Newsletters
News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
This ad will display for the next 20 seconds. Click for more information, or
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
Apple/Mac
Tame your scariest paperwork. Find Out How
Average Rating:
Rate this article:  
Apple Settles on Damages in Digital Book Case
Apple Settles on Damages in Digital Book Case

By Michael Liedtke
June 19, 2014 9:38AM

    Bookmark and Share
After a prolonged legal battle, Apple has agreed to settle an e-books price-fixing class action lawsuit. Lawyers representing consumers had been seeking up to $840 million in damages. The Justice Dept. filed its antitrust case against Apple and the publishers in 2012 after an investigation concluded that Steve Jobs spearheaded the price-fixing.
 



Apple has reached a settlement on the damages owed to consumers for orchestrating a scheme to drive up the prices of digital books.

Terms of the settlement weren't disclosed in a document filed late Monday. More details will emerge in a filing due by July 16 in a New York federal court.

Lawyers representing consumers across the country had been seeking up to $840 million in damages. A trial on the damages claims had been scheduled to begin Aug. 25 in New York.

In another trial last year, U.S. District Judge Denise Cote ruled that the iPad and iPhone maker colluded with several major publishers to boost electronic book prices from April 2010 to May 2012.

Apple Inc. has appealed Cote's decision. The Cupertino, California, company has steadfastly contended that its deals with several major publishers helped foster competition by giving consumers more choices in an electronic book market that had been dominated by Amazon.com Inc.

If Apple prevails on the appeal, the settlement on the damages becomes moot.

Steven Berman, a Seattle lawyer representing the shoppers in the suit, declined to comment on the settlement Tuesday because of a court order.

Apple also declined to comment.

Five major publishers -- Hachette, HarperCollins, Simon & Schuster, Macmillan and Penguin Group -- were found to be involved in the price-fixing conspiracy. Those publishers previously agreed to pay a total of about $166 million to cover their damages.

The U.S. Department of Justice filed its antitrust case against Apple and the publishers in 2012 after an investigation concluded that Apple's late CEO, Steve Jobs, came up with a new pricing formula designed to counter Amazon's aggressive discounting on digital books.

Jobs worked out the agreements as Apple was preparing to introduce its iPad to compete against Amazon's electronic reader, the Kindle.

The arrangements resulted in digital books selling for several dollars above the $9.99 pricing standard that Amazon had been pushing.

Apple's plot resulted in millions of consumers being overcharged for electronic books, according to the lawsuits filed by 33 states and U.S. territories and other lawyers representing consumers across the country. The damages were being sought as part of those lawsuits.

An expert hired by the suing attorneys estimated that the higher prices for electronic books collectively cost buyers an additional $280 million. Those damages could have been tripled under U.S. antitrust law.

Attorneys general in 24 of the states involved in the case also were seeking to force Apple to pay another $9 million in civil penalties, according to estimates in court documents. It's unclear if the settlement will cover the additional penalties sought by those states.
 


© 2014 Associated Press under contract with NewsEdge. All rights reserved.
 

Tell Us What You Think
Comment:

Name:





 Apple/Mac
1.   MacBook Pros Get Update, Price Cut
2.   U.S. Firms Fish for Growth Overseas
3.   Will Next OS X Bring New Apple Grief?
4.   Apple and Samsung Feel the Heat
5.   Apple Faces Suit Over Work Breaks


advertisement
Apple Digital Book Settlement Set
But company still appealing decision.
Average Rating:
U.S. Firms Fish for Growth Overseas
Tech trendsetters are going abroad.
Average Rating:
Earnings, Excitement Grow for Apple
Momentum mounts as rumors swirl.
Average Rating:


advertisement
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Canadian Government Charges China With Cyberattack
The government of Canada is not happy with China. Canadian officials have accused "a highly sophisticated Chinese state-sponsored actor" of launching a cyberattack on its National Research Council.
 
Researchers Working To Fix Tor Security Exploit
Developers for the Tor privacy browser are scrambling to fix a bug revealed Monday that researchers say could allow hackers, or government surveillance agencies, to track users online.
 
Wall Street Journal Hacked Again
Hacked again. That’s the story at the Wall Street Journal this week as the newspaper reports that the computer systems housing some of its news graphics were breached. Customers not affected -- yet.
 

Enterprise Hardware Spotlight
Apple Updates MacBook Pros, Cuts Prices Up to $100
The popular MacBook Pro laptop line just got an update and a price cut of as much as $100. The MacBook Pro with Retina display now includes faster processors and double the memory.
 
Watson Gets His First Customer Service Gig
Since appearing on Jeopardy, IBM's Watson supercomputer has been making a living using his super-intelligent knowledge base for business verticals. Now, Watson's been hired for his first customer service job.
 
Tablet Giants Apple and Samsung Feel the Heat
When a company saturates its home market with a once-hot product, expect it to pump up efforts elsewhere. Apple, for its part, is now pushing iPads to big corporations and the enterprise market.
 

Mobile Technology Spotlight
Android 'Fake ID' Puts Millions of Users at Risk
Having this fake ID is nothing to brag about, even if you are a minor. The “Fake ID” Android flaw drops malware into smartphone apps. It can steal credit card data and even take over your device.
 
FTC Wants Fix for 'Perfect Scam' of Mobile Cramming
The U.S. Federal Trade Commission has issued new guidelines to curb “mobile cramming,” a troublesome practice that adds unauthorized third-party charges to mobile phone bills.
 
Facebook: You Will Use Messenger, and You Will Like It
Starting this week, Facebook users with Android and iOS phones will be forced to use the separate Messenger app to send Facebook messages. Pending messages will still be visible in the main app.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | CRM Systems | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.