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  1. ITV Report

One Direction to keep their name after legal dispute

One Direction performs on NBC's "Today" show in New York March 12, 2012 Photo: REUTERS/Brendan McDermid

Boy band One Direction are to keep their name after reaching a deal with a US act with whom they had been locked in a legal dispute.

The What Makes You Beautiful stars - who appeared at the Olympics closing ceremony last month - had faced action from the Californian rock band who had already been using the same name.

One Direction perform at the closing ceremony of the London 2012 Olympic Games Credit: REUTERS/Chris Helgren

The US group was claiming more than £600,000 in damages, a share of profits and hoped to get the British quintet to stop using the name.

But now both sides said they have reached an agreement and the trademark dispute has been "resolved amicably".

The US band are to change their name to Uncharted Shores - the title of one of their two albums.

One Direction celebrate after being awarded best British single during the BRIT Music Awards at the O2 Arena in London February 21, 2012 Credit: REUTERS/Dylan Martinez

The British group - Harry Styles, Niall Horan, Zayn Malik, Liam Payne, and Louis Tomlinson - was formed two years ago for The X Factor.

They have gone on to take the US charts by storm with debut release Up All Night becoming the first by a UK act to debut at number one on the Billboard album chart.

A joint statement issued on behalf of both groups said: "All of the parties involved are pleased with the resolution and wish each other success."

X-Factor winning girl-band Little Mix Credit: PRESS ASSOCIATION

Last year there was another legal dispute over the use of a name by an X Factor group.

Little Mix, who won the 2011 series and are currently number one with Wings, were originally called Rhythmix, a name already adopted and registered by a music charity which then ran up legal fees defending its use of the trademark.