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AI Startup Perplexity Sued For Alleged Trademark Infringement

Perplexity, the venture-backed start-up building AI-powered search items, has been taken legal action against in federal court for presumably breaking another company’s hallmark.

In a grievance filed Thursday in the U.S. District Court for the Northern of California, attorneys representing a business called Perplexity Solved Solutions accuse Perplexity of infringing on its hallmark rights by using the brand name “Perplexity.”

Perplexity Solved Solutions, a Plano, Texas-based firm founded in 2017, used to sign up the Perplexity hallmark with the U.S. Patent and Trademark Office (USPTO) in October 2021, according to the problem.

Perplexity Solved Solutions primarily sells HR and work environment cooperation software application, consisting of a merged control panel for HR analytics and a videoconferencing tool called Perplexity Meet. The business secured a trademark registration by November 2022 and started promoting items on its website, perplexityonline.com, a domain that Perplexity Solved Solutions had signed up in 2021.

Perplexity and counsel for Perplexity Solved Solutions did not respond since press time. TechCrunch will update the article if either celebration comments.

The Texas company declares that AI start-up Perplexity began infringing on its hallmark “in or around” August 2022 to promote its AI-powered online search engine. The month prior – July 2022 – Perplexity had signed up the domain perplexity.ai, which the problem also alleges is violation.

“The [Perplexity] site presently situated at the infringing domain plainly features the Perplexity [hallmark],” the complaint reads,” [and] the infringing products and services are extremely similar to those used by Perplexity [Solved Solutions] and attract a similar consumer base. For instance, Perplexity [Solved Solutions’] ‘Perplexity Meet’ and offender’s ‘Perplexity Spaces’ both are software application platforms that facilitate interaction and partnership among coworkers in businesses and other companies.”

Perplexity Spaces, which the San Francisco-based AI startup released for enterprise customers in October, are centers with a customizable AI assistant and connectors to third-party platforms, apps, and file systems.

The complaint declares that Perplexity has “filled the market” with its infringing branding, consisting of marketing across its numerous social networks accounts. The AI start-up declined to acquire the Perplexity hallmark in September 2023 when used, per the complaint, and rather decided to submit for its own hallmark with the USPTO, which is still pending.

According to the grievance, Perplexity didn’t adhere to a stop and desist letter from Perplexity Solved Solutions’ counsel, and it hasn’t withdrawn its pending trademark application – regardless of efforts to oppose the application before the USPTO’s trial and appeal board.

Attorneys for Perplexity Solved Solutions say that Perplexity’s usage of its trademark is likely to plant confusion.

“In fact, upon info and belief, consumers currently have been puzzled,” the problem reads. “For instance, on various events, social media users have ‘tagged’ Perplexity in their posts about defendant’s infringing goods and services.”

The complaint alleges that Perplexity’s conduct violates laws, including the Lanham Act – the U.S. federal law that manages trademarks and unjust competition. Among other types of legal relief, Perplexity Solved Solutions is looking for to bar Perplexity from utilizing its trademark, along with the trademark “Perplexity AI,” pay damages, and transfer ownership of any domains that include Perplexity branding.

It’s the most recent courtroom headache for Perplexity, which is presently fighting a lawsuit filed by News Corp’s Dow Jones and the NY Post over what the complainants refer to as a “content kleptocracy.” Many other news sites have revealed concerns that Perplexity closely reproduces their content – just last October, The New york city Times sent out the startup a cease and desist letter.

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