Simon Cowell's record label Syco and Sony are being sued over the rights to use the name 'One Direction' in the United States, it has emerged.
One Direction have had major success in the United States and Canada following a huge promotional tour, with their debut album Up All Night topping the Billboard chart.
According to The Hollywood Reporter, an American group also using the name 'One Direction' have filed a lawsuit seeking both an injunction and damages.
Their lawyer Peter Ross said that the British group were made aware of the American band when they tried to lodge an application at the US Trademark Office.
"Rather than change their name or do anything to create confusion or avoid damage to our goodwill, they chose to press ahead and come on their tour," Ross alleged.
"We've been in negotiations for a month to find a resolution. In our view, the negotiations weren't turning out to be very productive."
Cowell or Syco have yet to comment on the news.
Meanwhile, One Direction took a well-earned break as they arrived in Australia, relaxing on a luxury yacht in Sydney Harbour as they showed off their impressive bodies.
15 Reasons Why We Love One DirectionHas Prince Harry Found His Princess? Royal 'Completely Smitten' With Mollie King
Has One Direction's Harry Styles Got A Secret Girlfriend?
Khloe Kardashian Warns Sister Kim: 'Kanye West Romance Will Hurt You'