These old iPhone users start receiving payouts from class action lawsuit: Check if you’re eligible

Former iPhone 7 owners are finally receiving payouts after a lengthy legal battle over the “Loop Disease” issue, with payments starting to roll out this year.

iPhone 7 and iPhone 7 Plus users are now getting their long-due payouts from class action lawsuits. (Apple)

Former iPhone 7 and iPhone 7 Plus owners are now receiving their settlement payments following a class action lawsuit that was approved last year. These payments stem from issues related to the “Loop Disease,” a problem that affected some devices after their release in 2016 and 2017.

The payments are estimated to be around $200 per claim filed. The total settlement amount is $35 million, with a significant portion of the payout directed toward the attorneys who led the class action. The deadline to join the class action expired last summer, and participants are now receiving compensation in 2025.

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Apple did not admit to any wrongdoing in the case but agreed to settle. The issue, known as "Loop Disease," was linked to pressure on a specific area of the iPhone 7 or iPhone 7 Plus, which led to issues such as poor audio quality, particularly during FaceTime calls.

The payout amount for each individual depends on whether they paid for a repair related to the problem. Those who did not pay for a repair will receive a smaller amount. At the time of the lawsuit, the maximum payout was listed as $350.

Last year, a similar settlement occurred for MacBook users with faulty butterfly keyboards. Payments for that case have already begun to be distributed.

This legal matter stems from Apple's admission that it had slowed down older iPhones with ageing batteries to prevent unexpected shutdowns. The company did not disclose this change when it released the software update, leading to significant user dissatisfaction. In response, Apple apologised and reduced the cost of iPhone battery replacements to $29 for a period of time.

Additionally, a separate $500 million lawsuit in the U.S. resulted in a similar settlement. Affected participants are receiving about $92 each this week.

These settlements reflect the ongoing legal and financial consequences Apple faces due to how it handled the performance management of older devices. Users in Canada may also see compensation if a settlement for their region is approved.