Apple Sued Over iPhone Price Cut

Apple is finding itself in the center of yet another skirmish over its $200 USD price cut for the iPhone, although this one has landed it in court.

Dongmei Li, a resident of Queens, NY filed the lawsuit Sept. 24 in federal court in New York. It accuses Apple, Steve Jobs, and AT&T of price discrimination, discrimination in offering rebates versus credits, underselling, and unfair and deceptive practices, among other charges.

Li apparently is so upset that she is seeking some $1 million in damages from the company. She also took issue with Apple's offer of a $100 credit to early adopters: those who purchased the phone within 2 weeks of the price cut could still have gotten the $200 difference back in cash.


Worse yet for Li, she bought the $499 4GB model, the version of the phone that ended up being discontinued by the company. She claims that the resale value for her phone model is much less now due to Apple's actions.

"Apple's discrimination in price between early and later purchasers substantially caused the early purchasers to be injured because early purchasers cannot resell their iPhones for the same profit as later purchasers," her suit reads.

Li is also accusing AT&T of unfair business practices due to the requirement that purchasers of the iPhone must sign a two-year contract with the company.

Apple could not be reached for comment on the suit. AT&T had no immediate comment, as it did not have a chance to look over the suit as of press time.

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