It wasn't a crime. It was a civil action. There was no verdict because Apple paid.

Apple should implement a "send for service" option that configures the device so that service can be done without exposing the customer's information.

All Apple customers for iPhones have an Apple ID. When the phone is in service mode, all the data is backed up to iCloud (irrespective of whether the customer has paid for it) and the phone wiped. The fact that an iPhone doesn't include at least as much iCloud storage as it has local storage for backup is ridiculous.

After repair, the data is loaded back into the device before being returned to the customer.