Apple Inc. (NASDAQ:AAPL) has announced a settlement for iTunes users whose children bought hundreds or thousands of dollars in in-app purchases. The announcement was made in an email from the Apple In-App Purchase Litigation Administrator, reports 9to5Mac’s Scott Buschemi.
Details On Apple’s Settlement
Users who had charges that were less than $30 will be eligible to get a $5 iTunes gift card. Cash refunds will be limited to those whose children racked up more than $30 in in-app purchases.
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According to the email, the settlement covers in-app purchases of game currency that were made by minors without the user’s permission or knowledge. The U.S. District Court for the Northern District of California will have another hearing to decide whether the settlement will be approved, clearing the way for Apple Inc. (NASDAQ:AAPL) to pay out the settlement.
The Class Action Lawsuit Against Apple
The settlement offer is in a consolidated class action lawsuit that was filed against Apple Inc. (NASDAQ:AAPL). In the case, iTunes users said that some iOS apps sold through the company’s App Store enabled in-app purchases of game currency without having to enter their password.
The apps in question were freemium apps which gave a 15-minute window immediately after the purchase of the app during which in-game purchases could be made without having to re-enter the password. The lawsuit dates back to 2011 when parents initially filed it. Apple Inc. (NASDAQ:AAPL) has now made it possible for the window to be closed in Settings.
Other Details On Apple’s Settlement
The email identifies class action members as U.S. residents whose iTunes accounts were charged for in-app purchases made by a minor without their knowledge or permission. Only purchases made in qualified apps are covered under the settlement. The email gives a website for parents to check which apps are qualified, and it identifies qualified apps as those with a minimum age of 4, 9 or 12 and that offer in-app purchases of game currency.
Users who were affected can chose from one $5 iTines gift card, a credit which for the amount of game currency that was purchased without their permission within one 45-day period, minus refunds already received.
Cash refunds will be made instead for those who no longer have an active iTunes account with Apple Inc. (NASDAQ:AAPL) or whose claims are more than $30. Those who want to take advantage of the settlement must submit a claim form in order to receive their benefits.