national arbitration forum

 

DECISION

 

Shutterfly.com, Inc. v. Domain Administration Limited c/o David Halstead

Claim Number: FA0801001140702

 

PARTIES

Complainant is Shutterfly.com, Inc. (“Complainant”), represented by CitizenHawk, Inc., California, USA.  Respondent is Domain Administration Limited c/o David Halstead (“Respondent”), New Zealand.

 

REGISTRAR AND DISPUTED DOMAIN NAME

The domain name at issue is <shutteryfly.com>, registered with Fabulous.com Pty Ltd.

 

PANEL

The undersigned certifies that he or she has acted independently and impartially and to the best of his or her knowledge has no known conflict in serving as Panelist in this proceeding.

 

Sandra J. Franklin as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on January 28, 2008; the National Arbitration Forum received a hard copy of the Complaint on January 28, 2008.

 

On January 28, 2008, Fabulous.com Pty Ltd. confirmed by e-mail to the National Arbitration Forum that the <shutteryfly.com> domain name is registered with Fabulous.com Pty Ltd. and that Respondent is the current registrant of the name.  Fabulous.com Pty Ltd. has verified that Respondent is bound by the Fabulous.com Pty Ltd. registration agreement and has thereby agreed to resolve domain-name disputes brought by third parties in accordance with ICANN's Uniform Domain Name Dispute Resolution Policy (the "Policy").

 

On February 6, 2008, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of February 26, 2008 by which Respondent could file a response to the Complaint, was transmitted to Respondent via e-mail, post and fax, to all entities and persons listed on Respondent's registration as technical, administrative and billing contacts, and to postmaster@shutteryfly.com by e-mail.

 

Having received no response from Respondent, the National Arbitration Forum transmitted to the parties a Notification of Respondent Default.

 

On March 4, 2008, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Sandra J. Franklin as Panelist.

 

Having reviewed the communications records, the Administrative Panel (the "Panel") finds that the National Arbitration Forum has discharged its responsibility under Paragraph 2(a) of the Rules for Uniform Domain Name Dispute Resolution Policy (the "Rules") "to employ reasonably available means calculated to achieve actual notice to Respondent."  Therefore, the Panel may issue its decision based on the documents submitted and in accordance with the ICANN Policy, ICANN Rules, the National Arbitration Forum's Supplemental Rules and any rules and principles of law that the Panel deems applicable, without the benefit of any response from Respondent.

 

RELIEF SOUGHT

Complainant requests that the domain name be transferred from Respondent to Complainant.

 

PARTIES' CONTENTIONS

A.  Complainant makes the following assertions:

 

1.      Respondent’s <shutteryfly.com> domain name is confusingly similar to Complainant’s SHUTTERFLY mark.

 

2.      Respondent does not have any rights or legitimate interests in the <shutteryfly.com> domain name.

 

3.      Respondent registered and used the <shutteryfly.com> domain name in bad faith.

 

B.  Respondent failed to submit a Response in this proceeding.

 

FINDINGS

Complainant, Shutterfly.com, Inc., is an Internet provider of consumer photography services, including storage, editing, and preservation.  Since 1999, Complainant has operated under the SHUTTERFLY mark (Reg. No. 2,520,840 issued December 18, 2001), which was registered with the United States Patent and Trademark Office (“USPTO”).  Complainant had net revenues exceeding $89 million in 2007.  Moreover, Complainant has owned and operated the <shutterfly.com> domain name in connection with its web-based photography operations since 1999.

 

Respondent registered the <shutteryfly.com> domain name on January 8, 2004.  Respondent is currently using the disputed domain name to resolve to a website that features links to third-parties that compete directly with Complainant.

 

Respondent has also been the respondent in several other UDRP proceedings wherein the disputed domain names were transferred from Respondent to the respective complainants in those cases.  See Thomson Educ. Direct Inc. v. Domain Administration Limited c/o David Halstead, FA 843555 (Nat. Arb. Forum Jan. 4, 2007); see also Nolo v. Domain Administration Ltd., FA 831176 (Nat. Arb. Forum Dec. 25, 2006).

 

DISCUSSION

Paragraph 15(a) of the Rules instructs this Panel to "decide a complaint on the basis of the statements and documents submitted in accordance with the Policy, these Rules and any rules and principles of law that it deems applicable."

 

In view of Respondent's failure to submit a response, the Panel shall decide this administrative proceeding on the basis of Complainant's undisputed representations pursuant to paragraphs 5(e), 14(a) and 15(a) of the Rules and draw such inferences it considers appropriate pursuant to paragraph 14(b) of the Rules.  The Panel is entitled to accept all reasonable allegations and inferences set forth in the Complaint as true unless the evidence is clearly contradictory.  See Vertical Solutions Mgmt., Inc. v. webnet-marketing, inc., FA 95095 (Nat. Arb. Forum July 31, 2000) (holding that the respondent’s failure to respond allows all reasonable inferences of fact in the allegations of the complaint to be deemed true); see also Talk City, Inc. v. Robertson, D2000-0009 (WIPO Feb. 29, 2000) (“In the absence of a response, it is appropriate to accept as true all allegations of the Complaint.”).

 

Paragraph 4(a) of the Policy requires that Complainant must prove each of the following three elements to obtain an order that a domain name should be cancelled or transferred:

 

(1)   the domain name registered by Respondent is identical or confusingly similar to a trademark or service mark in which Complainant has rights; and

(2)   Respondent has no rights or legitimate interests in respect of the domain name; and

(3)   the domain name has been registered and is being used in bad faith.

 

Identical and/or Confusingly Similar

 

Complainant has offered sufficient evidence to demonstrate its rights in the SHUTTERFLY mark through registration of the mark with the USPTO pursuant to Policy ¶ 4(a)(i).  See Innomed Techs., Inc. v. DRP Servs., FA 221171 (Nat. Arb. Forum Feb. 18, 2004) (“Registration of the NASAL-AIRE mark with the USPTO establishes Complainant's rights in the mark.”); see also Janus Int’l Holding Co. v. Rademacher, D2002-0201 (WIPO Mar. 5, 2002) ("Panel decisions have held that registration of a mark is prima facie evidence of validity, which creates a rebuttable presumption that the mark is inherently distinctive.").

 

Respondent’s <shutteryfly.com> domain name integrates Complainant’s entire SHUTTERFLY mark with an additional “y” and generic top-level domain “.com.”  The addition of a single letter generally does not make a disputed domain name sufficiently distinct under a Policy ¶ 4(a)(i) analysis.  Indeed, the addition of the letter “y” does not prevent Complainant’s mark from remaining the sole dominant feature of the disputed domain name.  Furthermore, the addition of the generic top-level domain “.com” is entirely irrelevant when conducting a Policy ¶ 4(a)(i) analysis.  Therefore, the Panel finds that the disputed domain name is confusingly similar to Complainant’s mark under Policy ¶ 4(a)(i).  See Reuters Ltd. v. Global Net 2000, Inc., D2000-0441 (WIPO July 13, 2000) (finding that a domain name which differs by only one letter from a trademark has a greater tendency to be confusingly similar to the trademark where the trademark is highly distinctive); see also Rollerblade, Inc. v. McCrady, D2000-0429 (WIPO June 25, 2000) (finding that the top level of the domain name such as “.net” or “.com” does not affect the domain name for the purpose of determining whether it is identical or confusingly similar).

 

The Panel finds that Policy ¶ 4(a)(i) has been satisfied.

 

Rights or Legitimate Interests

 

Complainant has asserted that Respondent lacks rights and legitimate interests in the <shutteryfly.com> domain name.  Because Complainant has successfully asserted a prima facie case supporting its allegations, Respondent carries the burden to prove that it does have rights or legitimate interests.  See G.D. Searle v. Martin Mktg., FA 118277 (Nat. Arb. Forum Oct. 1, 2002) (“Because Complainant’s Submission constitutes a prima facie case under the Policy, the burden effectively shifts to Respondent. Respondent’s failure to respond means that Respondent has not presented any circumstances that would promote its rights or legitimate interests in the subject domain name under Policy ¶ 4(a)(ii).”); see also Do The Hustle, LLC v. Tropic Web, D2000-0624 (WIPO Aug. 21, 2000) (holding that, where the complainant has asserted that the respondent has no rights or legitimate interests with respect to the domain name, it is incumbent on the respondent to come forward with concrete evidence rebutting this assertion because this information is “uniquely within the knowledge and control of the respondent”).

 

Respondent’s <shutteryfly.com> domain name diverts Internet users to a website that offers links to third-party competitors of Complainant.  Respondent presumably profits from this enterprise by receiving referral fees from the advertisers listed on Respondent’s website.  The Panel finds that such a use cannot constitute a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i), or a legitimate noncommercial or fair use pursuant to Policy ¶ 4(c)(iii).  See Bank of Am. Corp. v. Nw. Free Cmty. Access, FA 180704 (Nat. Arb. Forum Sept. 30, 2003) (“Respondent's demonstrated intent to divert Internet users seeking Complainant's website to a website of Respondent and for Respondent's benefit is not a bona fide offering of goods or services under Policy ¶ 4(c)(i) and it is not a legitimate noncommercial or fair use under Policy ¶ 4(c)(iii).”); see also Computer Doctor Franchise Sys., Inc. v. Computer Doctor, FA 95396 (Nat. Arb. Forum Sept. 8, 2000) (finding that the respondent’s website, which is blank but for links to other websites, is not a legitimate use of the domain names).

 

There is no evidence in the record, including the WHOIS domain name registration information, to suggest that Respondent is commonly known by the <shutteryfly.com> domain name.  Nothing in the registrant’s name, “Domain Administration Limited c/o David Halstead,” implies any connection to the disputed domain name.  Therefore, the Panel finds that Respondent lacks rights and legitimate interests in the dispute domain name pursuant to Policy ¶ 4(c)(ii).  See Am. W. Airlines, Inc. v. Paik, FA 206396 (Nat. Arb. Forum Dec. 22, 2003) (“Respondent has registered the domain name under the name ‘Ilyoup Paik a/k/a David Sanders.’  Given the WHOIS domain name registration information, Respondent is not commonly known by the [<awvacations.com>] domain name.”); see also Tercent Inc. v. Lee Yi, FA 139720 (Nat. Arb. Forum Feb. 10, 2003) (stating “nothing in Respondent’s WHOIS information implies that Respondent is ‘commonly known by’ the disputed domain name” as one factor in determining that Policy ¶ 4(c)(ii) does not apply).

 

Respondent is engaging in typosquatting, the practice of registering a domain name to purposely capitalize on common typographical errors in order to divert those users from the desired website to a respondent’s website.  In this case, Respondent incorporated Complainant’s entire SHUTTERFLY mark in the disputed domain name, while adding a “y” between “shutter” and “fly,” in the hopes of diverting Internet users seeking Complainant’s services to Respondent’s website.  The Panel finds that the registration of the <shutteryfly.com> domain name constitutes typosquatting and therefore itself comprises evidence of Respondent’s lack of rights and legitimate interests in the disputed domain name.  See IndyMac Bank F.S.B. v. Ebeyer, FA 175292 (Nat. Arb. Forum Sept. 19, 2003) (finding that the respondent lacked rights and legitimate interests in the disputed domain names because it “engaged in the practice of typosquatting by taking advantage of Internet users who attempt to access Complainant's <indymac.com> website but mistakenly misspell Complainant's mark by typing the letter ‘x’ instead of the letter ‘c’”); see also LTD Commodities LLC v. Party Night, Inc., FA 165155 (Nat. Arb. Forum Aug. 14, 2003) (finding that the <ltdcommadities.com>, <ltdcommmodities.com>, and <ltdcommodaties.com> domain names were intentional misspellings of Complainant's LTD COMMODITIES mark and this “‘typosquatting’ is evidence that Respondent lacks rights or legitimate interests in the disputed domain names”).

 

The Panel finds that Policy ¶ 4(a)(ii) has been satisfied.

 

Registration and Use in Bad Faith

 

Respondent has been the Respondent in numerous other UDRP proceedings in which the disputed domain names have been transferred from Respondent to the respective complainants in those cases.  See Thomson Educ. Direct Inc. v. Domain Administration Limited c/o David Halstead, FA 843555 (Nat. Arb. Forum Jan. 4, 2007); see also Nolo v. Domain Administration Ltd., FA 831176 (Nat. Arb. Forum Dec. 25, 2006).  This bad-faith practice of registering domain names incorporating the marks of others seeks to prevent legitimate trademark owners from registering their respective marks in corresponding domain names.  Respondent has registered the instant disputed domain name with a similar intent.  Therefore, the Panel finds that Respondent has engaged in bad faith registration and use pursuant to Policy ¶ 4(c)(ii).  See Sport Supply Group, Inc. v. Lang, D2004-0829 (WIPO Dec. 10, 2004)(“[Respondent] registered the <usgames.com> domain name in order to prevent [Complainant] from reflecting its U.S. GAMES Mark in a corresponding domain name [pursuant to Policy ¶ 4(b)(ii)].  The pattern of such conduct is established, inter alia, by the public decisions of two different UDRP proceedings [against] Respondent.”); see also Société Air France v. Mert, D2004-0759 (WIPO Dec. 3, 2004) (finding bad faith registration and use pursuant to Policy ¶ 4(b)(ii) where the complainant provided evidence of a pattern of registration of “numerous other domain names” by the respondent).

 

The <shutteryfly.com> domain name resolves to a website that features links to Complainant’s competitors.  Given the confusing similarity of the disputed domain and Complainant’s mark, the Panel concludes that Respondent registered the disputed domain name in bad faith primarily to disrupt Complainant’s business pursuant to Policy ¶ 4(b)(iii).  See Disney Enters., Inc. v. Noel, FA 198805 (Nat. Arb. Forum Nov. 11, 2003) (“Respondent registered a domain name confusingly similar to Complainant's mark to divert Internet users to a competitor's website. It is a reasonable inference that Respondent's purpose of registration and use was to either disrupt or create confusion for Complainant's business in bad faith pursuant to Policy ¶¶ 4(b)(iii) [and] (iv).”); see also S. Exposure v. S. Exposure, Inc., FA 94864 (Nat. Arb. Forum July 18, 2000) (finding the respondent acted in bad faith by attracting Internet users to a website that competes with the complainant’s business).

 

Respondent’s <shutteryfly.com> domain name diverts Internet users seeking Complainant’s services to a website that offers links to third-party competitors of Complainant.  Respondent thus commercially benefits from such diversion due to the receipt of referral fees from those competitors.  Therefore, Respondent has created a likelihood of confusion as to the source and affiliation of the disputed domain name and corresponding website for commercial benefit.  The Panel finds that Respondent has engaged in bad faith registration and use pursuant to Policy ¶ 4(b)(iv).  See TM Acquisition Corp. v. Warren, FA 204147 (Nat. Arb. Forum Dec. 8, 2003) (“Although Complainant’s principal website is <century21.com>, many Internet users are likely to use search engines to find Complainant’s website, only to be mislead to Respondent’s website at the <century21realty.biz> domain name, which features links for competing real estate websites.  Therefore, it is likely that Internet users seeking Complainant’s website, but who end up at Respondent’s website, will be confused as to the source, sponsorship, affiliation or endorsement of Respondent’s website.”); see also State Fair of Texas v. Granbury.com, FA 95288 (Nat. Arb. Forum Sept. 12, 2000) (finding bad faith where the respondent registered the domain name <bigtex.net> to infringe on the complainant’s goodwill and attract Internet users to the respondent’s website).

 

The Panel notes that evidence of bad faith registration and use is not exhausted in the listed circumstances in Policy ¶ 4(b).  Thus, the Panel finds that Respondent’s engagement in typosquatting constitutes itself sufficient evidence of bad faith registration.  See Cellular One Group v. Brien, D2000-0028 (WIPO Mar. 10, 2000) (finding that the criteria specified in 4(b) of the Policy is not an exhaustive list of bad faith evidence); see also Dermalogica, Inc. v. Domains to Develop, FA 175201 (Nat. Arb. Forum Sept. 22, 2003) (finding that the <dermatalogica.com> domain name was a “simple misspelling” of the complainant's DERMALOGICA mark which indicated typosquatting and bad faith pursuant to Policy 4 ¶ (a)(iii)); see also Zone Labs, Inc. v. Zuccarini, FA 190613 (Nat. Arb. Forum Oct. 15, 2003) (“Respondent’s registration and use of [the <zonelarm.com> domain name] that capitalizes on the typographical error of an Internet user is considered typosquatting. Typosquatting, itself is evidence of bad faith registration and use pursuant to Policy ¶ 4(a)(iii).”).

 

The Panel finds that Policy ¶ 4(a)(iii) has been satisfied.

 

DECISION

Having established all three elements required under the ICANN Policy, the Panel concludes that relief shall be GRANTED.

 

Accordingly, it is Ordered that the <shutteryfly.com> domain name be TRANSFERRED from Respondent to Complainant.

 

 

 

Sandra J. Franklin, Panelist

Dated:  March 14, 2008

 

 

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