In Epic Games vs. Apple case, Judge rules in favor of Apple but orders it to allow alternative payment options

Epic Games’ lawsuit against Apple has come to a conclusion. In a two pages judgment, U.S. District Judge Yvonne Gonzalez Rogers has held Epic Games in violation of its contract but also found Apple’s anti-steering policy anti-competitive.

After a long trial, the high-profile Epic vs. Apple case was adjourned in May this year and after three months of deliberation, Judge Rogers has given her verdict.

The court finds Epic Games in violation of its contract and orders it to pay damages to Apple

The court ruled in favor of Epic on the count of California’s Unfair Competition Law that Apple’s anti-steering policy is anti-competitive. But ruled in Apple’s favor on all other counts. 

For breach of contract, Epic is ordered to pay damages to Apple.

Epic Games shall pay damages in an amount equal to (i) 30% of the $12,167,719 in revenue EpicGames collected from users in the Fortnite app on iOS through Epic Direct Payment between August and October 2020, plus (ii) 30% of any such revenue Epic Games collected from November 1, 2020 through the date of judgment, and interest according to law.

Furthermore, the court forbade Apple from stopping developers from offering users alternative payment options by adding links, information, or any other method.

and its officers, agents, servants, employees, and any person in active concert or participation with them (“Apple”), are hereby permanently restrained and enjoinedfrom prohibiting developers from (i) including in their apps and their metadata buttons, external links, or other calls to action that direct customers to purchasing mechanisms, in addition to In-AppPurchasing and (ii) communicating with customers through points of contact, obtained voluntarily from customers through account registration within the app. 

Recently, as part of another lawsuit with U.S developers, the Cupertino tech giant made amendments to its App Store policy which included the provision the developers can communicate alternative payment methods to users via email and the company will not be entitled to any commission for all purchases made outside the app or the App Store.

This ruling might be a win for Apple and a setback for Epic Games which was hoping to offer its own app store on iOS devices. The developer might file an appeal against the ruling. Earlier today, the developer had asked Apple to reinstate its account so the Fornite game can be relaunched in South Korea. Apple denied that request. Read the complete judgment here.