Fairweather Ltd. has filed a $250-million lawsuit in the Federal Court of Canada against American discount retailer Target.
In documents filed Monday, Fairweather is also seeking an injunction to prevent the U.S. company from using the Target name in Canada.
The court documents say Toronto-based Fairweather has owned the Canadian rights to the name for 10 years.
The documents say Fairweather has been operating a Toronto clothing store under the name Target Apparel since 2005.
The American discount retailer announced last week that it plans to open more than 200 stores in Canada.
Both companies have refused to comment on the court action.