Apple Computer (maker of the Macintosh computer systems) and Apple Corp (the music publisher founded by The Beatles) have been fighting over the right to use the Apple name and logo since about the mid 1980s. At the time, the companies reached a settlement that permitted Apple Computer to maintain its name and logo, providing it did not enter the music business or conduct any record sales or distribution.
Fast forward to 2002. Apple Computer launches the iTunes Music Store and proceeds to sell music electronically, direct to the public. Litigation ensues.
The latest spat of litigation took place in the English High Court, and considered whether Apple Computer was in breach of the terms of the companies’ earlier settlement. Judgment has just been handed down by Mann J:
‘I conclude that the use of the apple logo … does not suggest a relevant connection with the creative work. … I think that the use of the apple logo is a fair and reasonable use of the mark in connection with the service, which does not go further and unfairly or unreasonably suggest an additional association with the creative works themselves. … I find no breach of the trademark agreement has been demonstrated. The action therefore fails.”
One of the key factors relevant to this decision was that, when shown an early prototype of the system by Apple Computer, Apple Corp voiced no objections. This suggested that Apple Corp was pursuing the claim simply to prevent a competitor that has since become more successful than it had previously anticipated.
Interestingly enough, The Beatles’ complete discography will soon be available on iTunes — strange given that Apple Corp has vowed to appeal the decision. I suppose that plays testament to the unrivalled market dominance (if not the quality) of Apple Computer’s online music platform. More importantly, this proves that — whatever the magical fruit’s medicinal benefits — no amount of daily apple consumption can stave off inevitable litigation.