national arbitration forum

 

DECISION

 

Choice Hotels International, Inc. v. QTK Internet (Name Proxy)

Claim Number:  FA0501000401826

 

PARTIES

Complainant is Choice Hotels International, Inc. (“Complainant”), represented by N. Christopher Norton, of Arent Fox PLLC, 1050 Connecticut Avenue, N.W., Washinton, DC 20036-5339.  Respondent is QTK Internet (Name Proxy)  (“Respondent”), BCM Box 1768, London, England WC1N 3XX.

 

REGISTRAR AND DISPUTED DOMAIN NAMES

The domain names at issue are <econolodgelasvegas.com> and <comfortinn‑bellingham.com>, registered with Go Daddy Software, Inc.

 

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.

 

Judge Harold Kalina (Ret.) as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on January 13, 2005; the National Arbitration Forum received a hard copy of the Complaint on January 14, 2005.

 

On January 13, 2005, Go Daddy Software, Inc. confirmed by e-mail to the National Arbitration Forum that the domain names <econolodgelasvegas.com>and <comfortinn‑bellingham.com> are registered with Go Daddy Software, Inc. and that Respondent is the current registrant of the names. Go Daddy Software, Inc. has verified that Respondent is bound by the Go Daddy Software, 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 18, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of February 7, 2005 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@econolodgelasvegas.com and postmaster@comfortinn-bellingham.com by e‑mail.

 

Having received no Response from Respondent, using the same contact details and methods as were used for the Commencement Notification, the National Arbitration Forum transmitted to the parties a Notification of Respondent Default.

 

On February 17, 2005, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Judge Harold Kalina (Ret.) 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 names be transferred from Respondent to Complainant.

 

PARTIES' CONTENTIONS

A.  Complainant makes the following assertions:

 

1.      Respondent’s <econolodgelasvegas.com> domain name is confusingly similar to Complainant’s ECONO LODGE mark, and Respondent’s <comfortinn‑bellingham.com> domain name is confusingly similar to Complainant’s COMFORT INN mark.

 

2.      Respondent does not have any rights or legitimate interests in the <econolodgelasvegas.com> and <comfortinn-bellingham.com> domain names.

 

3.      Respondent registered and used the <econolodgelasvegas.com> and <comfortinn-bellingham.com> domain names in bad faith.

 

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

 

FINDINGS

Complainant, Choice Hotels International, Inc., is a large hotel franchiser, with nearly 5,000 hotels in 44 countries and territories.  Complainant holds the registration for the ECONO LODGE and COMFORT INN marks. 

 

Complainant registered the ECONO LODGE mark (Reg. No. 2,178,518) with the U.S. Patent and Trademark Office (“USPTO”) on August 4, 1998.  Complainant also registered the ECONO LODGE design mark (Reg. No. 1,799,814) on October 19, 1993.

 

Complainant registered the COMFORT INN mark (Reg. No. 1,315,180) with the USPTO on January 15, 1985.  Complainant also registered COMFORT INNS (Reg. No. 1,265,290) on January 24, 1984, COMFORT INN design mark (Reg. No. 1,316,274) on January 22, 1985, COMFORT INN design mark (Reg. No. 1,516,053) on December 6, 1988, COMFORT INN & SUITS (Reg. No. 2,264,702) on July 27, 1999.

 

Respondent, QTK Internet (Name Proxy), registered the <econolodgelasvegas.com> domain name on June 1, 2001.  Respondent registered the <comfortinn‑bellingham.com> domain name on August 7, 2001.  Both domain names redirect the Internet user to the <roomsusa.com> domain name, which provides a hotel search and booking service at the resultant website.

 

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.

 

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

 

The Panel finds that Complainant has rights in the ECONO LODGE mark and the COMFORT INN mark as evidenced by its registration of the marks with the USPTO.  See Men’s Wearhouse, Inc. v. Wick, FA 117861 (Nat. Arb. Forum Sept. 16, 2002) (“Under U.S. trademark law, registered marks hold a presumption that they are inherently distinctive and have acquired secondary meaning.”); see also Janus Int’l Holding Co. v. Rademacher, D2002-0201 (WIPO Mar. 5, 2002) (finding that 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, and Respondent has the burden of refuting this assumption). 

 

Generally speaking, creating a domain name by taking another’s mark, removing the space between words, and adding the Top-Level Domain (gTLD) “.com” does not significantly distinguish a domain name from a mark.  See Pomellato S.p.A v. Tonetti, D2000-0493 (WIPO July 7, 2000) (finding <pomellato.com> identical to Complainant’s mark because the generic top-level domain (gTLD) “.com” after the name POMELLATO is not relevant); see also Croatia Airlines v. Kijong, AF-0302 (eResolution Sept. 25, 2000)  (finding that the domain name <croatiaairlines.com> is identical to Complainant's CROATIA AIRLINES trademark).

 

The Panel finds that Respondent’s <econolodgelasvegas.com> domain name is confusingly similar to Complainant’s ECONO LODGE mark because the only difference is the addition of the geographic term “Las Vegas,” which does not significantly distinguish the domain name from the mark.  See VeriSign, Inc. v. Tandon, D2000-1216 (WIPO Nov. 16, 2000) (finding confusing similarity between Complainant’s VERISIGN mark and the <verisignindia.com> and <verisignindia.net> domain names where Respondent added the word “India” to Complainant’s mark); see also CMGI, Inc. v. Reyes, D2000-0572 (WIPO Aug. 8, 2000) (finding that the domain name <cmgiasia.com> is confusingly similar to Complainant’s CMGI mark).

 

The Panel finds that Respondent’s <comfortinn‑bellingham.com> domain name is confusingly similar to Complainant’s COMFORT INN mark because the only difference is the addition of the hyphen and the geographic term “Bellingham,” which does not significantly distinguish the domain name from the mark.  InfoSpace.com, Inc. v. Ofer, D2000-0075 (WIPO Apr. 27, 2000) (“The domain name ‘info-space.com’ is identical to Complainant’s INFOSPACE trademark. The addition of a hyphen and .com are not distinguishing features”); see also Net2phone Inc. v. Netcall SAGL, D2000-0666 (WIPO Sept. 26, 2000) (finding that Respondent’s registration of the domain name <net2phone-europe.com> is confusingly similar to Complainant’s mark because "the combination of a geographic term with the mark does not prevent a domain name from being found confusingly similar").

 

The Panel finds that Complainant has established Policy ¶ 4(a)(i).

 

Rights or Legitimate Interests

 

Respondent has not filed a Response.  Therefore, the Panel accepts any reasonable assertion by Complainant as true.  See Vertical Solutions Mgmt., Inc. v. webnet-marketing, inc., FA 95095 (Nat. Arb. Forum July 31, 2000) (holding that Respondent’s failure to respond allows all reasonable inferences of fact in the allegations of the Complaint to be deemed true); see also Desotec N.V. v. Jacobi Carbons AB, D2000-1398 (WIPO Dec. 21, 2000) (finding that failing to respond allows a presumption that Complainant’s allegations are true unless clearly contradicted by the evidence).

 

Respondent is appropriating Complainant’s marks to redirect Complainant’s customers to a competing hotel locator service.  The Panel finds that appropriating one’s mark to provide a competing service to the mark holder’s customers is not a bona fide offering of a goods or services pursuant to Policy ¶ 4(c)(i) or a legitimate noncommercial or fair use pursuant to Policy ¶ 4(c)(iii).  See Computerized Sec. Sys., Inc. v. Hu, FA 157321 (Nat. Arb. Forum June 23, 2003) (holding that Respondent’s appropriation of Complainant’s mark to market products that compete with Complainant’s goods does not constitute a bona fide offering of goods and services); see also Ameritrade Holdings Corp. v. Polanski, FA 102715 (Nat. Arb. Forum Jan. 11, 2002) (finding that Respondent’s use of the disputed domain name to redirect Internet users to a financial services website, which competed with Complainant, was not a bona fide offering of goods or services).

 

There is nothing in the record, including the WHOIS domain name registration information, which indicates that Respondent is commonly known by the disputed domain name.  Therefore, the Panel concludes that Respondent lacks rights and legitimate interests in the domain names pursuant to Policy ¶ 4(c)(ii).  See 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); see also Gallup Inc. v. Amish Country Store, FA 96209 (Nat. Arb. Forum Jan. 23, 2001) (finding that Respondent does not have rights in a domain name when Respondent is not known by the mark).

 

The Panel finds that Complainant has established Policy ¶ 4(a)(ii).

 

Registration and Use in Bad Faith

 

Respondent is appropriating Complainant’s ECONO LODGE and COMFORT INN marks to offer competing services.  The Panel finds that no matter what service Respondent may offer at the <roomsusa.com> domain name, its services cease to be a good faith offering once it appropriates the marks of hoteliers in its domain names.  The Panel finds that this is a clear case of Respondent trying to ride on the coat tails of Complainant’s goodwill, and, therefore, bad faith pursuant to Policy ¶ 4(b)(iii).  See Gen. Media Communications, Inc. v. Vine Ent., FA 96554 (Nat. Arb. Forum Mar. 26, 2001) (finding bad faith where a competitor of Complainant registered and used a domain name confusingly similar to Complainant’s PENTHOUSE mark to host a pornographic website); see also Lubbock Radio Paging v. Venture Tele-Messaging, FA 96102 (Nat. Arb. Forum Dec. 23, 2000) (concluding that domain names were registered and used in bad faith where Respondent and Complainant were in the same line of business in the same market area).

 

The Panel also infers that Respondent is generating revenues by booking reservations with its “RoomsUSA.com” service.  Using a domain name that is confusingly similar to another’s mark to generate revenues is evidence of bad faith registration and use pursuant to Policy ¶ 4(b)(iv).  See TM Acquisition Corp. v. Carroll, FA 97035 (Nat. Arb. Forum May 14, 2001) (finding bad faith where Respondent used the domain name, for commercial gain, to intentionally attract users to a direct competitor of Complainant); see also AltaVista v. Krotov, D2000-1091 (WIPO Oct. 25, 2000) (finding bad faith under Policy ¶ 4(b)(iv) where Respondent linked the domain name to a website that offers a number of web services).

 

The Panel finds that Complainant has established Policy ¶ 4(a)(iii).

 

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 <econolodgelasvegas.com> and <comfortinn‑bellingham.com> domain names be TRANSFERRED from Respondent to Complainant.

 

 

 

 

Judge Harold Kalina (Ret.), Panelist

Dated:  March 3, 2005

 

 

 

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