Apple Settles Warranty Suits Over Watermarks

     SAN FRANCISCO (CN) – Apple has agreed to pay $53 million to settle class actions claims that it failed to honor consumer warranties on iPhones and iPod Touches.
     Christopher Corsi and Charlene Gallion had claimed that Apple denied their warranty claims if a strip of paper on the bottom of their devices had turned pink or red, indicating that the device had been submerged in water. They said the chemically sensitive paper could change color based on humidity or sweat.
     After seven months of mediation, Apple agreed to the settlement, which could mean payments of up to $300 to hundreds of class members, depending on the type of device. Devices covered under the proposed settlement are the original iPhone, iPhone 3G, iPhone 3GS, and the first, second and third-generation iPod Touch.
     Wired posted a copy of the settlement Thursday, but the filing is not yet available with the court.

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