Apple dispute

Shenzhen Proview Technology has accused Apple of infringing on its trademark name, "iPad," while Apple claims it has bought the name including the one registered in China.

Shenzhen Proview Technology registered the iPad name in China as early as in 2001, years before Apple started selling its tablet computers. Proview sued Apple for violating copyright. Although Apple claims that it bought rights to the name in 2009 from the company’s Taiwan office, a Chinese court rejected Apple’s claim to the name in mainland China last December. Apple has filed an appeal against the court's decision.

Xie Xianghui, a Proview lawyer told Deutsche Welle, "The documents related to the purchase of the trademark from the Taiwan Proview are doubtful. They should’ve bought the trademark from Shenzhen Proview Technology instead of Taiwan, as we’re not bound by that agreement."

"We’re still preparing requests for the customs (of banning imports and exports of Apple’s iPads) and I think we have a good chance," said Xie, adding that they have the rights for the request under Chinese intellectual property protection law.

Apple’s iPad was officially launched in mainland China in September 2010. Despite Proview’s victory in the copyright case, iPad remains on sale across the nation’s Apple stores, electronic retailers and via online shopping sites, except in Shijiazhuang, the capital city of the northern province Hebei, where authorities have seized iPads from retailers. Proview has asked for enforcement in 30 other cities.

Pay or leave

The rules that allow trademark owners to request confiscation of goods that infringe upon their rights are not new in China, according to Lin Feng, professor of law at the City University of Hong Kong.  "Like in many other areas, the law has been there for a long time but the enforcement varies from time to time," Lin told Deutsche Welle. He noted that the there were plenty of counterfeited products in China but law enforcement to protect copyright was not consistent.  "Sometimes it’s strict but sometimes not. But overall the trend seems to get better," said Lin, adding that foreign pressure for Beijing to protect intellectual property is one of the factors.

Apple’s market in China is skyrocketing. Its iPads and iPhones are manufactured in factories in southern China by the Taiwan-based company, Foxconn Technologies Group. If Chinese authorities agree to enact Proview’s requests, global sales of the popular tablet computers would be significantly affected. If Apple loses the second court ruling, it will either have to change the name "iPad" or completely withdraw this product from the fast growing Chinese market.

"Actually we always welcome a negotiation with Apple," says Xie. However, Proview has yet to make an offer to settle, as it cannot see Apple's willingness to negotiate.


Author: Miriam Wong
Editor: Manasi Gopalakrishnan