International trademark, patent, and copyright law is a bit of a legal minefield, and Apple has proven itself to be among the best in navigating it these last few years. But there is one exception to their otherwise impressive track record: the lucrative South American market of Brazil. While Apple iPhones have been sold in the country for years, Apple has never owned the trademark for the name. A regional phone manufacturer, Gradiente Eletronica, registered the trademark for "iphone" way back in 2000.
That didn't stop Cupertino's legal bulldogs from suing Gradiente after they released the iPhone Neo One, a ~$300 mid-range Gingerbread phone, in December.