Unboxing Asia

Hana Stewart Smith

Apple accused of iPad patent infringement in China (again)

By | February 8, 2012, 12:18pm PST

Summary: Apple is facing another lawsuit from Proview Technology’s Shenzen branch, who are suing under patent infringement for around $38 million.

Apple has already collected a small back catalogue of patent lawsuits over the last few years. Some it has handled successfully and some less so, like their ongoing battle with Proview over the ‘iPad’ trademark.

Proview Technology is suing Apple over the rights to the ‘iPad’ brand within China’s borders, seeking around $38 million for “damages” and, perhaps most unusually, an apology from Apple.

Apple and Proview have been engaged in a lengthy legal back and forth over the ‘iPad’ trademark for years.

Proview International Holdings, of which the Shenzen branch is a subsidiary, registered the ‘iPad’ trademark in Taiwan way back in 2001. The trademark was then sold on to IP Application Development back in 2006 for $55,000. Apple then got the rights from them in 2010, but as IP Application Development’s ties to Apple came to light, Proview took action against the company.

Proview began suing them for copyright infringement in 2010 for $1.6 billion, and when Apple counter-sued the company last year, it lost the case.

According to Proview lawyer Xie Xianghui, Apple had only bought the rights to use the trademark in Taiwan previously, so the Shenzen company does not recognise their right to sell their products under the ‘iPad’ name.

Proview Shenzen’s chairman, Yang Rongshan, stated in 2010 that: “It is arrogant of Apple to just ignore our rights and go ahead selling the iPad in this market,” but he also admitted that a motivator was the companies financial state. “We are in big financial trouble and the trademarks are a valuable asset.”

Apple is still appealing Proview’s first lawsuit over copyright infringement. But after failing to counter-sue the company and facing yet another court battle over the trademark, it is starting to look like this battle is one that Apple can’t easily win.

Although it has been argued before that China’s patent law is biased — of course, towards Chinese companies — that may be an obstacle Apple can’t overcome. But the Cupertino giant can at least take some solace over the success the iPhone 4S has seen so far in the region.

Image source: CNET.

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Hana is three things -- small, British, and stranded in Tokyo.

Disclosure

Hana Stewart-Smith

Hana Stewart-Smith's mother is presently employed by IBM UK. No other existing or potential conflicts to report; this information will be updated whenever deemed necessary.

Biography

Hana Stewart-Smith

Hana is three things -- small, British, and stranded in Tokyo. After recognising that a degree in both English Literature and Film is, in fact, two parts unnecessary and useless, Hana decided that a change in pace was in order. With a lifelong passion for writing and a healthy fear/ fascination with technology, the next logical step was to move to Japan and surround herself with terrifying tech and a complete absence of the English language. She'll let you know how that venture works out.

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RE: Apple accused of iPad patent infringement in China (again)
deusexmachina  15th Feb
@loupgarous
First, there is no reason to believe that Apple will eventually lose this case. Even if they do, however, the few tens of millions at stake in this case are probably less than Apple is paying to fight it. So good job with the logic.
More importantly,Google deserves everything being thrown at them regarding Android, the UI for which they STOLE whole cloth, from iOS. From Eric Schmidt's privileged position on the Apple Board of Directors during the iPhone's development, he was privy to a large amount of information that allowed him to change his companies focus on Android, which the bought from Android Inc. from his original plan to implement a Blackberry clone, to its final emergence as a direct iPhone copy.
Jobs, who was instrumental in placing Schmidt on his board, felt rightfully betrayed. Funny that you would make such ill-informed comments in a discussion on intellectual property rights.
couldn't have happened to a more deserving company.
@tatiGmail
+1
@tatiGmail Great to hear from Samsung's President.
@tatiGmail
agreed. after ripping off people in USA, apple steals from the Chinese.
@The Linux Geek -

Aren't you the same person who prides Foxconn? Or was that "Linux Geek", assuming you two aren't the same person...

I wonder how Apple is ripping off Foxconn, too...
@The Linux Geek

Wait, WHAT?

You're giving Linux Geeks a bad name.
I hope (Cr) Apple gets hammered by lawsuits, and eventually goes down in flames.
0 Votes
+ -
@Rick_Kl
What happened? This change in your attitude towards Apple happened at the same time you changed your account name from Rick_Kl to Stephen-B. Did you get fired from Apple?
@Stephen-B Great idea! Let's see how well the economy is going to fare when its most valuable company goes down in flames.
@themarty Microsoft is more than capable of filling that void.
@Stephen-B What is it waiting for?
@Stephen-B Pfffft. Microsoft should just change its name officially to "Alsoran".
more valuable than Apple.

If Apple and all of its iStuff where to disappear from the planet, the effect would be felt, but it would be minimal.

If Microsoft and all of it's software and products were to all disappear, the effect would be catastrophic and felt around the world and in all industries and all economies.

Apple might have a bigger market cap, but it's products/software are not really "game changers".
@adornoe
Considering the fact that from its very first version of Windows and WMP (Video for Windows), all the way to Win7 and Vista with Aero, MS has unabashedly copied Apple's code and UI slavishly and unabashedly, I think you grossly underestimate the effect just to MS of the disappearance of Apple.
But let's hear your misinformed (as usual) counter, filled with right wing conspiracy theories and misstatements of fact.

And not recognizing the iPod, iPhone, and iPad as game changers is just absurd.
They really should have to show that they have actually used the name... Of course it is so old that I doubt it is squatting as none of the idevices were around then... Well, maybe Compaq's was there.
0 Votes
+ -
The trademark was then sold on to IP Application Development back in 2006 for $55,000. Apple then got the rights from them in 2010, but as IP Application Development???s ties to Apple came to light, Proview took action against the company.
???It is arrogant of Apple to just ignore our rights and go ahead selling the iPad in this market,??? but he also admitted that a motivator was the companies financial state. ???We are in big financial trouble and the trademarks are a valuable asset.???

Or to simplify it Apple paid for a license, but now they (Proview Technology) want to be paid again for the same thing. I can see the ihaters rejoicing this, you know who you are, but logically this stinks.
@Joel-r Apple paid a company that didn't have the rights to sell and they should go back after that company to get their 38 Million for misrepresenting themselves.
@Peter Perry they sold the trademark for $55,000 back in 2006. The company that purchased it , licensed it to Apple.
The trademark was then sold on to IP Application Development back in 2006 for $55,000.. Then Proview Technology decided they should get paid for the trademark twice. once from Application Development for $55,000, and whatever they can gouge Apple for.

It would be like me selling you an iPad, only to have Apple sue you for the retail price of a new one. Proview Technology lost its claim the moment they sold the Trademark for $55,000
@Peter Perry

Try Hooked on Phonics. I hear it does wonders.
@Joel-r
If the judge states that Apple does not own the rights to the name iPad in China then clearly Apple is in the wrong and deserves to be punished.

If the judge states that Apple does own the rights then Apple shouldn't be punished.

Of course Apple will feed you a line about how they are innocent and of course you will dutifully repeat what Apple tells you. This is simply a part of Apple's astroturfing marketing arm. Don't forget, only the judge's opinion counts. Not mine. Not Joel-r's. Certainly not Apple's. And if a judge says Apple is wrong, Apple is wrong. That's it.
@toddybottom_z did you even read the article? It clearly states the Trademarked name (iPad) was sold in 2006, and Apple bought the license to use it. Or are you so blinded by hate, that you missed that?
0 Votes
+ -
I'll ask the same of you
toddybottom_z 9th Feb
Did you even read the article or are you so blinded by love that you missed this:
"According to Proview lawyer Xie Xianghui, Apple had only bought the rights to use the trademark in Taiwan previously, so the Shenzen company does not recognise their right to sell their products under the ???iPad??? name."

However, let's get one thing straight right now. Your opinion doesn't count. My opinion doesn't count. The Proview lawyer's opinion doesn't count. The Apple lawyer's opinion doesn't count. Only the judge's opinion counts. If the judge finds Apple guilty, then Apple is guilty. If the judge finds Apple innocent, then Apple is innocent.
@toddybottom_z You cannot have your cake, and eat it too. Remember that. That is the very idea the suit is hinged upon. You cannot sell a trademark, and retain control over it.
0 Votes
+ -
Absolutely you can
toddybottom_z 9th Feb
"You cannot sell a trademark, and retain control over it."

You clearly do not understand. Good thing you aren't the judge on the case.

http://en.wikipedia.org/wiki/Trademark#International_law
it is currently not possible to file and obtain a single trademark registration which will automatically apply around the world. Like any national law, trademark laws apply only in their applicable country or jurisdiction, a quality which is sometimes known as "territoriality".

Apple registered or bought the iPad trademark in many countries. Did they buy the iPad trademark in China? That is what this case is about. That is what a judge will determine. Not you. A judge. And if that judge finds Apple guilty, then Apple is guilty. Even if that annoys you because you think Apple is always innocent. Sorry but that's just the way it is.
0 Votes
+ -
@toddybottom_z
You make it clear that you have no idea how copyright and trademark law work, let alone law in general. Clue: first of all, as it is the relevant parties "opinions" that informs the judge, their opinions most certainly do count. Second of all, seeing as the case is appealable, using your logic, the judges opinion doesn't count either.
More importantly, if you had bothered to research the issue before offering your per usual ill-informed opinion, you might have found out that the issue is NOT that Apple did not properly buy the rights from Proview Taipei, a Proview subsidiary, but rather that Proview China refused to honour the agreement, and takes the position that they are not legally bound to honour the contracts that were entered into by their subsidiaries, a wholly absurd argument that is working not because it has any grounding in trademark law, but rather because this is China, and the Chinese don't really care about international trademark law, let alone their own.
In addition, Proview is NOT just seeking to ban sales in China, which they could theoretically do under this law, but also to bad all EXPORTS from China bound for other countries, which the Chinese authorities have already begun to do, thus effectively claiming that they have no obligation to honour the sale of the trademark for use in ANY country.
In other words, it is their position that even though Apple legally and properly bought the rights to international use of the trademark, Proview feels they don't have to honour that sale.
It is ironic that the laws which allow this seizure were written to prevent the Chinese from exporting pirated goods, certainly not what is claimed here.

Your TOTAL ignorance is made clear in your later post:
"it is currently not possible to file and obtain a single trademark registration which will automatically apply around the world."

So? That is not at issue here. What IS at issue is whether you can PURCHASE a trademark that is internationally valid. This, most certainly, IS possible. Citing Wikipedia in the absence of understanding what the page says is classic.

"Apple registered or bought the iPad trademark in many countries. Did they buy the iPad trademark in China? That is what this case is about."

No, again, that is NOT what this case is about. If you had bothered to research the issue, instead of spouting extemporaneously on matters you don't understand, you would know (or maybe not) that the issue is whether Proview is bound by the agreements entered into by its subsidiary, Proview Taipei. (Legal clue: they are.)

"That is what a judge will determine. Not you. A judge. And if that judge finds Apple guilty, then Apple is guilty."

And your point is? That people don;t have a right to opinions on this matter, WTH are you to tell ANYONE that? More importantly, the LAW is what is at issue. The law is not decided on by a judge, but rather the legislature, especially in oligarchies such as China. Even if that annoys you because you think Apple is always guilty. Sorry but that's just the way it is.
I didn't realize iPad was a word in Chinese...
Since when is a TRADEMARK lawsuit about patents?

This is about the company selling the name, then claiming that they did not. There are no patents involve in a case about a TRADEMARK name.
@wackoae when does ZDNet resist taking a shot at Apple? It seems it is in vogue to make Apple out to be some sort of horrid company.
Since when is a TRADEMARK lawsuit about patents?

This is about the company selling the name, then claiming that they did not. There are no patents involve in a case about a TRADEMARK name.
Apple's had it all their way in the US for far too long. Between the EU's novel interpretation of tariffs, patent law and fair trade legislation and Proview's 'home court advantage,' Apple is learning what life's like for the underdog. Serves them right for going nuclear on Android. I seriously doubt that Apple will learn humility from this, but perhaps they'll learn caution.
@loupgarous
First, there is no reason to believe that Apple will eventually lose this case. Even if they do, however, the few tens of millions at stake in this case are probably less than Apple is paying to fight it. So good job with the logic.
More importantly,Google deserves everything being thrown at them regarding Android, the UI for which they STOLE whole cloth, from iOS. From Eric Schmidt's privileged position on the Apple Board of Directors during the iPhone's development, he was privy to a large amount of information that allowed him to change his companies focus on Android, which the bought from Android Inc. from his original plan to implement a Blackberry clone, to its final emergence as a direct iPhone copy.
Jobs, who was instrumental in placing Schmidt on his board, felt rightfully betrayed. Funny that you would make such ill-informed comments in a discussion on intellectual property rights.

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