Idigital will compensate customers more than NIS 2 million: "We did not update if the repair will be done on a used part"
As part of a compromise agreement - an importer and marketer of Apple products will compensate consumers with NIS 70 to NIS 1,050, depending on the type of device and the date of purchase. Among the allegations: Provide the best service "
Yinon Ben Shoshan
05/07/2022
Tuesday, 05 July 2022, 12:12 Updated: 12:18
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Idigital branch (Photo: Reuven Castro)
Icon Group, an importer and marketer of Apple products through iDigital stores, will compensate consumers in the amount of NIS 2.4 million.
This is part of a settlement agreement in a class action lawsuit filed by the Israeli Consumer Council against the company in 2014.
According to the lawsuit, consumers complained that in the event of a malfunction in the iPad and iPod, the company's customers were not allowed to purchase spare parts. Up to 75% of the original product price, instead of fixing the fault.
In addition, according to the Consumer Council, Idigital and Icon Group "violated their duty to provide spare parts for repairing the products to the consumer's requirement."
The council further argued that the warranty certificate provided by the companies misleads consumers into thinking that in the event of a malfunction, they will be provided with spare parts.
In addition, according to the Consumer Council, the two violated the regulations because we did not update the consumers whether the fault would be repaired in an original, replacement, used or renovated part, and its price.
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At the same time, customers complained that in cases where the device was repaired by an unauthorized technician on behalf of Icon Group, the entire warranty was canceled, in a manner inconsistent with the provisions of the law.
On the other hand, Icon Group claimed that it was Apple's global policy that dictated its policy regarding professional handling of malfunctions in Apple products.
According to them, according to Apple, it is not possible to replace parts in iPad and iPod products without compromising the quality of the device, so they offer a new product at a reduced price in the event of a malfunction.
Eventually the parties reached a compromise settlement on the recommendation of a court.
The court noted that a replacement device at a discount is not "spare parts" in the usual, reasonable and expected sense.
The court ruled that the conduct of iDigital and Icon Group allegedly violated the regulations requiring the manufacturer to provide spare parts, in order to allow the consumer to repair the product in the first two years after purchase, owning only the spare part.
As part of the settlement agreement, it was agreed that the defendants will compensate the consumers included in the group in the amount of NIS 2,400,000.
It was further agreed that if Idigital offered customers to purchase a replacement device in the event of a malfunction, it would not be referred to as a "spare parts kit".
Who is entitled to compensation?
Consumers
who purchased (from 2007 until the settlement is approved) the replacement device after their device broke down in the two years after purchase, will be compensated in the amount of NIS 70 to 1,050, depending on the type of device and the date of purchase.
), And have not purchased the replacement device, will also be compensated (depending on the type of device at the time of purchase) .The amount of compensation is not predetermined, and it depends on the extent of participation in the settlement agreement.
The Consumer Council stated:
"This is a significant achievement for the consumer public - a compromise arrangement that offers direct compensation to injured consumers, and also ensures proper conduct of the defendants in connection with compliance with their statutory obligations."
Idigital responded:
"We have acted in accordance with Apple's worldwide policy to enable consumers to provide the highest quality product possible.
As a company that is always attentive to its customers, we have decided to reach a compromise agreement with the Israeli Consumer Council in order to continue to serve the public of Apple users in Israel for the best. "
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