Judge Preliminarily Approves Historic Payment of Up to 500 Million Dollars As CPM Aids Apple iPhone Consumers Impacted By Software Slowdowns

News
2020

Judge Edward J. Davila preliminarily approved a historic settlement for U.S. consumers against Apple Inc. Apple has agreed to settle a nationwide class action based on allegations that Apple issued software updates that throttled or slowed down the performance of certain iPhones.  While the software updates were first provided in January 2017, the class action complaint alleges that Apple waited almost a year, until December 2017, to inform customers that the update slowed iPhone performance in an attempt to prevent phone-crashing power spikes.  

Cotchett, Pitre & McCarthy served as Co-Lead Counsel along with Kaplan Fox & Kilsheimer, representing Apple customers in the action.   

Under the proposed settlement, Apple will pay a minimum of $310 million and up to $500 million in cash compensation.  The settlement is subject to Court approval. 

In 2019, the Court ruled on Apple’s motion to dismiss and allowed several claims in the litigation to move forward, including violation of the federal Computer Fraud and Abuse Act, California’s Computer Data Access and Fraud Act, California’s Unfair Competition Law, and Trespass to Chattels.   

Joseph W. Cotchett, the co-lead counsel at Cotchett, Pitre & McCarthy, LLP, said: “We are delighted to submit this settlement to the Court for preliminary approval. The settlement provides substantial relief to Apple consumers and, going forward, will help ensure that customers are fully informed when asked to update their products.” 

Fred Fox one of the lead attorneys at Kaplan Fox & Kilsheimer stated: "We believe the proposed settlement provides a significant cash benefit to the proposed settlement class and we look forward to presenting it to the court."

Mark C. Molumphy, a partner at Cotchett, Pitre &, McCarthy, LLP, said: “The settlement is the result of years of investigation and hotly contested litigation.  We are extremely proud to submit this resolution to the Court and, if approved, providing immediate cash payments directly to impacted Apple customers.” 

The case is In re Apple Inc. Device Performance Litigation, Case No. 5:18-md-02827-EJD (NDCA)

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