It’s not just the Department of Justice (DOJ) — Apple is facing a handful of class-action lawsuits that could affect millions of consumers.
Most recently, according to a Reuters report, at least three class-action suits in California and New Jersey were filed on March 22, a day after the DOJ and 16 other state and district attorneys general slapped the iPhone maker with an antitrust suit, charging that it illegally monopolizes the smartphone market and stifles competition. According to the report, the class-action suits bring charges similar to what the government alleges.
The suits deal with various aspects of the tech giant's business model, from the app store to its dial wallet to messaging, alleging that Apple has forced users to exclusively use its high-cost digital offerings.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
One of the class-action complaints filed in the U.S. District Court for the Northern District of California charges that Apple's smartphones have technological, psychological and expense barriers that make it difficult for users to leave its platform and buy other non-Apple devices.
“By trapping consumers in its ecosystem, Apple has severely restricted competition from other smartphone manufacturers to unlawfully maintain a durable monopoly over the market,” the complaint charges. “As a monopolist, Apple has overcharged hundreds of millions of consumers on smartphones while generating historic returns.”
Two other class actions filed
The three suits against Apple follow at least two others, which are filed in the same district court. One of the two class-action suits charges that you're overpaying for Apple iCloud storage. The suit, filed on March 1, alleges that Apple makes it difficult for customers to use alternative data storage options.
In February, a district judge certified that a separate class-action suit can proceed against Apple. In this suit, class members allege that Apple is monopolizing the iPhone app market.
Next steps
While these suits are still in the early stages, they are expected to eventually consist of millions of Apple users, experts say.
In general, class actions can take years to litigate, and that is if they are litigated. Some cases result in settlements, and the payout for each class member may not always be significant.
Earlier this year, Apple settled a battery slowdown class-action suit, agreeing to pay up to $500 million. Each claimant in the 2018 iPhone case is expected to receive a payout of $92.17 during the coming weeks.
Verizon agreed to a $100 million class-action settlement earlier this year, which is expected to result in a $15 to $100 payout, depending on how long Verizon users were customers as well as the number of other settlement class members. (The deadline to submit a claim in the Verizon case is April 15.)
The law firms handling class actions will post a form on their websites for potential claimants. If they find you eligible, you could be invited to join the class-action suit. In certain suits, you may be automatically included.
Seattle-based law firm Hagens Berman, which has filed a number of cases against Apple over the years and is involved in at least two of the recent cases against the company, has a form and more information about the complaint it filed on its website.
To find out more about class-action suits, go to www.consumer-action.org, which also allows you to track settlements.
RELATED CONTENT
-
How to Navigate Your Medicare Advantage Plan in a DisasterIf you're a Medicare Advantage member in an area that has been impacted by a disaster, you might be worried about access to care and medicine. Here's what you need to know.
-
Older Investors: Boost Your Savings and Retire EarlierThis one measure can help older investors retire up to two years earlier and potentially double their retirement savings.
-
Do Baby Boomers Spend More on Travel? What You Can Learn from Each GenerationBaby Boomers lead in travel spending, but younger travelers may be getting better value. See how older travelers compare with younger ones — and what each generation can learn about smarter travel.
-
My First $1 Million: General Manager in Construction/Home Services, 46, IndianaEver wonder how someone who's made a million dollars or more did it? Kiplinger's My First $1 Million series uncovers the answers.
-
Google's AI Overview Is Wrong About Life Insurance 57% of the Time, Says StudyYou need more than a grain of salt when getting life insurance tips from Google's AI overview.
-
How Apple’s Tariff Strategy Could Affect Your Next iPhone UpgradeApple’s $100 billion US expansion could shift iPhone assembly stateside — impacting pricing, availability and your next upgrade decision.
-
Your Retirement Side Hustle Starter Kit: The Essential Tools and Apps You NeedCheck out seven awesome tools and apps to jumpstart your retirement side hustle with confidence.
-
Roku Launches $2.99 Ad-Free Streaming Plan: Howdy ExplainedRoku just launched Howdy, an ad-free streaming service with 10,000 hours of classic content. Here's how it compares to other platforms.
-
Time for a Money Checkup: An Expert Guide to Realigning Your Financial GPSEven if your financial plan is on autopilot, now is the perfect time to make sure it's still aligned with your goals, especially if retirement is on the horizon.
-
How to Break Free From the 'One More Year' Trap and Actually RetireDespite having more than enough money to retire, some people simply cannot leave their jobs.
