A U.S. appeals court has thrown out a proposed class action lawsuit accusing Apple of misleading customers about how much iCloud storage they receive after paying for an upgrade.
The lawsuit alleged that Apple gave users less storage than promised. Plaintiff Lisa Bodenburg said she paid $2.99 per month for 200 GB of iCloud+ storage, believing it would be added to the 5 GB of free storage Apple offers all users. She received 200 GB total, not 205 GB, and claimed Apple had shortchanged her.
But the 9th U.S. Circuit Court of Appeals in San Francisco didn’t agree. In a unanimous 3-0 ruling, the court said Apple’s wording was clear. Users are offered “additional storage” as part of the iCloud+ subscription. According to the court, it is not deceptive to advertise 200 GB as the full amount provided, even if some free space is already included.
Court Rejects Claim of Misleading Language
The panel found that a reasonable consumer would not be confused by Apple’s iCloud+ marketing. Circuit Judge Milan Smith said Bodenburg “received exactly what Apple promised her.” He called the expectation of getting 205 GB unreasonable and compared it to other lawsuits built on flawed assumptions, such as believing Diet Dr. Pepper leads to weight loss or that lip balm packaging must make every bit accessible.
“Apple’s statements are not false and deceptive merely because they may be unreasonably misunderstood by an insignificant and unrepresentative segment of consumers,” Smith wrote.
One Case Ends, Another Continues
The decision upholds a May 2024 dismissal by U.S. District Judge Trina Thompson. Apple won’t face a class action over its storage marketing in this case. But another lawsuit is still moving forward.
That case, also in California, challenges Apple’s policy of requiring iCloud to back up iOS devices. It focuses on potential antitrust concerns, arguing that Apple blocks users from choosing third-party backup services.
