World Bulletin / News Desk
Apple Inc on Tuesday disputed an order by Italian regulators that the company must clearly offer a free two-year warranty on its electronics or face fines of 300,000 euros ($378,200) and possible temporary closure of its Italian operations.
Italy's antitrust watchdog AGCM has already fined Apple divisions some 900,000 euros for failing to offer the free guarantee, which is obligatory under Italian and European Union law.
The regulator said Monday that Apple, the maker of the iPhone and iPad, had not fully complied with the initial request and threatening the company with new fines.
Apple, which recently lost an Italian court case against the original regulatory decision, said it had launched a new appeal.
"We have appealed the recent decision of the (Italian) court as it was, in our view, based upon an incorrect interpretation of the law," Apple said in a statement emailed to Reuters.
"We have introduced a number of measures to address the Italian competition authority concerns and we disagree with their latest complaint."
On its Italian website, Apple explained it offers a two-year free guarantee on defects existing at the time of delivery plus one additional one-year free guarantee covering defects arising after delivery.
To extend the latter, Apple gives customers the possibility to buy its AppleCare Protection Plan (APP), valid for two or three years, depending on the product.
The AGCM, which believes the information offered by Apple is insufficient, said in its monthly bulletin that Apple was continuing to adopt unfair commercial practices in Italy. It said this could eventually lead to the closure of its Italian operations for up to 30 days.
Apple has 30 days to respond.
The AGCM alleged the information provided by Apple about an extra guarantee plan encourages customers to buy the APP service without clearly explaining that the company is obliged to offer a two-year free warranty.
Exit would cost average monthly salary for each household, Organization for Economic Cooperation and Development says
Firms to see deterioration in credit metrics as low oil prices impact cash flows
OPEC exporters as well as other non-OPEC producers, including Russia, fail to agree on oil output freeze
Moody's has upgraded Argentina's credit rating after a US appeals court ruling this week cleared the way for Buenos Aires to proceed with the biggest debt issue by an emerging market country in 20 years.
Ahead of Doha meeting, OPEC says 'hurdles prevail as oversupply persists and inventories remain high'
Kuwaiti OPEC head says Russia and OPEC are likely to agree on oil output freeze
'The good news is that the recovery continues; we have growth; we are not in crisis,' Christine Lagarde says
The meeting is a 'follow-up' to last month's talks between Qatar, Russia, Saudi Arabia and Venezuela when they proposed an accord to freeze oil output at January levels
'They are not trimming output, only keeping it at the same levels...this is the same unchanged policy,' one expert says
Iran joining Venezuela, Saudi Arabia, Qatar and Russia in freezing oil output levels
According to the ratings agency Moody’s, Iran is fiscally and structurally well placed to come back into the global economic scene
PM Davutoglu meets the heads of the world's largest companies as he promotes Turkish economic interests at World Economic Forum
Fund cuts global growth forecasts for both 2016 and 2017 by 0.2 percentage points
'Runaway inequality has created a world where 62 people own as much wealth as the poorest half of the world’s population'