There is an item named Infinity Edge in computer game named League of Legends.
I thought the sentence was incorrect because I used the word 'named' twice.
There is an item named Infinity Edge in computer game named League of Legends.
I thought the sentence was incorrect because I used the word 'named' twice.
If we consider only grammar and intelligibility the sentence is fine, however you are right to be suspicious of this kind of duplication. I would certainly attempt to rewrite the sentence.
Here, the second named is not needed; the computer game League of Legends makes sense. The first named seems more useful because we are clearly talking about an item so special it must be given a name, the naming is significant. The naming of the computer game is less significant because all games have names.