Google to pay $700 million to US states, consumers in app store settlement

Google has agreed to pay $700 million and make several other concessions to settle allegations that it had been stifling competition against its Android app store — the same issue that went to trial in another case that could result in even bigger changes. Although Google struck the deal with state attorneys general in September, the settlement’s terms weren’t revealed until late Monday in documents filed in San Francisco federal court. The disclosure came a week after a federal court jury rebuked Google for deploying anticompetitive tactics in its Play Store for Android apps. The settlement with the states includes $630 million to compensate U.S. consumers funneled into a payment processing system that state attorneys general alleged drove up the prices for digital transactions within apps downloaded from the Play Store. That store caters to the Android software that powers most of the world’s smartphones. Like Apple does in its iPhone app store, Google collects commissions ranging from 15% to 30% on in-app purchases — fees that state attorneys general contended drove prices higher than they would have been had there been an open market for payment processing. Those commissions generated billions of dollars in profit annually for Google, according to evidence presented in the recent trial focused on its Play Store. Eligible consumers will receive at least $2, according to the settlement, and may get additional payments based on their spending on the Play store between Aug. 16, 2016 and Sept. 30, 2023. The estimated 102 million U.S. consumers who made in-app purchases during that time frame are supposed to be automatically notified about various options for how they can receive their cut of the money. Another $70 million of the pre-trial settlement will cover the penalties and other costs that Google is being forced to pay to the states. Although Google is forking over a sizeable sum, it’s a fraction of the $10.5 billion in damages that the attorneys general estimated the company could be forced to pay if they had taken the case to trial instead of settling. Google also agreed to make other changes designed to make it even easier for consumers to download and install Android apps from other outlets besides its Play Store for the next five years. It will refrain from issuing as many security warnings, or “scare screens,” when alternative choices are being used. The makers of Android apps will also gain more flexibility to offer alternative payment choices to consumers instead of having transactions automatically processed through the Play Store and its commission system. Apps will also be able to promote lower prices available to consumers who choose an alternate to the Play Store’s payment processing.

Texas Supreme Court blocks Kate Cox's emergency abortion approval

The Texas Supreme Court on Friday night put on hold a judge’s ruling that approved an abortion for a pregnant woman whose fetus has a fatal diagnosis, throwing into limbo an unprecedented challenge to one of the most restrictive bans in the U.S. The order by the all-Republican court came more than 30 hours after Kate Cox, a 31-year-old mother of two from the Dallas area, received a temporary restraining order from a lower court judge that prevents Texas from enforcing the state’s ban in her case. In a one-page order, the court said it was temporarily staying Thursday’s ruling “without regard to the merits.” The case is still pending. “While we still hope that the Court ultimately rejects the state’s request and does so quickly, in this case we fear that justice delayed will be justice denied,” said Molly Duane, an attorney at the Center for Reproductive Rights, which is representing Cox. Cox’s attorneys have said they will not share her abortion plans, citing concerns for her safety. In a filing with the Texas Supreme Court on Friday, her attorneys indicated she was still pregnant. Cox was 20 weeks pregnant this week when she filed what is believed to be the first lawsuit of its kind since the landmark U.S. Supreme Court ruling last year that overturned Roe v. Wade. The order issued Thursday only applied to Cox and no other pregnant Texas women. Cox learned she was pregnant for a third time in August and was told weeks later that her baby was at a high risk for a condition known as trisomy 18, which has a very high likelihood of miscarriage or stillbirth and low survival rates, according to her lawsuit. Furthermore, doctors have told Cox that if the baby’s heartbeat were to stop, inducing labor would carry a risk of a uterine rupture because of her two prior cesareans sections, and that another C-section at full term would would endanger her ability to carry another child. Republican Texas Attorney General Ken Paxton argued that Cox does not meet the criteria for a medical exception to the state’s abortion ban, and he urged the state’s highest court to act swiftly. “Future criminal and civil proceedings cannot restore the life that is lost if Plaintiffs or their agents proceed to perform and procure an abortion in violation of Texas law,” Paxton’s office told the court.

A conservative attack on government regulation reaches the Supreme Court

The Supreme Court is hearing arguments in a challenge to the Securities and Exchange Commission’s ability to fight fraud, part of a broad attack on regulatory agencies led by conservative and business interests. The case before the justices Wednesday involves the Biden administration’s appeal of a lower-court ruling that threw out stiff financial penalties imposed on hedge fund manager George R. Jarkesy by the SEC. The high court’s decision could have far-reaching effects on the SEC and other regulatory agencies, and it’s just one of several cases this term that could constrict federal regulators. The court’s conservative majority has already reined them in, including in last May’s decision sharply limiting their ability to police water pollution in wetlands. Last year, a divided panel of the New Orleans-based 5th U.S. Circuit Court of Appeals ruled in favor of Jarkesy and his Patriot28 investment adviser group on three separate issues. It found that the SEC’s case against him, resulting in a $300,000 civil fine and the repayment of $680,000 in allegedly ill-gotten gains, should have been heard in a federal court instead of before one of the SEC’s administrative law judges. The panel also said Congress unconstitutionally granted the SEC “unfettered authority” to decide whether the case should be tried in a court of law or handled within the executive branch agency. And it said laws shielding the commission’s administrative law judges from being fired by the president are unconstitutional. Judge Jennifer Walker Elrod wrote the appellate opinion, joined by Judge Andrew Oldham. Elrod was appointed by former President George W. Bush, and Oldham by former President Donald Trump.