The Associated Press reports that Apple and Proview Technology have finally reached a $60 million deal to settle a lengthy legal battle concerning the rights to the “iPad” trademark in China. Proview was reportedly looking for a larger sum to help settle its $400 million debt, but felt pressure to settle finally bring the suit to a close.
“The iPad dispute resolution is ended,” the Guangdong High People’s Court said in a statement. “Apple Inc. has transferred $60 million to the account of the Guangdong High Court as requested in the mediation letter.”
[…] Proview hoped for more money but felt pressure to settle because it needs to pay debts, said a lawyer for the company, Xie Xianghui. He said the company had hoped for as much as $400 million and might still be declared bankrupt in a separate legal proceeding despite the infusion of settlement money.
Apple came under fire from Proview back in 2010 when the Chinese company argued that Apple did not have the rights to the “iPad” name in China. It was requesting $2 billion in compensation at the time, and successfully had iPad sales banned within China for a short period.
Apple purchased the “iPad” trademark from Proview’s Taiwanese arm in late 2009 for a deal worth around $55,000. But it later became apparent that the rights to the iPad name in China were owned by Proview’s Chinese parent company, and that its Taiwanese arm could not have sold them to Apple.
Apple has attempted to settle the suit in the past, offering Proview $16 million in compensation earlier this year. Proview declined the offer in an effort to secure a $400 million settlement, but has now settled for a $60 million payout.