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Apple Counter-Sues Epic Games for Breach of Contract

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Posted: 9th September 2020
Jacob Mallinder
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In a motion filed on Tuesday afternoon, Apple sought damages from Epic Games over its August lawsuit, accusing the video game maker of violating the terms of its App Store and denying that it benefits from a monopoly.

The move follows Epic Games’ filing of an antitrust suit against Apple in August, seeking the right to provide "competitive payment processing on iOS" by circumventing Apple’s 30% commission fee on transactions made using its App Store. Epic Games’ popular video game Fortnite was removed from the iOS App Store after the company’s implementation of a separate microtransaction system that would allow players to pay Epic Games directly for in-game assets – and receive a discount for doing so.

In the ensuing legal battle, Epic Games sought, and received, a restraining order to prevent Apple from blocking its access to Apple accounts used for game development through the Unreal Engine, though its request that Apple be forced to return Fortnite to the App Store was rejected.

In its latest filing, Apple defended its 30% commission fee and framed the legal dispute as “nothing more than a basic disagreement over money”.

"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 wrote in the opening to its suit.

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"This Court should hold Epic to its contractual promises, award Apple compensatory and punitive damages, and enjoin Epic from engaging in further unfair business practices,”  it continued.

Alongside its August lawsuit against Apple, Epic Games also sued Google for imposing a similar commission fee on microtransactions processed through the Google Play store. Google has attempted to prevent US District Courts from tying its case to the dispute between Apple and Epic, arguing that there are enough differences between itself and Apple that there is “little risk of conflicting results.”

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About the Author

Jacob Mallinder
Jacob has been working around the Legal Industry for over 10 years, whether that's writing for Lawyer Monthly or helping to conduct interviews with Lawyers across the globe. In his own time, he enjoys playing sports, walking his dogs, or reading.
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