Subway takes bite at app company in trademark claim

Fast-food franchise Subway has taken a bite at MobiQuest Mobile Technologies in a trademark infringement claim.

MobiQuest provides services related to marketing on mobile platforms and related applications.

Filed at the US District Court for the District of Connecticut on Friday, February 10, the lawsuit claimed that MobiQuest has infringed Subway’s trademark through its website and loyalty app.

It also alleged trademark dilution and unfair competition.

Subway IP, the plaintiff in this case, licenses third parties to operate Subway restaurants and is the owner of the ‘Subway’ trademark and other trademarks, slogans and related insignia.

Subway has continuously used ‘Subway’ as a trade name since 1967, the suit said, adding that there are approximately 29,000 licensed Subway restaurants in the US.

MobiQuest is the developer of mobile phone software apps, including Sub Fresh Rewards mLoyal app, SUBLovers mLoyal app, and My Star Club mLoyal app, said the claim.

Subway said that MobiQuest features Subway’s trademark on its website and app in a bid to provide the “appearance of a partnership or association” with Subway.

The company added that it has sent three notices to MobiQuest demanding that it cease and desist from infringing Subway’s trademark and falsely associating itself with the fast-food company.

Subway is seeking injunctive relief, an account of profits, statutory damages of $8 million (comprising $2 million per counterfeit mark, per type of goods), punitive damages and a jury trial.

The company is also seeking destruction of promotional material, a list of the entities MobiQuest has conducted business with under the ‘Subway’ mark, and disablement of the website and apps.

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