In the Converse.co dispute, a three-member UDRP panel unanimously ordered the transfer of the disputed domain name to the Complainants, All Star C.V. and Converse, Inc., owners of the well-known brand CONVERSE for shoes and apparel. The panel drew the inference that the Respondent, by setting of an asking price of around $300,000 after having acquired the domain name for $306, was primarily motivated by a bad faith intent to target the Complaint.
Ali's invitation to post reflections on the past 25 years of ICANN is very welcome. No doubt, some will write about major shifts in how ICANN is governed, for example, the end of United States government oversight. While others will write about changes to the industry that ICANN has catalyzed, for example, the 2012 round of new gTLDs and the upcoming next application process.
How to properly balance the commercial rights of a complainant with the free speech rights of a respondent has challenged a generation of Uniform Domain Name Dispute Resolution Policy (UDRP) panelists. Panelists have adopted a variety of approaches and consensus has been elusive. Paragraph 4(c)(iii) of the Policy provides that a respondent may have a right or legitimate interest in a disputed domain name...
The UDRP has the form of a substantive Policy, but it operates as a "smell test".1 If the evidence smells bad, the panel will likely order a transfer. If it doesn't, the panel won't. An aim of this article is to help improve UDRP panels' sense of smell when it comes to differentiating between domain name investors and cybersquatters. I will provide some insight into the business of domain name investing that I hope will be helpful to UDRP panelists in making more accurate inferences in disputes involving investors.
Today, for the 500th time, an expert panel under the Uniform Domain Name Dispute Resolution Policy or "UDRP", issued a decision finding a Complainant guilty of Reverse Domain Name Hijacking or "RDNH". RDNH is an attempt to egregiously misuse the UDRP to unjustly seize a domain name from its lawful owner... To-date, the UDRP has adjudicated over 80,000 domain name disputes. The vast majority of them result in the transfer of a cybersquatted domain name to the rightful trademark owner.
Where outcomes depend on a word’s meaning, the first task is to define it. “Registers” which is one of the keywords in the Anticybersquatting Consumer Protection Act (ACPA), is still in the process of definition. Its statutory context provides that a domain name registrant is liable to the owner of a mark if “it has a bad faith intent to profit from that mark … and (ii) registers, traffics in, or uses a domain name [corresponding to a mark] that … is distinctive at the time of registration of the domain name [and] is identical or confusingly similar to that mark.
Not infrequently mark owners in disputes under the Uniform Domain Name Dispute Resolution Policy (UDRP) claim that respondents should have been aware that the domain names they registered corresponded to their marks; and from this, urge panelists to draw the inference that the registrations were designed to take advantage of their goodwill and reputation. To test this premise, we need to take a step back for a quick look at UDRP provisions. All it takes to acquire a domain name is to sign a registrar’s registration agreement.
I have pointed out in earlier posts that some panelists disapprove of the business of speculating in domain names. There have been a succession of decisions expressing this view beginning with <crew.com> discussed below. Forfeiture has been justified with a mixture of theories. If the offering price is allegedly "excessive" or the domain name is passively held, or the respondent has renewed its registration after the mark is first used in commerce, the panelists find respondents have engaged in unlawful conduct and must forfeit their domain names.
During last week's ICANN71 Virtual Policy Forum, the Brand Registry Group (BRG) held a very informative session about how ICANN can help potential applicants prepare for the next new gTLD round. Speakers during the session provided historical perspective that applicant guidebooks have regularly evolved over time as a result of community review and feedback provided to ICANN, providing concrete examples of how the current applicant guidebook was developed.
I'm happy to report (mostly) positive feedback on my last article that examined how the multistakeholder model tackled, and tackled well, Phase 1 of the review of all Rights Protection Mechanisms. While bad news may sell more clicks, a little good news from time to time also appears to be welcome. Good news also reminds us of how fortunate we are to have a private sector ICANN with a multistakeholder model of policy development...
While Panels under the UDRP and judges under the ACPA draw upon a similar body of principles in determining infringement -- both mechanisms, after all, are crafted to combat cybersquatting -- and though arbitration panels and judges undoubtedly view alleged tortious wrongdoing by abusive registrations of domain names through similar lenses and apply laws that may be outwardly similar, each protective mechanism has developed its own distinct and separate jurisprudence.
I was in a conversation with a close friend the other day, you know the kind where you have been friends for so long that you have endured each other experimenting with changed politics, evolving religion, and if you are unlucky, flirtations with multilevel marketing. We were discussing politics that day, which is not unusual given our ancient friendship and the recent change at the helm of the United States.
When a brand goes so far as to ask a domain name registrar for Whois (the registration contact details) of a potentially abusive domain name, there's likely a lot at stake. Most often, the request is prompted by consumer safety concerns, such as the risk to consumers posed by a malicious site. Other times, the demand has a simple goal: to have a dialog with the registrant about the use of trademarks or other intellectual property in order to avoid extreme action.
UDRP Paragraph 4(c) states as a preamble that "[a]ny of the following circumstances, in particular, but without limitation, if found by the Panel to be proved based on its evaluation of all evidence presented, shall demonstrate your rights or legitimate interest to the domain name for purposes of Paragraph 4(a)(ii)." Three nonexclusive circumstances are listed.
For complainant, the second leg in determining cybersquatting under the Uniform Domain Name Dispute Resolution Policy (UDRP) is evidence respondent lacks both rights and legitimate interests in the challenged domain name (Paragraph 4(a)(ii)). I underscore "both" because proving one but not the other is not good enough. This seems obvious, so why suggest there is something to explore about "rights" and "legitimate interests" if their meanings hardly need explication?