Apple has agreed to settle a consumer class-action lawsuit against the company over the iPhone and iPod Touch warranty claims, according to the documents filed with the United States District Court for the Northern District of California, Tuesday.
According to the class-action attorneys, Apple has agreed to pay $53 million to settle the consumer class-action suit associated with warranty denial for iPhone and iPod Touch devices, according to the Wall Street Journal. The attorneys for the consumers said that the settlement amount will be paid to over 153,000 owners of the original iPhone, iPhone 3G, iPhone 3GS, and the first three generations of the iPod Touch devices whose warranty claims were declined by Apple based on its Liquid Damage Policy. Also, 30 percent of the total amount will be paid as fee for the attorney.
According to the lawsuit, originally filed in 2010, Apple will be paying as much as $200 for each device reported damaged due to liquid contact and which was declined warranty, depending on the number of claims.
Consumers filed a lawsuit against Apple after hundreds and thousands of Apple iPhone/ iPod users discovered their devices were damaged after the white tape located near the headphone jack or the charging point turned pink or red. It was reported initially that this occurred due to water contact and Apple refused responsibility for the device despite its warranty status. All these Apple devices had one-year of standard warranty and two-years of extended warranty. But later, 3M, the manufacturers of the indicator tape, said that it may not be the liquid contact that changed the color of the tape but could be due to the heat and humidity.
Customers eligible for a part of the settlement amount will include those whose warranty claims for iPhones were declined before December 31, 2009 and for iPod Touches that were denied before June 2010. The settlement is subject to court's approval.
