Originally published at: Apple Settles “More Personalized” Siri Delay Lawsuit for $250 Million - TidBITS
At MacRumors, Juli Clover writes:
Apple will pay $250 million to settle a class action lawsuit accusing it of false advertising and unfair competition after the personalized Siri features it promoted when launching the iPhone 16 were delayed.
It looks like anyone who bought an iPhone 15 Pro, iPhone 15 Pro Max, or any iPhone 16 model between 10 June 2024 and 29 March 2025 will be eligible for a $25 payment per device, although the settlement notes that the amount could decrease, or it could increase to a maximum of $95, depending on claim volume and “other factors.” Eligible device owners will start being notified in 45 days, and you’ll reportedly have 90 days to file a claim form after being notified. (This is the Landsheft v. Apple case; several others are still pending.)
I’m always curious about what drives the per-user payment amounts in class-action settlements, so I poked through the details in this one. Apple settled for $250 million. All other numbers below are estimates; final numbers won’t be available until the end of the process. The settlement specifies that attorney fees shall not exceed 28%, or $70 million (I cynically suspect legal fees will come in very close to that number). The costs of sending notices and administering the settlement are anticipated to be roughly $5.4 million (actually $5,444,056, which seems weirdly specific). The plaintiffs in the case are requesting out-of-pocket expenses not to exceed $600,000, and each plaintiff will also receive up to $2,000 in “service awards,” for a total of $130,000 (implying that there were 65 plaintiffs). That leaves just under $174 million for settlement awards to class members.
Since the settlement estimates that there are roughly 37 million eligible devices, if everyone filed a claim, each claim would be worth less than $5. That’s not going to happen, of course. To hit the “presumptive payment” of $25 per device, 19% of the eligible device owners would have to file a claim—7 million people. We’ll get $95 if only 5% (1.8 million) of the possible claimants file.
A Federal Trade Commission study found that class actions have a median claim rate of 9% or less when direct notice is provided—but the method matters. Mailed packets perform best at 9%, postcards come in at 6%, and email trails at just 3%. Apple has email addresses for nearly all purchasers, so that’s almost certainly how notice will go out. Still, Apple’s $25–$95 payout is far more attractive than the usual $1.62 checks I typically associate with class action settlements, which might boost participation. Notably, Apple’s $250 million isn’t “reversionary,” meaning the company doesn’t get anything back regardless of claim volume.
I’m looking forward to filing my claim and seeing how much comes back, even if it’s only lunch money.