The AppleCare guarantee continues to give Apple a hard time in the Quebec market: targeted by an investigation by Quebec’s financial sector watchdog, the apple giant had to change its ways in addition to paying an administrative penalty.
This is in addition to the settlement of a class action last March, which will cost Apple around 6 million for non-compliance with certain articles of the Consumer Protection Act.
Under the agreement reached on June 6 with the Financial Markets Authority (AMF), the Californian multinational agreed to pay $175,000 – a sum that seems like a slap on the wrist for a multinational that has reaped profits by about US$100 billion last year.
“It takes into account Apple’s collaboration and its desire to comply with our framework as quickly as possible,” explains AMF spokesperson Sylvain Théberge in an email. It is therefore a sanction commensurate with what is expected in such circumstances. »
According to the stock market watchdog’s investigation, certain terms of an AppleCare warranty clause constituted insurance given that the risk covered was not limited to defects or malfunctions of the device.
The AMF investigation began in 2021 and was the subject of a legal dispute between the stock market watchdog and Apple. The company had turned to the courts to try to overturn the Authority’s action by claiming that it was not authorized to investigate its activities. Apple had been dismissed in the Superior Court of Quebec as well as before the Court of Appeal.
Despite everything, the AMF considers that Apple showed “good faith” to correct the situation, namely to modify its distribution of its guarantee in Quebec.
“The collaboration lived up to our expectations and they agreed to comply with the requirements of our management in relation to the product they offer,” underlines Mr. Théberge.
Regarding the class action, it alleged that Apple did not inform “consumers orally and in writing of the existence and nature of the legal guarantee” of AppleCare, which contravened, according to the complainants, in sections 37 and 38 of the Consumer Protection Act. The settlement concerns people who have purchased a warranty in Quebec since December 2015. They could receive up to 50% of the amount paid for AppleCare, $25.
The agreement, which obtained the approval of the Superior Court, provides that 30% of the total amount, or 1.8 million, will be paid in fees to the lawyers of the firms LPC Avocats and Renno Vathilakis.
