Proview’s Lawyer Applied for Freezing iPad Trademark Transfer

By You Yunting

We have reported that the iPad trademark battle in China has come to its end, with Apple paid the reconciliation fee of $ 60 million to Shenzhen Proview. But the story seems to not end there, Grandall Law Firm, the attorney of Shenzhen Proview filed a lawsuit to local people’s court on 23rd July demanding the lawyer’s fee of $ 2.4 million.

And as said by the latest news of the case, Grandall Law Firm, GH Law Firm, Hejun Vanguard Group and other units providing legal or agency service to Proview applied to Shenzhen Yantian People’s Court in written for the freezing of iPad trademark in China, also they have submitted the guarantee of RMB 300 million.


Proview Was Charged by Its Lawyer for Fee Payment Failure

By You Yunting

According to a news report (note: the link is in Chinese), the iPad battle in China has ended in reconciliation with Apple’s payment of 60 million dollars to Proview by the agreement. However it seems that Proview will soon be trapped in another dispute afterwards and related to the battle, its agents of Grandall Law Firm (the “Grandall”) filed a lawsuit to the local court on the 23rd of July, demanding the professional fee of 2.4 million dollars.

As introduced by the attorneys from Grandall, their entrustment by Shenzhen Proview was on a contingent fee, by which it could gain 4% of the total conciliation expenses or the compensation (namely 2.4 million dollars by the final settlement agreement). Also all the litigation fee or expenditures paid for custom record in the trademark battle was firstly paid by Grandall. However, after the end of the dispute, Proview refused to cash the fees into Grandall’s account as agreed and has even collected the money paid by Apple at the end of June.


Is It Worth for Apple to Pay $60M for iPad Trademark?

According to the media report, the Guangdong People’s High Court announced on the 2nd of July that Apple has concluded a mediation agreement with Proview in the iPad battle, which will be finally settled with the trademark transferred to Apple on its payment of $ 60 million. After the news, the settlement amount of $ 60 million offered by Apple has soon been the focus of the public, and in this essay, we would like to discuss has Apple gained a bargain in the settlement?

For Apple, the payment may be less than its value for the following reasons:


Apple Pays 60 million US Dollars for iPad Trademark in China

By You Yunting

On the morning of the 2nd of July, the Guangdong People’s High Court announced both Apple and Proview prefer toend the case through mediation in the iPad battle, and both parties have confirmed the final settlement with $ 60 million paid by Apple for the trademark’s ownership in mainland China and thereby signed the agreement of mediation.

By the agreement, Apple shall remit $ 60 million yuan to the appointed account by the court, and meanwhile, on the 28th of June Apple has applied for the enforcement of the above agreement to the Shenzhen Intermediate People’s Court, where the 1st instance of the trial is heard. After the application, the Shenzhen Court sent the State Administration of Commerce and Industry the judicial decision and the notice of enforcement assistance today, by which the iPad trademark shall registered under the name Apple.


The Latest Progress of iPad Lawsuits

The two lawsuits concerning the iPad trademarks have both gained the new progress in this month (2012.6)

For the trial between Apple and Proview, as introduced by the spokesman of the Guangdong People’s High Court’s Foreign Affair Office, the case will not be judged in recent for the companies are in the negotiation for the renegotiation with the presiding of the court. By the Civil Procedure Law

“In trying an appealed case against a judgment, the people s court shall make a final judgment within three months after the case was filed as one of second instance. Any extension of the term necessitated by special circumstances shall be subject to the approval of the president of the said court.”


The iPad Battle Comes into Price Negotiation Phase, Apple Offered Proview $16 Million But Refused (Updated)

by You Yunting

According to the report of China media(note: the link is in Chinese), the iPad battle in mainland China has seen a lifting turn. The parties, Proview and Apple, have come into the phase of reconciliation and price negotiation from the previous heat argument on the court, and the main difference between the parties is the gap on the compensation. But no matter the result is, the decision of Guangdong Higher People’s Court will be delayed for both parties’ willing to the reconciliation. By the report of Jinghua News (note: the link is in Chinese), Apple’s offer of 100 million yuan (1.6 million US dollar) to purchase the iPad trademark has been refused by Proview.


iPad Trademark Battle: Court Seeks Conciliation while New Hearing Not Excluded

According to the report, the judge of Guangdong Higher People’s Court stated on 17th April that the court will make a comprehensive consideration on the newly filed iPad trademark dispute between Apple and Proview for the social and legal benefit, and make a reasonable arrangement on the issue. Guangdong Higher People’s Court is seeking the conciliation between the parties under their voluntariness.

Mr. Xu Chunjian, the deputy chief judge of Guangdong Higher People’s Curt, says the iPad trademark battle will produce a deep influence on the market share in China of iPad as well as the development of the product’s commercial model. Therefore, it demands the maximum realization of the parties’ interests with the fair and strict application of the law by the court. Meanwhile, the presiding judge of the third civil hearing court of Guangdong People’s Higher Court Mr. Qiu Qingyong also stated that a new hearing may be arranged when new facts appear to be investigated after the examination on the current evidences.


Where Apple’s Confidence Comes from in iPad Trademark Dispute?

For the battle between Apple and Proview, we think the only way to guarantee the mutual benefit is the conciliation, in which Apple could continuously use the iPad trademark and Proview could gain the transfer fee thereby, otherwise it will leave nothing for the creditors of Proview while Apple still holds its leeway.(the image today is the showcase of a Apple retailer in Shanghai)

On the evening of 14th February, Apple pulled iPad from Amazon China and halted its stop. Also Apple stated that “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”. All these show that Apple determines to hold its hard line in the battle over the iPad name, and even may stop the sale of the device. Then why shall Apple be so hard? The reasons may be the follows:


Latest News: Proview Plans to Apply for iPad Import Prohibition in Custom

As reported by Sina tech (the link is in Chinese), Attorney Ma Xiaodong, the legal representative of Proview, stated on 13th February that Proview is preparing the documents for the complaint to the custom house for the import prohibition of Apple’s iPad.

To Ma’s introduction, the Industry & Commerce Administration of Shandong, Hebei, Hunan, Sichuan and Guangdong (all are the provinces of China) has engaged in the trademark dispute, with most documents for the government’s investigation are provided by Proview. He also disclosed that the temporary administrative measures taken by the local organs vary among the provinces, among which the administration of Shijiazhuang, Hubei province detained the device, while in most other regions, iPad is only demanded for stop sale.


When Could Come the Decision of the 2nd Instance on the iPad Trademark Dispute?

As interviewed by China media Shanghai Business, when could come the decision of the 2nd instance on the iPad dispute, which hearing will be held on 29th February, 2012, Mr. You Yunting replied as follows:

For the court is less likely to make the decision on the coming hearing on the case, we estimate no such decision could be made till the expiration of the lawsuit time limit. By PRC Civil Litigation Law, the hearing on the appealed case shall be decided within 3 months from the filing day of the 2nd instance. For any prolonged on the procedure, it shall be approved by the chief judge of the court. Therefore, we estimate the case could be decided 2 months after the hearing for it could be filed 1 month before the proceeding, and the specific date of the decision may be the end of April.


Once Apple Lost iPad Trademark: Would There be A Name Change on iPad3 in China?

For the claimed iPad trademark infringement, as media reported, the Industry and Commerce Administration of Shijiazhuang City, Hubei Province of China, detained more than 40 iPads on the report of Proview, the registered owner of iPad trademark. For this issue, Mr. You Yunting was interviewed by Donews, a tech website in China, and the following is the details of the interview: (the image above is Proview’s Certificate of Trademark issued by Chinese government )

1. When the infringement of Apple is judged established, could anyone bought iPad choose to return the device to Apple?


Before 2nd Instance of iPad Trademark Dispute: iPad was Withdrew in Some Cities by Local Chinese Government

After losing the lawsuit in the trademark transfer dispute against Proview in the 1st instance, Apple will attend the hearing of the 2nd instance on 29th, Feburary, 2012. However, just before the hearing, on the complaint of Proview, the administration of Industry & Commerce has started the investigation on trademark dispute, and on 13th February, the administration in Shijiiazhuang City detained 41 iPad devices and ordered for stop iPad’s sales.(the link is in Chinese)

On the issue, Mr. You Yunting, the founder of our website was interviewed by medias, which details are as follows:


No “iPad” Chinese trademark right for Apple after payment in the transaction, and our analysis.

—-the Key points to the trademark transaction under the frame of China laws

Highlight:Apple gets involved in the litigation against a Chinese company for the ownership of iPad trademark, which Apple has claimed the property from purchase. However, such conflict could be averted if proper preparation has been done before the trademark transaction.

Recently, the trademark conflict over “iPad” initiated by Apple Inc. (NASDAQ:AAPL, the “Apple”) against Proview Technology (Shenzhen) Co., Ltd. (the “Proview”) was heard for the third time on Shenzhen Intermediate Court. In the trial, Apple affirmed it owns the global trademark right of “iPad”, which was stroke back by Proview that such right in mainland China is exclusively held by Proview and the claimed transaction of Apple for the acquisition of such right has no permission or authorization from it, furthermore, Apple was also accused of its malicious purchase of the registered “iPad” behind the IP Application Development Company worldwide.