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No. 17-204October Term 2018Decided May 13, 2019

Docket 17-204October Term 2018 (2018–2019)

Apple, Inc. v. Pepper

Consumers who bought iPhone apps through Apple's App Store cleared the first hurdle to sue Apple for alleged monopoly pricing.

Case status

Current stage
Decided
Latest event
Decision released May 13, 2019
Case Accepted
Arguments
Decision ReleasedMay 13, 2019
What it's about

This case asked whether iPhone owners who bought apps through Apple’s App Store could sue Apple for allegedly monopolizing the market for iPhone apps and charging higher prices. The Court held that because consumers bought the apps directly from Apple, they were direct purchasers and could bring an antitrust damages claim.

Question presented

Whether consumers may sue for antitrust damages anyone who delivers goods to them, even where they seek damages based on prices set by third parties who would be the immediate victims of the alleged offense.

Case path

United States Court of Appeals for the Ninth Circuit / Decision released May 13, 2019

Area

Business and Regulation

Briefing

What it's about

iPhone owners said Apple monopolized the market for iPhone apps through the App Store and made them pay more. On May 13, 2019, the Court said those consumers bought apps directly from Apple, so they may pursue an antitrust damages claim against the company.

Vote

The Court said iPhone owners were direct purchasers who may sue Apple, but the prompt does not give the vote count or opinion lineup.

Impact

The decision lets App Store customers try to seek money damages if they say Apple's app sales system raised prices. That matters to everyday iPhone users who buy apps through Apple's store.

What's next

The Supreme Court has finished with this case. The lawsuit could continue in the lower courts, where the consumers would still have to prove their antitrust claims.

What was the main fight in Apple, Inc. v. Pepper?

The issue was whether iPhone users who bought apps through Apple's App Store could sue Apple for alleged overcharges. Apple argued the prices were set by third parties, not by direct sales from Apple.

What real-world effect could this decision have on iPhone users?

It allows App Store customers to try seeking damages if they can prove Apple's system inflated app prices. That could affect millions of people who buy apps on iPhones.

What happened next after the Supreme Court decided the case?

The Supreme Court's work on this docket ended. The case could move forward in lower court for more litigation over whether Apple actually violated antitrust law.

Decision

Decision record

What the Court decided

Consumers who bought iPhone apps through Apple's App Store cleared the first hurdle to sue Apple for alleged monopoly pricing.

Impact

The decision lets App Store customers try to seek money damages if they say Apple's app sales system raised prices. That matters to everyday iPhone users who buy apps through Apple's store.

Not official Court text.

Opinion documents