Dispute: Chinese tech firm Shenzhen Proview have claimed ownership of the iPad trademark
A Chinese technology firm who claim ownership of the iPad trademark could stop the tablet device being sold in the country following a legal ruling today in their dispute with Apple.
Shenzhen Proview Technology, a firm based in Guangdong province, China, make LCD screens and have accused the technology giant of 'acting dishonestly' when it bought rights to the iPad name.
Today a lawyer for Proview claimed the Intermediate People's Court in Guangdong had ruled last week that distributors should stop selling iPads in China.
The ruling, which was also reported widely in China's state media, may not have a far-reaching effect.
In its battle with Apple, Proview is utilizing lawsuits in several places and also requesting commercial authorities in 40 cities to block iPad sales.
Apple insisted in a statement today, however, that it does hold trademark rights to the iPad in China.
Apple spokeswoman 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.'
Lawyers representing Apple have accused Proview of breaching 'principles of good faith and fair dealing' and of making 'false and misleading' statements.
Proview, a maker of LCD screens which is based in Guangdong, has asked regulators to seize iPads in China in a possible prelude to demanding a payout from Apple.
A Shanghai court is due to hear a similar case on Wednesday.
Proview claims it registered the trademark for iPad in 2001, calling it an 'internet personal access device'
So far, iPads have been pulled from shelves in some Chinese cities but there has been no sign of action at the national level.
Shenzhen Proview Technology is a subsidiary of Hong Kong-based Proview International Holdings.
It registered the iPad trademark in China in 2001 and says the name was used for a computer described as an 'Internet Personal Access Device' that employed touch panel technology.
The company says it plans to ask China's customs agency to block imports and exports of iPads.
The technology giant has responded to Proview's claim by saying the Chinese firm
Apple contends that it acquired the iPad name when it bought rights in various countries from a Proview affiliate in Taiwan in 2009 for 35,000 British pounds ($55,000).
Proview won a ruling from a mainland Chinese court in December that it was not bound by that sale.
Proview International's shares have been suspended from trading on the Hong Kong Stock Exchange since August 2010 and reports say it is deep in debt.
It will be delisted in June if it cannot show it has sufficient assets, business operations and working capital.
Proview has filed a trademark-violation lawsuit that goes to court Wednesday in Shanghai. In the meantime, China's mass media is abuzz with speculation over the case.
'The iPad trademark case: Who cheated who?' quizzed a story in Monday's edition of the 21st Century Business Herald.
Apple, based in Cupertino, California, points to a Hong Kong court ruling in July that said Proview had acted with the intention of 'injuring Apple.'
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