“California resident Jason Medway filed the 14-page complaint in a Northern California court this week on behalf of himself and thousands of other California customers who purchased the iPhone 3G,” Slash Lane reports for AppleInsider. “The suit revives claims that the smartphone, launched last June, has a defect that keeps it from maintaining a signal on AT&T’s 3G network.”

Lane reports, “The suit [argues] that, as a result of Apple’s misrepresentations, ‘thousands of consumers who purchased Apple’s iPhone 3G and accompanying 3G service from AT&T have experienced broken promises regarding the phone’s transmission speeds.’”

Lane reports, “Attorneys for Medway are seeking damages for thousands of class members in excess of $5 million. The complaint claims the plaintiffs should receive full restitution, including the ‘disgorgement’ of all profits Apple received from sales of the device plus interest at the ‘highest rate allowable by law,’ along with attorneys’ fees.”

“The complaint is the latest in a long saga dating back to last August… Ironically, an independent study commissioned by Wired last year concluded that iPhone data speed problems ‘have more to do with carriers’ networks than with Apple’s handsets,’” Lane reports. “AT&T, however, is not named as a defendant in Medway’s suit.”

More info in the full article here.