Joystiq writes, "So much for our Friday night plans to give The Iron Giant the ol' MST3K treatment. Just as we were dimming the lights and pulling our headsets close, the fine print struck: "This can't be watched with a party." As it turns out, certain Netflix Instant Watch videos can't be subjected to the new "Movie Parties" feature, included in the next Xbox Live Dashboard update. Pineapple Express and The Legend of Drunken Master are two additional examples of incompatible movies we stumbled across -- there's no way to tell until you select a movie in your queue -- in our preview of the updated Netflix experience (video after the break). One obvious connection is that all three films are licensed under Netflix's "Starz Play" catalog."