It is the third time that the two well-known brands have been to
court over the computer company’s use of the Apple name.
The first
dispute was resolved in 1981, when Apple Computer agreed to pay an
undisclosed amount to Apple Corps, and Steve Jobs, head of the
computer firm, agreed to restrict the use of the brand he founded
to computer products only. Jobs is a Beatles fan – but has never
had the rights to sell the band's music on iTunes.
In 1989, Apple Corps again sued Apple Computer, this time over
the company's use and sale of music-related software. The case
settled in 1991 with a payment of $27 million and another
restrictive agreement.
However, in September 2003, Apple Corps filed suit again, over
"the use by Apple Computer of the word 'Apple' and apple logos in
conjunction with its new application for downloading pre-recorded
music from the internet".
That new application – iTunes – has now sold over a billion
downloads.
Apple Corps argues that iTunes is in breach of the restrictive
agreement between the two companies and infringes upon its trade
marks. Apple Computer argues that iTunes is a mechanism allowing
“data transmission” and that downloads are permitted in terms of
the agreement as they are “data transfers”, according to
reports.
The case begins in the High Court tomorrow before Mr Justice
Mann who has admitted to being an iPod owner.
