Scott+Scott has commenced an action in the United States District Court for the Northern District of California on behalf of a nationwide class of purchasers of Apple’s iTunes gift cards. Plaintiffs allege that Apple fails to prevent scammers from redeeming consumers’ iTunes gift cards, even when Apple knows that such cards have been involved in a gift card scam. Plaintiffs further allege that Apple retains 30%, and sometimes more of the gift card value, as its commission associated and fails to prevent or recoup monies paid to App Developers involved in the gift card scams.
Plaintiffs and many consumers contacted Apple within hours or days of buying the iTunes gift cards, before Apple converted the gift cards and paid the scammers. However, rather than advise gift card users that their funds may still be available, Apple actively conceals this fact, does not refund any monies and tells its customers that there is nothing they can do.
Scott+Scott is demanding that Apple return gift card amounts that have been wrongfully taken and not returned to them and cease certain practices which prevent consumers from obtaining their refunds.