Home > NEWS > Lightning Labs and Tari agree to convert restraining order in trademark suit

Lightning Labs and Tari agree to convert restraining order in trademark suit

Tari Labs, who brought the suit against the project, has faced backlash from the crypto community, with some suggesting the lawsuit was “frivolous.”

BTC (BTC) software development company Lightning Labs and blockchain technology startup Tari Labs allow a temporary restraining order under a court order to terminate the Taro protocol for the development and design of Lightning.

In a document dated March 15th, lawyers Lightning and Tari both suggested that the restraining order be converted into a basic injunction-a temporary directive that prevents one party from taking some actions.

The conversion of the directive into a basic injunction will block the establishment of the protocol until the court decides.

The two companies allow, Lightning still will not update the Taro agreement, it is not easy to upgrade the internal structure with the public-facing open source of this agreement, nor can it announce or run "the next phase or 'milestone' of the Taro agreement in many ways."

However, Lightning allows it to clarify the facts with communications from non-Lightning real estate developers and customers that it may not be able to use to further develop and design Taro.

It can also use Taro as the "previous name of the agreement" associated with changing the name of the protocol-as long as it has "no confusing common ground" with Taro or Tari.

The interim restraining order was issued by the Chief Judge of the California District Court, Sperry Orrick, on March 13, after Tari Labs indicated that the name Taro infringed its patent because he was too similar to his agreement "Tari"-Tari is a trademark applied for by the United States.

Therefore, Lightning Labs cannot update or relate to the Taro protocol.

Tari Labs first mentioned the trademark infringement lawsuit to Lightning Labs on December 8th, accusing the two companies of "competing in the same data blockchain ecosystem" while providing similar and "consistent in some cases" services.

According to Tari, the two companies are also "marketing to similar developers and users and appearing on the same blockchain platform".

The news of the restraining order caused strong opposition on Twitter. Nihat Spagney, co-founder of Tari Labs, defended the lawsuit by fabricating lies in a tweet on March 15 that the letters I and O on the computer keyboard were so close that they could lead to confusion, and Tari offered to support Taro's rebranding a year ago.

Navin Jain, co-founder of Tari, made a similar defense for the lawsuit, saying in response to a Twitter user that the lawsuit was "hasty": "when a judge issues a temporary restraining order that is beneficial to him, it is difficult to call it 'frivolous'."

Lightning Labs writes software for Lightning Network, and Lightning Network is the second layer solution of the bitcoin blockchain, which allows transactions to be cheaper and faster than those implemented at the top.

Its Taro agreement, a groundbreaking project, was announced in a $70 million equity round on April 5, 2022. It intends to allow the migration of relatively stable coins according to the BTCTaproot update.

by Luke Huigsloot
© 2023 WJB All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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