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Appeals Court Upholds Apple Contempt, Orders Fair Off‑Store App Fee

Apple cannot collect commissions on web‑linked purchases until the trial court approves a non‑prohibitive rate tied to necessary coordination costs.

Overview

  • The Ninth Circuit largely affirmed the April finding that Apple willfully violated the 2021 anti‑steering injunction in the Epic Games case.
  • The panel reversed the blanket ban on commissions and told the district court to set a reasonable fee limited to necessary coordination costs and narrowly defined IP use, excluding security and privacy features.
  • Judges agreed Apple’s 27% off‑store charge and related link rules had a prohibitive effect that discouraged developers from steering users to alternative payment methods.
  • The court allowed Apple to prevent external buttons or links from being more prominent than in‑app purchase options, while leaving most other restrictions on Apple’s conduct intact.
  • Apple cannot resume off‑store charging until a compliant fee is set on remand, and the court rejected Apple’s bids to vacate the injunction or reassign the case to a new judge.