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Apple to Settle iPod Battery Suit

June 3, 2005
Apple Computer has agreed to settle a class-action lawsuit involving the rechargeable but nonreplaceable batteries in early iPod models. The batteries don't last as long as advertised. Apple has agreed to replace some iPods and pay other consumers up to $50 in cash or Apple merchandise.

The settlement could apply to as many as two million iPods sold prior to May 31, 2004. Thus, it might cost Apple as much as $100 million.

The settlement is pending before the San Mateo County, Calif., judge who heard the case.

The legal dispute began in 2003, when eight consumers in California and New York filed suits alleging that Apple had misrepresented the durability of its iPod batteries when it claimed they would last the lifetime of the device and would power uninterrupted play for up to 10 hours. Many found that the batteries held their charge for only four or five hours of continuous play.

"I purchased an iPod in Feb 2004. By March the same year I was sending it back to Apple to check the battery. They sent it back stating it met their standards. I told them I got no more than two hours worth of play time," said George of Queens, NY, in a complaint to ConsumerAffairs.com. "I then sent it back in June for the same thing and they just sent back with the same poor excuse. I have yet to get more than two hours playing time from my $500.00 iPod."

The case eventually came to the attention of Eric Gibbs, a partner at San Francisco-based Girard Gibbs and DeBartolomeo who represented several plaintiffs in the case. His firm alone received complaints from more than 1,200 iPod owners, he said.

Eventually, many of the batteries died completely and would not hold a charge at all. Since they could not be replaced, iPod owners were stuck. Apple initially told them they would have to buy a new iPod. Later it began offering a battery-replacement esrvice for $99.

Under the terms of the settlement, purchasers of so-called third generation iPods, which came with a dock connector, are eligible for new iPods, without charge, if Apple agrees that the battery is not working as advertised. Apple also agreed to extend the one-year warranty on the battery for an additional year, according to the proposed settlement.

Purchasers of older models can receive either a $50 credit on Apple products or $25 in cash. The credit cannot be used towards iTunes Music Store, Apple's music-download service. Consumers who already paid the $99 for a new battery can get back $49.50 in cash. Claims will have to be submitted by Sept. 30, or within two years after the iPod was purchased. The proposed settlement and claim forms are available at www.appleipodsettlement.com

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