>LG re-cuts the slightly better ones into smaller panels (24" and below) This is news to me, my father sell LCD inspection equipment that is part of the assemb

>LG re-cuts the slightly better ones into smaller panels (24" and below) This is news to me, my father sell LCD inspection equipment that is part of the assembly line, if a screen doesn't meet the yield, it's rejected. Panels can't be tested until much later in the assembly line process so you can't just re-cut the glass like wood into smaller bits. Apple probably doesn't inspect the panel until it's completely put together, which is too late. So there is no way they can just take back a bad batch and re-cut the screen. Most likely, Apple receives a shipment, tests a few panels, if it doesn't meet their yield, they reject the shipment and LG will sell the panels to a 3rd party that has lower standards and the 3rd party will rebrand them. What Apple forbids and LG does are two completely different things. How would Apple even check? Also, once a shipment is rejected, Apple doesn't have any say, they didn't buy it, so why do they have the power to forbid reselling? Even if Apple does find out, it's not like they can kill the contract, there are only 2-3 players in the LCD business that can meet Apple's standards. AFAIK Apple mainly sources their panels from LG and Samsung. Apple would be at a huge disadvantage in getting a competitive price if they ended their relationship with LG.