At least 30 percent of the $ 100 million developer fund Apple will create to settle a class action will go to attorneys’ fees, the settlement proposal says.
Apple on Thursday announced an agreement that would resolve a class action lawsuit filed by a group of American developers. In addition to some changes to the App Store policy, the deal will also create a $ 100 million fund to help small developers. Depending on the size and history of the App Store, developers can claim between $ 250,000 and $ 30,000 from the fund.
Hagens Berman, the law firm representing plaintiffs in the lawsuit, is expected to take a much larger cut than any other app maker. The settlement agreement proposes that plaintiffs file an application for attorneys’ fees of up to $ 30 million, paid to the Small Developer Assistance Fund.
“An award of the $ 30 million fee, which again is the maximum amount that plaintiffs will apply for, represents 30 percent of the Small Developer Assistance Fund,” the settlement proposal says. “Even if it were exclusively this monetary relief, such a request would be reasonable.”
Under the proposed agreement, 30% of a common fund earmarked for attorneys’ fees and court costs is a common practice. He argues that the 30% commission is at the lower end of the standard range and “the settlement also provides substantial non-monetary relief to the class.”
The purpose of liquidation administrator, Angeion Group, calculates a claims rate of around 35%. If so many developers file a claim, the proposed solution says the minimum payment amount for class members “will increase proportionally at each level.”
The original lawsuit, filed in 2019, picked up the 30% reduction in purchases of Apple apps and apps as one of the ways the iPhone maker is abusing its power.
Of course, the agreement has not yet been approved by the court. There is a possibility that it may change from now on to court approval.
In addition to the Small Business Developer Assistance Fund, Apple is also removing some of its anti-steering regulations and is committed to keeping certain App Store policies and programs intact, such as the Small Business Program. , for at least three years.