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Lightning Labs and Tari Labs Agree to Modify Restraining Order Amid Lawsuit

17 March 2023
in Latest News, News
Reading Time: 3 mins read
104 4
Home News Latest News

Attorneys representing Tari Labs and Lightning Labs, two blockchain companies, have come to an agreement to modify the temporary restraining order that halted the development of the Taro protocol. 

In a petition dated March 15, 2023, the attorneys recommended that the restraining order be converted into a preliminary injunction, a temporary order prohibiting a party from conducting specific actions. Pending a court ruling, the development of the protocol would be stopped if the order were changed to a preliminary injunction.

The attorneys for both companies agreed that Lightning Labs would continue to refrain from updating the Taro protocol by fusing internal changes with the open-source code and from announcing the next phase of the Taro protocol development. However, Lightning Labs would be permitted to reply to messages from users and developers who did not use Lightning as long as they were not used to advance Taro’s development.

Additionally, as long as the new name wasn’t confusingly similar to Taro or Tari, the protocol could be referred to as the “previous name of the protocol” in announcements regarding name changes.

Judge William Orrick of the California District Court issued the temporary restraining order on March 13 after Tari Labs claimed the word “Taro” violated its trademark rights because it was too similar to its own protocol, “Tari,” which is a registered trademark in the United States.

Tari Labs filed the trademark infringement lawsuit against Lightning Labs, On December 8, 2022. It claimed that both companies operate in the same digital blockchain ecosystem and offer comparable services, sometimes identical. Also, both businesses market to similar developers and users and exist on the same blockchain platforms.

Tari is a decentralized platform that empowers anyone to create digital products; it is a protocol for digital assets. Lightning Lab develops software, and their open-source system enables an efficient money exchange.

On April 5, 2022, Lightning Lab formally introduced Taro, a new Taproot-powered system for creating assets on the bitcoin blockchain that can be transferred via the Lightning Network in real-time, in large quantities, and with cheap fees. It is to this effect Tari Lab filed a trademark infringement suit against Lightning Lab.

In an exchange with a crypto expert called Brad Mills on Twitter, Riccardo Spagni, a co-founder of Tari Labs, tried to defend the lawsuit against Lightning Lab, citing the different methods Tari Lab has tried to reach out to Lightning Lab to discuss on rebranding while also offering to fund it.

On the contrary – if you don’t defend a trademark you literally lose it. Also the i and o are next to each other on the keyboard; their own counsel mistyped it. Last thing I’ll say is that we (1) reached out ages ago, multiple times, via email / Twitter DM / in person at a… https://t.co/k65HU4xKfp

— Ric “el pony esponjoso” (@fluffypony) March 15, 2023

 

If you would like to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.

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Tags: LawsuitLightning LabsTera Labs
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Durotimi Aribisala

Durotimi Aribisala

Durotimi is a writer who is interested in writing about emerging technologies such as blockchain, Web3, crypto, and AI. He studied business administration and management. He desires to be an entrepreneur and movie director sometime in the future.

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