Shanghai court rejects injunction against iPad

23 Feb 2012

The iPad 2

A court in Shanghai rejected Chinese firm Proview Technology’s request to get a preliminary injunction against the sale of the iPad in the company’s continuing trademark dispute with Apple.

The Wall Street Journal reports that the Shanghai court said it has postponed hearings awaiting the results of a separate case in the Guangdong provincial high court.

Proview Technology requested the injunction in its ongoing trademark dispute with Apple over the iPad name in China, claiming it owns the trademark to the name.

Earlier this week, a lower court in Guangdong sided with Proview Technology, ruling that local distributors should stop selling Apple’s tablet.

However, Apple said it has appealed to Guangdong’s high court against an earlier ruling which favoured Proview Technology.

The China Post reports that Proview Technology is now preparing to negotiate with Apple in the hopes of reaching a settlement. Its lawyer Xie Xianghui said the court cases will continue until an agreement is reached.

Financial difficulties

A few years ago, Proview Technology defaulted on its loans and in March 2009, the Shenzen Intermediate People’s Court appointed Bank of China and Minsheng to lead in a reorganisation of the company, Bloomberg reports.

Apple claims that Proview Technology sold the trademark rights to the name in 2009, but the Chinese display firm said Apple only bought it from a Taiwanese subsidiary, which never had permission to sell it, and that it doesn’t cover mainland China.

Proview Technology’s founder Rowell Yang said the company was under the control of these creditors when Apple bought the trademark.