fromtheappstore hero Apple offers compensation for in app purchases made by kids

Apple has agreed to pay compensation to parents in the US over in-app purchases made by children without their permission.

Apple has agreed to pay compensation to parents in the US over in-app purchases made by children without their permission.

 
The Cupertino, California-based firm was sued in 2011 over failing to make it clear that apps targeted at children in the App Store allowed purchases to be made inside the apps, potentially resulting in expensive bills for some parents of overzealous children.
 
The case that instigated the lawsuit was when Garen Meguerian  found out his nine-year-old daughter had bought roughly $200 of virtual items and currencies in various apps. His lawyer highlighted that children could spend $100 on similar items from the App Store in a single click, without even having to enter a password, and Apple profited from each of these sales.
 
fromtheappstore hero Apple offers compensation for in app purchases made by kids
 
The situation was exacerbated by the fact that earlier versions of iOS allowed a 15-minute window after a sale where no authentication was required to make further purchases. Apple subsequently updated the software to require a password for all in-app payments.
 
Apple's proposed settlement will involve $5 of credit (or cash if they no longer have an iTunes account) if a child made a charge without their parent's permission, providing the case was not previously resolved. It will also provide details of payments taken without permission when they are $30 or more, which will be reimbursed. The company said that up to 23 million users may qualify for the compensation.
 
Apple also plans to pay Meguerian and four other plaintiffs an additional $1,500. They have accepted the proposal, but it will first have to be approved by a judge on 1 March. There is no word yet on compensation for users outside the US.
 
Source: BBC