Feeds

Apple, AT&T settle 'bait and switch' iPad 3G data plan lawsuit

Forty bucks may be waiting for you, aggrieved iPad owner

Internet Security Threat Report 2014

Apple and AT&T have agreed to a proposed settlement of a class-action lawsuit that may drop forty bucks into your pocket should you have purchased a 3G-enabled iPad before June 7, 2010.

The lawsuit, filed on June 9, 2010, accused Apple and AT&T of using bait-and-switch chicanery when selling those iPads, promising unlimited data plans that would, the complaint alleged, "always be available at the customers option" – but such plans were eliminated by AT&T on June 7, 2010.

"Apple and AT&T announced this policy change," the complaint explained, "within just weeks after selling hundreds of thousands of 3G-enabled iPads upon the product's initial launch."

The complaint also noted that the 3G-enabled iPads in question "cost customers approximately $130 more (before tax) than an equivalent iPad without 3G capability."

The terms of the proposed settlement won't recoup that entire amount, however. Agreed to last Thursday, the Apple half of the settlement will "pay $40, in the form of a check," to anyone who purchased a 3G iPad on or before June 7, 2010, if they "submit a timely and valid claim."

For its part, AT&T will provide folks who purchased a 3G-enabled iPad but didn't sign up for a data plan with a 5GB data plan at a discounted price of $30 – a $20 discount – for up to one year. If AT&T should reduce its 5GB data plan price, the discount will remain at $20. If the claimant no longer owns the iPad in question, they can use the discount on a later-generation iPad.

Both Apple and AT&T will be required to notify all affected iPad purchasers by either email or snail mail, and a "Settlement Website" and toll-free telephone number will be set up to handle claims.

"Both settlements are the product of arms-length negotiations between the parties and their experienced counsels," the Notice of Motion reports, "who were well-informed about the legal and factual issues involved."

Those experienced counsels, the settlement states, may receive up to $1.5m from Apple and up to $250,000 from AT&T. The five plaintiffs in the case will each receive "up to $1,000 each, to compensate them for their commitment on behalf of the class members in these cases." ®

Providing a secure and efficient Helpdesk

More from The Register

next story
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Spies, avert eyes! Tim Berners-Lee demands a UK digital bill of rights
Lobbies tetchy MPs 'to end indiscriminate online surveillance'
How the FLAC do I tell MP3s from lossless audio?
Can you hear the difference? Can anyone?
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.