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iPhone upgraders are suing Apple, saying it’s putting new customers first

The suit, filed Monday, seeks an injunction and other damages.


Apple is facing a lawsuit over its iPhone 7 preorder system, with lawyers charging the company prioritized new orders over Apple Upgrade Program members seeking to trade in their existing device.

"While scores of customers signed up for the program and were ready to take advantage of the every-year upgrade with the release of the new iPhone 7 and 7 Plus, Apple had a different plan in mind," according to a lawsuit filed Monday in U.S. District Court in Northern California. "It allowed non-iPhone Upgrade Program customers to snap up the limited inventory of the new devices while telling countless iPhone Upgrade Program customers to ‘check back later.’"

Under the program, Apple sells new iPhones directly to customers in 24 monthly installments, though participants are supposed to be able to upgrade each year. Apple said last week that program members would be able to preorder the iPhone 7, but didn’t go into detail on how it would prioritize orders.

The lawsuit seeks an injunction and various damages on behalf of Brooklyn resident Emil Frank as well as all others who are part of the upgrade program, which Apple introduced last year.

An Apple representative was not immediately available for comment.

Not only are participants having to wait for this year’s phone, but under the terms of Apple’s program, they will have to wait even longer next year or pay extra, according to the lawsuit.

The lawsuit seeks to require that Apple make its full inventory of phones available to iPhone upgrade program members.

Lawyers at Block & Leviton also want Apple to reimburse upgrade program members for any extra payments they have to make while they wait for a new iPhone and to require that Apple make such customers eligible for next year’s iPhone in September even if it takes longer for them to get their iPhone 7.

iPhone 7 lineup and pricing

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