News: 1599614410

  ARM Give a man a fire and he's warm for a day, but set fire to him and he's warm for the rest of his life (Terry Pratchett, Jingo)

Apple to Epic: Sue me? No, sue you, pal!

(2020/09/09)


Apple has filed a countersuit against Epic Games as the two companies continue their battle over App Store royalties.

The Cupertino giant is seeking a [1]declaratory judgemen t [PDF] for breach of contract as it claims Epic has broken their agreement to distribute software and in-app purchases though the App Store. The filing is part formal response to the [2]original Epic suit and part Apple making legal allegations of its own.

"Although Epic portrays itself as a modern corporate Robin Hood, in reality it is a multi-billion dollar enterprise that simply wants to pay nothing for the tremendous value it derives from the App Store," Apple claims.

"Epic’s demands for special treatment and cries of 'retaliation' cannot be reconciled with its flagrant breach of contract and its own business practices, as it rakes in billions by taking commissions on game developers’ sales and charging consumers up to $99.99 for bundles of V-Bucks.”

Epic did not respond to a request for comment.

This all goes back to an August update to Epic's flagship mobile game Fortnite. In that hotfix, Epic changed its in-app purchasing system so that it would directly collect payments rather than run them through the App Store and avoid Apple's 30 per cent commission fee. This, it seems, was a deliberate effort to get itself banned and trigger a legal battle over whether the iOS App Store and Apple's in-app purchase policy is considered anticompetitive.

Elsewhere, it seems that Apple fanbois will not have to wait much longer to find out what sort of bells and whistles will be on the next crop of iOS devices.

Invites [3]have been issued for a virtual event to be held by Apple on September 15. While specific details were not given, it is widely expected that execs will unveil, at the very least, the new Apple Watch and iPad models. The iPhone 12, however, is likely not to feature in the event and will probably be unveiled at a later date.

Apple took the bait and, after booting Epic from the App Store, a [4]lawsuit and publicity campaign were launched. Epic seeks to rid itself and other developers once and for all of the commission fees for in-app purchases.

A nearly identical case has been filed by Epic against Google after its Android apps were similarly banned from the Play Store for the same behavior.

Though Apple had [5]previously responded to Epic's lawsuit, the Tuesday counter-complaint marks the first time the Cupertino giant has hit back with legal allegations of its own. As with previous filings, Apple is trying to paint Epic as an ungrateful partner who took advantage of the App Store to make its name and now refuses to honor its agreement.

"Epic’s breach was flagrant and larcenous," Apple's lawyers charge.

"Epic willfully 'directed customers to purchasing mechanisms other than in-app purchase' and created a new storefront in contravention of the Guidelines and over Apple’s explicit objection."

Apple is seeking a declaratory ruling that it has the legal right to cut Epic off from the iOS app store and find Epic in breach of contract and in violation of the California Unfair Competition Law. ®

Get our [6]Tech Resources



[1] https://regmedia.co.uk/2020/09/08/epic.pdf

[2] https://www.theregister.com/2020/08/14/epic_games_apple/

[3] https://www.apple.com/apple-events/

[4] https://www.theregister.com/2020/08/14/epic_games_apple/

[5] https://www.theregister.com/2020/08/22/apple_epic_lawsuit/

[6] https://whitepapers.theregister.com/

Anonymous Coward

Sounds like time for Epic to hit Apple with an anti-SLAPP suit.

I will laugh so hard when Apple gets to pay for Epic's lawyers because they decided to do something this incredibly stupid.

Anonymous Coward

Is there a provision for countering an anti-SLAPP suit with another anti-SLAPP suit on the grounds the first suit is itself SLAPP? Or perhaps a Vexatious Litigant claim?

Maelstorm

I wouldn't be so quick to dismiss Apple's claim just yet. Epic did breach their contract agreements with Apple. That much is plain to see. However, Epic MIGHT have a claim against Apple for anti-competitive behavior. As to how this plays out in the courts, your guess is as good as mine. All we can do at this point is sit back, wait, and watch....one court filing at a time.

Side note: In the Constitution, there is a clause about the supremacy of federal law, and federal law supersedes any contract within the U.S.A. So if the court finds that Apple violated the Sherman Act, Apple might be forced to open their closed ecosystem. As I said, this could go either way.

Hot tip for gamblers

RM Myers

Bet on the lawyers, they are the only sure winners, as usual.

Re: Hot tip for gamblers

tcmonkey

And for the second time in really not very long at all, I am ok with them being the only winners.

Locked down walled garden monopoly vs online digital tat slinger targeting children with useless habit forming rubbish. I don't know who I look down upon more. (Maybe Epic, maybe...)

Oh come on

overunder

He pushed me!

He pushed me first!

Waaaaaa... sniffles sniflles.

This is all just embarrassing... no imagination what so ever. Boycott them both.

Re: Oh come on

mr.K

Done!

(btw, what is this Epic Apple anyway?)

Has anyone else noticed...

Maelstorm

Has anyone else noticed that the other 800 lbs gorilla in the room is strangely silent? While Apple and Epic conduct their kids' playground fight in a very public way, nary a peep from Google. The nice thing about Android is that you can install apps without the Google Play Store, so Epic has a way in for a competing app store. Apple, on the other hand is a completely closed ecosystem. You have no choice but to use their app store...unless you have a jailbroken iDevice where you can install whatever you want.

Epic MIGHT have a case against Apple for being anti-competitive as a result, although I am not a lawyer. To be fair to Apple though, Apple does guarantee that all apps on their store function are are safe, which is the result of that closed ecosystem. However, Epic did violate the contracts they had with Apple, which is the core of the dispute.

Re: Has anyone else noticed...

chivo243

Is Apple scared?

You will be advanced socially, without any special effort on your part.