China’s Alibaba Group sues Dubai-based company for using name and trademarks

China’s giant Alibaba Group Holdings Ltd filed a lawsuit on Monday against a Dubai-based company, accusing it of using its registered names and trademarks, as well as raising more than $3.5 million in cryptocurrency known as “Alibabacoins”.

In a complaint filed in the US District Court in New York’s Manhattan, Alibaba Group said that the “apparent, repeated and internationally misleading” use of the Alibabacoin Foundation brand is designed to confuse consumers to believe that its products are affiliated with or endorsed by the Chinese online retailer. It accused Alibabacoin of using its “single-minded focus to capitalise on the plaintiff’s reputation for success” by using its trademarks “without alteration, in countless instances” to sell crypto-assets.

Neither Alibabacoin, also known as ABBC Foundation, nor its law firm have responded to requests for comment outside regular business hours.

US District Court Judge Kimba Wood issued a Temporary Restraining Order (TRO) hours after the complaint was lodged, asking Alibabacoin to explain on 11 April why it should not be enjoined from further alleged infringements.

The lawsuit seeks to halt further alleged infringements, compensation and punitive and triple damages for alleged violations of Federal and New York law. Reuters obtained a copy of the TRO, which was not available in online court records.

Alibaba Group is involved regularly in lawsuits, as a plaintiff and as a defendant, for the alleged sale of counterfeit goods on its website.

Despite Alibaba having said repeatedly that “it is not interested in moving into the cryptocurrency space,” confusion over its role has spread across the media. Alibabacoin, said the complaint, has “done nothing to combat or correct this confusion.”