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Proview calls for compensation over China iPad name

0 Comment(s)Print E-mail CNTV, February 22, 2012
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Apple's trademark, "iPad" has triggered a fierce dispute between the US tech giant and Chinese technology firm, Proview. Another court session over the dispute has opened this Wednesday morning in Shanghai.

The dispute threatens to complicate the sales of Apple's popular tablet computer. Proview claims ownership of the iPad name, while Apple says it bought the rights to the name in China and other countries in 2009. Lawyers and representatives for Shenzhen Proview share their view on this issue.

Friday's ruling in favor of Shenzen Proview Technology over the iPad name, could spell trouble for Apple. A court in China's Guangdong province found that Proview still owns the iPad name.

Xie Xianghui, lawyer for Shenzen Proview, said, "We feel that the trademark rights motions claimed by Apple, based on the transfer agreement reached in 2009, is not legally binding for the Shenzhen purview according to Chinese trademark law, and not legally effective."

The courts also ruled that distributors should stop selling iPads in China, but this may be difficult to enforce. And Proview also plans to petition China's customs agency to block the import and export of iPads.

Ma Dongxiao, lawyer for Shenzen Proview, said, "The industrial and commercial bureau could investigate and seize Apple's 'iPad' products since a legal transfer of trademark has not taken place."

Apple is appealing the ruling on February 29th. In their attorney's letter to Proview's chairman, Apple accuses Proview of breaching "principles of good faith and fair dealing" and "making false and misleading statements". But Proview claims Apple acted dishonestly by not disclosing their identity, when purchasing the iPad name from Proview's Taiwanese affiliate.

Li Su, representative of Shenzen Proview, said, "Apple should have prepared itself for the cost of violating the laws on the first day, for using the trademark illegally, and the overall compensation could reach 30 billion yuan according to our calculations."

A Shanghai court is due to hear a similar trademark case on Wednesday. With Shanghai being one of Apple's biggest markets in China, this ruling would be significant. And Apple may have bitten off more than it can chew.

 

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