Apple Faces $5 Billion Euro Class Action Lawsuit in the Netherlands
Apple is staring down the barrel of a multibillion-euro class action lawsuit in the Netherlands over its alleged App Store “monopoly” and the 30% commission it takes on every in-app purchase — reports Bloomberg.
Apple “has taken advantage of its monopoly position” with the 30% commission it charges app developers, which has forced many to increase their prices, said the Consumer Competition Claims Foundation (CCCF) in a press release on Tuesday.
According to the CCCF, the potential damages could add up to nearly 5 billion euros ($5.5 billion USD).
The Cupertino, California-based tech giant has been having a rough go of it in the Netherlands and Europe as a whole in recent months.
The Dutch Authority for Consumers and Markets (ACM) forced Apple to let dating apps directly offer third-party payment options to their users, and repeatedly fined the company millions upon millions for non-compliance. The Dutch watchdog announced yet another fine just last week.
The European Union (EU), on the other hand, is in the process of voting the Digital Markets Act (DMA) into law. The DMA will require Apple to allow sideloading of apps and third-party app distribution, loosening the company’s hold on the App Store and the Apple ecosystem as a whole.
The CCCF has encouraged all EU consumers who have bought an app in the App Store or made an in-app purchase through the platform since September 2009 to join its class action, which is to be filed in the Amsterdam District Court. The class action is being represented by the international law firm Scott + Scott.