Epic Games appeals to resume App Store proceedings against Apple

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The Australian Federal Court has granted an appeal filed by Epic Games which allows game developers to pursue a legal battle with Apple.

On Friday morning, three Federal Court judges allowed Epic Games’ appeal. He called for a resumption of proceedings accusing Apple of exploiting its market power to significantly reduce competition in the application distribution and payments markets.

Epic Games said they are happy with the results and will continue to fight to increase competition in this area.

“This is a positive step for Australian consumers and developers who are entitled to fair access and competitive pricing throughout the mobile app store. Competition in application distribution and payment processing in Australia and globally. We look forward to continuing to fight for the scaling up of the game, ”said Epic Games.

An appeal was filed in April after Apple suspended the proceedings for abuse of market power. Judge Nye Perram held that the proceedings were bound by exclusive jurisdiction. Exclusive jurisdiction clauses prevent certain Australian proceedings from taking place if similar issues are heard in other countries.

In making this decision, Pelham explained when he first wanted to see the results of a similar proceeding underway in the United States before continuing with the Australian proceeding.

However, at the appeal hearing, three Federal Court judges addressed fundamental public interest issues related to the actions taken in the Australian submarket and were themselves parties to the exclusive jurisdiction clause.

The judge explained that the investigation of the matter of immediate public interest took precedence over the exclusive jurisdiction clause initially applied by Pelham.

In making this decision, the judge received a submission from the Australian Competition and Consumer Commission. The Australian Competition and Consumer Commission participated in the hearing as a non-party as it acts as the statutory body responsible for administering Australian competition law.

The judge added that limiting Epic Games to such proceedings in the United States would deprive the company of legitimate medico-legal benefits that might be offered by Australian law.

“Emphasis is placed not only on the nature of competition law, but also on the importance of the statutory provisions which allow the Commission to intervene, the relevance of the federal courts chosen by the private parties who benefit from the inquiry and approval. It should be. The legislator as the court of choice. ”

The parties will meet again in court for a case management hearing later this month, as the case is expected to resume.

Last year, a legal dispute arose when Epic implemented an integrated payment system within Fortnite to avoid paying 30% fees to app marketplaces such as the App Store and Google Play. Store.

As a result, Apple and Google have removed Fortnite from their respective markets because Epic violated its contractual obligation to reside in those app markets.

Epic then filed a lawsuit against Apple and Google in the United States, accusing the tech giants of anti-competitive and proprietary practices because of the 30% tariff structure.

As a result of these early proceedings, Epic Games filed additional proceedings in various jurisdictions, including Australia, the EU, and the UK, all of which have filed similar proceedings.

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