Google’s $351 million app store deal clears UK tribunal, but cash won’t flow yet

A British tribunal backed the tech giant's settlement over app store fees, leaving further payments to lawyers and funders for a later hearing.(CN) — Google’s $351 million deal with British app developers won a competition tribunal’s blessing Wednesday, but turning the settlement into payouts will take another trip to court.The United Kingdom’s Competition Appeal Tribunal said it would approve the agreement jointly sought by Google and Professor Barry Rodger, who represents developers challenging Google Play Store fees. Rodger argued Google blocked competing ways to distribute Android apps and charged excessive commissions, typically taking 30% from app sales and purchases inside apps.The tribunal found the deal fair and reasonable but required changes before issuing its formal order, including a guaranteed 200 pound ($270) minimum for eligible claimants. The plan sets aside 160 million pounds ($216 million) for developers and 100 million pounds ($135 million) for lawyers, insurers and litigation funders.Money developers leave unclaimed could swell that second pot. Rodger proposes considering additional payments to those who financed the lawsuit before increasing developers’ compensation. Roughly 30 million-40 million pounds in further contractual payments would await a later decision.Rodger says making those payments wait gives developers priority. His lawyer, Robert O’Donoghue, said Tuesday independent advisers helped oversee the agreement and acknowledged the tribunal’s responsibility to scrutinize a deal both sides support: “I am emphatically not a salesman for the settlement.”Dream Games, a developer eligible for compensation, argues it would receive about 15% of its estimated claim while the lawyers and financial backers could eventually collect everything their contracts promise. Its lawyer, Sarah Houghton, said, “There is an effect of ring fencing for stakeholders, which is not mirrored for class members, and that is a stark contrast.”Rodger counters the comparison leaves out the risk of losing at trial and getting nothing. Google also supports waiting until the tribunal knows how much developers claim before deciding further payments. Its lawyer, Kassie Smith, said: “This settlement is, of course, reached with no admission of liability or wrongdoing by Google.”Rodger filed the lawsuit in August 2024 under British and, for part of the claim period, European rules against abusing market dominance. The tribunal allowed developers to proceed as a group in March 2025 and managed their case alongside related lawsuits from Fortnite maker Epic Games and consumer representative Elizabeth Coll. Rodger and Google sought settlement approval on Aug. 25, 2026. Their deal would settle the developers’ claims, leaving Coll’s consumer case separate.Established in 2003, the specialist tribunal handles competition disputes. Reforms in 2015 let eligible businesses and consumers be included in group claims unless they opt out, making smaller claims worth pursuing together. Because a settlement can bind businesses that never appeared in court, the tribunal must check that the bargain is fair.Calculating individual payments proved another sticking point. The plan generally compares commissions developers paid with an expert’s estimate of what Google could have charged with effective competition. The tribunal questioned whether that formula could leave some midsize developers shortchanged. Rodger argues those businesses paid less in suspected overcharges and should receive less.Dream Games also worries developers missing from Google’s records could come forward and reduce everyone else’s share. Rodger maintains those businesses must prove they qualify. Google wants protection against developers bringing the same claims abroad.After the tribunal questioned whether the agreement would surrender too many rights, the parties proposed narrower wording limiting the claims it would settle.The parties must now submit revised documents before the tribunal issues its order. Developers will have three months to opt out and may apply individually for more time. A further hearing will address payments and leftover funds, with interested parties able to make submissions.The tribunal set no date for its written reasons, saying they would follow once finalized. Until it authorizes payments, the money stays put.Courthouse News reporter Eunseo Hong is based in the Netherlands.Subscribe to our free newslettersOur weekly newsletter Closing Arguments offers the latest about ongoing trials, major litigation and rulings in courthouses around the U.S. and the world, while the monthly Under the Lights dishes the legal dirt from Hollywood, sports, Big Tech and the arts.Additional Reads