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Apple hit by lawsuit over in-app purchases by kids
Corporate Governance | 2011/04/20 09:20

Apple is facing a lawsuit from a Pennsylvania man whose 9-year-old daughter racked up $200 in charges buying "Zombie Toxin" and other game items on her iPod.

The lawsuit seeks class-action status, saying Garen Meguerian of Phoenixville is among many people with bill shock after children went on buying sprees in iPhone, iPad and iPod games. These games are typically free to download, but players can buy items that speed up the game.

An Associated Press story in December highlighted the issue. In many cases, it appeared that children bought items such as "Smurfberries" from "Smurfs' Village" without knowing they were spending real money. ITunes didn't ask for a password for in-game purchases if it had been entered within the previous 15 minutes for any reason. This meant that parents could download a free app, hand over their devices to their kids, and later find big charges on their iTunes accounts.

Apple reversed the charges of complaining customers. It also tightened its password policy with a software update in March. Entering the password outside an app no longer triggers a password-free period for in-app purchases, which now have a separate 15-minute timer.

Apple spokeswoman Kristin Huguet said the company does not comment on pending litigation.



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Class action or a representative action is a form of lawsuit in which a large group of people collectively bring a claim to court and/or in which a class of defendants is being sued. This form of collective lawsuit originated in the United States and is still predominantly a U.S. phenomenon, at least the U.S. variant of it. In the United States federal courts, class actions are governed by Federal Rules of Civil Procedure Rule. Since 1938, many states have adopted rules similar to the FRCP. However, some states like California have civil procedure systems which deviate significantly from the federal rules; the California Codes provide for four separate types of class actions. As a result, there are two separate treatises devoted solely to the complex topic of California class actions. Some states, such as Virginia, do not provide for any class actions, while others, such as New York, limit the types of claims that may be brought as class actions. They can construct your law firm a brand new website, lawyer website templates and help you redesign your existing law firm site to secure your place in the internet.
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