The Ethereum -based gaming network Xai filed a lawsuit against Elon Musk’s artificial intelligence company Xai, who is accused of breaking the trademark and unfair competition.
The ComplaintPresented in the northern district of California on Thursday, the claim Musk’s Xai Company was created Extensive market confusion, damaging Xai’s brand.
Ex populus, the Delaware Corporation behind Xai, it said Xai trademark used in US commerce Since June 2023, including through the blockchain gaming ecosystem and the $ xai token. “This is a classic case of breaking the trademark that requires court intervention to remedy,” the filing said.
The ex populus runs the Xai ecosystem, which includes a Blockchain-powered network designed for video play and digital transactions, offering infrastructure to support game logic, AI-driven-driven decisions, rewards and data management in multiple applications, per filing.
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Xai Gaming Studio has triggered additional confusion
The complaint says that confusion has begun Musk announced his companyXai, in July 2023 and deepened when he said in November 2024 that Xai planned to launch a gaming studio.
The filing states that “market confusion is filled if defendants/muscles are associated, owned, or sponsored Xai’s plaintiff trademark or the associated goods and services.” It noted the examples of consumers, newspapers and even Musk’s assistant Grok who failed to connect the two adventures.
Ex Populus argues that the reputation damage is beyond the lost goodness. The complaint said Xai faced “significantly consumer’s significant negative feelings” because of the polarizing public image of Musk and controversies involving Xai products.
“The Plaintiff is not only disgusted by the loss of control over its tough good at the Xai trademark … but the plaintiff has also broken because the confusing contact with Elon Musk resulted in the consumer’s significant negative negative feelings,” the filing notes.
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Musk team forced Xai to trademark rights
Files have accused the legal Musk team trying to force the ex populus to eliminate the rights by threatening the cancellation of its registration earlier this month.
The lawsuit also noted that the US patent and trademark office have been suspended some of Musk’s Xai trademark applications for a possibility of confusion with Xai’s existing score.
The ex populus is seeking cancellation of pending Xai applications, damage for breach, and a court order to prevent the Musk company from using the disputed name in gaming and blockchain contexts. “There is no law cure for the thin greatness of damage to the defendants causes,” the company told the court.
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