Apple Takes Legal Action Against Theater Chain Over Name Dispute
Apple Inc. has initiated legal proceedings against a lesser-known theater chain named Apple Cinemas, following the latter’s plans to expand its operations. In a lawsuit filed on September 29, 2023, in a federal court in Massachusetts, Apple claims that the theater chain is infringing on its trademark. The tech giant alleges that consumers could be misled into believing that the two companies are affiliated, given their similar names.
The lawsuit comes after Apple Cinemas announced a significant expansion, which includes a newly signed lease for a historic cinema in San Francisco that was previously occupied by AMC Theatres and CGV Cinemas. The chain aims to establish 100 locations nationwide within the next decade, positioning itself as a major player in the North American exhibition market.
Apple’s entertainment division, which includes Apple Studios, has roots that date back to 1999 with the launch of the QuickTime Movie Trailers channel. Over the years, Apple has developed a strong presence in the film industry, particularly with the rise of iTunes as a leading distribution platform for movies and television shows. The company has also hosted events related to the Tribeca Film Festival in previous years.
The dispute centers around the inception of Apple Cinemas, which opened its first theater in Massachusetts in 2013. The company asserts that it chose its name based on its planned location at the Apple Valley Mall in New England. Until recently, Apple Cinemas primarily operated in the Northeastern United States but has now announced ambitions to expand into urban areas, including multiple locations in San Francisco.
In 2024, the parent company of Apple Cinemas, Sand Media, applied to register the name and a related trademark for “ACX – Apple Cinematic Experience.” However, the application was rejected by a trademark examiner, who determined that the movie theaters are closely related to Apple’s established entertainment services, potentially causing consumer confusion. Following this decision, Apple issued a cease-and-desist letter to Apple Cinemas, which the theater chain reportedly disregarded.
According to the lawsuit, Apple Cinemas has adopted a stylized apple logo and has shifted its development strategy to locations near Apple retail stores, raising concerns that some landlords mistakenly believe the two companies are connected. Additionally, customer feedback regarding Apple Cinemas has been less than favorable, with complaints highlighting issues such as cleanliness and technical malfunctions.
“Consumers should not go to an ‘Apple Cinemas’ theater thinking it is connected to the famous Apple brand, with all its goodwill and brand equity,” stated Miranda Means, a lawyer representing Apple, in the complaint.
The legal action seeks to compel Apple Cinemas to cease using the word “Apple” in its name and to recover unspecified damages. Apple, known for its vigilant protection of its trademark, has taken similar actions in the past, including efforts to block a Ukrainian director from naming a film “Apple-Man,” a satire about a superhero.
This case highlights the ongoing challenges in trademark law, particularly as companies expand into new markets and seek to establish brand identities. The outcome of this lawsuit could set a precedent for future disputes involving brand names and consumer perceptions.
