(Yicai Global) Dec. 25 -- Beijing iQIYI Science & Technology has hauled iQIYI Shenzhen Film and Television Media into court, charging it with unfair competition and alleging the latter is unlawfully using its trade name iQIYI in Chinese as its company name. 

iQIYI is demanding that the latter immediately cease this use and pay it CNY2 million (USD290,800) in damages. Haidian District Court in Beijing's Zhongguancun high-tech zone recently agreed to hear the case.

iQIYI Science & Technology is the operator of the iQIYI website, which provides users with videos, literature, comics, games, e-commerce, live broadcasts and other pan-entertainment services. 

The website, which debuted in 2010, gained approval to register the iQIYI trade name in January 2013 and was recognized as a well-known trademark in China by the Trademark Office of the State Administration for Industry and Commerce in January, the Haidian District Court said on its website yesterday.

iQIYI Science & Technology discovered in October after user complaints that the Shenzhen-based firm had misappropriated its name in Chinese-characters and changed its own from Shenzhen Lifeng Tiancheng Trade to iQIYI Shenzhen Film and Television Media in July. 

It enlarged its business scope after the change to include film production, internet information services, organization of cultural and artistic exchange activities, advertising, and exhibitions and conferences.

The Beijing-based firm believes that the characters enjoy extensive market recognition and goodwill after their long use and publicity, per the filings. 

With a similar company name and business scope, iQIYI Film & TV Media is highly deceptive in the market and easily misleads the public into accepting it as an operation authorized or licensed by or affiliated with iQIYI Science & Technology, it claimed.

The defendant's actions greatly damage the video platform's reputation and image, cause serious confusion and disrupt the competitive order, iQiyi alleged.

Further adjudication of the case is pending.

Editor: Ben Armour