There is a parallel thread at the moment discussing the same subject:
I will repeat some of what I have had said there.
It looks like Google will take action if you have the domain name trademarked and if you are in certain countries.
I don't have the name trademarked and I am in the UK so even if I did google wouldn't do anything anyway.
It is obviously wrong but unless I can get them on another violation the ad wil probably stay. I am not losing any sleep over it, but it will be interesting to see if Google do anything about it.