When Apple purchased the rights to the “iPad” trademark from Taiwanese display manufacturer Proview Electronics for a reported $55,000 some years prior to the tablet’s initial public introduction, the deal struck with the company failed to include the rights to use the trademark in China.
That’s according to AppleInsider, who this afternoon report Apple is now facing claims from a Chinese company which could potentially result in $38 Million of damages which the Cupertino company may be ordered to pay out to the firm as way of “apology”.
But there’s a little murky water covering this case. Specifically, Proview claims that it do not include the rights to use the trademark in China due to those same rights being owned by the Shenzhen-based arm of its operations, (which are a subsidiary of a company called “Proview International” with head offices in Hong Kong).
Citing alleged ‘trademark infringement,’ Proview is now reportedly seeking damages to the tune of 10 Billion Yuan (or $1.6 Billion). Of course, that’s just the start, at least – according to Global Times, who now reports the company originally filed to charge Apple 240 million Yuan (or $38 Million) in damages surrounding this alleged infringement. However, the filing for such damages was later delayed due to Apple appealing.
The Xicheng district administration denied Xie’s claims of an impending 240 million yuan ruling. “It is still under investigation, so no official comments on the case can be made yet,” a media officer at the publicity office of the administration told the publication.
It’s not all about the money, though, noted Xie Xianghui, (the Chinese firm’s lawyer), highlighting that the company is now also “demanding an apology” from the iPad maker.
“We ask the court to stop selling and marketing for Apple’s iPad in China. We also demand an apology,” Xie added.