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Australian Court orders Apple to Pay $6.7 Million for misleading users on ‘Error 53’

An Australian federal court has ordered Apple to pay AUD 9 Million (USD 6.7 Million) for allegedly misleading the customers in infamous error 53 case. The development was first reported by The Sydney Morning Herald.

A suit was filed in April by Australian Competition and Consumer Commission (ACCC) against the alleged disabling of iPhones and iPads which were unofficially repaired. Apple had termed this as error 53. Error 53 was first noticed on iPhone 6 series in early 2015, however, the issue gained attention only in 2016, when media started to report it. The ACCC’s suit mentions a timeline of September 2014 to February 2016.

The case, which started after Apple disabled a number of iPhones and iPads, which were allegedly repaired outside of Apple authorised service center. Apple had disabled at least 275 devices in Australia, however, as part of an outreach program, the company had offered a solution to the customers later.

“If a product is faulty, customers are legally entitled to a repair or a replacement under the Australian Consumer Law, and sometimes even a refund. Apple’s representations led customers to believe they’d be denied a remedy for their faulty device because they used a third party repairer,” ACCC Commissioner Sarah Court said in a statement. “The Court declared the mere fact that an iPhone or iPad had been repaired by someone other than Apple did not, and could not, result in the consumer guarantees ceasing to apply, or the consumer’s right to a remedy being extinguished.”

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Cameron

Cameron is a socially-minded entrepreneur, working at nexus of international trade, development and business. He co-founded The iBulletin after successfully investing in The Bulletin Network in 2014.