Connecticut, along with the U.S. Department of Justice and 15 other states, has filed a civil antitrust lawsuit against Apple Inc. for monopolizing smartphone markets in violation of the Sherman Act. The complaint alleges Apple engages in anticompetitive conduct such as blocking innovative apps, suppressing cloud streaming services, and limiting interoperability to maintain its monopoly and impose high costs on consumers and developers. The plaintiffs seek equitable relief to restore competition.
The lawsuit seeks equitable relief, including injunctions, to end Apple's anticompetitive conduct and restore competition in smartphone markets, but no specific remedies have been imposed at this time.
In-house legal teams should review all vendor and developer agreements, particularly those governing app distribution, platform access, and interoperability. Focus on clauses that impose restrictions on cross-platform functionality, mandate exclusive use of Apple's services or payment systems, define relevant markets in a way that reinforces monopoly power, or contain MFN provisions that prevent more favorable terms with competitors. Changes may be needed to remove or modify anticompetitive restrictions, ensure fair access to essential interfaces and tools, and allow developers and consumers greater freedom to choose alternative products and services without penalty.
Entity
Apple Inc.
Also known as: Apple
Industry
TechnologyOfficial Press Release
https://portal.ct.gov/ag/press-releases/2024-press-releases/connecticut-joins-justice-department-suing-apple-for-monopolizing-smartphone-markets
apple file stamped complaint 32124.pdf?rev=e1b87aa808be4d67a
https://portal.ct.gov/-/media/ag/press_releases/2024/apple-file-stamped-complaint-32124.pdf?rev=e1b87aa808be4d67a5d3af801268c95a&hash=3EE6438399E31E69C7CB721D13456421
Connecticut Attorney General Enforcement Page
https://portal.ct.gov/AG/Privacy/Privacy-Resources
$150K
New Jersey Attorney General Matthew Platkin announced a settlement with Apple Inc. over allegations of widespread merchandise pricing violations at 11 Apple stores statewide, including failure to display required pricing information and refund policies. Apple agreed to pay a $150,000 civil penalty, the largest-ever under New Jersey's Merchandise Pricing Act, and implement revised business practices to ensure clear pricing and refund policy disclosures. The settlement resolves violations of the New Jersey Consumer Fraud Act and the 2017 consent order previously entered into by Apple.
$500K
Connecticut Attorney General William Tong announced settlements with SunRun, Inc., Elevate Solar Solutions, and two salespeople over allegations of deceptive solar sales, including impersonating consumers and locking homeowners into long-term contracts without consent. SunRun must pay $300,000 and provide consumer relief; Elevate and the salespeople face a stated $200,000 penalty, with $100,000 suspended subject to ongoing compliance.
$8.0M
Connecticut announced an $8 million settlement with Mylan over allegations that it used agreements to delay generic EpiPen competitors and took other actions that inflated prices. Mylan also agreed to provide 10,000 free EpiPens; the release states that Mylan denies wrongdoing.
Connecticut Attorney General William Tong joined a coalition of 22 attorneys general in filing an amicus brief challenging DHS’s policy and practice of conducting warrantless civil immigration arrests. The press release describes a court challenge, not a privacy enforcement action or monetary penalty.
$625K
Connecticut reached a $625,000 settlement with Frontier Communications Parent Inc. over an April 2024 breach in which compromised employee and vendor credentials were used to access internal systems and exfiltrate unencrypted personal information of 58,841 Connecticut residents. The settlement requires Frontier to strengthen its security program, implement specific safeguards and training, and obtain an independent third-party assessment.
$2.6M
Connecticut and New York found that Boston Children’s Health Physicians and its security vendor, XTIUM, failed to use reasonable safeguards, resulting in hackers accessing sensitive personal, medical, and employee information. The companies agreed to pay penalties totaling $2.64 million and implement enhanced cybersecurity measures.