H&R Block sues over Square's new name 'Block'

KEY POINTS

• H&R Block filed a trademark infringement lawsuit over Square's new name, "Block" on Thursday.
• The tax preparation service seeks to keep Block from using the new name.
• It alleged the name would be overly confusing for consumers, especially given the two companies' overlapping offerings.

Pedestrians walk past an H&R Block office in San Francisco, California, U.S., on Monday, March 8, 2021.

David Paul Morris | Bloomberg | Getty Images

H&R Block filed a trademark infringement lawsuit over Square's new name, "Block" on Thursday.

The tax preparation service seeks to keep Block from using the new name, saying in a press release that the fintech company "would improperly capitalize on the goodwill and consumer trust cultivated by Block since 1955."

H&R Block said the renamed company competes with it directly in financial services, including through its recent acquisition of Credit Karma Tax for tax preparation. It alleged the name would be overly confusing for consumers, especially given the two companies' overlapping offerings.

"Today's filing is an important effort to prevent consumer confusion and ensure a competitor cannot leverage the reputation and trust we have built over more than six decades," said H&R Block President and CEO Jeff Jones said in a statement.

A Square payment device is seen in a cafe in New York, August 2, 2021.

Andrew Kelly | Reuters

Block CEO Jack Dorsey said earlier this month the rename was meant to reflect the company's ambitions, like the blockchain, outside of its original card-reader product called Square. That area of the business will still retain the Square name.

Block did not immediately respond to a request for comment.

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