China-based Proview Electronics cries trademark infringement.
Despite receiving a $55,000 for the trademark in 2006, Proview is suing Apple for use of the word 'iPad'.
Proview says the terms of the deal didn't grant Apple use of the iPad name in China and is seeking $1.6 billion in damages, an apology, and an end to sales of the device in the country, according to The Apple Insider.
Apple fought back with a countersue, claiming that Proview's allegations were false, which was overruled by the court, leading Apple to launch an appeal.
On behalf of the court, a media officer, said: "It is still under investigation, so no official comments on the case can be made yet."
A lawyer for Proview, Xiao Caiyuan, said: "We have prepared well for a long-term legal battle."
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