Apple Settles an AppleCare Class Action Lawsuit for $95 Million
Apple has agreed to pay out $95 million to settle a class action lawsuit that accuses the company of replacing products covered by AppleCare and AppleCare+ with refurbished devices, an alleged breach of advertised policies.
Dating back to a complaint filed in 2016, the class action lawsuit takes aim at Apple’s practice of replacing products covered by its first-party warranties with refurbished equipment. The strategy is claimed to run afoul of false advertising and unfair competition laws.
Apple’s documentation notes AppleCare and AppleCare+ services promise to repair an iPhone or iPad that exhibits a hardware defect or accidental damage, or replace it with a device that is “equivalent to new in performance and reliability.” Plaintiffs in the case argue that remanufactured or refurbished hardware does not meet Apple’s stated criteria.
