The Mac Observer

Skip navigational links

You're viewing an article in TMO's historic archive vault. Here, we've preserved the comments and how the site looked along with the article. Use this link to view the article on our current site:
Apple's SEC Filing Discusses Lawsuits

Apple's SEC Filing Discusses Lawsuits

by , 9:00 PM EST, December 29th, 2006

Apple Computer filed fiscal 2006 financial documents with the Securities and Exchange Commission on Friday that disclosed improperly handled backdated stock options. The documents also revealed several federal lawsuits, including one that purports that iPod+iTunes amounts to an illegal monopoly, according to Forbes.

The suit claims that Apple created an illegal monopoly by limiting songs and videos purchased at the iTunes Store to function only on iPod media players. The case was filed on July 21, and a motion to dismiss the complaint was denied on December 20. The plaintiff is seeking unspecified damages and other relief.

Interestingly, the same argument could be used to say that iTunes Store competitors are committing similar violations since they offer media downloads that are not compatible with Apple's iPod.

On October 24, PhatRat Technology filed a lawsuit against Apple claiming the company is infringing on patents with the Nike+iPod product. Apple and Nike jointly developed the athletic training aid that works with the iPod nano. Apple has not yet responded to the suit.

On November 7, a case was filed against that alleges the logic boards in iBook G4 portable computers fail at an abnormally high rate. The plaintiff in this case is seeking unspecified damages, and Apple has not yet responded to the suit.

Pending cases against a company are routinely disclosed in SEC financial reports, so revealing these lawsuits in and of itself does not indicate that Apple executives are concerned about their financial impact. They do show, however, that Apple lawyers will be spending a considerable amount of time in court rooms in 2007 - just like they did in 2006.

Apple stock is currently trading in the after-hours market at US$84.70, down 0.14 (0.17%).


If you are interested in Apple's stock, join our forum members in the Apple Finance Boards, a moderated forum for Apple Investors and people who are interested in Apple's financial dealings. For other stories regarding Apple's stock activity, visit our updated Apple Stock Watch Special Report.

Digg!

Recent Headlines - Updated March 30th

Mon,9:29 AM
Tim Cook Blasts Indiana Discrimination Law, and it’s the Right thing to Do
Sun,12:13 PM
MGG 546: Calendars, Flaky Connections and NAS Backups
Sat,10:30 AM
How to Create Light Trails Photographs with Your iPhone
Fri,7:50 PM
How to Update Any Icon on Your Mac
7:25 PM
Steve Wozniak: Apple Watch Edition Won’t Move the World Forward
3:45 PM
The REAL Reason Apple’s iPad is Faltering
2:50 PM
‘Bobine’ Flexible iPhone Charging Dock: $24.99
2:05 PM
UK Safari Users can Sue Google Over Unwanted Browser Cookies
12:56 PM
TMO Daily Observations 2015-03-27: Tim Cook is the Top Leader, Leshi TV says Apple is Hitler
10:56 AM
Leshi TV CEO Says Apple is Hitler
9:29 AM
Apple Watch Compatible Apps are Already Arriving
8:55 AM
Numbers: Using the Quick Calculations Bar
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!