A Chinese court on Wednesday heard a Taiwanese company's appeal to liquidate Proview Technology which has been in legal disputes with Apple over the use of the iPad trademark. If they lose, say analysts, the iPad trademark case against Apple could be brought to an abrupt halt.
Proview Shenzhen Could be Forced into Bankrupcy Ending iPad Case Against Apple
According to a Chinese publication, the Higher People's Court of Guangdong Province opened court on Wednesday afternoon to hear the appeal launched by Proview Shenzhen's creditor Fubon Insurance, which is aimed at having the debt-ridden Proview Shenzhen declared bankrupt.
An intermediate court in Shenzhen in March rejected the liquidation request by Fubon, a subsidiary of Taiwan-based Fubon Financial. The company later appealed the judgment.
During Wednesday's hearing, Proview Shenzhen insisted that the company's fixed assets and its ownership of the iPad trademark could help pay off the debts and asked the court to uphold the ruling. The court did not immediately announce the verdict after the hearing.
Legal experts said Proview Shenzhen's lawsuit against Apple could be halted if Fubon's liquidation request is accepted by the court.
Though Apple bought the rights to use the iPad trademark from Proview Taipei in 2009, Proview Shenzhen says it reserves the right to use the trademark it registered on the Chinese mainland in 2001. The two sides have since been entangled in a drawn-out legal battle.
Apple has appealed to the Higher People's Court of Guangdong province, and the case is still pending. Earlier this month Apple was granted a network access license which paves the way for the iPad to be sold in Mainland China while the case with Proview progresses.
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