National Arbitration Forum

 

DECISION

 

Allegiant Air Inc. v. Allegiant Solutions Corp

Claim Number: FA0805001191283

 

PARTIES

Complainant is Allegiant Air Inc. (“Complainant”), represented by Norman M. Abramson, of Gray, Plant, Mooty, Mooty & Bennett, P.A., Minnesota, USA.  Respondent is Allegiant Solutions Corp (“Respondent”), Korea.

 

REGISTRAR AND DISPUTED DOMAIN NAME 

The domain name at issue is <allegiant.com> (the “Disputed Domain Name”), registered with Korea Information Certificate Authority, Inc. d/b/a Domainca.com.

 

PANEL

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

 

Hong Oo Baak as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on May 16, 2008; the National Arbitration Forum received a hard copy of the Complaint on May 16, 2008.

 

On May 19, 2008, Korea Information Certificate Authority, Inc. d/b/a Domainca.com confirmed by e-mail to the National Arbitration Forum that the <allegiant.com> domain name is registered with Korea Information Certificate Authority, Inc. d/b/a Domainca.com and that the Respondent is the current registrant of the name.  Korea Information Certificate Authority, Inc. d/b/a Domainca.com has verified that Respondent is bound by the Korea Information Certificate Authority, Inc. d/b/a Domainca.com 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 May 29, 2008, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of June 18, 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@allegiant.com by e-mail.

 

A Response itself was received on June 18, 2008, however, the Response was deficient under ICANN Supplemental rule 5(a) as the exhibits were received six (6) days late, on June 24, 2008. Nevertheless, Respondent’s Response will be considered.  

 

Complainant filed a timely Additional Submission on June 23, 2008.

 

Respondent filed a timely Additional Submission on June 30, 2008.

 

On June 27, 2008, pursuant to Complainant’s request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Hong Oo Baak as Panelist.

 

RELIEF SOUGHT

Complainant requests that the Disputed Domain Name be transferred from Respondent to Complainant.

 

PARTIES’ CONTENTIONS

A. Complainant

1. Complainant asserts that it is a commercial airline based in Las Vegas, Nevada, flying to more than 40 airports throughout the United States and Canada, and specializing in providing direct flights to vacation destinations such as Las Vegas, Nevada and Orlando, Florida from over 60 cities in the United States and Canada. Complainant is the owner of the ALLEGIANT AIR® mark (“Mark”) federally-registered in U.S.A on April 17, 2001 as registration number 2,444,756, and Complainant has used this Mark in connection with airline transportation services since July 23, 1998.

 

2. Complainant registered the domain name <allegiantair.com> on October 22, 1998.  Complainant asserts that through its operation of the website at <allegiantair.com> it promotes and sells its air travel goods and services under the Mark. Complainant further asserts that it offers a variety of other travel related services on its website at <allegiantair.com> in addition to air travel, including hotel packages, rental cars and tickets for tours and attractions at its primary destinations such as Las Vegas, Nevada and Orlando, Florida.

 

3. Complainant asserts that the Disputed Domain Name is confusingly similar to Complainant’s Mark.

 

4. Complainant asserts that Respondent has no rights or legitimate interest in the Disputed Domain Name as Respondent is merely using the website at the Disputed Domain Name to misdirect Internet traffic. Complainant asserts that Respondent owns no trademark registration for the term “Allegiant” and that Respondent is not authorized by Complainant to use the Mark. Complainant further asserts that Respondent is not affiliated in any way with Complainant. In addition, Complainant asserts that Respondent does not use the Disputed Domain Name in connection with a bona fide offering of goods or services but that the website at the Disputed Domain Name consists of a commercial search engine and web directory with links to websites administered by Complainant’s competitors, as well as links to unrelated commercial websites.  

 

5. Complainant asserts that Respondent registered and is using the Disputed Domain Name in bad faith. Complainant asserts that Respondent’s bad faith may also be readily inferred from its use of the Mark to divert Internet users to Respondent’s site containing a commercial search engine and links to Complainant’s competitors. Complainant further asserts that Respondent’s bad faith registration and use is evidenced by the fact that Respondent either knew or reasonably should have known about Complainant’s use of its Mark. Complainant contends that it has been promoting its Mark in connection with airline transportation services for almost 10 years, and is particularly well known as an air travel provider of direct travel services to vacation destinations particularly Las Vegas from dozens of cities in the United States and Canada.

 

B. Respondent

1. Respondent contends that it acquired by purchase, the Disputed Domain Name from Telerent Leasing Corporation on April 26, 2006 at 100,000 USD and that Respondent is using the website at the Disputed Domain Name as a travel information search site for the world’s best 10 travel destinations. Respondent contends that the website at the Disputed Domain Name provides air-ticket comparison search service and news on travel destinations and that Respondent owns numerous websites including the websites which relate to travel. Respondent contends that it is continuously investing into online and website business and that it is operating such business worldwide.

 

2. Respondent contends that Complainant does not have a right to ownership of the mark “Allegiant,” which is a generic term used in many other domain names and which the Complainant cannot assert exclusive right to use. 

 

3. Respondent contends that the Disputed Domain Name is not confusingly similar to Complainant’s Mark since it is composed of generic terms.

 

4. Respondent contends that it has rights or legitimate interest in the Disputed Domain Name and that Complainant has no rights or legitimate interest in the Disputed Domain Name. Respondent contends that it registered the domain name <allegiant.co.kr> on April 22, 2006, and is operating the website at <allegiant.co.kr> as a site related to travel search. Respondent contends that the Mark is not well-known in Korea. Respondent contends that Complainant’s assertion that Respondent is merely using the website at the Disputed Domain Name to misdirect Internet traffic is far-fetched. Respondent further contends that Complainant’s assertion that Respondent does not use the Disputed Domain Name in connection with a bona fide offering of goods or services, is unreasonable.

 

5. Respondent contends that the Disputed Domain Name was not registered and used in bad faith. Respondent contends that Complainant’s assertion that Respondent either knew or reasonably should have known about Complainant’s use of its Mark is far-fetched.

 

6. Respondent contends that Complainant’s conduct constitutes reverse domain name hijacking.

 

C. Additional Submissions by Complainant

1. Complainant contends that Respondent’s Response was not timely provided to Complainant and that those portions not timely provided should be stricken.

 

2. Complainant contends that it has developed strong and incontestable rights in the Mark for airline transportation services, upon which Respondent’s misuse of the Disputed Domain Name creates a likelihood of confusion. Complainant contends that the United States Patent and Trademark Office does not think “Allegiant” is a generic term for airport transportation services registering Complainant’s Mark in connection with Complainant’s airline travel services, which gives Complainant the exclusive rights to use the Mark for airport transportation services. Complainant contends that Respondent’s use of the Disputed Domain Name in connection with a website displaying a travel-related web directory and links to travel websites which compete with Complainant, constitutes strong evidence of Respondent’s bad faith.

 

3. Complainant contends that Respondent’s argument that “Allegiant” is used as a mark in different industries in different classes of goods and services has no bearing on Complainant’s established trademark rights. Complainant further contends that Respondent’s acquisition of the Disputed Domain Name in 2006 and use of it to link to services that are competitive with Complainant’s is what creates a likelihood of confusion and constitutes bad faith use of the Disputed Domain Name.

 

4. Complainant contends that Respondent’s recent acquisition and use of the Disputed Domain Name to host a website linking to airline travel services in the United States focusing on Las Vegas demonstrates it is attempting to trade off of Complainant’s goodwill in the Mark.

 

5. Complainant contends that Respondent’s argument that there is no likelihood of confusion between the Mark and the Disputed Domain Name because Respondent uses <allegiant.com> not <allegiantair.com> is frivolous.

 

6. Complainant contends that Respondent’s acquisition of the Disputed Domain Name constitutes a bad faith registration under the Policy. Complainant contends that because Complainant’s Mark was registered five years before Respondent registered the Disputed Domain Name to use it for commercial gain by advertising links to competing airline services and benefiting from the likely confusion between Complainant’s Mark and the Disputed Domain Name, Respondent registered and is using the Disputed Domain Name in bad faith.

 

7. Complainant contends that it has not engaged in reverse domain name hijacking.

 

D. Additional Submissions by Respondent

1. Respondent contends that Complainant’s assertion that it has developed strong and incontestable rights in the Mark for airline transportation services and that it has exclusive right to use “Allegiant” is unreasonable. Respondent contends that there is no evidence of likelihood of confusion between the Mark and the Disputed Domain Name.

 

2. Respondent contends that there is no evidence that its operation of the website at the Disputed Domain Name is likely to harm Complainant or trigger market confusion.

 

3. Respondent contends that its business is not focused on the US market but that it is operated globally.

 

4. Respondent contends that it is using the Disputed Domain Name in good faith, providing services and information such as VOD service, information on travel destinations, and news and air-ticket comparison search service.

 

FINDINGS

1.      Complainant is the owner of the trademark registration for the Mark (USPTO registration number 2444756), registered on April 17, 2001.

2.      Complainant has used the Mark in connection with airline transportation services since July 23, 1998. In addition to airline transportation services, Complainant offers a variety of other travel related services on its <allegiantair.com> website including hotel packages, rental cars and tickets for tours and attractions at its primary destinations.

3.      Complainant is the owner of the domain name <allegiantair.com> registered on October 22, 1998.

4.      The Disputed Domain Name was initially registered by Telerent Leasing Corporation and later acquired by Respondent at 100,000 USD on April 26, 2006.

5.      Respondent is the owner of several domain names including the Disputed Domain Name and the domain name <allegiant.co.kr>.

 

DISCUSSION

Paragraph 15(a) of the Rules for Uniform Domain Name Dispute Resolution Policy (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.”

 

Paragraph 4(a) of the Policy requires that the 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 the Respondent is identical or confusingly similar to a trademark or service mark in which the Complainant has rights;

(2)   the 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

 

The Mark consists of two parts, namely “Allegiant” and “Air.” “Allegiant” and “Air” are generic terms. The generic terms have meaning common usage would ascribe to those words only, and the generic or descriptive aspect of a mark is not lost in the combined form. If a term is generic for a particular product or service, it cannot be entitled to trademark protection unless it has acquired a secondary meaning.

 

In addition to the above, the Disputed Domain Name <allegiant.com> is not identical to the Mark “Allegiant Air,” since the Mark has the extra word “Air.” Therefore whether the Disputed Domain Name is confusingly similar to the Mark must be determined. Confusing similarity of a mark will naturally be more difficult to be established where the mark contains generic or descriptive terms, unless the mark is sufficiently distinctive or acquired a secondary meaning through use for a long period of time.

 

Considering the fact that domain names are used throughout the world, it will be reasonable to decide whether a mark consisting of a generic or descriptive term has become distinctive by a test of whether it has become distinctive throughout world users.

 

Complainant has not submitted sufficient evidence that the Mark has acquired secondary meaning. Since the words “Allegiant” and “Air” are generic terms, the fact that the Mark has acquired secondary meaning has to be proved by clear and convincing evidence. Although Complainant asserts that it has been promoting its Mark in connection with airline transportation services for almost 10 years and that it is particularly well known as an air travel provider of direct travel services to vacation destinations including Las Vegas, such fact is not enough to establish that the Mark has become distinctive. Although there may be marks that have become distinctive in fewer than 10 years, merely the fact that Complainant has been promoting its Mark for 10 years does not establish that the Mark has become distinctive.

 

Therefore, the Panel finds that Policy ¶ 4(a)(i) has not been satisfied.

 

Rights or Legitimate Interests

 

Complainant has failed to establish that Respondent has no rights or legitimate interests in the Disputed Domain Name. Although it is true that Respondent is not authorized by Complainant to use the Mark nor is Respondent affiliated in any way with Complainant, that is not enough for this Panel to decide that Respondent has no rights or legitimate interests in the Disputed Domain Name, since Respondent contends that the website at Disputed Domain Name provides for air-ticket comparison search service and news on travel destinations and that it owns several websites including the websites which relate to travel and there is no evidence to the contrary.  

 

Accordingly, the Panel finds that Policy ¶ 4(a)(ii) has not been satisfied

 

Registration and Use in Bad Faith

 

Complainant contends that it has been promoting its Mark in connection with airline transportation services for almost 10 years, and that it is particularly well known as an air travel provider of direct travel services to vacation destinations such as Las Vegas from many cities in the United States and Canada. Complainant further contends in its Additional Submission that the Mark was registered five years before Respondent acquired the Disputed Domain Name.

 

It is true that it is important to consider whether Respondent had bad faith at the time of transfer of the Disputed Domain Name. However, the date of original registration of the Disputed Domain Name is also one of the additional factors to consider. In this regard, there is no evidence that Telerent Leasing Corporation, the prior registrant of the Disputed Domain Name before Respondent (“Prior Registrant”) knew the existence of the Mark at the time of registration of the Disputed Domain Name. Not only that, Complainant has not sufficiently shown that Respondent, at the time the Disputed Domain Name was transferred from Prior Registrant, acquired the Disputed Domain Name in bad faith.

 

Evidence of bad faith includes constructive knowledge of a commonly known mark at the time of registration of a domain name. See Samsonite Corp. v. Colony Holding, FA 94313 (Nat. Arb. Forum Apr. 17, 2000

 

Complainant has not submitted evidence to establish that the Mark was already well-known before Prior Registrant registered the Disputed Domain Name on November 27, 1999, about a year after the date of Complainant’s registration of <allegiantair.com> and the date the Mark was first used in commerce. In addition, the Mark and the domain name <allegiantair.com> had been in use for about 10 years before Respondent acquired the Disputed Domain Name, the duration of which is not considered to be sufficiently long to be recognized without proof, to have become well-known.

 

Accordingly, the Panel finds that Policy ¶ 4(a)(iii) has not been satisfied.

 

DECISION

As stated above, Complaint failed to establish all three elements required under the ICANN Policy.

 

Even if Complainant had established all three elements required under the ICANN Policy, ordering a transfer to Complainant, and not the cancellation, of the Disputed Domain Name would unfairly prejudice current or potential registrants of a domain name who use or may use the term “allegiant” as part of their domain name. The Disputed Domain Name is not allegiantair.com.” It is just <allegiant.com>. From the internet search, it was found that there are several businesses that use “allegiant” in their trade name. If that is the case, there can be many business entities/individuals that want to register and use the domain name <allegiant.com> in their respective business fields. Merely the fact that Complainant submitted the Complaint ahead of other business entities/individuals will not entitle the Complainant to monopolistically use the domain name <allegiant.com> (i.e., a domain name without “air”), excluding all others. There should be fair competition among all business entities/individuals in various fields that are using or want to use “allegiant” in their trade name in respective fields. Thus, the Panel concludes that relief shall be DENIED.

 

Accordingly, it is ordered that Complainant’s request for transfer of <allegiant.com> domain name be DISMISSED.

 

 

 

Hong Oo Baak, Panelist
Dated:
July 11, 2008

 

 

 

 

 

 

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