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Meta settles trademark lawsuit brought by investment firm Metacapital

Post Time:2024-05-11 Source:Reuters Author:Blake Brittain Views:

May 10 (Reuters) - Meta Platforms (META.O) has resolved a trademark lawsuit filed by investment firm Metacapital Management over the tech giant's name change from Facebook, the companies told a New York federal court on Friday.

Meta and Metacapital said in a court filing that they had agreed to a settlement in principle and asked the U.S. District Court for the Southern District of New York to pause the case while they finalize the agreement. The companies did not immediately respond to requests for comment and more information about the settlement.

Meta Platforms rebranded from Facebook in October 2021 to reflect its focus on the metaverse, a shared virtual realm. It applied to register "Meta" trademarks in 2022 related to financial services including investment management. New York-based Metacapital sued later that year.

Meta is facing other trademark lawsuits over its name change from virtual-reality company MetaX and tech-services provider Metabyte.

Metacapital said in its lawsuit that it has been using its name since its founding in 2001. The firm said its clients have included major financial institutions like CitiBank, Barclays and JP Morgan.

Metacapital said Meta's name change would cause consumer confusion and requested damages of at least $60 million, the amount that Meta paid to acquire the trademark assets of regional bank Meta Financial Group.

Meta denied the allegations in a court filing last year.

The case is Metacapital Management LP v. Meta Platforms Inc, U.S. District Court for the Southern District of New York, No. 1:22-cv-07615.