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@Dammit
Trademarks are registered in classes- it may be that a trademark for a bicycle name is broad enough to cover a shop name but I suspect that a decent lawyer would get this thrown out.
The company I just resigned from would have advised to send a cease and desist, but leave it there- if the client was willing to take the potential negative publicity.
This looks lose-lose for Specialised, and I doubt that the principal of aquiessence would apply to this.