US computer technology companies are fuelling a rise in cases heard by the Company Names Tribunal, research has suggested.
Since its formation in October 2008, 24% of claims in the tribunal have been filed by American IT conglomerates, according to research by legal publisher Sweet & Maxwell.
Intel Corporation has brought 15 claims against companies for using the word ‘Intel’ in their name, while Sun Microsystems has filed six actions for unlicensed use of its Java name, the research found.
Disputes in the Company Names Tribunal rose by 43% in the year to 1 October, Sweet & Maxwell said. The number of cases rose from 54 in the year to 1 October 2009, to 77 in the year to 1 October 2010.
The tribunal hears claims from companies that are challenging the opportunistic registration of company names. Of the 131 disputes it has registered since its formation, it has found in favour of the applicant company on all but two occasions.
Sweet & Maxwell said that a ‘huge proportion’ of the tribunal’s cases are brought by major blue-chip organisations that take steps to protect their brands from opportunistic start-ups looking to ‘piggy-back’ on their brand reputation.
The publisher said that small IT start-ups are often tempted to name their company after another company’s product to emphasise their specialist knowledge in the field.
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