Apple customers to receive $400M iBooks settlement payments on Tuesday
Customers impacted by Apple's alleged iBooks price fixing scheme will this week receive settlement payments in the form of store credit or checks for up to $6.83 per e-book, the law firm representing plaintiffs in the case announced on Monday.
Hagens Berman issued a press release notifying e-book purchasers of plans to dole out Apple's $400 million settlement fund starting Tuesday.
In compliance with the agreed upon terms, consumers are to receive payouts valued at twice their losses, which translates to $1.57 per most e-books and up to $6.93 for every New York Times bestseller. Titles from Hachette Book Group, HarperCollins Publishers, Macmillan (Holtzbrinck Publishers), Penguin Group and Simon & Schuster purchased between April 1, 2010 and May 21, 2012 qualify for the program.
As previously noted, customers who bought digital books from Amazon, Barnes & Noble, Kobo and Apple are eligible for payouts, which should arrive automatically in their respective store accounts. Depending on prior survey responses, consumers might alternatively receive checks in the mail.
Apple was first hit by a U.S. government antitrust lawsuit over the company's "agency model" e-book price structure. Investigation showed marketing on a "most favored nations" basis restricted content owners to sell their wares to another retailer for a lower price, a system contrasted by the "wholesale model" preferred by industry leader Amazon. Unlike the agency model, Amazon's strategy allows retailers to buy content in bulk and set unit pricing at or below cost.
After being found guilty of colluding with publishers to artificially raise the price of e-books sold through the iBookstore, and a failed appeal to the Supreme Court, Apple agreed to settle a related class-action lawsuit seeking redress over questionable business practices. Apple, lawyers representing general consumers and state attorneys general representing citizens in 33 U.S. states and territories agreed to the terms.
The coming distribution round will be the second in the case.
Hagens Berman issued a press release notifying e-book purchasers of plans to dole out Apple's $400 million settlement fund starting Tuesday.
In compliance with the agreed upon terms, consumers are to receive payouts valued at twice their losses, which translates to $1.57 per most e-books and up to $6.93 for every New York Times bestseller. Titles from Hachette Book Group, HarperCollins Publishers, Macmillan (Holtzbrinck Publishers), Penguin Group and Simon & Schuster purchased between April 1, 2010 and May 21, 2012 qualify for the program.
As previously noted, customers who bought digital books from Amazon, Barnes & Noble, Kobo and Apple are eligible for payouts, which should arrive automatically in their respective store accounts. Depending on prior survey responses, consumers might alternatively receive checks in the mail.
Apple was first hit by a U.S. government antitrust lawsuit over the company's "agency model" e-book price structure. Investigation showed marketing on a "most favored nations" basis restricted content owners to sell their wares to another retailer for a lower price, a system contrasted by the "wholesale model" preferred by industry leader Amazon. Unlike the agency model, Amazon's strategy allows retailers to buy content in bulk and set unit pricing at or below cost.
After being found guilty of colluding with publishers to artificially raise the price of e-books sold through the iBookstore, and a failed appeal to the Supreme Court, Apple agreed to settle a related class-action lawsuit seeking redress over questionable business practices. Apple, lawyers representing general consumers and state attorneys general representing citizens in 33 U.S. states and territories agreed to the terms.
The coming distribution round will be the second in the case.
Comments
I bought several ebooks, and in no way feel slighted or overcharged by Apple. If they sent me any money I'd just turn around and use the credit to buy something else from Apple, effectively sending a chunk of that money straight back to Apple.
Not saying I don't like less expensive books and maybe this was effective in protecting the consumer? Still feels odd
Really, I feel no pity or sorrow that the big publishers are getting squeezed by Amazon. They're worthless fat cats who are destroying themselves.
This is one of those cases where the individual consumer will receive very little (a few dollars at most) while the government and prime competitor (Amazon) receives a lot. (Unallocated funds are being directed to government coffers.)
To me this case highlighted the power of lobbying and "greasing the wheels", it's clear that Amazon was the source of the anonymous complaint - a company that despite their razor thin margins and the constant criticisms for their business practices still has extreme amounts of money allocated for lobbying. If the DOJ was truly concerned with the health of the book market they would follow Europe's lead in taking a look at Amazon's business practices. Heck there is a whole wikipedia article dedicated to the b/s that Amazon get up to.
Your point stands, though.
He should never have even been senator.
Just skip to 3:13.
You know what I did? I was sooooo happy Apple lowered the price to something more reasonable to ensure it sold more that I took the two credits in the form of a print out, walked over to two different people considering the iphone and gave each one my credit to use. I wanted the iPhone to be such a hit I gladly gave up my "credit" to get it into the hands of two others.
Thats how i feel about this book deal.
Amazon clearly is npt looking out for the artist if they would they wouldn't be forcing the publishers to sell to them at rock bottom prices. What Apple was trying to do was make sure the writers got their fare share of the pie and for that I applaud them for trying. But this crap of paying us back for something I bought not under duress irks me to no end.
It f they send me a credit I'll use it to rebuy the book and gift it to a friend.
i never respond to class-action lawsuits and the dirtbags who file them. They are lawsuits designed entirely for the enrichment of ambulance chasers.
I get it, but it’s worthless.