Apple Faces Class Action Over Alleged App Store Injunction Violations

Apple is facing renewed legal challenges after a proposed class action lawsuit alleged the company ignored a federal court injunction intended to loosen its control over App Store payments, resulting in inflated fees for developers. The lawsuit, filed by Pure Sweat Basketball, follows a recent ruling by U.S. District Judge Yvonne Gonzalez Rogers that found Apple willfully violated her 2021 order by imposing a new 27% fee on out-of-app purchases and maintaining practices that hindered developers from offering alternative payment options. Judge Rogers also referred Apple and an executive to federal prosecutors for a potential criminal contempt investigation, accusing the company of purposefully misleading the court and preserving its lucrative revenue streams. Apple has denied any wrongdoing and filed an appeal against the contempt finding, while developers are seeking restitution for damages estimated at hundreds of millions or even billions of dollars. The legal dispute originally stemmed from a lawsuit brought by Epic Games, which sought to reduce Apple's dominance over in-app transactions. The court has also barred Apple from using deterrent tactics such as 'scare screens' to dissuade users from utilizing third-party payment systems.