iPad legal battle reaches the US

Proview Electronics Co. Ltd and Proview Technology Co. is upping the ante with their fight against Apple Inc. The company is filing a lawsuit in California for the alleged deception when Apple bought the ‘iPad” trademark.

Proview is accusing Apple of creating a “special purpose” entity in buying the iPad name from the company.

According to a report from Yahoo! news the company alleges that the lawyers for IPAD repeatedly said that they would not be competing with them. The report also states that Apple failed to say why they needed the trademark.

The battle between the two companies over the “iPad” name dates back to a disagreement over what really constitutes the deal for the transfer of the trademark.

In China, Proview has won a case over iPad thus pulling the device in some stores in the country.

China is an important market for Apple. They have sold over 15 million iPads worldwide in the last quarter and is trying to make a leverage in the world’s No. 2 economy to continue their growth.

Majority of Apple’s iPhones and iPads are also assembled in China with their partnership with Foxconn.

According to industry executives, employing special purpose entities to acquire trademarks is one of the most frequent tactics being employed in China.

Image source: blog.experts-exchange.com