Apple faced a setback as it tried to block a massive lawsuit in London, potentially worth $2 billion. The lawsuit alleges that Apple hid faulty batteries in millions of iPhones. The case was filed by British consumer advocate Justin Gutmann on behalf of around 24 million UK iPhone users.
Gutmann is seeking damages from Apple on their behalf, with the total ranging from $1.9 billion to a midpoint of $1 trillion, plus interest.
His argument is that Apple concealed battery issues in certain iPhone models by using software updates to slow down the phones and installed a power management tool to limit performance.
Apple, however, vigorously denied the allegations, stating that the lawsuit was baseless. The company claimed that iPhone batteries were not defective, except in a small number of iPhone 6s models for which free battery replacements were offered.
Apple attempted to have the case dismissed, but the Competition Appeal Tribunal (CAT) ruled that Gutmann’s case could proceed, though it noted a need for more clarity and specificity in the case.
The CAT also suggested that Gutmann’s funding arrangements might need to change due to a recent Supreme Court ruling.
Gutmann hailed the ruling as a significant step toward consumer justice, while an Apple spokesperson reiterated the company’s commitment to not intentionally shortening the life of their products.
This lawsuit is part of a growing trend of high-value mass lawsuits being brought in London, following a decision in July to allow claims against major banks for alleged foreign exchange rigging.
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