Apple Appeals Epic App Store Dispute to Supreme Court

(AsiaGameHub) –   Apple has petitioned the U.S. Supreme Court to examine the latest phase of its ongoing dispute with Epic Games concerning App Store payment regulations. Originating in 2020, the current legal submission focuses on external payment links, the scope of developer entitlements, and the extent of a particular court order.

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Good to Know

• Apple contends that the Epic lawsuit’s implications should not extend to all developers on the U.S. App Store.
• The disagreement encompasses Apple’s charges on transactions conducted via external payment links.
• Fortnite has been reinstated on the App Store worldwide, with the exception of Australia.

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Apple Wants A Narrower App Store Order

Apple is now seeking the Supreme Court’s intervention to narrow a lower court’s directive that impacts developers throughout the U.S. App Store. The company asserts that since Epic Games did not initiate a class action, the resulting remedy should not encompass entities like Microsoft or Spotify.

The Apple petition says:

“Epic never brought a class action and never attempted to show that enjoining Apple’s conduct against all other developers — like Microsoft or Spotify, who have nothing to do with Epic — was somehow necessary to provide relief to Epic,”

This particular argument provides Apple with a more straightforward legal path compared to engaging in another extensive battle over app store financial models. Instead of solely defending App Store commissions, Apple claims the lower court overstepped by extending the injunction’s reach beyond Epic.

Nevertheless, the matter of payments continues to be the central point of contention. Judicial rulings mandated Apple to permit developers to embed links within applications, directing users to alternative payment methods. Apple complied by allowing these links but subsequently imposed a 27% commission on certain external transactions.

The Ninth Circuit Court of Appeals concurred with the lower court’s finding that Apple had breached the order. Apple now contends that the injunction did not explicitly prohibit commissions on external payments, and therefore, civil contempt should not be applied merely because a judge subsequently determined that Apple contravened the order’s intent.

Epic views this recent legal submission as a tactic to cause delay. The company characterized it as “one last Hail Mary to delay a conclusion to this case and avoid opening up the gates to payment competition for the benefit of consumers.”

The timing also offers insight into why Fortnite has reappeared on the App Store worldwide, excluding Australia. Epic anticipates that the courts will prevent Apple from maintaining its current fee structure for external purchases. Apple, conversely, is still seeking a Supreme Court review before the case solidifies more extensive alterations to App Store payment policies.

For developers, the resolution of this case could influence app payment linking, commission regulations, and the degree of autonomy publishers possess in guiding users away from Apple’s in-app purchase system.