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iPad trademark war - Game on
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E-mail CNTV, February 15, 2012
As the battleground for tablet computers heats up so is the fight over naming them. Apple's trademarked "iPad " has triggered serious fire between the US tech giant and technology firm, Proview, in the Southern Chinese city - Shenzhen. The dispute threatens to complicate Apple's efforts to sell its popular tablet computer in China.
Shenzhen's Proview tech company's battle with Apple over who has the right to use the name "iPad" took another turn after authorities in Shijiazhuang, capital of north China Hebei provinces, seized dozens of the Apple tablets for trademark infringement.
Since Apple lost its first lawsuit over the trademark in Shenzhen last December, Proview Technology has filed complaints in almost 20 cities, urging authorities to prohibit Apple from selling or marketing its hot device.
Moreover, Proview is preparing to file complaints to the Administration of Customs to ban the import and export of the Apple tablet.
Partner from one of the most famous law firm in Beijing said such action is not against the law in China.
Qin Qingfang, partner of King & Capital Law Firm, said, "I don't think such action is against the law. We have two systems in our country. One is the judicial system, and the other one is the administrative enforcement system. The Customs and Industry and Commercial Administrations belong to the administrative enforcement system. So as long as Proview Shenzhen has evidence, authorities like customs can take action according to the law."
Shenzhen Proview registered the iPad trademark in China in 2001. Apple bought rights to the name from a Taiwan company affiliated with Proview, and the tech giant thought that included the rights to the Chinese mainland, but the trademark was still in the hands of Proview Shenzhen. Qin says the chances of Apple winning look dim if it doesn't possess strong evidence.
Qin Qingfang said, "For Shenzhen Proview, it files cases according to the Chinese mainland law. It obtained the trademark legally by the Trademark Law here. So it's being protected under the law as the owner of the trademark. And if Apple currently doesn't have any sound proof of being authorized to have the ownership of the trademark - then it doesn't change Apple's infringement actions. "
Apple will face a 10 billion yuan penalty if it fails to prove it has legal ownership of the IPAD trademark. Qin thinks the critical issue in this case is not the number but the fairness.
Qin Qingfang said, "In my opinion, the court will take several factors into consideration, such as the consequence of the infringement, current trademark holders' market share and the license fee. I don't think it's fair to rule out the result just by looking at the market share of Apple tablets sold in China."
Apple has five flagship stores in China, and its CEO Tim Cook described the emerging consumer market as "key" to the company's impressive earnings.
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