I have to say that the amount of white-knighting for apple going on in this thread is astounding. I have never posted in this forum before but feel compelled to do so after some of the things I have read here.
Firstly,a bit bit about me. I am a very "tech-savy" person (software engineer by trade) and have not been caught out by the in-app purchases here as some people have. In fact I disabled in-app purchases as one of the first things I did after buying my iPad.
Now that's out of the way let me say this.
Either this situation is a case of (at best) extremely bad software implementation, or it's a blatant scam trying to take advantage of people that don't understand the full consequences of their purchased app.
I'm inclined to believe the latter in the case off the app producer, and the former in the case of apple.
To try and blame the parents for bad parenting is just going to far defending apple in this case.
Let me sum up the main problem, as I see it, with this situation:
1. The app is aimed at children
2. The app includes in-app purchases
3. Due to the way iOS works in default mode, you will always get a lot of cases here of children accidentally running up massive bills in the first 15 minutes when no authorisation check is required.
Sure you can say "they should have read the instructions". Or they should be more "tech savy" or whatever.
I have a problem with this.
iPad is designed with simplicity in mind, so that people who are not that good with computers can use them. Combine that with a default setting that allows 15 minutes of no authorisation check, and a default setting that allows In game purchases, and you have a system that is clearly set up for easy abuse by unscrupulous devs.
What you will see is more and more apps designed to take advantage of this loophole, to try and prey on the less technically minded customers, the customers that perhaps do not realise what the line of In game purchases actually means.
Apple have clearly missed a trick here. I do not believe the 15 minute period where authorisation is not required should have been applied to ingame purchases.
Before any more devs go exploiting this loophole, apple would be well advised to step in and change their software operation. Apple have a good reputation,which they should wish to build on. This sort of loophole will do them no good if left as is.
A final point I would like to bring up, with regard to possible lawsuits.
The app dev has clearly written in their app description that this app allows for ingame purchases. So legally they are probably covered.
However, I would like to just point out that what is legal and what is ethical are often not the same thing, and in fact often diametrically opposed. I do not believe apple should be seen to be unethical in their conduct. It would tarnish their good reputation.