SAN FRANSICO: Apple has reached an agreement to settle a US class action lawsuit, in which the company will be paying $35 million to iPhone 7 and iPhone 7 Plus users, who were prone to audio issues due to a defective chip in the devices.

The company has now started notifying eligible customers by email, reports MacRumors.

Users who are eligible to receive payment from Apple must have owned an iPhone 7 or iPhone 7 Plus between September 16, 2016 and January 3, 2023.

There must also be a documented complaint with Apple regarding the speaker issues, or users must have paid Apple to repair or replace the device.

The deadline to choose a payment method, object to the settlement, or opt-out is June 3.

The proposed settlement, which needs to be approved by a California court on July 18, offers up to $349 to those who paid Apple out of pocket and up to $125 to others, the report noted.

In 2019, Apple was sued in several US states over the "loop disease" audio issue. The lawsuits claimed that Apple had breached warranties and violated consumer protection laws.

Despite agreeing to a settlement, Apple denied all allegations of wrongdoing, and the court hearing the case has not ruled in favour of Apple or the plaintiffs.

Meanwhile, Apple has demanded that Fortnite creator Epic Games pay them more than $73 million for legal fees amid their ongoing dispute over App Store payment methods.

On January 16, the US Supreme Court refused to consider any side's appeals, ending the three-year legal battle between Epic Games and Apple. But, after the case was over, Judge Yvonne Gonzalez Rogers ruled that Epic Games owes Apple $73 million in legal fees and other costs, reports Apple Insider.