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Apple Loses Appeal, Allowing Consumer Class Action, ET BrandEquity


Apple has failed to persuade a U.S. appeals court to consider blocking a class-action lawsuit accusing the iPhone maker of monopolizing the iPhone app market and maintaining artificially high prices for tens of millions of customers.

The 9th U.S. Circuit Court of Appeals on Friday rejected Apple’s request for a pretrial appeal after a California federal judge in February allowed consumers to unite to seek billions of dollars in alleged damages.

U.S. District Judge Yvonne Gonzalez Rogers certified a class of consumers who spent at least $10 on Apple apps or in-app purchases since 2008. The lawsuit, filed in 2011, accuses Apple of violating U.S. antitrust law by too strictly limiting how customers can download applications.

Apple and lawyers for the plaintiffs did not immediately respond to requests for comment on Tuesday. An appeals court panel rejected Apple’s appeal without a hearing.

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Apple argued that Rogers’ ruling would unfairly allow at least 10 million App Store accounts to be included in the case without the plaintiffs showing alleged harm to account holders.

Lawyers for Apple’s clients urged the 9th Court not to hear the case, arguing that Rogers “faithfully” followed prior rulings in deciding to approve class status.

Apple compared it to the Google class action lawsuit brought by 21 million consumers, which the 9th Circuit said would be heard last year. But the appeals court never ruled in the Google case after the trial judge said he would invalidate his order approving the class action lawsuit.

Apple plaintiffs filed a complaint in court earlier this year, arguing that their case “has endured too many delays due to scorched earth and Apple’s flawed litigation tactics.”

Both sides have suggested a possible trial window of 2026.

The U.S. Department of Justice in March separately charged Apple in federal court in New Jersey with monopolizing the smartphone market. Apple has denied these claims and said it would ask a judge to dismiss the lawsuit.

The case concerns the Apple iPhone antitrust case, 9th U.S. Circuit Court of Appeals, No. 24-875.

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Apple is appealing a massive EU fine over music streaming restrictions

An EU court on Tuesday said Apple was challenging a 1.8 billion euro ($1.9 billion) fine imposed by the European Union for obstructing access to information about cheaper music streaming services. The commission found that Apple prevents app developers from informing users of the iOS operating system about cheaper music subscription services available outside the App Store.

  • Posted on May 29, 2024 at 11:40 am EST

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