When TV production company Jigsaw Entertainment found that a 16-year-old Melbourne boy had created and profited from a Mark "Chopper" Read iPhone soundboard app using its audio and images, the company didn't go after the boy - it sued Apple.
Now a settlement between Apple and Jigsaw has been reached out of court, whereby it's understood Apple retrieved the thousands of dollars made from the app by both it and the boy and paid it to Jigsaw.
The settlement over the $1.19 iPhone app was finalised in a document dated February 6 this month by Jigsaw chief executive Nick Murray and by Apple Australia's managing director Anthony King and finance director Paul Whittingham.
Federal Magistrate Sylvia Emmett ordered on February 17 that the terms of the settlement contained in the document be confidential, that the legal proceedings be dismissed, and that there be "no order as to costs".
The Chopper app was the highest selling "entertainment" app in the country in June 2010 (the fifth-highest-selling overall) and sold at least 10,000 copies in the three weeks before it was pulled from sale.
Apple declined to comment and Mr Murray said all that he was allowed to say was that the "action has been settled". He was not able to say whether or not he was happy about the settlement.
Jigsaw launched the legal action against Apple on October 12, 2010, claiming the company breached copyright.
The action came after Apple initially ignored Jigsaw's request to remove the iPhone app, which was based on a comedian's impersonation of Read. It's understood the boy's father asked his son to remove it from sale on Apple's iTunes store.
Once the app was removed and Jigsaw launched legal action against Apple for damages, the computer giant initially told the production company that it should sue the student.
Jigsaw agreed not to pursue the boy after the his father wrote an apologetic letter to Jigsaw saying he was horrified to find out what his son had done.
In a press release at the time the legal action was launched against Apple, Mr Murray said that Apple "ought to know exactly what is in the apps it sells".
"Apps from the iTunes store are all vetted, checked and classified by Apple before being released," he said. "We can't understand how a product which actually stated it was from a TV show appears not to have been checked by Apple to make sure it was an authorised product..."
Named "Chopper Soundboard" on the iTunes app store, the top-selling app contained audio files from the sketch comedy created by Heath Franklin for The Ronnie Johns Half Hour.
The show was produced by Jigsaw and aired on Channel Ten in 2005 and 2006.
Jigsaw claimed in October 2010 that the then 16-year-old Melbourne student, who previously asked for his identity to be kept secret, made the app using up to 116 sound bites, with many taken from the sketch titled Harden the F--- Up.
That sketch poked fun at the habits of "soft" city dwellers, such as the preference for soy milk in coffee, and was popular with teenage boys.