Apple wins temporary reprieve in e-books damages trial as U.S. appeals court to consider stay

in General Discussion edited April 2014
The U.S. Court of Appeals for the Second Circuit on Friday issued a brief order agreeing to consider Apple's motion for a stay of the upcoming e-books damages class action suit leveled by 33 states and a group of consumers.

Apple's closing slide in its e-book antitrust case. | Source: U.S. District Court

In the concise filing, the Second Circuit referred to a three-judge panel Apple's request for a stay of class notification, as well as another for the damages trial as a whole, on appeal of a 2013 ruling that found the company guilty of e-books price fixing.

Further, the court granted an administrative stay of class notification, which U.S. District Court Judge Denise Cote granted to a group of consumers in March, scheduled to be disseminated on Monday.

As noted by Reuters, the order comes two days after Judge Cote denied the same two Apple motions, including an administrative motion to stay class notice ahead of an appeal.

Apple lawyer Theodore Boutrous said in a letter to Judge Cote on Wednesday that the release of notification of class certification scheduled for Apr. 28 would cause irreparable harm to the company.

Plaintiffs in the case, which include a class of consumers and state attorneys general representing 33 states and territories in parens patriae capacity, have been pushing Judge Cote to get proceedings underway. The suit has already seen a delay from May to July.


  • Reply 1 of 18
    damn_its_hotdamn_its_hot Posts: 1,196member

    I love it. I don't think Apple was price fixing anymore than Amazon was. Amazon just didn't like Apple playing in their sandbox. LMAO


    Of course we will have to wait for the yo-yo togo up and down a couple more times before we can get an answer that may stick (for awhile).

  • Reply 2 of 18
    phone-ui-guyphone-ui-guy Posts: 1,019member
    So sick of Cote. Liking the appellate court.
  • Reply 3 of 18
    Cote looks like a .....,
  • Reply 4 of 18
    Lawyer's comment: 2 Thumbs up to the Appeals Court -

    This whole suit has been a JOKE - back stupid joke.

    I say this owning a great deal of Apple Long and Deep in the money calls, and small amount of Amazon.

    Apple/Jobs brought competitive pricing to the scene - without which Amazon/Bezos would have taken out all retain/mortar and then JACKED UP the price/cost of books.

    Shameful that lower courts let this get to this point. 2 Thumbs up to the Appeals Court - I say they grant the Stay, goes to Appeals -and the whole thing is thrown in the toilet as it should have.

    Apple brought/brings competition to the scene so Amazon does not monopolize (which is why I bought a little bit of Amazon stock .. thrilled it got wacked today) %u2026

    Apple brings innovation and protects the consumer with competition.
  • Reply 5 of 18
    SpamSandwichSpamSandwich Posts: 33,407member

    I defy the government or any of the states to produce ANYONE who suffered damages due to what Apple is accused of doing. This is all a giant 'Chicago mob style shakedown'.

  • Reply 6 of 18
    irelandireland Posts: 17,794member
    A group of consumers?
  • Reply 7 of 18
    SpamSandwichSpamSandwich Posts: 33,407member

    Originally Posted by Ireland View Post

    A group of consumers?


    Let's see 'em. Let Apple face their accusers.

  • Reply 8 of 18
    tallest skiltallest skil Posts: 43,388member
    Originally Posted by Ireland View Post

    A group of consumers?


    OOH! No, see, it’s subtle. Amazon is the one suffering damages because of Apple! They’ve already faced their accuser!

  • Reply 9 of 18
    charlitunacharlituna Posts: 7,217member
    Given Cote's behavior has been reinforcing the idea that she judged Apple guilty before the trial even started and has refused to back down, I'm glad to aee Apple has been able to go over her head. She never should have been allowed to try the case after those early comments.
  • Reply 10 of 18
    charlitunacharlituna Posts: 7,217member
    - without which Amazon/Bezos would have taken out all retain/mortar and then JACKED UP the price/cost of books.

    Forget that issue, especially since we don't know that Amazon would ever jack up the prices.

    Consumer law is supposed to be about balancing things both between consumer and retailer and retailer and retailer. Setting a scene where consumers can get fair treatment because the retailers are on an even playing field.

    And Amazon has been allowed two stunts that abuse that field thus hurting fellow retailers. First is being allowed exclusive contracts to items for as much as 4-5 years (in all forms of media not just ebooks). Second is being allowed to sell those ebooks at prices other retailers can't afford to match because they don't have the blanket of other goods that allows Amazon the luxury of ebooks being a loss leader.

    Where was the DOJ during that. Where were they when Amazon took entire publisher catalogs in all formats off line over rumors the publisher was considering talking to Apple.
  • Reply 11 of 18
    freerangefreerange Posts: 1,595member
    Finally some sanity might come to this case!
  • Reply 12 of 18
    jungmarkjungmark Posts: 6,924member
    I guess Amazon didn't "contribute" to the Court of Appeals. The case is a shame in the first place.
  • Reply 13 of 18
    So I was wondering why the government (states) would want to go ahead with the damages trial, when there is a pending appeal?

    I though it might be a waste of taxpayer money,

    I asked my lawyer friends:

    States' attorneys are politicians, they need wins, and a win against Apple is a big newspaper headline win.

    Judge Cote got the publishers to settle, and found Apple guilty. If the state and class action lawsuit judged by Cote found Apple guilty (which of course it would) it would make it much harder for other judges to side against Cote
  • Reply 14 of 18
    hill60hill60 Posts: 6,992member
    It's about time this got out of the witch Cote's clutches.

    This travesty has been a set up for Apple since day one.

    Apple are innocent and will be exonerated.

    They are merely a retailer who allowed wholesalers to set whatever price they wanted, which opened up the eBook market to competition.
  • Reply 15 of 18
    ruddyruddy Posts: 94member
    Originally Posted by FreeRange View Post

    Finally some sanity might come to this case!

    Not necessarily. This "stay while we consider a stay," is obligatory on the 2nd Circuit's part. Apple's claim of potential irreparable harm would have to be totally frivolous for them not to grant it, and millions (even billions) of dollars and the loss of reputation at stake here aren't frivolous. It says nothing whatsoever about the merits of Apple actually being granted a stay pending the appeal. It merely says, "yup, Apple could be harmed if they lose."


    For the 2nd Circuit to deny the stay, the way I understand it, they have to come to the conclusion that Apple's appeal isn't likely to prevail. Conversely, if they do grant the stay, they are saying they think Apple's appeal is likely to succeed. While it's pretty obvious Cote has a hardon to penalize Apple in any way she can, we can't say much yet for the 2nd Circuit's position. For them to reverse her price-fixing ruling, or even hint at it, they will essentially have said she abused her discretion. But even if Apple loses the appeal at the circuit level, one only needs to read Leegin to see what the Supreme Court will do.

  • Reply 16 of 18
    airbubbleairbubble Posts: 105member
    If think the American justice is wearing "blinkers" against Apple in this case.
    Forgetting this is a Global Market & these are Global Players!

    Yes they're looking only into their backyard & trying to out-law one business model over another.
    In Europe right now they are still trying to figure out how to make this an even playing-field, collecting taxes
    on all books & ebooks.
    Unfortunately they also forget they are meant to be a boarder-less zone, even though they Europe Union has
    supported Apples efforts & call for a one stop shop for all of Europe.
    They the European Union has dawdled so has they their commerce (Operators & Media) could catch-up to sell
    their goods via the new models.

    Here are some interesting links:



    I remember reading some time ago about the taxes added to ebooks was to support the paper-mills for production of real books!
    This now seems to be forgotten.
  • Reply 17 of 18
    Can someone give me as objective as possible a summary of what exactly was so bad here?

    Everything I've read I can't logically see how anything bad was done.
  • Reply 18 of 18
    tallest skiltallest skil Posts: 43,388member
    Originally Posted by AnAmazingThing View Post

    Can someone give me as objective as possible a summary of what exactly was so bad here?



    Amazon creates monopoly.

    Amazon makes it impossible for publishers to compete.

    Apple enters market.

    Apple breaks monopoly.

    Amazon pressures government to sue Apple.

    Government sues Apple.

    Shockingly finds them guilty of… creating a monopoly.

    Which is the exact opposite of what Apple did.

    Woman inherits the Earth.

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