Proview's Law Firm Sues for 4% of iPad Trademark Settlement
Beijing Times, 7/24/12
Xie Xianghui, legal counsel for Shenzhen-based display device manufacturer Proview Technology, a subsidiary of Proview International Holdings (0334.HK), in its recent successful iPad trademark lawsuit, has disclosed that Chinese law firm Grandall has sued Proview for USD 2.4 mln in outstanding legal fees. The case has been accepted by Chinese courts but hearings have yet to begin.
Grandall alleges that Proview contractually owes the law firm 4% of the USD 60 mln settlement with Apple, but has failed to pay.
Proview CEO Yang Rongshan responded to the allegations, saying that the settlement was not deposited in Proview's bank accounts, but instead was held in escrow by the courts in order to be allocated to Proview's creditors, and that Grandall should take its complaint to the courts instead of suing Proview.
Proview currently has USD 400 mln in outstanding debts and its assets have been frozen. Industry insiders speculate that Grandall has become Proview's newest creditor, and will be among those to receive payment from the USD 60 mln settlement, with a significant advantage compared to other creditors because of Proview's contractual obligation to pay the law firm a share of the settlement.
Editor's Note: For more background on this topic, please see "Apple Pays USD 60 Mln to Settle iPad Case in China" MD 7/02/12 issue and "Guangdong Court Yet to Reach Verdict in Proview Bankruptcy Case" MD 6/21/12 issue.
Keywords: Grandall hardware law display trademark Apple Proview iPad 0334.HK Yang Rongshan Xie Xianghui litigation tablet computer
Sending
