Apple threatens to gag customer in another case of exploding iPod

Electronics giant Apple, the maker of the iPod and the iPhone among other computer products, has tried to gag a British family after their daughter's iPod music player exploded and the father asked for a refund.

Ken Stanborough, from Liverpool, noticed that his 11-year-old daughter Ellie's iPod made a hissing sound with vapour rising after he accidentally dropped the iPod last month. As he picked up the iPod, he noticed that the device was hot and threw it out of the back door, which resulted in the iPod making a popping sound with smoke and went flying 10 feet in the air.

Stanborough contacted Apple and Argos, the dealer where he had purchased the iPod for £162, where he was given a run around from one department to another. Subsequently, when he spoke to an Apple executive over the telephone, he received a letter from the company offering a refund but refused to take any liability for the exploding iPod.

But the offer letter from the Apple came with a rider stating that the refund offer was subject to if his family were willing to sign an agreement, the content of which would lead them to be sued if they ever disclosed the terms of the settlement.

The gag letter stated that by accepting the refund, Stanborough had to keep the terms and existence of the settlement agreement confidential, a breach of which could lead to Apple claiming damages and legal costs from him in a court.

Stanborough, an electronic security expert, refused to accept the settlement since he had not asked the company for any compensation but only a refund for the iPod.