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Proview calls for sales ban of new iPad in China
On the same day Apple announced its new iPad, Chinese company Proview released an open letter claiming it owns the trademark for the iPad in China, says a Macworld report. In the letter, Proview reportedly warned suppliers and vendors that they will face legal action if they don't stop the sale, storing and shipment of Apple's latest iPad. Proview isn't the only entity laying claim to the iPad name. A group of eight Chinese banks say they own the trademark after they seized Proview's assets in March 2009. Instead of negotiating with Proview, the banks assert Apple should have purchased the trademark from them. Huang Yiding, vice president of Hejun Vanguard Group said in an interview that "Apple was fully aware of this" and added that the banks can petition China's Trademark Office to stop the loss of the iPad name.
Report: major creditor seeks liquidation of Apple opponent Proview
According to a Xinhua News Agency report, creditors are putting pressure on Proview to declare bankruptcy and liquidate its assets. Leading the effort is Fubon Insurance, a Taiwanese company that's seeking to recoup US$8.68 million from the struggling Chinese firm. Fubon employees have refused to comment on the report, but Proview lawyer Ma Dongxiao says the company's financial troubles will not effect the outcome of its iPad trademark lawsuit with Apple. The company has sued Apple in China over ownership of the iPad name and is seeking a monetary settlement with the technology giant. [Via The Washington Post]
China higher court hears Apple's iPad appeal
Apple and Proview went head-to-head in a Chinese court this morning. Apple argued in the Higher People's Court of Guangzhou that it owns the right to use the iPad trademark in China. Proview's lawyers argued that Apple bought the trademark from Proview's Taiwan subsidiary, not the one in Shenzhen. Proview Shenzhen claims it still owns the trademark and is seeking an out-of-court settlement. Legal experts cited by Reuters say this is a crucial case for Apple. The verdict of this higher court is usually the final ruling in China. Apple can appeal to China's Supreme People's Court and ask for a retrial, but these requests usually don't change the outcome of the original verdict. If Apple loses, the Cupertino company would either have to settle with Proview for a large dollar sum or change the name of the iPad.A verdict in this case is not expected right away which gives both sides time to consider their strategy. Legal expert, Jeremy Zhou of Joinway Law Firm in Shanghai, believes a long trial could lead to a settlement, which would be a favorable outcome for the cash-strapped Chinese company. The timing of this case is terrible for Apple. The company is about to launch the iPad 3, and a negative ruling could affect future sales of the device.
Proview profiled as a company on the brink
Proview is a company that seems to be standing at the bottom of a cliff, scrabbling with broken nails trying to make it up the side. A new profile of Proview by Reuters backs up this image of a company teetering on the edge of insolvency, clinging to the "IPAD" trademark as its last, best hope of achieving financial solvency. It's an interesting read with some great insight into the company, which was once known for selling monitors in the late 90s. It also outlines what could happen to the group upon the outcome of the trademark dispute -- now being fought on dual fronts in the U.S. and China. Even if Proview won, the company is still bankrupt in Hong Kong and faces de-listing from the stock market in June. Relationships with some key shareholders is frosty at best, with a lawsuit filed against one of them. If Proview wins the $1.6 billion that local media says it seeks from Apple, it's safe to say that most of that would be swallowed up by legal fees and paying off the creditors that Proview has owed for years. [Via Apple Insider]
Daily Update for February 24, 2012
It's the TUAW Daily Update, your source for Apple news in a convenient audio format. You'll get all the top Apple stories of the day in three to five minutes for a quick review of what's happening in the Apple world. You can listen to today's Apple stories by clicking the inline player (requires Flash) or the non-Flash link below. To subscribe to the podcast for daily listening through iTunes, click here. No Flash? Click here to listen.
Proview now suing Apple in the US
Proview stepped up its legal assault against Apple by taking its complaint to the US court system. Earlier this month, U.S.-based Proview Technology Inc. filed a suit against Apple in the Superior Court of the State of California in Santa Clara County. The suit claims Apple acted with "oppression, fraud and/or malice" when it bought the iPad trademark from Proview Taiwan. The heart of Proview's complaint is the method Apple used to obtain this trademark. Proview Taiwan sold the iPad trademark to the UK-based IP Application Development on Dec. 23, 2009 for the sum of 35,000 British pounds (US$55,000). It was later discovered that IP Application Development was a company setup by Apple to obtain this trademark. Apple insists that it purchased the trademark legally and that "Proview refuses to honor their agreement with Apple in China, and a Hong Kong court has sided with Apple in this matter." Apple and Proview will go head-to-head again in China later this month. A Guandong high court will hear arguments on February 29th in an appeal by Apple that seeks to overturn an earlier ruling which said Proview still owns the iPad trademark.
Shanghai court rejects Proview injunction, okays the sale of Apple iPads (update: Proview sues Apple in US courts)
The legal tussle between Apple and Proview over the iPad has swung in Cupertino's direction. According to Chinese news outlet Xinmin, a Shanghai court has rebuffed Proview's demand for an injunction halting the sale of the Apple tablet due to licensing issues. The Pudong New Area People's Court made the decision yesterday, stating that while the Guangdong court case has yet to make a final decision on who owns the "iPad" trademark, there wasn't enough evidence on Proview's side to honor an injunction.For those who've just caught up with the story, here's a quick overview: starting in 2000, Proview's Taiwan branch registered the "iPad" trademark in several countries, with the Shenzhen branch doing the same in China. Apple then bought worldwide rights from Proview Taiwan, which would have included China. Proview Shenzhen, who has gone into debt restructuring since 2010, is now saying that it never authorized its Taiwan counterpart to do so, but Apple claims that it has Proview Shenzhen's signatures on the paperwork. It looks like eventually it's going to get easier to grab that iPad in China, though if Apple's appeal case in the Guangdong court fails, then Proview could easily strike again with more ammo.Update: Looks like Proview is bringing the fight to Apple's home turf. We've just learned that the Chinese company filed a lawsuit against the Cupertino firm on February 17th in Santa Clara County, California, where it alleges deception in Apple's purchase of the iPad trademark. [WSJ]
Shanghai court sides with Apple, iPad sales to continue
There is some good news for Apple and the iPad in China. The Shanghai Pudong New Area People's Court ruled in favor of Apple and denied an injunction request from Proview that would have banned sales of the tablet device in the Chinese city. Both the local Xinmin Evening News and Reuters confirmed this decision. This Shanghai ruling is a win for Apple, but a bigger decision, that could decide the fate of the iPad in China, looms ahead of the Cupertino company. Apple recently lost a case in this battle when the Shenzhen Intermediate People's Court sided with Proview and its claim to the iPad trademark. Apple appealed to the Higher People's Court of Guangdong and hearings in this trial will begin on February 29th. If Apple loses this case, it could put ownership of the iPad name into the hands of Proview. Apple has been fighting with Proview international over the rights to the iPad name in China. Proview owned a trademark for the iPad name and sold it to Apple in 2009 through the UK-based IP Application Development Ltd. Apple bought the rights to the name from Proview's Taiwan subsidiary. On paper, it appears to be a straightforward deal, but bankruptcy claims and internal company politics complicate the matter. Proview Shenzhen agrees that its Taiwanese subsidiary sold the iPad trademark to Apple, but claims the offshoot didn't have the right to sell the name. According to a Bloomberg report, Proview founder Rowell Yang also claims the company was in bankruptcy at the time and needed bank approval to sell any assets, including the iPad trademark. The Bank of China is supposedly a Proview creditor and would have been involved indirectly in this sale. Proview has halted sales of the iPad in a few Chinese cities and is looking to expand this ban to other locations. It also asked China Customs to stop both the export and import of the iPad. If an export ban is upheld, iPad sales globally could come to a screeching halt.
Apple, Proview meet in Shanghai court
It's a battle of David and Goliath as near-bankrupt Proview International fights world-leader Apple over rights to the iPad trademark in China. The two companies met in a Shanghai court on Wednesday to argue why each one should retain ownership of the highly coveted iPad name. According to reports from the New York Times, Reuters and the AP, the court session lasted four hours and was filled with heated comments from both sides. Proview's lawyer Xie Xianghui asserted that "Apple has no right to sell iPads under that name." Apple's lawyer retorted with a scathing assessment of Proview, "Proview has no product, no markets, no customers and no suppliers. It has nothing." Apple also pointed out that it sells a lot of products in China and a ban on iPad sales would "not only hurt Apple sales but it would also hurt China's national interest." The local district judge's day ended without a ruling. There was also no indication on how long this case may take. Estimates from lawyers suggest a decision is weeks or possibly even months away.
Proview ready to negotiate on eve of court hearing
After threatening to sue Apple, Proview is now preparing to talk with the American company about its iPad trademark. It hopes to reach a settlement before an upcoming trial on its trademark begins. Proview's lawyer Xie Xianghui says it is approaching Apple with "peaceful intentions" according to a report in AppleInsider and The Times of India. This renewed effort at negotiation comes on the eve of a big court hearing on Wednesday in Shanghai. The Shanghai court will discuss the validity of Proview's claim against Apple and its decision will have a major impact on either company. A win for Proview could potentially ban sales of the iPad in China's wealthiest city and slow Apple's expansion into the Asian country. A win for Apple would hurt the struggling Proview, which is facing mounting pressure from creditors and an impending removal from the Hong Kong Stock Exchange. Lawyers expect a decision in this case within the next few months.
Apple threatens defamation lawsuit in Chinese iPad trademark case
Apple and Proview are in a heated legal battle over the ownership of the iPad name in China and now Apple is threatening to sue the Asian company for defamation. Apple is upset with Proview's attempt to reclaim the iPad trademark and use it to ban iPad sales in China. According to PC World, Apple supposedly sent a letter to Proview founder Yang Rongshan which says, "It is inappropriate to release information contrary to the facts to the media, especially when such disclosures have the effect of wrongfully causing damage to Apple's reputation," Apple's letter follows a public press conference by Yang during which he claimed Proview never transferred the trademark to Apple. Yang claims the Taiwan subsidiary did not have the authority to sell the trademark and the main Proview company was not aware of the deal. Apple asserts it owns the trademark and bought it from Proview's Taiwan subsidiary in 2009 with the knowledge and consent of the parent company. Apple supposedly has emails to back up this claim and has already won a case in a Hong Kong court. Undeterred, Proview continues to pursue its legal battle in China and is asking Apple for US$400 million in compensation to settle the case. It's also seeking a ban on the import and export of the iPad into the country and has halted sales of the tablet in select Chinese cities.
Daily Update for February 20, 2012
It's the TUAW Daily Update, your source for Apple news in a convenient audio format. You'll get all the top Apple stories of the day in three to five minutes for a quick review of what's happening in the Apple world. You can listen to today's Apple stories by clicking the inline player (requires Flash) or the non-Flash link below. To subscribe to the podcast for daily listening through iTunes, click here. No Flash? Click here to listen.
Chinese court rules to halt iPad sales
Proview continues to battle Apple in China's court system and has scored a win in the Intermediate People's Court in Huizhou. The court ruled that distributors in Huizhou, a small city in Guangdong province, must stop selling the iPad immediately. Proview has filed several lawsuits against Apple in China and is asking officials in 40 cities to stop iPad sales. Apple insists it owns the right to the iPad trademark and purchased it from Proview legally several years ago. Apple Spokesperson Carolyn Wu said, "We bought Proview's worldwide rights to the iPad trademark in 10 different countries several years ago. Proview refuses to honor their agreement with Apple in China and a Hong Kong court has sided with Apple in this matter."The Chinese courts, however, are siding with the Asian company and have upheld the company's claim that its Taiwan affiliate sold the trademark without the company's authority. Proview has asked for an import/export ban against the iPad and is asking for monetary damages. Proview is reportedly struggling financially and would benefit greatly from a big win against Apple.
Introducing the original iPAD, Proview's late '90s iMac-like desktop
So, have you been following the iPad dispute in China? Wondering exactly who or what this Proview company is and what they're doing with a trademark on the iPad name? Well, wonder no more friends. The company actually stylized the name as iPAD, and it stood for Internet Personal Access Device. They hit the market way back in 1998 and weren't tablets, but all-in-one PCs that looked an awful lot like another machine that debuted that year -- the iMac. Over the course of a decade Proview produced between 10,000 and 20,000 of he 15-inch CRT desktops, before collapsing in 2010 and abandoning its Shenzhen plant, thanks in part to the economic crisis engulfing the globe. Most of its assets, including the iPAD trademark are now the property of eight different banks and its debts exceed $1 billion, which probably explains why the company is demanding so much money from Apple. For more details about the original iPAD and a photo tour of the deserted factory hit up the source links.
Apple won previous legal victory over Proview
Apple has been fighting a trademark infringement battle in China over the use of the term "iPad". The opponent? A Chinese display manufacturer by the name of Proview. Although Apple has recently lost the ability to sell iPads in several Chinese cities due to Proview requesting injunctions against the tablet Goliath, the Wall Street Journal is reporting that the High Court of the Hong Kong Special Administrative Region upheld Apple's claim to the iPad trademark in mainland China last July. Proview is viewed as a company that is trying to stay alive by using the courts to extract money from Apple. The monitor manufacturer will reportedly be delisted from the Hong Kong Stock Exchange in June if it is unable to improve its finances. The court decision noted that Proview had "breached an earlier agreement to transfer the iPad name to Apple," electing instead to not transfer the trademark to Apple and asking Apple to pay US$10 million for it. Proview then sued Apple in late 2011; Apple countered with a lawsuit of its own in mainland China, but the courts found in favor of Proview. Proview has recently filed complaints with the Chinese customs bureau to attempt iPads from being imported and/or shipped overseas, which would cut off Apple's supply of the popular tablet to the rest of the world. Fortunately for Apple, the customs officials noted that such a ban on shipments would be "difficult to implement" due to the popularity of the iPad in China and the size of the Chinese market. For Apple, the finding of the Hong Kong High Court from last July may be all the ammunition it needs to finally rid itself of the irritating Proview trademark suits.
Hong Kong court allegedly sides with Apple in iPad name dispute
If you've been following the latest bub around the hub, you may remember Apple's recent scuff with Shenzhen-based Proview Technology -- the Chinese outfit that holds the local trademark on the name "iPad." Not only did Apple lose a trademark lawsuit for the iPad name, but some time later mainland government had the slabs removed from retailers in the city of Shjiazhuang. Now, Apple's claiming that a Hong Kong court has sided with it in a similar battle, saying in a statement to China Daily that they purchased "Proview's worldwide rights to the iPad trademark in 10 different countries several years ago," referring, perhaps, to the deal they made Taiwanese arm of the company, "Proview refuses to honor their agreement with Apple." Xie Xianghui, Proview's lawyer, shot back with his own statement, explaining that the court merely ruled that the trademark couldn't be sold to a third party before hearing ends, claiming that this move does not count as a ruling in Apple's favor. Xie went on to suggest the issue stemmed from Apple underestimating the legal complications of doing business in China.
Apple pulls iPad from Amazon China
The iPad has apparently been pulled from sale on the Chinese version of Amazon, but apparently the reason wasn't because of some Amazon competition overseas, or even that recent lawsuit against Apple trying to stop the iPad from selling in that country. Nope -- apparently, it was Apple. Amazon's China management says Apple was the company that requested the iPad be taken down from online sales in China. Proview Technology Shenzen, the group leading the charge against the iPad's Chinese sales, hasn't even contacted them or mentioned online sales in the lawsuit. So what's the deal? TechCrunch suggests that the pull is still somehow related to the Proview case, though Apple's not saying anything except that it's sure the decision will fall in its favor. It could be that this is a preemptive move, designed to shore up Apple's argument as the case goes forward. Maybe Amazon sales in China were low already, and pulling out of this market ensures that Apple's situation will look a lot less threatening as Proview tries to argue that they don't belong in China. Then again, it could be a completely unrelated matter: Maybe Apple is just seeing high demand overseas, and decided not to sell through Amazon's third-party store when things were already going so well directly. Whatever the reason, if you're in China and need to buy an iPad, you won't find one on Amazon.
Proview halts iPad sales in second Chinese city, says nationwide iPad ban would be "difficult"
The recent Chinese court ruling that Proview owns a trademark on the word iPad may prove to be a problem for Apple. Recently, officials in the Chinese province of Shijiazhuang began seizing iPads at one reseller. Now, these seizures are happening in a second province. According to the New York Times, the iPad is under temporary impoundment in the city of Xuzhou, located in Jiangsu province. Ma Dongxiao, a lawyer for Proview talked to the New York Times about these seizures and state-owned CCTV confirmed that officials are removing iPads from resellers. Ma also said Proview asked authorities in 20 Chinese cities to investigate whether iPads are still being sold. Proview is not holding back following this ruling. Besides the seizures, the company is seeking up to 10 billion yuan in monetary damages from Apple and said it would settle this dispute in or outside court if Apple wants to negotiate a deal. It also asked for an injunction that'll ban the import and export of the iPad into the country. A report from Reuters suggests that China's customs authorities won't grant this request. Chief of Proview Technology Shenzen, Yank Long-san told Reuters, "The customs have told us that it will be difficult to implement a ban because many Chinese consumers love Apple products. The sheer size of the market is very big." Rather than a nationwide injunction the company is working with local customs officials to enforce city-wide bans. It's not likely that Proview will back down easily as the company desperately needs this cash. It was delisted from the Hong Kong Stock Exchange in 2010 and owes money to banks, suppliers and its workers.
Proview wants China to halt iPad imports, exports
Proview International Holding is moving against Apple now that the Chinese courts decided the Shenzen company owns a trademark on the word iPad. Roger Xie, a lawyer for Proview, spoke to Business Week and told them the company has not been able to reach an agreement with Apple over the use of the term. Now, Proview is asking the customs bureau to block the import and export of the tablet device. Apple, however, claims it owns the trademark and bought it legally from the UK company, IP Application Development. IP Application Development bought the trademark from Proview Taiwan in 2009 for £35,000 (US$55,000). Proview claims this original sale should be nullified because Proview Taiwan was not legally representing Proview Shenzen. A court ruled in Proview's favor and members of China's Administration of Industry and Commerce are supposedly confiscating iPads in at least one Chinese city. Apple is appealing this decision. In the meantime, the immediate future of the iPad in China is in limbo.
Reports: Authorities removing iPads from stores in China, following trademark ruling
Government authorities and retailers have reportedly begun removing iPads from stores in China this morning, in apparent response to a ruling issued in December. According to China's Hebei Youth Daily, local representatives of the country's Administrations of Industry and Commerce (AIC) have started confiscating Apple's tablet from retail outlets, with some merchants voluntarily removing the device from their storefronts as a preemptive measure. The scope of this operation remains unclear, though China.com reports that as of 5:00 PM yesterday, authorities had seized some 45 iPad 2s. Retailers who voluntarily removed their iPads apparently did so to protect their stocks from confiscation, and are reportedly continuing to sell the tablet behind the counter. These reports come nearly two months after Apple lost a trademark lawsuit against Proview Technology, which successfully defended its ownership of the iPad name within China. We're still waiting to see whether this is part of a larger nationwide campaign and Apple has yet to comment, but we'll update this post as soon as we hear more. Update: China's iFeng is now reporting that these seizures took place in the city of Shijiazhuang, as part of what appears to be an isolated campaign. Update 2: Looks like the iPad is no longer on sale at Amazon China.
