In a major legal blow, Apple has been found in civil contempt by a U.S. federal judge for deliberately violating a court order related to its ongoing legal battle with Epic Games. The decision could have serious consequences, as Apple now faces further investigation for criminal contempt as well.
Judge slams Apple for violating 2021 court order
On Wednesday, Judge Yvonne Gonzalez Rogers of the California District Court issued a sharply worded ruling, accusing Apple of willfully violating a 2021 injunction. The order was part of the Epic Games antitrust case, in which the creators of Fortnite argued that Apple’s App Store policies were anti-competitive.
In 2021, the court ruled that Apple could not stop developers from directing users to alternative in-app payment methods beyond Apple Pay. It also declared that Apple's 30 per cent commission on in-app purchases was monopolistic, The Verge reported.
Apple introduced new barriers after the ruling
Instead of complying fully, Apple allegedly introduced new tactics to maintain its profits. Judge Rogers said Apple began charging a 27% commission on purchases made outside the App Store, a fee that didn’t exist before the injunction.
Additionally, Apple allegedly implemented obstructive measures like:
- Full-screen warning messages (described as "scare screens")
- Static URLs instead of clickable links
- Generic and confusing language to deter users from using third-party payment methods
The judge ruled that these steps were meant to undermine the court's order and protect Apple’s revenue model, stating, “Apple thwarted the injunction’s goals and continued its anticompetitive conduct solely to maintain its revenue stream.”
Apple executive accused of lying under oath
The court also singled out Apple’s vice-president of finance, Alex Roman, accusing him of providing false and misleading testimony. Judge Rogers called his statements “replete with misdirection and outright lies.”
Worse, Apple’s legal team failed to correct the false testimony, leading the judge to conclude that the company had adopted the lies as part of its defence.
What’s next for Apple?
With this civil contempt ruling, Apple may face further penalties or enforcement measures, and the potential criminal contempt investigation could bring even more serious consequences.
This ruling is not just about Apple vs. Epic—it raises bigger questions about tech monopolies and how companies comply (or don't) with the law.