wrongdoing or liability by Blockbuster. The agreements, statements, and actions are made in order to compromise and settle certain disputed complaints against Blockbuster and shall not be used for any other purpose except as stated herein.