Apple Files Lawsuit Against Teenager Who Sold White iPhone 4 Conversion Kits, Settlement Reached?

Discussion in ' News Discussion' started by MacRumors, May 26, 2011.

  1. macrumors bot


    Apr 12, 2001


    Last November, we highlighted the story of New York City teenager Fei Lam, who had managed to sell $130,000 worth of white iPhone 4 parts in just a few months to customers eager to get their hands on a white iPhone 4 has Apple continued to delay the release of the official model. Lam claimed that he had developed a secondhand relationship with someone at Apple's manufacturing partner Foxconn who had been supplying him with parts. At the time, the report noted that Lam had been contacted by a purported private investigator who claimed that Lam was trafficking in stolen goods, and Lam's site disappeared soon after.


    Apple yesterday finally filed a lawsuit against Lam and his parents, claiming infringement and dilution of its trademarks and engaging in deceptive practices through his conversion kit sales through his website at Apple did, however, also file a voluntary dismissal of the lawsuit at the same time, suggesting that a settlement has may have been reached, although Apple's request for dismissal without prejudice means that the company reserves the right to refile the claim at some point in the future.
    Lam's parents were included in the suit under claims that they aided and abetted him by allowing him to engage in the activity while he was a minor under their supervision. Apple claims that Lam's actions dilutes Apple's trademarks and compromises its relationships with customers by causing confusion about whether Apple had authorized sales of white iPhones.

    Apple's filing includes quotes from instant messaging exchanges between Lam and Alan Yang, a business owner in Shenzhen, China who was obtaining the parts for Lam, quotes that make clear that Yang was occasionally having difficulties getting parts shipped out as customs agents in Hong Kong were giving in troubles over the trademark issues.

    Apple requested a permanent injunction barring the Lams from any further sales, forfeiture of all profits from the sale of white iPhone 4 parts, reimbursement for expenses occurred in pursuing the case, and additional financial penalties. With the request for dismissal, however, it is unclear what Apple may have obtained from the Lams in a potential settlement.

    Article Link: Apple Files Lawsuit Against Teenager Who Sold White iPhone 4 Conversion Kits, Settlement Reached?
  2. macrumors 6502a


    Nov 26, 2003
    Bravo, Apple! Way to go out of your way to crush the competition!

    Sadly, if Microsoft would have done this (think Mike Rowe Soft incident) people would be rioting but Apple crushing a teenage is ok...
  3. macrumors 601


    Jun 27, 2007
    Central U.S.
    I'm sorry, but this is really dumb. And I mean really, really dumb.
  4. zin
    macrumors 6502

    May 5, 2010
    United Kingdom
    It's not as if he wouldn't have had money to pay for a settlement (he made $130,000, remember...).
  5. macrumors G5


    Nov 25, 2005
    I don't think Apple cares how much money they got (unlikely that it covered even their lawyers' expenses), but the result is that nobody will do it again.

    Please explain what you mean by that. So a teenager manages to get into contact with criminals in China who are selling stolen pre-release parts for the iPhone, imports them into the USA, starts a website, starts a flourishing trade which damages Apple's reputation, so what is Apple supposed to do in your opinion?
  6. macrumors 6502a

    Oct 16, 2008
    And crush his parents as well. This should serve a warning sign who dare to tread on Apple!
  7. macrumors newbie

    Feb 7, 2010
    He's only a teenager, Apple are just throwing their weight around. :(:apple::(
  8. macrumors member


    Aug 21, 2007
    Allright! Another reason to make me hesitant to admit to owning an iPhone, or iPod, or MacBook, or contemplate buying more Apple crap if this is how those profits are used. Time to fix my signature...
  9. macrumors 68020

    Cheffy Dave

    Feb 5, 2007
    Sunny Florida, on the Gulf Coast in Homosassa Fl
    If you read the article, he has to forfit ALL profits as well as pay a penalty:cool:
  10. macrumors 6502

    Jul 22, 2008
    I'm sure there are going to be people on here who will say "leave him alone, he's just a kid" but he must have known what he was doing was going to land him in trouble. He was fitting stolen parts on phones after all. It's certainly 'enterprising', I'll give him that.
  11. macrumors 6502

    Aug 15, 2007
    Douche Move of the Century.
  12. macrumors 6502a


    May 29, 2008
    Women. Children. None were spared the master's wrath.
  13. macrumors 68020

    Cheffy Dave

    Feb 5, 2007
    Sunny Florida, on the Gulf Coast in Homosassa Fl
    NO excuse, do the crime , do the time, a crime is a crime at any age, ever hear of consequences for your actions:rolleyes:
  14. macrumors 6502a

    Aug 11, 2010
    Apple is getting to big for it's britches. The fad will be passing within another 2 yrs, the bubble will burst. And apple will be remembered for what it is ... a really good marketing company.

    hopefully the whole hacker crowd goes after apple for this petty crap and shuts them down like they did to sony
  15. macrumors regular

    Jul 15, 2008
    Kansas City, MO
    You know, if Apple hadn't created the demand and then dropped the ball on the white iPhone, this wouldn't have ever come up. Lawsuits are completely unnecessary in this case.
  16. macrumors 6502a

    Jul 6, 2010
    So if a teenager goes and kills someone you'd say the same thing?

    The punishment may be a little harsh and a large sum of money but he should have thought of that before doing what he did.
  17. macrumors 601


    Feb 19, 2008
    For all those complaining like this remember:

    1) He reportedly illegally got stolen parts from Foxconn
    2) His parts had the Apple logo and this is a trademark violation

    He wants to engineer legitimate replacement parts without trademark logos, he might have a respectable business.
  18. macrumors 6502a


    Jan 27, 2010
    California and Texas
  19. Cheffy Dave, May 26, 2011
    Last edited by a moderator: May 27, 2011

    macrumors 68020

    Cheffy Dave

    Feb 5, 2007
    Sunny Florida, on the Gulf Coast in Homosassa Fl
    poor you, a crime is a crime:cool:

    grow up, Apple just is protecting its rights, HE's A THIEF! Get it?
  20. macrumors member

    Jul 21, 2008
    Kinda saw it coming.

    Come on, guys. He was selling probably illegitimately obtained parts. It was bound to happen. Look at Psystar. This was a legally STUPID move on the kid's part to not expect some kind of lawsuit.

    Also, how the f* does a teenage kid weasel his way into Apple's supply chain?
  21. macrumors regular

    Nov 21, 2009
    I'd feel sorry for the kid had he not made thousands of dollars off this.
  22. macrumors 6502

    Jul 22, 2008
    I would be interested to see how that kind of defence would go down in court...
  23. macrumors newbie

    Aug 10, 2009
    He wouldn't have sold half of what he did if it wasn't for the logo.
  24. macrumors 68030


    Mar 7, 2006
    Salt Lake City UT
    Actually maybe the kid is the next Steve Jobs. He took the first step and was a genius.
  25. macrumors 603


    Apr 11, 2005
    One mile up and soaring
    Sorry but anyone saying leave the kid alone, or Apple is too Big Brother/Big Business either needs to get their head on straight or grow up or both. Anything of the sort just makes you sound like you don't know what you are talking about.

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