NCR sues Blockbuster trust over movie rental kiosks

NEW YORK (Reuters) – NCR Corp last week filed a lawsuit against a trust created by Blockbuster Inc , seeking to continue licensing that company’s name for its movie rental kiosks.

Satellite television company Dish Network Corp last month bought Blockbuster, which filed for Chapter 11 protection last year, in bankruptcy court for $320 million.

The trust, a Delaware entity set up to hold its intellectual property rights and not part of the bankruptcy, told NCR last week it wanted to end their licensing deal, according to lawsuit filed by NCR last Friday in U.S. District Court in Wilmington.

NCR said in its suit that ending the March 2009 licensing agreement, which gave it permission to use the Blockbuster Express trademark until 2016, would “cause NCR irreparable harm.” The lawsuit also asked for a judge to declare that the trust has no basis for ending the contract.

A Dish spokesman did not immediately return a request for comment.

Blockbuster transferred its stake in the trust to Dish as part of the sale, according to court papers.

The case is NCR Corp. v. BB 2009 Trust, 11-cv-481, U.S. District Court for Delaware, Wilmington.