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Monday, June 8, 2015

Apple Loses Fight Over Antitrust Monitor

Apple continued its losing streak against the federal government when an appeals court rejected the company’s bid to have Michael Bromwich disqualified as the compliance monitor in its antitrust case.

While the Second U.S. Circuit Court of Appeals in New York noted concerns about some of the allegations against Bromwich, it ruled that District Judge Denise Cote had the right to appoint him to the job. Cote selected Bromwich after deciding that Apple conspired with five major publishers to fix the prices of e-books in 2013.

Apple is appealing the entire decision, but went after Bromwich for being too aggressive in demanding interviews with executives and for charging fees of $1,100 per hour. Bromwich countered that Apple refused to provide him access and adopted an adversarial tone when dealing with him.

“The company largely sat on its hands, allowing issues with the monitor to fester and the relationship to deteriorate,” Judge Jesse Furman wrote about Apple. 

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