from www.mediapost.com – Parody site Lamebook and social networking giant Facebook have ended their legal battle with an agreement calling for Lamebook to retain its name but add a disclaimer to its site.

“We are pleased to arrive at an agreement that protects Facebook’s brand and trademark and allows for Lamebook’s continued operation,” the companies said in a joint statement.

“The parties are now satisfied that users are not likely to be confused.”

Lamebook, which says it allows users to submit the “funny, ridiculous, and outright crazy posts that can be found on your favorite social networking site,” has also agreed that it will not seek to trademark its name.

The settlement resolves a dispute that dates back to July, when Facebook demanded that Lamebook.com cease and desist using its name. Facebook said at the time that it objected to “attempts to create brand names that trade off of Facebook’s fame.”

The Austin, Texas-based Lamebook.com responded by filing a case against Facebook in U.S. District Court in the Western District Court of Texas. Lamebook sought a ruling that it does not violate Facebook’s trademark because it isn’t in competition with the site. That matter was withdrawn on Thursday pursuant to the settlement agreement.

Lamebook isn’t the only company to tangle with Facebook about a name. The social-networking site also is litigating a trademark infringement case in U.S. District Court for the Northern District of Illinois against Teachbook.com, a site for teachers.

Facebook alleges in that case that Web users will mistakenly think that Teachbook’s name is likely to dupe the public into thinking it is “endorsed or sponsored” by Facebook.

Teachbook counters that the only common feature its trademark shares with Facebook is “the indistinct, generic word book.” The company has asked the judge to dismiss the lawsuit.