Facts

Dell, Hewlett-Packard, and Apple laptop computer users filed a class action suit against NVIDIA Corp. in 2008.

PLAINTIFF'S CONTENTIONS:
The users contended that some of NVIDIA's graphic processing units (GPUs) and media and communications processors (MCPs) were defective, alleging product liability, negligence, and breach of warranties. The users claimed that NVIDIA sold certain GPU and MCP products to computer equipment manufactures, who then incorporated the problematic units into their computers, causing computer malfunctions. The users alleged that the malfunctions included computers failing to display images, as well as displays of random characters, and trouble detecting wireless networks.

DEFENDANT'S CONTENTIONS:
NVIDIA denied the allegations.

Damages

The users sought damages.

Result

The parties reached a settlement for owners of covered computers manufactured by Dell and Apple to receive replacement NVIDIA GPU chips or motherboards, as the case may be. Owners of covered computers manufactured by Hewlett-Packard will receive replacement notebook computers of like or similar kind and equal or similar value. In addition, NVIDIA will establish a $2 million fund to reimburse consumers for prior out-of-pocket expenses that they may have incurred to repair their computers. NVIDIA is paying the costs of class notice and administration, and $13 million in attorney fees.