The Apple Peel 520 case for the iPod touch that shipped last month may be the subject of a lawsuit from Apple, a report indicated Wednesday. The case interfaces with the iPod using Apple's dock connector, but the company does not have the license necessary to do so, hence analysts in China believe a lawsuit from Apple is looming, according to Digitimes. The device allows users of jail-broken iPod touch devices to operate like a phone, as it has room for a SIM card and interfaces with the device to make it operate nearly like an iPhone.