Apple Faces Class-Action Suit For In-App Purchases
suraj.sun writes with this excerpt from Ars Technica:
"Garen Meguerian and a team of lawyers are taking Apple to task for 'inducing' children to spend hundreds of dollars of their parents' money on in-app game purchases. Meguerian filed a class-action lawsuit this week in California, acknowledging that Apple has already addressed the problem, but saying that the company continues to unfairly profit from sales of virtual 'smurfberries' and 'fish bucks.' The issue at hand is related to games that rely on a 'freemium' business model, giving away the game for free on the App Store and relying on in-app purchases of virtual currency, extra levels, or other add-ons as a revenue stream."
So, neglectful parents are suing Apple because they can't be fucked with to watch what their children are doing?
How about this: don't give your kid the iTunes account password?
Um, better parenting?
I guess taking a multinational corp to court is easier than being a responsible parent these days.
Here's a hint: if they are too young and dumb^H^H^H^Hnaive to be trusted with a toy or device that lets them spend money, a parent who's worth a damn will wait until they're old enough to handle it before giving it to them. A parent who's worth a damn would blame themselves for not knowing what they were giving them too if that was the case.
No, nothing is ever your fault and it's always somebody else who causes every problem you have in life. Kids spent a ton of money using a device you gave them? Blame the company. Can't lose weight because you eat more calories than you burn? Sue McDonalds. War on personal responsibility.
... that parents are buying their children (who clearly aren't yet older enough to understand financial responsibility) expensive pieces of technology so that they don't actually have to parent or spend time with their children. IMO it's becoming far to common place for parents to sit their children in front of a TV or video game so that they don't have to keep them occupied. Who told them parenting wasn't hard work?
I'm not saying Apple hasn't been somewhat irresponsible for making it so easy to run up bills but a class action lawsuit is a little extreme for something that the parents are equally, if not more responsible for.
I can't really say Apple is doing anything wrong here. They have not only the option to disable said purchases available, they also went the extra step of modifying their password handling. Seems just like another case of stupid parenting to me.
Lets face it, this is a really slimy business model. For Apple to allow it is atrocious. There are much better alternatives, such as a short window to allow returns. I have kids with iOS devices, and thus hoping they win. Bad parenting? I don't have time to play every game to know its business model, but do try to stick to pay only games just to try my best to avoid them.
the nanny statehood marches on...
of course parents CAN'T do that, they would be HARMING their poor precious bobbles by denying them their (CR)apple product that everyone must have..
to quote Homer, "Can't someone else do it?"
cryo
So when you purchase something inside an iOS app, that app has the ability to use your current iTunes login to charge money to your iTunes account? Is this a permission that's specifically noted when you download an iOS app that has this ability or can all apps do this without notification? I get that kids would probably just click through any 'You are about to be charged" notices.
"God does not play Minecraft with the world." - Albert Einstein
And before you cry "bad parenting", you can't disable that feature. You/your kid just figures out you can slide to unlock your Android phone now, and then when you are absent, he jacks up the phone bill by calling China. Yes, the phone bill, no CC needed.
Bad parenting. You wouldn't let your kid drink Windex; why the fuck do you think you're not responsible for securing your phone? Because it's a phone? Come *on* - you *know* usage can cost ridiculous charges, even without the use of fancy-schmancy smartphones and apps!
You can't buy anything on an iphone without a CC
Ignore the goatse link in parent.
Lets toss money at this team of lawyers to save our children
here is a thought, why the fuck is the kid granted untethered, un monitored internet access on a 600$ phone dipshit
hope the little fucker saw some snuff films on there as well, do us all a favor
It was like the uproar over Beavis and Butthead many years ago. Even though parents were evidently responsible enough to get a tv, pay the electricity and the cable bill, they were not deemed responsible enough to monitor what the kids watched. Therefor MTV got in trouble when Beavis and Butthead tortured animals of set them afire. Evidently the kids would do the same and it was TV, not the parents fault.
So yes children are impressionable. Parents have to set limits on what kids are and are not able to do. But when parent make an explicitly decision to allow kids access to something, either by driving them there, or ordering a product, or giving access to a credit card, or whatever, it is no longer the companies fault. We saw this when kids were racking up huge phone and texting bills. I don't know what the issue was. If the kid can't use the phone, they don't get one, or have a prepaid.
"She's a scientist and a lesbian. She's not going to let it slide." Orphan Black
It can be enables/disabled easily:
Settings>General>Restrictions>In-App Purchases
From the complaint: "The sale of an App and/or Game Currency is a transaction between Apple and the consumer. There is no privity between the user and the developer of the App...."
They're so right. Remember how Apple won't approve apps which do transactions that don't go through Apple? This is where that bites Apple. Apple is the seller, and the developers are its suppliers. There's no contractual relationship between the consumer and the developer. ("Privity" refers to the legal concept that if A has a contract with B, and B has a contract with C, A does not have a contract with C.)
Actually you can disable it. Set Settings->General->Restrictions->In-App Purchases to "Off".
Do people really plug in their credit cards into iTunes and then let there kids just do what they want with a device that has access to that resource? There is no way i would even leave a credit card attached to that kind of account, let alone let a child have unrestricted access that device. I have two iPod touches that my kids play with. At this point they are too young to grasp the concepts of accounts or passwords, but that day is coming. I only do iTunes cards so that there is no way that any financial damage can go beyond the amount i have already pre-paid (usually in the $15 to $25 range). A little common sense goes a long way in this world, but i guess that's asking too much.
Crisis is the rule, not the exception.
Would you like to buy a cookie for your pet?
o_o
It's a really good cookie!
O_o
With chocolate and stuff!
O_O
Your pet will wuv oo!
@_@
You bought a cookie!
It was nummy!
Your pet wuvs oo!
Buy another?
@_@
Yay! Your pet weally, weally wuvs oo!
[repeat n times]
Thanks for buying all the cookies for your very happy pet!
Charging $483.75 to account.
+_+
A feeling of having made the same mistake before: Deja Foobar
At least Apple allows you to set a password that has to be entered before any app store purchase. That's one of my biggest frustrations with my Android phone is that there's no way to set an market purchase password. My kids hit a couple of buttons in pop-up while playing angry birds, and whoop, I've just spent $10.
under settings/general/restrictions/allowed content. there is the option to turn on or off In-App purchases..so it can be disable, parents just need to look for it.
I dont know what iDevice you have, or if you even own one, but if you go to general then restrictions there is a place to turn off in app purchase, please check in future before posting incorect statements.
And before you cry "bad parenting", you can't disable that feature.
The feature you disable is the "child has access to smartphone which is capable of making purchases" feature. You see, what you do is you walk over to the child, and you take the phone out of the child's hands...
There's no contractual relationship between the consumer and the developer.
Yes there is, because with an in-app purchase the consumer is saying they wish to give the app writer money in exchange for something.
What you are doing is like trying to sue the cash register maker because a kid bought something they shouldn't have.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
I'm not sure that Apple should itself be held responsible for the slimy practices of third-party developers (except that they do review all apps and should therefore be aware of questionable business practices), but I still think what some of these developers are doing is pretty screwed up. Games specifically designed to get as much money from kids who don't know how much money they're spending are borderline unethical. Their practices are similar to those of companies that sell ringtones designed to appeal to children but which require an expensive monthly subscription fee that's disclosed only in the ad's fine print.
"In prison you just have to shut your eyes and take it. Here you have to shut your eyes and give it."
Wrong. iOS apps are tied to the iTunes account, not the carrier billing. Remember there are millions of iOS devices sold that are not iPhones -such as iPod touch & iPad.
This has perplexed me since I first bought an IPod 4th gen. Why on earth are you required to attach a credit card to an account? I fail to see the need for it. As far as kids racking up bills...That would immediately solve the problem. All the kids would have access to are the free apps. Heck, even something similar to the way Android handles app purchases.
I've owned an iPhone 3GS and now I am using a Samsung Captivate. Personally, I know iPhones are "Hip" but, if I were buying a phone for my kid I'd take the Android system. Simply because of the way Google handles app purchases and transactions.
there is nothing borderline about it, its fraud pure and simple
Although I do find this business model stupid ...
What is stupid about in app purchases? Admittedly I have a technical product rather than a game, Perpenso Calc, but if works along the freemium model. The free version offers scientific functionality including fractions, complex numbers and metric conversions however advanced features like RPN come in from in app purchases. Also this app is really five calculators in one. Rather than offer separate calculators for scientific, statistics, business, hex and bill tip I allow the latter four to be added via in app purchase. Another alternative would be putting all five calculators in one paid app at a high price point. Personally I prefer the in app purchase approach. It allows customers to customize the app and only pay for the functionality they actually want?
If you have an alternative to in app purchase I'd be happy to hear about it.
Apple has already released a workaround for this issue:
iOS Settings/Store/AppleID/Sign Out
Also, it appears NYC is also helping out with the issue.
The Admin and the Engineer
http://support.apple.com/kb/ht2534
How can I believe you when you tell me what I don't want to hear?
Are you serious?
"Lookie, you can stop your kids from doing stupid stuff, all you have to do is dig through four levels of menus, starting in the correct place. It can only take a little longer if you have no idea that the setting exists or is needed, or start looking in the wrong place. And you'll only have to do this anti-scumbag check for each and every little silly game your kids have access to!"
Yep, sounds exactly like that famous Apple "user-friendliness".
You could always do what my parents did when I was a kid.
Talk with them. Teach them things you think they should know. Discuss your family history. Bring some books along that they can read aloud and *discuss* with you. Ask them stuff. Sing songs - and make a few up while you're at it. Talk about what makes the weather they see outside, or teach them the different kinds of trees/cacti/mountains/etc they see passing by the window. If you have more than one kid, supply a couple of notebooks and pencils, and hold an impromptu art contest. Make up debates, and always take the other side, forcing them to use logic and reason (hell, *teach* them logic and reasoning while you're at it).
Even if the kid(s) are too young to be all that articulate - you can use the time to help them improve their vocabulary, pronunciation, and to teach them things - even if they're sitting in the back seat and you're up front.
Long story short, teach them to engage their minds and become creative, not just ignore them into becoming passive consumers of entertainment.
As a bonus, by doing this you help make your kid into someone that wants to talk to you first when it really matters later on.
Quo usque tandem abutere, Nimbus, patientia nostra?
... try to stick to pay only games just to try my best to avoid them.
I have an app that is available in both paid and free versions, both offer in app purchases to expand functionality.
Lets face it, this is a really slimy business model ...
My app, Perpenso Calc is five calculators in one: scientific, statistics, business, hex and bill/tip. I could have one high priced paid app that offers all five calculators. Or I could have five separate low priced calculators. However I think the freemium model works well for my case. The scientific calculator is part of the free app but advanced features like RPN and the statistics, business, hex and bill/tip calculators are all available via in app purchase. In app purchase avoids paying for functionality you don't need in the single app scenario and it avoids paying for redundant functionality in the multiple apps scenario. If you have a better idea I'd love to hear it.
Admittedly my app is not a game but I don't see what is inherently slimy about making new levels and optional item available via in app purchase. It seems to be an improvement over the old model of having to have a free lite version for trial purposes and a paid version with a complete set of items and levels. In app purchase also handles the expansion pack issue.
Now I admit that Apple had a hole in their implementation of in app purchase in that the authorization for the purchase/download of the app itself would also authorize in app purchases for some relatively small number of minutes but they have fixed that. Plus in Apple's defense in app purchases could have been disabled on a particular device.
1. You cannot buy anything from the App Store without having entered and stored a credit card account with Apple.
2. IOS has always had the ability to disable App Store purchases, both for apps, and for In-App Purchases.
3. Children should not be given such things without proper supervision.
Apple should countersue these stupid people for being such a nuisance.
I doubt it.
There is a big difference between giving your kid a credit card in Toys R us and (or handing them a beer) and downloading an apparently "Free" game only to discover hundreds of dollars of charges that you neither approved of (willingly) nor even knew about until after the fact. You can criticize the parents for being technically incompetent, since they obviously didn't understand how the instant transactions were going to be billed, but calling it irresponsible parenting merely demonstrates the ignorance of the average slashdotter when it comes to reproductive matters.
Your app isn't targeted at children. Your app doesn't allow them to accidentally spend $100 on an in-app purchase that's right next to stuff that is bought with in-game currency. The developers of this game are slimy, trying to cash in on ignorance while they can.
I'm perfectly willing to accept that some developers as being slimy. However I am very curious to hear how people think options within a game should be handled. I hope to avoid becoming a slimy developer in the future. :-)
For instance lets say a game is freemium. Enhanced ammunition is optional. Additional levels are optional. Levels would be a non-cunsumable in app purchase, a one time thing, like the app itself they could always be re-enabled at no additional cost should the app be removed/reinstalled, the device upgraded, etc. However the enhanced ammunition could be non-consumable or consumable, in the later case the in app purchase delivers some number of units to be consumed during play. My inclination would be to *not* allow *multiple* consumable purchases, a second consumable purchase would not be offered until all the units from the first consumable purchase had been used up. I think this would be reasonable behavior given that Apple has plugged their hole that allowed the app purchase/download authorization to also authorize in app purchases for a few minutes. I've love to hear the opinions of others.
There are huge numbers of problems with the singularly minded idea that there is only one person at fault here.
1) On a moral level, as the old saying goes, if you aren't part of the solution, you are part of the problem.
2) Technology, even Apple's is complicated. One might be an expert in construction, art, cleaning, accounting, or teaching, but I'll be damned if I continue to see people who can't figure out their super cool iPhones and the apps that go along with it.
3) Parents aren't perfect. Sometimes a parent needs to learn more, but kids are annoying, obnoxious, pesky creatures. Sometimes you have to compromise. Being a parent isn't easy.
4) Apple's technology, despite being complicated technology, is still pretty simple compared to everything else out there. Apple tries to balance security and ease of use and that's hard, but frankly they didn't have to create this in app purchase system. It's to easy to get someone to buy a free app, then get them emotional and try to get them to buy something in the app on an impulse, or tap on something that looks shiny and fun and it turns out to be something you have to buy. Get worked up enough and you'll go past any warning.
5) Apple created the walled garden that they control, and they created the relationship between the iOS device user and them. If App developers want to restore to less than moral tactics to get money, then Apple has to provide the best experience and protect it's customers, so it an App developer is doing something sleazy, Apple has to own up to it.
6) Who's to say Apple isn't working with developers to scam a little money out of people? A class action suit isn't designed necessarily to get money for the plaintiff but rather to punish the defendant if they do something they should not do. Yes the defendants get the money, but where should it go? Laws mandating it to go to charity or government seem kind of hamfisted and of course could be exploited.
I absolutely support the idea that parents need to do their part and deep deep down I'm a technology snob and if someone buys something they better damn well learn how to use it properly. At the same time Apple markets the hell out of their products, like any company. They bear some responsibility. Civil lawsuits are not about saying you are 100% responsible beyond a reasonable doubt, that's a criminal lawsuit. Civil lawsuits look for about at least partial responisibility and who's more responsible.
And finally, lawsuits are not entirely bad. The law sometimes has to work these things out to find out who would be at fault here. You think it's obvious, others disagree. We have to go thru a logical and thought out process to find out who's right. And then it's worked out for the time being.
"All great wisdom is contained in .signature files"
Password is required for every purchase. It is just like buying songs from iTunes.
One parent got 10,000$ bill for this. And before you cry "bad parenting", you can't disable that feature. You/your kid just installs some innocent and free game, and then when you are absent, he jacks up the phone bill. Yes, the phone bill, no CC needed.
Wrong.
Apple instituted a global lockout for in-app purchases in iPhone OS 3.0, the very same time the feature was first available.
You wouldn't let your kid drink Windex
Some parents would.
Curiously enough, that set has a nearly 100% overlap with the set of parents now participating in this lawsuit, and whining at Apple (yet again!) here on Slashdot.
And they have ALL offer a global restriction for in-app purchases (as well as other things). See this User Manual for the iPod Touch.
Apple first added in-app purchases in iPhone OS 3.0. AT THE VERY SAME TIME, they added a global lockout on that ability (see page 115 of the linked PDF for the User Manual for iPhone OS 3.0)
Lots of people are blaming parents. I wonder how many of them are actually parent. I download different sets of programs for my two kids who share the same iPod touch. One of them is 3 years old. Once you give your ipod to the kids, there are no controls to restrict what they can or cannot do. Here are few things Apple can do, but it is not doing:
-- Separate password for downloading free stuff: Why do I have to give my password tied to my credit card to download free stuff? I can give that password when doing in game purchases if I want to.
-- Password restriction on apps: Apple provides restrictions on pre-insalled apps such as youtube. But not for downloaded apps.
-- Disable in-game purchases: No, you can't do that
-- 15 minute window to purchase all you want without password: Fixed only recently.
iPhone has few more issues:
-- 3G restrictions: Once due to a bug in iphone, my wifi stopped working. After rebooting, it started working. I didn't care at that time. However, next day I got an SMS from ATT that I had exceeded my data limit and they have already charged me extra for this.
-- No way to block specific SMS offender: I used to get too many junk SMS and there was no way to block. Once you get it, you have to pay even if you don't read.
I love my iPhone but I have to accept that it requires great care to avoid extra charges. I don't think alternatives are much better either.
I have the best solution for all parent related outbursts against society. Hire the licensing team at Microsoft to deal with existing and potential parents. One child, you're going to have to purchase a license for that child that you have in production. Children in development are free until born, at which time you must purchase a child license. To integrate your child into society you must purchase CAL's (Child Access License). One license is required for each product your child may interact with. Standard licenses apply to items such as foods, computers, toys, school books etc... with a value under $500. Enterprise licenses apply to items valued more than $500 such as iPhones, PC's, motorized vehicles etc... If you choose to sue a company you must upgrade to a Enterprise Child License, at a cost of $100K / child / license. Enterprise Child Licenses are sold in 10, 50, or 100 packs.
Maybe then parents will actually PARENT their children, set rules and enforce them.
Unless you actually have kids, your opinion about what is right and wrong involving raising kids means less than nothing. It's a bunch of assumptions glued together with logic that has absolutely no bearing on what it's really like to raise children.
Don't get me wrong, there's plenty of bad parenting out there -- but knee-jerk reactions saying "BAD PARENTS" is so naive it's almost not worth the trouble to respond to.
Here's another thought, why is it OK for game developers to include features in their game which are intended to deceive kids into spending their parents money without knowing they're doing it?
Yet another Social Darwinist. No wonder you posted AC.
Celebrity worship is a poor substitute for Deity worship and costs more to boot.
But they're saying it to Apple. As the complaint points out, the app developer never sees the customer's payment data.
How is this any different than someone buying gift certificate at a mall office using a credit card, and taking it to a store in the mall and not giving the inbformation to the store?
I'm not understanding why you belive a payment processing gateway should be responsible for anything other than reasonable diligence against outright fraud.
-- Terry
A little common sense goes a long way in this world, but i guess that's asking too much.
Apple and common sense do not go together for some reason though ;-0
Bad news, you can't use the App Store (which is what this article is about) without having a credit card on file. That is to say, even if your only intent is to purchase wholly "free" apps, you can't, until you enter your credit card number.
See what happens when you market to the lowest common denominator now, Apple?
Settings > General > Restrictions and disable the relevant options.