$700 Million Google Settlement Over App Store Practices Receives Final Approval, Consumers to Receive Refunds

Maryland Attorney General Anthony G. Brown announced that a $700 million settlement resolving a multistate antitrust lawsuit against Google has received final judicial approval. The lawsuit, which challenged Google’s alleged monopolistic control over Android app distribution and in-app payment systems, has been ongoing for five years. This judicial approval marks the conclusion of the legal proceedings and will provide financial relief to consumers nationwide who were impacted by Google’s past business practices.

A significant portion of the settlement funds is designated for direct distribution to individuals who made purchases through the Google Play store between August 2016 and September 2023. The majority of these consumers will automatically receive their refunds, likely via PayPal or Venmo, without the need to submit a claim form. Provisions have been made for those who do not have access to these payment platforms, allowing them to file a claim through an alternative process to receive their allocated payment.

The lawsuit contended that Google’s actions led to consumers being overcharged, with Marylanders among those affected. The settlement mandates that Google alter its business operations. For a minimum of five years, app developers will be permitted to utilize alternative payment systems and will have the ability to inform customers about the availability of lower prices outside of Google’s integrated billing system. Furthermore, developers will be able to list their applications on competing app stores without fear of retribution. Android users will also have the ability to download applications from sources other than the official Play Store for at least seven years.

Maryland initially joined a bipartisan coalition of 52 attorneys general in filing the lawsuit against Google in 2021. The core allegations of the suit focused on Google’s alleged unlawful dominance in the distribution of Android applications, which the coalition asserted resulted in consumers paying inflated prices, in some instances up to 30% higher per transaction. Additional details regarding the lawsuit and the terms of the settlement are available on a dedicated settlement website. The coalition that pursued this settlement included attorneys general from Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, the District of Columbia, Florida, Georgia, Hawaiʻi, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming, as well as Puerto Rico and the U.S. Virgin Islands.

Article by Mel Anara, based upon information from the Maryland Attorney General’s Office.

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