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Google Appeals App Store Monopoly Verdict, Citing Legal Errors

Alphabet's Google has appealed a jury verdict and a judge's order requiring changes to its Google Play app store Read More...

Alphabet’s (GOOGL, Financials) Google has requested the U.S. Court of Appeals for the Ninth Circuit to reverse a jury decision and a judge’s order to reform its Google Play app store, alleging the trial court made key legal mistakes.

The company filed its detailed appeal on Wednesday, challenging the ruling issued by U.S. District Judge James Donato. The decision mandates Google to let competing app shops on its Play platform and to make its app library available to rivals. Set to be binding for three years, these amendments are on hold awaiting the scrutiny of the appeal court.

Google said in its complaint that the jury should not have heard the case Epic Games, the creator of the video game “Fortnite,” file. Google said that the lawsuit aimed to limit Google’s activities rather than seek damages. Google also objected to the court allowing Epic to claim that Apple (AAPL, Financials) and Google are not rivals in app distribution or in-app payment systems.

The legal conflict arises from a 2020 lawsuit in which Epic Games claimed Google was monopolizing Android device and payment system access. Last year, a San Francisco jury decided in favor of Epic, ruling Google had suppressed competition. Judge Donato ordered Google to carry out various changes based on the outcome, including allowing competing app shops.

Epic, with its headquarters in Cary, North Carolina, deemed Google’s plea to be unworthy. This meritless appeal is Google’s desperate attempt to avoid complying with the unanimous jury decision, the company said.

Google has not responded outside of its legal documentation. Enforcing the verdict, according to the business, would hurt customers and app developers and call for a “dramatic redesign” of its Android, mobile operating system, and Google Play marketplace.

The Ninth Circuit Court of Appeals is scheduled to hear oral arguments on Feb. 3, with a decision expected later in the year.

This article first appeared on GuruFocus.

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