Administrative oversight costs Apple $100,000
To add a little insult to its injuries, Apple Computer was recently fined $100,000 for an administrative oversight that lasted for four years.
The San Jose Business Journal reports that Washington Insurance Commissioner Mike Kreidler imposed the fine against Apple after the company failed to register as a service contract provider in the state of Washington.
The state law, which took effect in 1999, requires all companies selling service contracts to register with the Office of the Insurance Commissioner.
The Business Journal reports that Apple notified the commissioner's office after discovering the discrepancy.
A report shows that Apple remained unregistered from 2000 to 2004. During that time, the company sold 43,080 service contracts, according to the Business Journal.
The mistake prevented Apple from being able to offer its AppleCare extended warranty to Washington consumers for a time last year, according to Apple Insider. Customers were told to check back with the company at a later time, the site said.
The Journal reports that the Insurance Commissioner's office has not received any complaints regarding Apple's contracts and the company is now registered.
Update: "Apple discovered this oversight and immediately brought it to the insurance commissioner's attention," a company representative told CNET News.com on Thursday afternoon. "Apple's protection plans are properly registered in the state of Washington and no AppleCare customers were ever at risk."
