National Arbitration Forum

 

DECISION

 

Q Interactive v. MegaWeb.com Inc.

Claim Number: FA0812001240324

 

PARTIES

Complainant is Q Interactive (“Complainant”), represented by Ian Ballon, of Greenberg Traurig, LLP, California, USA.  Respondent is MegaWeb.com Inc. (“Respondent”), Delaware, USA.

 

REGISTRAR AND DISPUTED DOMAIN NAME 

The domain name at issue is <coolsaving.com>, registered with Tucows Inc.

 

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.

 

The Honorable Charles K. McCotter, Jr. (Ret.) as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on December 30, 2008; the National Arbitration Forum received a hard copy of the Complaint on December 31, 2008.

 

On December 30, 2008, Tucows Inc. confirmed by e-mail to the National Arbitration Forum that the <coolsaving.com> domain name is registered with Tucows Inc. and that Respondent is the current registrant of the name.  Tucows Inc. has verified that Respondent is bound by the Tucows Inc. 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 January 5, 2009, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of January 26, 2009 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@coolsaving.com by e-mail.

 

Respondent submitted an electronic Response on January 29, 2009.  This Response was deemed deficient pursuant to ICANN Rule 5 because it was received after the deadline for submissions and in electronic copy only.  The Panel, in its discretion, will consider the Response. See Clear!Blue Holdings, L.L.C. v. NaviSite, Inc., FA 888071 (Nat. Arb. Forum Mar. 5, 2007) (deciding to consider the respondent’s response even though it was deficient because it provided useful information to the panel in making its decision). 

 

On February 6, 2009, pursuant to Complainant’s request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed the Honorable Charles K. McCotter, Jr. (Ret.) as Panelist.

 

RELIEF SOUGHT

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

 

PARTIES’ CONTENTIONS

A. Complainant

Respondent’s <coolsaving.com> domain name is confusingly similar to Complainant’s COOLSAVINGS mark.  Respondent does not have any rights or legitimate interests in the <coolsaving.com> domain name.  Respondent registered and used the <coolsaving.com> domain name in bad faith.

 

B. Respondent

Respondent contends that the disputed domain name consists of two common English words, “cool” and “savings,” that have meanings apart from Complainant’s use of the COOLSAVINGS mark.  Respondent contends that its use of the disputed domain name to display advertisements constitutes a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i).

 

FINDINGS

Founded in 1995, Complainant Q Interactive (“Q”) is a corporation that provides digital marketing services that help advertisers reach their target consumers and assist online publishers to better monetize their online audience.  Each year, more than 1,000 leading brands rely upon Q’s consultation services.  Q also owns its own branded websites.  Its longest running and most well-known website is CoolSavings, located at <coolsavings.com> and accessible throughout the Unites States and around the world.  Started in 1996, CoolSavings is a consumer website that allows consumers to take advantage of money-saving coupons and offers from some of the biggest brands in the world.  In addition, the CoolSavings website provides helpful tips in the form of articles and newsletters, free recipes, sweepstakes, free trials, and free samples.  Q owns two United States trademark registrations for variations of the COOLSAVINGS mark, as well as registrations in the United Kingdom, Australia, and Canada.

 

Respondent, MegaWeb.com Inc., registered the disputed domain name <coolsaving.com> on April 18, 1998.  The website associated with the disputed domain name links to a pay-per-click site, which links to goods and services that are closely related to the goods and services offered by Q on its CoolSavings website, including links to services that are competitive with those of Q.

 

 

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

 

Complainant’s registration of the COOLSAVINGS mark with the USPTO (U.S. Reg. No. 2,148,278 issued March 31, 1998) sufficiently establishes Complainant’s rights in the mark under Policy ¶ 4(a)(i).  See Ameridream, Inc. v. Russell, FA 677782 (Nat. Arb. Forum May 24, 2006) (holding that with the complainant’s registration of the AMERIDREAM mark with the USPTO, the complainant had established rights in the mark pursuant to Policy ¶ 4(a)(i)); see also Bloomberg L.P. v. Johnston, FA 760084 (Nat. Arb. Forum Oct. 25, 2006) (finding that the complainant had established rights in the BLOOMBERG mark through registration with the United States Patent and Trademark Office).

 

Respondent’s disputed <coolsaving.com> domain name includes Complainant’s COOLSAVINGS mark while: (1) omitting an “s” from the mark; and (2) adding the generic top-level domain “.com.”  The addition of a top-level domain is immaterial under Policy ¶ 4(a)(i) as such an element is required of every domain name.  Moreover, previous panels have held that the omission of a letter from a mark fails to create a meaningful distinction between the domain name and the mark.  Therefore, the Panel finds that the disputed domain name is confusingly similar to Complainant’s mark under Policy ¶ 4(a)(i).  See 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); see also Myspace, Inc. v. Kang, FA 672160 (Nat. Arb. Forum June 19, 2006) (finding that the <myspce.com> domain name was confusingly similar to the complainant’s MYSPACE mark and the slight difference in spelling did not reduce the confusing similarity).

 

Accordingly, the Panel finds that Policy ¶ 4(a)(i) has been satisfied.

 

 

 

Rights or Legitimate Interests

 

Complainant must first make a prima facie case that Respondent lacks rights and legitimate interests in the disputed domain name under Policy ¶ 4(a)(ii), and then the burden shifts to Respondent to show it does have rights or legitimate interests.  See Hanna-Barbera Prods., Inc. v. Entm’t Commentaries, FA 741828 (Nat. Arb. Forum Aug. 18, 2006) (holding that the complainant must first make a prima facie case that the respondent lacks rights and legitimate interests in the disputed domain name under UDRP ¶ 4(a)(ii) before the burden shifts to the respondent to show that it does have rights or legitimate interests in a domain name); see also AOL LLC v. Gerberg, FA 780200 (Nat. Arb. Forum Sept. 25, 2006) (“Complainant must first make a prima facie showing that Respondent does not have rights or legitimate interest in the subject domain names, which burden is light.  If Complainant satisfies its burden, then the burden shifts to Respondent to show that it does have rights or legitimate interests in the subject domain names.”).

 

Respondent has not supplied any evidence that it is commonly known by the disputed domain name.  The registrant of record under the WHOIS information is listed as “MegaWeb.com Inc.”  Therefore, the Panel finds that Respondent is not commonly known by the disputed domain name under Policy ¶ 4(c)(ii).  See M. Shanken Commc’ns v. WORLDTRAVELERSONLINE.COM, FA 740335 (Nat. Arb. Forum Aug. 3, 2006) (finding that the respondent was not commonly known by the <cigaraficionada.com> domain name under Policy ¶ 4(c)(ii) based on the WHOIS information and other evidence in the record); see also Coppertown Drive-Thru Sys., LLC v. Snowden, FA 715089 (Nat. Arb. Forum July 17, 2006) (concluding that the respondent was not commonly known by the <coppertown.com> domain name where there was no evidence in the record, including the WHOIS information, suggesting that the respondent was commonly known by the disputed domain name).

 

Respondent’s disputed domain name resolves to a website that displays advertisements for Complainant’s direct competitors.  The Panel presumes that Respondent is commercially benefiting from this use by garnering click-through referral fees.  The Panel finds that this fails to constitute a bona fide offering of goods or services under Policy ¶ 4(c)(i) or a legitimate noncommercial or fair use under Policy ¶ 4(c)(iii).  See ALPITOUR S.p.A. v. Albloushi, FA 888651 (Nat. Arb. Forum Feb. 26, 2007) (rejecting the respondent’s contention of rights and legitimate interests in the <bravoclub.com> domain name because the respondent was merely using the domain name to operate a website containing links to various competing commercial websites, which the panel did not find to be a use in connection with 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 also 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).”).

 

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

 

Registration and Use in Bad Faith

 

Respondent’s disputed domain name resolves to a website that promotes Complainant’s direct competitors through links and advertisements.  The Panel finds that Respondent primarily intended to disrupt Complainant’s business, which would support a finding of bad faith registration and use under Policy ¶ 4(b)(iii).  See David Hall Rare Coins v. Tex. Int’l Prop. Assocs., FA 915206 (Nat. Arb. Forum Apr. 9, 2007) (finding that the respondent registered and used the disputed domain name in bad faith pursuant to Policy ¶ 4(b)(iii) because respondent used the disputed domain name to advertise goods and services of complainant’s competitors, thereby disrupting the complainant’s business); see also Am. Airlines, Inc. v. Tex. Int’l Prop. Assoc., FA 914854 (Nat. Arb. Forum Apr. 10, 2007) (holding that where the respondent’s website featured hyperlinks to competing websites and included a link to the complainant’s website, the respondent’s use of the <redeemaamiles.com> domain name constituted disruption under Policy ¶ 4(b)(iii)).

 

The Panel presumes that Respondent is commercially benefiting from the placement of these third-party links and advertisements through the receipt of referral fees.  Therefore, the Panel finds that Respondent’s disputed domain name has created a likelihood of confusion as to Complainant’s source or affiliation with the disputed domain name and corresponding website.  The Panel finds bad faith registration and use under Policy ¶ 4(b)(iv).  See Allianz of Am. Corp. v. Bond, FA 680624 (Nat. Arb. Forum June 2, 2006) (finding bad faith registration and use under Policy ¶ 4(b)(iv) where the respondent was diverting Internet users searching for the complainant to its own website and likely profiting); see also Asbury Auto. Group, Inc. v. Tex. Int’l Prop. Assocs., FA 958542 (Nat. Arb. Forum May 29, 2007) (finding that the respondent’s use of the disputed domain name to advertise car dealerships that competed with the complainant’s business would likely lead to confusion among Internet users as to the sponsorship or affiliation of those competing dealerships, and was therefore evidence of bad faith registration and use pursuant to Policy ¶ 4(b)(iv)).

 

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 <coolsaving.com> domain name be TRANSFERRED from Respondent to Complainant.

 

 

 

The Honorable Charles K. McCotter, Jr. (Ret.), Panelist
Dated: February 23, 2009

 

 

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