July 15, 1999 06:26
NextCard Sues Providian for Copyright Infringement
and Unfair Business Practices
Leading Internet Visa(R) Card Issuer Intends to Seek Immediate Injunction To Stop
Providian From Copying NextCard's Banner Advertisements
SAN FRANCISCO, July 15 /PRNewswire/ -- NextCard, Inc. (Nasdaq: NXCD),
creator of the "First True Internet Visa," announced today that it has filed suit
against Providian Financial Corp. for copyright infringement, trademark
infringement, false advertising and unfair business practices. NextCard claims that
Providian deliberately copied one of NextCard's banner advertisements in an
attempt to mislead Internet users into clicking onto Providian's Web site rather than
NextCard's Web site.
Since its launch in December 1997, over two million people have applied for the
NextCard(R) Internet Visa(R), making it one of the premier online credit cards.
Many millions more have visited the NextCard Web site and learned the
distinguishing benefits of the NextCard Visa, including customized offers,
automated balance transfers, personalized PictureCards(SM) and an e-wallet for
universal one-click shopping. NextCard's direct marketing approach on the Internet
and successful use of banner advertisements have become celebrated within the
Internet community. American Banker, the industry newspaper, recently stated
that NextCard was "generally considered the industry leader in account access
and on-line applications." Additionally, NextCard has recently launched a major
branding campaign in national newspapers and magazines, featuring the
customized nature of its credit cards.
"With our leadership position on the Internet and the unique features we offer, we
welcome fair competition in the marketplace. But when someone tries to deceive
and divert our customers and potential customers by copying our banners we are
forced to act," said Robert Linderman, NextCard's general counsel.
"The protection of the intellectual property and the substantial investment
companies make in banner ads is of critical importance to Internet companies like
NextCard," said Anthony de Alcuaz, a director at Howard, Rice, Nemerovski,
Canady, Falk & Rabkin and counsel for NextCard in the dispute. "Unfortunately,
Providian did not respond appropriately to our efforts to resolve this dispute
amicably."
NextCard, Inc.
NextCard, Inc., creator of The First True Internet Visa, is considered one of the
industry's leading issuers of consumer credit on the Internet. Since its launch in
December 1997, over 2 million people have applied for the NextCard Internet Visa,
making it one of the premier online credit cards. The Company continues to
innovate with its Double Rewards program, complete GoShopping! tools, original
PictureCard design, a one-click digital wallet, and exceptional online customer
service. NextCard was recently named a "HOT 100 Company" by Upside Magazine
( nextcard.com ). Visa is a registered trademark of Visa International
Service Association.
The Safe Harbor Statement under the Private Securities Litigation Reform Act of
1995. Information contained herein as to NextCard's expectations and goals are
forward looking statements. Actual results could differ from those projected in
these statements due to portfolio characteristics, economic conditions,
competition in the industry and other factors detailed from time to time in the
Company's Securities and Exchange Commission filings.
CONTACT: Richard Goebel of NextCard, Inc., 415-836-9723, or
richard.goebel@nextcard.com.
SOURCE NextCard, Inc.
/CONTACT: Richard Goebel of NextCard, Inc., 415-836-9723, or
richard.goebel@nextcard.com/
/Web site: nextcard.com
(NXCD) |
