Apple agreed to pay $53 million to end the massive consumer lawsuits that protested in the regional court in San Francisco over the warranty policy the company followed based on, as they claimed, false moisture indications in iPhone and iPod Touch sensors. Apple denied covering the damage under warranty when the indications changed color.
The Apple insisted that the sensors should not erroneously trigger the related moisture indicators (specifically, there was a red light indicator inside the headphone jack). According to its policy, if the sensor caused the color change on the relevant indicator, then the warranty would not cover the damage. The color change indicated that the iPhone or iPod touch had been submerged in water or had been exposed to moisture to the extent that it would not be covered by Apple's warranty, as explicitly stated.
The plaintiffs alleged that 3M Co.'s sensors were triggered by ambient moisture during normal use. According to the Wall Street Journal, the case involves 153,000 Apple customers.
Bloomberg clarifies that $300 per customer applies, depending on the iPhone and iPod touch model. It concerns customers whom the company refused to cover the damage before December 31, 2009 and for iPod Touch before June 2010. Lawyers can claim up to 30% of the amount agreed for the fee and legal costs.
