Cash settlements are starting to go out to people who owned a faulty iPhone 7 back in the day, with Apple finally dealing out compensation after years of legal disputes over the so-called “Loop Disease” audio defect. The company has agreed to pay $35 million to settle the class-action lawsuit, with eligible claimants now receiving payments of up to $349 – though Apple continues to deny any wrongdoing.
That’s great news for the many iPhone users involved, although sadly the deadline to submit claims was last summer – so if this is the first you’re hearing of it, it’s too late to get a cut of the payout. You can read the official details of the case here.
This all stems from a long-standing issue with the iPhone’s audio chip, which allegedly caused problems such as failed phone calls, microphone malfunctions, poor FaceTime audio, and unresponsive devices. The defect, which could be worsened by slight bending of the device, led to a wave of consumer complaints and out-of-pocket repair costs.
Any US resident who owned an iPhone 7 or 7 Plus was eligible, so long as they reported the issue to Apple at the time. Those who paid for a repair or replacement related to the issue will receive between $50 and $349, depending on the total number of claims. Meanwhile those who reported the issue but didn’t pay for repairs will still get a cut, up to a maximum of $125.
While Apple agreed to settle, the company officially maintains that the iPhone 7 and 7 Plus had no design flaw and denies any liability. However, this isn’t the first time Apple has faced legal action over product defects. It has previously doled out large cash payouts to settle lawsuits for defective MacBook keyboards, subpar refurbished devices, and for the infamous “batterygate” scandal of 2017.
For one-time iPhone 7 owners who missed the settlement deadline, the case serves as a reminder: when class action lawsuits are filed, it pays to pay attention – literally.