Apple loses in appeals court related to Apple vs. Epic Games antitrust lawsuit, while 'appropriate fees' are recognized

In a lawsuit between Apple and Epic Games over independent payment methods on its app store, Apple was ordered to allow payment options other than those offered by Apple. Epic Games subsequently argued that Apple had not complied with the court order, and a series of lawsuits ensued, which prevented Apple from allowing external payments and charging any fees. While many of Apple's arguments were rejected in an appeals court, Apple still won the right to charge fees on external payments.

Apple loses contempt appeal in Epic case | The Verge
https://www.theverge.com/news/842991/apple-epic-appeal-loses-contempt

In 2020, Epic Games filed a lawsuit against Apple after the company removed Fortnite from the App Store for violating its terms of service by implementing its own payment system in the iOS version of the game. In September 2021, the court ruled that apps on the App Store must allow payment options other than those offered by Apple. Both parties appealed, and in 2023 the appellate court ruled that Apple must allow developers to link to external payments. The court also ruled that Apple's 30% commission on apps on the App Store was not illegal, resulting in a majority victory for Apple.

Apple v. Epic Games appeals court rules that 'App Store cannot prohibit links to external payment systems', but Apple wins by majority - GIGAZINE

Epic Games' claims of antitrust violations against Apple were largely dismissed, but the removal of 'Fortnite' from the App Store was partially approved and the process of restoring it to the App Store was underway. However, Apple did not approve the removal, so Epic Games filed a complaint in February 2025, alleging that Apple was deliberately delaying the removal and potentially in contempt of court .

As a result of the trial, U.S. District Judge Gonzalez Rogers ruled that 'Apple willfully disobeyed the 2021 injunction, which was enacted to allow developers to steer consumers to cheaper payment methods outside of Apple's payment system.' He also ruled that 'Apple directly opposed the court's injunction in an attempt to maintain its multi-billion dollar revenue stream.' He handed down a harsh ruling prohibiting Apple from imposing fees on in-app purchases.

Court rules against Apple forbidding it from imposing fees on out-of-app purchases, and also decides to resume distribution of Fortnite for iPhone - GIGAZINE

Apple challenged the contempt of court ruling and filed an appeal seeking review of the ruling. Apple sought to stay enforcement of the order until the legal process was over, but the appeals court denied Apple's request to stay the order.

The appeals court handed down its ruling in December 2025, finding Judge Rogers in violation of the order and largely ordering Apple to impose restrictions. The ruling stated, 'Apple claimed to be 'complying with the order,' but in reality, it had restricted the use of buttons, links, and other actions without paying excessive fees to Apple, and it had also restricted the design of the links, making them difficult for customers to use.' The ruling found Apple's actions flawed.

However, the appeals court also found that Judge Rogers' ruling went too far in some of the restrictions. Judge Rogers' ruling prohibited Apple from interfering with or obscuring external payments, and stated that 'Apple may not impose fees or charges on purchases made outside of its apps.' However, the appeals court stated that 'the district court overstepped its discretion by taking the heavy-handed approach of banning all fees altogether,' and thus raised the possibility that Apple could set fees based on the 'reasonable costs' of regulating external links.

The appeals court also noted that while Apple cannot enforce designs that disadvantage developers, such as external payment links or notifications, it does have the right to restrict developers if they use designs that are excessively more prominent than Apple's.

At the time of writing, Apple and Epic Games have not responded to media requests for comment, but Epic Games CEO Tim Sweeney reposted related news posts on his X account .