Attorney General Cameron Announces $113 Million Multistate Settlement with Apple Inc.
Kentucky Attorney General Daniel Cameron today announced a multistate settlement with Apple Inc., including more than 30 attorneys general. A payment of $113 million will be made for violating consumer protection laws by concealing malfunctions, misrepresenting iPhone products, and throttling iPhone performance.
Cameron and other attorneys accused Apple of sabotaging iPhone’s operational speed, and repetitive malfunctions. An investigation into Apple’s business practices is being conducted as a part of the settlement.
“Apple, Inc. violated the Kentucky Consumer Protection Act by deceiving consumers about their products and profiting from that deception,” Cameron stated in a press release. “Our Office of Consumer Protection fights on behalf of Kentuckians to ensure that companies who engage in deceptive or unfair business practices are held accountable. This settlement provides over $1.6 million to the Commonwealth and prevents Apple, Inc. from concealing information related to the performance of its products.”
The attorneys general also allege Apple consumers experienced iPhone battery issues. Many Apple customers have experienced unexpected power-offs or shutdowns in iPhones as early as 2012. The complaint addressed the processes of Apple releasing software updates, which lead to low performance afterward.
Apple agreed to pay a total $113 million to the more than 30 states. Kentucky will receive $1,696,490.38 from the technology giant for violating Kentucky’s Consumer Protection Act (KRS 367.110).
Additionally, the settlement also requires Apple to:
- Post information about iPhone performance management, lithium-ion batteries, and unexpected shutdowns in a prominent location on its website.
- Clearly and conspicuously notify consumers of any future iOS updates that may affect iPhone performance. This notification must be provided in the installation notes of the update.
- Provide iPhone consumers with information about the battery performance and service options in the user interface (e.g., Settings >Battery > Battery Health).
- Implement procedures to ensure Apple customer service representatives and Apple-authorized iPhone retailers are familiar with the above requirements and refer consumers to this information when appropriate.
Attorney General Cameron was joined by attorneys general of Alaska, Arizona, Arkansas, California, Connecticut, Florida, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Louisiana, Michigan, Minnesota, Missouri, Montana, Nevada, Nebraska, New Jersey, North Carolina, North Dakota, Ohio, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Vermont, Virginia, Wisconsin, and the District Of Columbia in the settlement.
Find more information on the complaint and consent judgment below.