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Hong Kong High Court Rules Against Huobi Global in Trademark Infringement Lawsuit
Disclosure: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. By using this website, you agree to our terms and conditions. We may utilise affiliate links within our content, and receive commission.
Source: Adobe/piter2121The High Court of the Hong Kong Special Administrative Region has ruled in favor of X-SPOT GLOBAL LIMITED in a trademark infringement case against Huobi Global Limited.
The court issued an interim injunction, prohibiting Huobi Global Limited from using the “Huobi” trademark or any similar name or logo in Hong Kong during the trial.
The dispute centers around the trademark rights held by X-SPOT GLOBAL LIMITED, which controls X-Spot Co., Ltd. The plaintiff asserted that they retained exclusive rights to the “Huobi” trademark and accused Huobi Global Limited of unauthorized use.
The legal action was ed by Huobi Global’s alleged infringement of the trademark, breaching the original acquisition agreement.
Huobi rebranded to HTX in September 2023.
Court Rules Against Huobi Global
The court affirmed that the defendant’s actions constituted an infringement of the plaintiff’s trademark rights.
The background of the case involves the transfer of Huobi Global Limited’s shares to About Capital Management, with explicit agreements that the original shareholders, including X-Spot Co., Ltd., would retain exclusive rights to the “Huobi” trademark.
The equity transfer and asset delivery agreement explicitly prohibited the buyer from using the “Huobi” trademark and brand.
The legal action gained traction when Huobi founder Li Lin accused the crypto exchange of violating the agreement by resuming the use of the “Huobi” trademark without permission. The lawsuit claimed that Huobi Global Limited’s actions went against the terms outlined in the acquisition contract.
The legal dispute also highlighted tensions between Li Lin and Tron Founder Justin Sun, as the lawsuit mentioned the reutilization of the trademark after accusations that Li Lin’s brother dumped large amounts of Huobi’s native token (HT).
The recent ruling adds complexity to Huobi’s legal challenges, as it faces regulatory issues, including a recent order from Malaysian authorities to cease operations in the country due to alleged illegal operations.