Apple Set to Appeal $450 Million Settlement – Design & Trend

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Apple iPad Air 2

A US judge on Friday gave the final approval to Apple’s agreement to compensate consumers harmed by an illegal price-fixing scandal for electronic books for $450 million.

US District Judge Denise Cote called the negotiation a “highly unusual” accord. Apple will pay $400 million to 23 million consumers if the company cannot prove its innocence in a ruling that found the company liable for antitrust violations.

The settlement was “fair, reasonable and adequate”, according to the court.

Apple plans to appeal the decision.

“This settlement proves that even the biggest, most powerful companies in the world must play by the same rules as everyone else,” New York state Attorney General Eric Schneiderman said in June, after the agreement.

The case concentrates on Apple’s deal with the publishers involved with its iPad tablet.

If the deal is overturned, Apple will have to pay consumers $50 million and $20 million to lawyers.

Before Apple entered the world of E-books, publishers complained about Amazon’s $9.99 price for many titles.

In a July 2013 Cote’s ruling, Apple violated antitrust laws by collaborating with five publishers to help push E-book prices higher. The court issued an injunction stopping Apple from engaging in any more practices like such.

HarperCollins, Penguin, Macmillan, Hachette and Simon & Schuster have also been found guilty and have settled to pay $166 million.

If Apple loses its appeal, it will pay consumers who bought certain E-books between April 2010 and May 2012 $566 million.

Apple’s appeal is set for Dec. 15. 

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Apple Set to Appeal $450 Million Settlement – Design & Trend

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