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UNIVERSITY OF PHOENIX
RE: Apples Eat Themselves
The article is a summary of the constant legal battle between Apple, the computer company and Apple, the Beatles' record company. The two companies both share a similar logo and since 1981 have gone to court three times to settle their dispute. It is a case of technological advances outdating earlier agreements and at the source are downloadable digital music, logo, and name. All the cases involved the record company’s claim that the computer company of not following the terms of their agreement and that the computer had “crossed the dividing line.”
The legal issue raised by Apple Corps claim that Apple Company is involved in the music industry and according to the 1981 agreement the computer company agreed to stay away from the sound recording industry. In 2001, Apple Company released the iPod, a music device to download and play music from iTunes that was launched in 2003. Apple Corps claimed this to be a violation of the 91 agreement and crossed the line into the sound recording industry. The High Court ruled that no breach occurred and the Apple Company could continue to conduct regular business (BBC News, 2006.)
Legal issues will arise as part of operating a business and have can have different effects on the company. Financial, contractual, copyright, and operating are types of legal issues that could spark a legal issue for a company. In 1968 the Beatles’ formed Apple Corps to oversee all of their business interests. When the company was formed, it had the opportunity to patent or trademark the apple name and logo. This would have prevented the Apple Company the ability to use both and create any confusion between the two companies. Apple Corps could enforce its rights to the name and logo in court against Apple Company. This act could have help to avoid some...