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Class Action Lawsuit Filed in California Alleging Google Is Paying Apple to Stay Out of the Search Engine Business

Class Action Lawsuit Filed in California Alleging Google Is Paying Apple to Stay Out of the Search Engine Business

California Crane School, Inc. filed a class action antitrust case [3:21-cv-10001, C.C.S.I. v Google LLC] on 12/27/21 against Google and Apple and the Chief Executive Officers of both companies alleging violations of the Antitrust Laws of the United States.

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The complaint charges that Google and Apple agreed that Apple would not compete in the internet search business against Google.  The complaint claims that the means used to effectuate the non-compete agreement included; (1) Google would share it’s search profits with Apple; (2) Apple would give preferential treatment to Google for all Apple devices; (3) regular secret meetings between the executives of both companies; (4) annual multi-billion-dollar payments by Google to Apple not to compete in the search business; (5) suppression of the competition of smaller competitors and foreclosing competitors from the search market; (6) acquiring actual and potential competitors.  The complaint alleges that advertising rates are higher than rates would be in a competitive system.  The complaint seeks the disgorgement of the billion-dollar payments by Google to Apple.  The complaint asks for an injunction prohibiting the non-compete agreement between Google and Apple; the profit-sharing agreement; the preferential treatment for Google on Apple devices; and the payment of billions of dollars by Google to Apple.

The complaint also calls for the breakup of Google into separate and independent companies and the breakup of Apple into separate and independent companies in accordance with the precedent of the breakup of Standard Oil company into Exxon, Mobile, Conoco, Amoco, Sohio, Chevron, and others.

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Attorneys representing the plaintiffs are Joseph M. Alioto and Tatiana V. Wallace of Alioto Law Firm, Lawrence G. Papale of Law Offices of Lawrence G. PapaleRobert J. Bonsignore of Bonsignore Trial Lawyers PLLC, Christopher A. Nedeau of Nedeau Law PC, Josephine Alioto of The Veen Firm, Jeffery K. Perkins of Law Office of Jeffery K. PerkinsTheresa Moore of Law Offices of Theresa D. Moore, Lingel H. Winters of Law Offices of Lingel H. Winters.

Joseph M. Alioto of Alioto Law Firm said “These powerful companies abused their size by unlawfully foreclosing and monopolizing major markets which in an otherwise free enterprise system would have created jobs, lowered prices, increased production, added new competitors, encouraged innovations, and increased the quality of services in the digital age.”

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