Appeals court upholds Apple’s e-book settlement

The 2nd U.S. Circuit Court of Appeals in New York has upheld Apple’s $450 million settlement in an e-book price fixing case, rejecting a challenge by a purchaser who questioned the fairness of the settlement, Reuters reports. Apple is still appealing the ruling that it is liable for conspiring to raise e-book prices, but agreed to a settlement that leaves the company paying out different amounts based on how its appeal goes. U.S. District Judge Denise Cote agreed to a deal letting the company pay $450 million to compensate consumers and cover legal fees if the judgment is upheld, $70 million if the case is ordered to retrial and nothing at all if the liability finding is overturned. The challenge accused Cote of abusing her discretion in authorizing the settlement, but an expert witness testified that the deal, combined with $166 million of earlier settlements with the publishers, would likely provide consumers with more money than they claimed to lose in the suit. In today’s decision, the 2nd Circuit ruled that Cote did not overstep her bounds in approving the settlement.

Latest News