Apple was not the first to produce a round-cornered rectangle
Apple didn't have a patent on round cornered rectangles.
Yes, they effectively did. That design patent is what they've been using in force.
EDIT: http://en.wikipedia.org/wiki/Inventive_step_and_non-obviousn...
The patent in question is literally a rounded corner rectangle.
2004: Apple files patent on iPad-like design
2007: iPhone released
2008: CrunchPad development started