Apple Sued by Customers for Locking iPhone to AT&T Network

October 19, 2012, two iPhone owners filed a class action lawsuit against Apple in California federal court alleging that Apple violated antitrust laws by failing to obtain customers’ permission to have their iPhones locked to AT&T’s network.

Apple previously entered into a five-year exclusive contract with AT&T and installed software locks on the iPhone that prevented it from working on other wireless networks.   The plaintiffs allege that Apple’s actions violated the Sherman Act’s prohibition on monopolization by failing to get customer consent when it entered into the agreement with AT&T.

The plaintiffs also allege that Apple’s actions violate the Digital Millennium Copyright Act which allows the customers to modify handsets for use on the wireless network of their choice.  The suit seeks monetary damages and injunctive relief.

If you feel your rights as a consumer have been violated, contact Khorrami, LLP for a confidential consultation.

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