An Irish financial software solutions company is suing Revolut over the online payment service firm’s use of an identical or similar payroll trademark.
Ardbook Ltd and its parent, Relate Software Developments, claim Revolut is infringing its “PayDay” payroll system which provides payroll services to some 4,000 customers, including small- to medium-sized businesses, schools, credit unions, semi-State bodies and sporting organisations.
The PayDay trademark is held in the name of an associate company, SurfAccounts Ltd under Irish and EU registrations.
Revolut Ltd is a UK-born start-up and financial app which is licensed as a bank in Lithuania and operates as a bank in 10 central European countries. Revolut launched its PayDay sign in the UK last August and in Ireland in September.
The case was admitted to the Commercial Court on Monday by Mr Justice Denis McDonald who was told that, following delays caused by an alleged refusal of Revolut to nominate solicitors for the receipt of the proceedings, the company has since engaged and was now hoping to resolve the matter in a cost-effective manner.
The judge adjourned the case to next month to allow the parties to try to reach an agreement. He said it seemed possible to resolve the differences and there should be no reason to incur other legal costs.
Affidavit
In an affidavit seeking entry of the case to the commercial list, Ray Rogers, a director of the Ardbrook/Relate/SurfAccounts companies, said that after learning in September of the launch of the Revolut product in the UK, their solicitors sought undertakings from Revolut that the alleged infringement activities would end. The plaintiffs also hold the PayDay trademark in the UK.
Mr Rogers said Revolut refused to do so and went ahead and launched in Ireland as well.
He said Revolut publicly announced this, as well as that Spectrum Wellness Ltd was to be its Irish partner for its PayDay product. Spectrum was initially sued but following a letter from that company that it had discontinued any association it may have had with the Revolut product, the proceedings against Spectrum were discontinued.
Mr Rogers said his companies are also concerned that the Revenue Commissioners have raised a query about compliance with PAYE modernisation legislation following the launch of the Revolut product.
Mr Rogers said if controversy blows up in which Revenue maintains the Revolut product is not compliant, this could have serious reputational consequences for the plaintiffs’ PayDay product because of the confusion caused by the Revolut service.
