AppleInsider is reporting that Apple has been accused of trademark infringement over the use of the name "iAd."

Innovate Media Group LLC sued Apple last week, accusing the iPhone maker of two counts of trademark infringement, two counts of unfair competition, and one count of common law injury to business reputation. Innovate Media has alleged that it coined the term "iAds" in 2006, a name it uses for its video delivery technology.

The U.S. Patent and Trademark Office is saying that the company filed for the "iAds" trademark on October 25th, 2007 and it was eventually registered on October 14th, 2008.

Innovate Media has stated that they have contacted both Apple and Quattro Wireless, the mobile advertising company Apple bought to help them develop a mobile ad system.

"Neither Apple nor Quattro Wireless has responded to Innovate Media," the complaint reads. "Instead, Apple has continued to use the infringing mark in commerce, including on its website www.apple.com; on iadtoday.com, a new website dedicated to providing news and information updates on Apple's iAd service, and in connection with its promotional materials for the upcoming Worldwide Developers Conference."

Innovate Media's suit contends that Apple's use of the iAd name has done "irreparable harm" to the company, as Innovate owns the trademark for iAds but Apple did not seek to license it before it revealed the name of its product.

Innovate Media has also stated that they have asked the court for Apple to pay for damages the trademark infringement has caused due to confusion. The lawsuit is entitled to a jury trial in the Central District of California, Los Angeles.

Apple will most likely purchase the trademark "iAd" from Innovate Media, similar to what they did with the name "iPad," which was originally owned by Fujitsu.