national arbitration forum

 

DECISION

 

Gulf States Toyota, Inc. and Toyota Motor Sales, U.S.A., Inc. v. Randall Noe Auto Group

Claim Number: FA0708001061014

 

PARTIES

Complainant is Gulf States Toyota, Inc. and Toyota Motor Sales, U.S.A., Inc. (collectively “Complainant”), represented by Christopher L. Ashby, of Ashby Crinion, LLP, 909 Fannin, Suite 1450, Houston, TX 77010.  Respondent is Randall Noe Auto Group (“Respondent”), 1608 W Moore Ave, Terrell, TX 75160-2308.

 

REGISTRAR AND DISPUTED DOMAIN NAME

The domain name at issue is <toyotaofrockwall.com>, registered with Network Solutions, 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.

 

James A. Carmody, Esq., as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on August 13, 2007; the National Arbitration Forum received a hard copy of the Complaint on August 13, 2007.

 

On August 13, 2007, Network Solutions, Inc. confirmed by e-mail to the National Arbitration Forum that the <toyotaofrockwall.com> domain name is registered with Network Solutions, Inc. and that Respondent is the current registrant of the name.  Network Solutions, Inc. has verified that Respondent is bound by the Network Solutions, 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 August 17, 2007, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of September 6, 2007 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@toyotaofrockwall.com by e-mail.

 

On September 6, 2007, Respondent requested a thirty-day extension to respond to the Complaint pursuant to Supplemental Rule 6.  On September 7, 2007, the Forum granted a ten-day extension, and set a new deadline of September 17, 2007 by which Respondent could file a response to the Complaint.

 

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

 

On September 24, 2007, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed James A. Carmody, Esq., 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 <toyotaofrockwall.com> domain name is confusingly similar to Complainant’s TOYOTA mark.

 

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

 

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

 

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

 

FINDINGS

Complainant, Toyota Motor Sales, U.S.A., Inc., is a wholly-owned subsidiary of Toyota Motor Corporation, and is the exclusive importer and distributor of Toyota automobiles throughout the United States (except Hawaii).  Complainant Gulf States Toyota, Inc. is a privately owned, authorized distributor of TOYOTA brand automobiles in the southern part of the United States.  Complainant Toyota Motor Sales, U.S.A., Inc. and Complainant Gulf States Toyota, Inc. shall collectively be referred to as “Complainant.”  Complainant has continuously used the TOYOTA mark in commerce since 1969 to promote its automobiles and related products.  Complainant’s parent company, Toyota Jidosha Kabushiki Kaisha t/a Toyota Motor Corporation, holds a registered trademark with the United States Patent and Trademark Office (“USPTO”) for the TOYOTA mark (Reg. No. 843,138 issued Jan. 30, 1968), and has authorized Complainant to use the mark to promote its automobiles and related products.

 

Respondent, Randall Noe Auto Group, registered the <toyotaofrockwall.com> domain name on July 13, 2002.  Respondent is using the disputed domain name to advertise the automobiles of Complainant’s competitors. 

 

On June 29, 2005, Respondent applied for a Toyota dealership in the Rockwall area, which is located in the southern United States, but was denied by Complainant on July 26, 2006.  Respondent therefore is not a licensed or authorized dealer of Complainant’s automobiles and related products, and is not associated with Complainant in any way.

 

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’s parent company, Toyota Jidosha Kabushiki Kaisha t/a Toyota Motor Corporation, holds a USPTO registered trademark for the TOYOTA mark.  Therefore, the Panel finds that Toyota Jidosha Kabushiki Kaisha t/a Toyota Motor Corporation has successfully established rights to the TOYOTA mark pursuant to Policy ¶ 4(a)(i).  See Enter. Rent-a-Car Co. v. BGSvetionik, FA 925273 (Nat. Arb. Forum Apr. 11, 2007) (“The Panel finds that Complainant’s timely registration [with the USPTO] and subsequent use of the ENTERPRISE mark for over 20 years sufficiently establishes its rights in the mark pursuant to Policy ¶ 4(a)(i).”); see also Expedia, Inc. v. Emmerson, FA 873346 (Nat. Arb. Forum Feb. 9, 2007) (“Complainant’s trademark registrations with the USPTO adequately demonstrate its rights in the [EXPEDIA] mark pursuant to Policy ¶ 4(a)(i).”). 

 

Complainant is a wholly-owned subsidiary and authorized distributor of Toyota Jidosha Kabushiki Kaisha t/a Toyota Motor Corporation.  The Panel notes that previous panels have held that Complainant has standing to enforce the trademark rights of its parent company under the Policy.  See Toyota Motors Sales U.S.A., Inc. v. Indian Springs Motor, FA 157289 (Nat. Arb. Forum, Jan. 11, 2005) (“Complainant has established that it has rights in the TOYOTA and LEXUS marks through TMC’s registration with the USPTO and Complainant’s subsidiary relationship with TMC.”); see also Toyota Motor Sales, U.S.A., Inc. v. Fleetrates.com, FA 568488 (Nat. Arb. Forum Nov. 21, 2005) (finding that although the complainant is not the owner of the trademarks, which are owned by its parent, the complainant has standing to bring the complaint).  Therefore, the Panel finds that Complainant can enforce its parent company’s trademarks rights to the TOYOTA mark, and consequently has established rights to the mark pursuant to Policy ¶ 4(a)(i).

 

Complainant has alleged that Respondent’s <toyotaofrockwall.com> domain name is confusingly similar to Complainant’s TOYOTA mark pursuant to Policy ¶ 4(a)(i).  The disputed domain name contains Complainant’s TOYOTA mark in its entirety as the dominant portion of the disputed domain name.  The geographic indicator “of rockwall” and the generic top-level domain (gTLD) “.com” do not sufficiently distinguish the disputed domain name from the Complainant’s mark.  Therefore, the Panel concludes that Respondent’s <toyotaofrockwall.com> domain name is confusingly similar to Complainant’s TOYOTA mark pursuant to Policy ¶ 4(a)(i).  See Net2phone Inc. v. Netcall SAGL, D2000-0666 (WIPO Sept. 26, 2000) (finding that the respondent’s domain name <net2phone-europe.com> is confusingly similar to the complainant’s mark because “the combination of a geographic term with the mark does not prevent a domain name from being found confusingly similar"); see also AXA China Region Ltd. v. KANNET Ltd., D2000-1377 (WIPO Nov. 29, 2000) (finding that the <axachinaregion.com> domain name “is confusingly similar to the Complainant's trade mark ‘AXA’” because “common geographic qualifiers or generic nouns can rarely be relied upon to differentiate the mark if the other elements of the domain name comprise a mark or marks in which another party has rights”).

 

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

 

Rights or Legitimate Interests

 

Complainant has alleged that Respondent does not have rights or legitimate interests in the <toyotaofrockwall.com> domain name.  Once Complainant makes a prima facie case in support of its allegations, the burden then shifts to Respondent to show it does have rights or legitimate interests under Policy ¶ 4(a)(ii).  The Panel finds that Complainant has established a prima facie case pursuant to Policy ¶ 4(a)(ii).  See AOL LLC v. Gerberg, FA 780200 (Nat. Arb. Forum Sept. 25, 2006) (“Complainant must 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 interest in the subject domain names.”); see also 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 Policy ¶ 4(a)(ii) before the burden shifts to the respondent to show that it does have rights or legitimate interests in a domain name).  Since Respondent has not responded to the Complaint, the Panel will examine the record to determine if Respondent has rights or legitimate interests pursuant to Policy ¶ 4(c).

 

Complainant has alleged that Respondent is not commonly known by the <toyotaofrockwall.com> domain name.  The WHOIS information identifies Respondent as “Randall Noe Auto Group,” and Complainant has established that Respondent is not licensed or authorized to use the TOYOTA mark.  The Panel can find no other evidence in the record indicating that Respondent is commonly known by the disputed domain name.  Therefore, the Panel concludes that Respondent is not commonly known by the <toyotaofrockwall.com> domain name pursuant to Policy ¶ 4(c)(ii).  See Reese v. Morgan, FA 917029 (Nat. Arb. Forum Apr. 5, 2007) (concluding that the respondent was not commonly known by the <lilpunk.com> domain name as there was no evidence in the record showing that the respondent was commonly known by that domain name, including the WHOIS information as well as the complainant’s assertion that it did not authorize or license the respondent’s use of its mark in a domain name); see also Braun Corp. v. Loney, FA 699652 (Nat. Arb. Forum July 7, 2006) (concluding that the respondent was not commonly known by the disputed domain names where the WHOIS information, as well as all other information in the record, gave no indication that the respondent was commonly known by the disputed domain names, and the complainant had not authorized the respondent to register a domain name containing its registered mark).

 

Complainant notes that Respondent is using the <toyotaofrockwall.com> domain name to advertise the automobiles of Complainant’s competitors.  The Panel thus finds that Respondent is not using the disputed domain name in connection with a bona fide offering of goods and services under Policy ¶ 4(c)(i) or a legitimate noncommercial or fair use under Policy ¶ 4(c)(iii).  See Am. Int’l Group, Inc. v. Benjamin, FA 944242 (Nat. Arb. Forum May 11, 2007) (finding that the respondent’s use of a confusingly similar domain name to advertise real estate services which competed with the complainant’s business did not 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 also Gardens Alive, Inc. v. D&S Linx, FA 203126 (Nat. Arb. Forum Nov. 20, 2003) (finding that the respondent used a domain name for commercial benefit by diverting Internet users to a website that sold goods and services similar to those offered by the complainant and thus, was not using the name in connection with a bona fide offering of goods or services nor a legitimate noncommercial or fair use).

 

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

 

Registration and Use in Bad Faith

 

Respondent is using the <toyotaofrockwall.com> domain name to advertise the automobiles of Complainant’s competitors.  In Spark Networks PLC v. Houlihan, FA 653476 (Nat. Arb. Forum Apr. 18, 2006), the panel held that the respondent’s registration of a domain name confusingly similar to the complainant’s mark in order to operate a competing online dating website supported a finding that the respondent registered and used the domain name to disrupt the complainant’s business under Policy ¶ 4(b)(iii).  Similarly, in S. Exposure v. Southern Exposure, Inc., FA 94864 (Nat. Arb. Forum July 18, 2000), the panel found that the respondent acted in bad faith under Policy ¶ 4(b)(iii) by attracting Internet users to a website that competed with the complainant’s business.  In this case, Respondent’s <toyotaofrockwall.com> domain name advertises competing automobiles.  Therefore, Respondent’s use of the disputed domain name is likely to disrupt Complainant’s business by diverting customers to Respondent’s competing site.  The Panel finds that Respondent registered and is using the <toyotaofrockwall.com> domain name in bad faith pursuant to Policy ¶ 4(b)(iii).

 

Complainant also alleges that Respondent’s is using the <toyotaofrockwall.com> domain name, which is confusingly similar to Complainant’s TOYOTA mark, to attract customers to its site for Respondent’s own commercial gain.  Complainant asserts that Respondent is attempting to profit from the goodwill associated with Complainant’s TOYOTA mark, and the Panel agrees.  Respondent’s use of the disputed domain name may mistakenly lead customers to believe that the competing autombiles advertised on Respondent’s website that resolves from the disputed domain name are somehow affiliated or endorsed by Complainant.  Consequently, the Panel finds that Complainant’s registration and use of the <toyotaofrockwall.com> domain name constitutes bad faith pursuant to Policy ¶ 4(b)(iv).  See 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)); see also AOL LLC v. AIM Profiles, FA 964479 (Nat. Arb. Forum May 20, 2007) (finding that the respondent registered and used the disputed domain name in bad faith pursuant to Policy ¶ 4(b)(iv) because the respondent was commercially gaining from the likelihood of confusion between the complainant’s AIM mark and the competing instant messaging products and services advertised on the respondent’s website which resolved from the disputed domain name).

 

The Panel finds that Policy ¶ 4(b)(iv) 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 <toyotaofrockwall.com> domain name be TRANSFERRED from Respondent to Complainant.

 

 

James A. Carmody, Esq., Panelist

Dated:  October 5, 2007

 

 

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