Apple agrees to pay $ 95 million to settle lawsuit over claims of refurbished devices that are not “equivalent to new”

Apple reached a $ 95 million settlement on Friday that will, pending court approval, resolve a class action lawsuit accusing the company of violating Magnuson-Moss’s warranty law and other U.S. laws by giving customers refurbished replacement devices, according to court documents. was joined by MacRumors.

Apple’s U.S. Terms and Conditions of Repair state that, when servicing a customer’s product, the company “may use parts or products that are new or refurbished and equivalent to new in performance and reliability.” However, the plaintiffs in the lawsuit claim that the refurbished or “refurbished” devices are not “equivalent to new performance and reliability” and have therefore sought monetary compensation from Apple.

The class includes all U.S. residents who purchased an AppleCare Protection Plan or AppleCare +, either directly or through the iPhone Upgrade Program, on or after July 20, 2012, and received a refurbished replacement device. If approved, the settlement fund will be distributed equally to class members based on the number of refurbished replacement devices they have received, according to court documents.

The class is expected to receive a total of between 63.4 million and 68.1 million dollars after deducting attorney’s fees and other costs, according to the proposed terms of the settlement. If the settlement is approved, details will be available on, and class members will be contacted by e-mail or mail if possible.

Apple “vigorously denied” that the refurbished devices were worse, but decided to settle with prosecutors given the time and costs that would be associated with continuing the trial, according to court documents. Prosecutors are seeking the court’s approval on October 20 or as soon as it can be considered by the judge handling the case.

Case, Maldonado et al. Against Apple, Inc., etc., it was first filed in July 2016 with the U.S. District Court for the Northern District of California.

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Naveen Kumar

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