Technology: Feb 23, 2012

Chinese firm Proview called for the courts to interfere with Apple - which it accuses of infringing its trademark - to sell the device in the city.

A local court has accepted Apple's request to suspend the decision until a case is heard later this month.

Apple insists acquired all rights to the iPad name in 2009.

Proview had requested that the court impose an interim order to take the iPad outside Shanghai the shelves - which would have included three of Apple's own stores.

Proview claim the rights to the iPad name in the Chinese market after registering it in 2000 - years before Apple released its tablet computer.

The company is threatening to continue the battle in U.S. courts.
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image of Damian Grammaticas Analysis Damian Grammaticas China Correspondent

This decision of the Shanghai court means only a pause in what is increasingly bad-tempered, but high-stakes battle.

The judge in the Shanghai case had to warn the lawyers for both sides of their behavior as they argued with each other in court.

Apple, the most valuable company faced with an almost unknown company, which is in deep financial trouble, but still Proview tied Apple in the courts. Apple's frustrations seem to be showing.

Some say that Apple should have been more diligent when it was to buy the rights to the iPad name in Taiwan and China, and Apple only has itself to blame for being negligent.

Others say that this is about money, struggling firm trying to take a technology giant to as much as it can get. But Apple did not show signs of offering a settlement at this stage, a decision that could prove costly if the court cases go against it.

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Although the Taiwanese Proview affiliate registered the name "iPad" in several countries, including China, Apple later bought the rights to the global brand.

However, Proview claims that its Taiwanese subsidiary were not allowed to sell the rights to the name in China.

The tussle saw Apple device taken off the shelves in some parts of the country - for Proview also tried to block the import and export of the product.

Apple has previously lost a similar case in the southern city of Shenzhen Chin, where Proview is based.

This decision will be appealed by Apple in Guangdong High Court on 29 February.

On Thursday, the Shanghai judge said a ruling in sales in the city will not be made until the other trial was happening.
Heated exchanges

His decision followed a heated exchange between the firms' lawyers in court earlier in the week.

Apple's lawyer Qu Miao sent Proview the "iPad" device, saying: "They have no market, no sales, no customers. They have nothing."

He argued that the U.S. company's device was of benefit to China, providing jobs and tax revenues.

Proview lawyer Xie Xianghui said this factor was irrelevant.

"Do people go hungry, because you can not sell iPads in China is not the case," he said.

"The court must rule in accordance with the law. Do you absolutely have to sell the product? Can not you sell it using a different name?''

In a written statement, Apple spokesperson re-iterated the company's position on the dispute.

"We bought a Proview the global rights to the iPad trademark in 10 different countries for several years," he said.

"Proview refuse to honor their agreement with Apple in China and Hong Kong court sided with Apple in this matter.

"Our case is pending in mainland China."

Thursday, February 23, 2012

Apple iPad sale ban case suspended for now in Shanghai

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