Yes, this is exactly what the issue is. (I have worked on these types of deals before).
All of these types of media deals stipulate that the licensee has to implement appropriate technologies (often spelled out on the contract) that support the licensing restrictions of the content (usually something like "commercially reasonable efforts" which gives Netflix some wiggle room over what measure are "reasonable")
All of these types of media deals stipulate that the licensee has to implement appropriate technologies (often spelled out on the contract) that support the licensing restrictions of the content (usually something like "commercially reasonable efforts" which gives Netflix some wiggle room over what measure are "reasonable")