I am only asking for advice.

Our concern is very simple: whether the other party has right to sue my friend without its trade mark registered.  My frind consulted several attorneys with different answers.   We try to find a best solution to protect this new company. We definitely don't want to get involved in long term litigation.  It will cost us valuable time, energy and money. But if the other party does not have the right, for a sure thing, we will fight no matter what.