Stock Track | Zip Co Ltd Plummets 5.69% Intraday After High Court Rules It Must Cease Using "Zip" Trademark in Australia

Stock Track

05/13

Zip Co Ltd's stock plunged 5.69% during intraday trading on Wednesday after the High Court of Australia delivered a judgment requiring the company to cease using its "Zip" trade mark in Australia.

The court ruled in favor of Firstmac in a trade mark infringement claim against Zip Co Ltd. The judgment forces Zip to rebrand its Australian products and services, a significant development for the company in its home market.

The company clarified that the court decision does not impact its New Zealand or United States business operations. However, the loss of trademark rights in Australia represents a substantial setback that has negatively impacted investor sentiment.

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