A good example was the Budweiser v Budvar saga http://en.wikipedia.org/wiki/Budweiser_Budvar_Brewery#Tradem...
Generally, you would hope that the parties could come to an agreement and enter what's known as a co-existence agreement where they just agreed to continue but in some cases agree not to further encroach on each other's markets for example.
The above example just ran and ran with each filing suits around the world, showing the difficulties of deciding who should have sole rights to a name when both have built up substantial goodwill over a long period of time.
Side Note: trademark protection is more focused on protecting consumers than companies - unless the company has spent an excessive amount promoting and selling their products, at which point, they are given special protection/rights.