national arbitration forum

 

DECISION

 

Diners Club International Ltd. v. LaPorte Holdings, Inc.

Claim Number:  FA0501000409747

 

PARTIES

Complainant Diners Club International Ltd. (“Complainant”), is represented by Paul D. McGrady, of Greenberg Traurig, LLP, 77 West Wacker Drive, Suite 2500, Chicago, IL 60601.  Respondent is LaPorte Holdings, Inc. (“Respondent”), 2202 S. Figueroa St., Suite 721, Los Angeles, CA 90023.

 

REGISTRAR AND DISPUTED DOMAIN NAMES

The domain names at issue are <dinerclubcanada.com>, <dinersus.com> and <dinerclubnorthamerica.com>, registered with Nameking.com, 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 25, 2005; the National Arbitration Forum received a hard copy of the Complaint on January 27, 2005.

 

On January 28, 2005, Nameking.com, Inc. confirmed by e-mail to the National Arbitration Forum that the domain names <dinerclubcanada.com>, <dinersus.com> and <dinerclubnorthamerica.com> are registered with Nameking.com, Inc. and that Respondent is the current registrant of the names. Nameking.com, Inc. has verified that Respondent is bound by the Nameking.com, 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 28, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of February 17, 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@dinerclubcanada.com, postmaster@dinersus.com and postmaster@dinerclubnorthamerica.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 March 1, 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 <dinerclubcanada.com>, <dinersus.com> and <dinerclubnorthamerica.com> domain names are confusingly similar to Complainant’s DINERS CLUB and DINERS family of marks.

 

2.      Respondent does not have any rights or legitimate interests in the <dinerclubcanada.com>, <dinersus.com> and <dinerclubnorthamerica.com> domain names.

 

3.      Respondent registered and used the <dinerclubcanada.com>, <dinersus.com> and <dinerclubnorthamerica.com> domain names in bad faith.

 

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

 

FINDINGS

Complainant, Diners Club International, Ltd., has used the DINERS CLUB and DINERS family of marks in connection with credit card services, credit card user loyalty programs and assistance to travelers programs in addition to numerous other programs related to its financial services.  Complainant’s initial use began in 1965.  Complainant owns trademark registration rights for the DINERS CLUB and DINERS family of marks through registration with the United States Patent and Trademark Office (e.g., Reg. No. 828,013, issued April 25, 1967; Reg. No. 1,462,209, issued October 20, 1987, respectively) Complainant has also registered its DINERS family of marks in other countries including Switzerland, Hong Kong, China and Brazil.

 

Complainant has registered and is using the <dinersclubcanada.com> domain name to direct customers to the Canadian information found on Complainant’s website operated at the <dinersclubnorthamerica.com> domain name.

 

Respondent registered the <dinersus.com>, <dinerclubcanada.com> and <dinerclubnorthamerica.com> domain names on October 22, 2002, January 6, 2005 and January 12, 2005, respectively.  Respondent uses the disputed domain names to redirect Internet users to websites featuring links promoting goods and services of third parties, including financial and travel services.  They also display a link with Complainant’s DINERS CLUB mark that leads to advertisements for competitors such as <cardoffers.net> and <creditusaonline.com>.  Some of the links lead to fraudulent websites that attempt to obtain personal information from Internet users.  The websites also display links entitled “statements,” “pay bill,” “rewards” and “balance” to give the false appearance that the disputed domain names are a portal with which to conduct business with Complainant.

 

Respondent also provides pop-up advertisements and links at the disputed domain names that lead to pornographic websites and websites featuring goods and services unrelated to Complainant.

 

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

 

Complainant has established that it has rights in the DINERS CLUB and DINERS marks through registration with the United States Patent and Trademark Office.  Additionally, Complainant has continuously used the marks in international commerce for the last forty years.  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.  Respondent has the burden of refuting this assumption). 

 

The domain names registered by Respondent are confusingly similar to Complainant’s DINERS CLUB and DINERS marks because the <dinersclubcanada.com> and <dinerclubnorthamerica.com> domain names incorporate Complainant’s DINERS CLUB and DINERS marks.  The only difference between the disputed domain names and Complainant’s marks is Respondent’s minor omission of the letter “s” and the addition of geographically descriptive terms such as “canada” and “north america.”  Respondent’s minor additions and omissions do not distinguish the disputed domain names from Complainant’s marks.  See 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 "the combination of a geographic term with the mark does not prevent a domain name from being found confusingly similar"); see also Wal-Mart Stores, Inc. v. Walmarket Canada, D2000-0150 (WIPO May 2, 2000) (finding that the domain name, <walmartcanada.com> is confusingly similar to Complainant’s famous mark); see also 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 Universal City Studios, Inc. v. Harper Stephens, D2000-0716 (WIPO Sept. 5, 2000) (finding that deleting the letter “s” from Complainant’s UNIVERSAL STUDIOS STORE mark did not change the overall impression of the mark and thus made the disputed domain name confusingly similar to it).

 

Additionally, Respondent’s <dinersus.com> domain name is also confusingly similar to Complainant’s diners marks because the domain name contains Complainant’s DINERS mark and deviates from Complainant’s DINERS CLUB mark by replacing the word “club” with the geographically descriptive term “us.”  Respondent’s alterations does not sufficiently differentiate the disputed domain name from Complainant’s mark.  See SportSoft Golf, Inc. v. Sites to Behold Ltd., FA 94976 (Nat. Arb. Forum July 27, 2000) (finding that the disputed domain name is neither identical to nor confusingly similar to Complainant’s trademark because the trademark links together two generic words – golf and society -- with a geographic entity, the United States); see also AXA China Region Ltd. v. KANNET Ltd., D2000-1377 (WIPO Nov. 29, 2000) (finding that 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); see also Hammond Suddards Edge v. Westwood Guardian Ltd., D2000-1235 (WIPO Nov. 6, 2000) (finding that the domain name, “hammondsuddards.net,” is essentially identical to Complainant's mark, Hammond Suddards Edge, where the name “Hammond Suddards” identifies Complainant independently of the word “Edge”); see also WestJet Air Ctr., Inc. v. W. Jets LLC, FA 96882 (Nat. Arb. Forum Apr. 20, 2001) (finding that the <westjets.com> domain name is confusingly similar to Complainant’s mark, where Complainant holds the WEST JET AIR CENTER mark).

 

Furthermore, Respondent’s addition of the generic top-level domain “.com” does not eliminate the confusingly similar nature of Respondent’s domain names from Complainant’s marks.   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 Busy Body, Inc. v. Fitness Outlet Inc., D2000-0127 (WIPO Apr. 22, 2000) ("the addition of the generic top-level domain (gTLD) name ‘.com’ is . . . without legal significance since use of a gTLD is required of domain name registrants"); see also Interstellar Starship Serv. Ltd. v. EPIX, Inc., 983 F.Supp. 1331, 1335 (D.Or. 1997) (<epix.com> "is the same mark" as EPIX).

 

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

 

Rights or Legitimate Interests

 

Complainant alleges that Respondent does not have rights or legitimate interests in the disputed domain names.  When Complainant establishes a prima facie case pursuant to Policy ¶ 4(a)(ii), the burden shifts to Respondent to prove that it has rights or legitimate interests.  Due to Respondent’s failure to respond to the Complaint, the Panel infers that Respondent lacks rights and legitimate interests in the disputed domain name.  See Do The Hustle, LLC v. Tropic Web, D2000-0624 (WIPO Aug. 21, 2000) (finding that once Complainant asserts that Respondent has no rights or legitimate interests with respect to the domain, the burden shifts to Respondent to provide credible evidence that substantiates its claim of rights and legitimate interests in the domain name); see also Clerical Med. Inv. Group Ltd. v. Clericalmedical.com, D2000-1228 (WIPO Nov. 28, 2000) (finding that under certain circumstances the mere assertion by Complainant that Respondent has no rights or legitimate interests is sufficient to shift the burden of proof to Respondent to demonstrate that such rights or legitimate interests do exist); Pavillion Agency, Inc. v. Greenhouse Agency Ltd., D2000-1221 (WIPO Dec. 4, 2000) (finding that Respondents’ failure to respond can be construed as an admission that they have no legitimate interest in the domain names).

 

Additionally, if Complainant makes a prima facie showing and Respondent does not respond, the Panel may accept all reasonable inferences and assertions in the Complaint as true.  See 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.”); 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); see also Charles Jourdan AG. V. AAIM, D2000-0403 (WIPO June 27, 2000) (finding it appropriate for the Panel to draw adverse inferences from Respondent’s failure to reply to the Complaint).

 

Respondent is using the <dinerclubcanada.com>, <dinersus.com> and <dinerclubnorthamerica.com> domains names to redirect Internet users to websites featuring links promoting goods and services of third parties, including financial and travel services.  Respondent’s domains also display a link with Complainant’s DINERS CLUB mark that leads to advertisements for competitors such as <cardoffers.net> and <creditusaonline.com>.  Additionally, the disputed domains display links entitled “statements,” “pay bill,” “rewards” and “balance” to give the false appearance that the disputed domain names are a portal with which to conduct business with Complainant.  Respondent’s use of domain names that are confusingly similar to Complainant’s DINERS CLUB and DINERS marks to redirect Internet users interested in Complainant’s services to a website that links to Complainant’s competitors is not a use in connection with a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i) and is not a legitimate noncommercial or fair use of the domain names pursuant to Policy ¶ 4(c)(iii).  See Geoffrey, Inc. v. Toyrus.com, FA 150406 (Nat. Arb. Forum Apr. 5, 2003) (holding that Respondent’s use of the disputed domain name, a simple misspelling of Complainant’s mark, to divert Internet users to a website that featured pop-up advertisements and an Internet directory, was neither a bona fide offering of goods or services nor a legitimate noncommercial or fair use of the domain name); see also Am. Online, Inc. v. Tencent Comm. Corp., FA 93668 (Nat. Arb. Forum Mar. 21, 2000) (finding that use of Complainant’s mark “as a portal to suck surfers into a site sponsored by Respondent hardly seems legitimate”).

 

Respondent also provides pop-up advertisements and links at the disputed domain names that lead to pornographic websites and websites featuring goods and services unrelated to Complainant.  The Panel infers that Respondent receives click through fees by redirecting Internet users to commercial websites.  Respondent’s use of domain names that are confusingly similar to Complainant’s marks for commercial gain is evidence of Respondent’s lack of rights or legitimate interests in the disputed domain names.  See Wells Fargo & Co. v. Party Night Inc., FA 144647 (Nat. Arb. Forum Mar. 18, 2003) (holding that Respondent’s use of confusingly similar derivatives of Complainant’s WELLS FARGO mark to divert Internet users to websites featuring pop-up advertisements was not a bona fide offering of goods or services); see also Geoffrey, Inc. v. Toyrus.com, FA 150406 (Nat. Arb. Forum Apr. 25, 2003) (finding that Respondent had no rights or legitimate interests in a domain name that it used to redirect Internet users to an Internet directory website that featured numerous pop-up advertisements for commercial goods and sexually explicit websites); see also Isleworth Land Co. v. Lost In Space, SA, FA 117330 (Nat. Arb. Forum Sept. 27, 2002) (finding that Respondent’s use of its domain name to link unsuspecting Internet traffic to an adult orientated website, containing images of scantily clad women in provocative poses, did not constitute a connection with a bona fide offering of goods or services or a noncommercial or fair use); see also McClatchy Mgmt. Serv., Inc. v. Carrington, FA 155902 (Nat. Arb. Forum June 2, 2003) (holding that Respondent’s use of the disputed domain names to divert Internet users to a website that features pornographic material, had been “consistently held” to be neither a bona fide offering of goods or services . . . nor a legitimate noncommercial or fair use).

 

Respondent has not offered any proof, and there is no indication in the record suggesting that Respondent is commonly known by the disputed domain names.  Furthermore, Respondent does not have permission to use Complainant’s marks.  Thus, Respondent has not established rights or legitimate interests in the disputed domain names pursuant to Policy ¶ 4(a)(ii).  See 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); see also Compagnie de Saint Gobain v. Com-Union Corp., D2000-0020 (WIPO Mar. 14, 2000) (finding no rights or legitimate interests where Respondent was not commonly known by the mark and never applied for a license or permission from Complainant to use the trademarked name); see also Broadcom Corp. v. Intellifone Corp., FA 96356 (Nat. Arb. Forum Feb. 5, 2001) (finding no rights or legitimate interests because Respondent is not commonly known by the disputed domain name or using the domain name in connection with a legitimate or fair use).

 

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

 

Registration and Use in Bad Faith

 

The Panel infers that Respondent receives click-through fees through the use of the domain names by diverting Internet users searching for Complainant to Complainant’s competitors.  Respondent registered and used the disputed domain names in bad faith pursuant to Policy ¶ 4(b)(iv).  See G.D. Searle & Co. v. Celebrex Drugstore, FA 123933 (Nat. Arb. Forum Nov. 21, 2002) (finding that Respondent registered and used the domain name in bad faith pursuant to Policy ¶ 4(b)(iv) because Respondent was using the confusingly similar domain name to attract Internet users to its commercial website); see also Kmart v. Khan, FA 127708 (Nat. Arb. Forum Nov. 22, 2002) (finding that if Respondent profits from its diversionary use of Complainant’s mark when the domain name resolves to commercial websites and Respondent fails to contest the Complaint, it may be concluded that Respondent is using the domain name in bad faith pursuant to Policy ¶ 4(b)(iv)); see also 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 ¶¶ 4(b)(iii) [and] (iv).”).

 

Respondent is using the disputed domain names to advertise links to Complainant’s competitors.  The Panel finds that, by creating confusion around Complainant’s mark, Respondent is attempting to disrupt Complainant’s business.  Therefore, the Panel concludes that Respondent registered and use the disputed domain name in bad faith pursuant to Policy ¶ 4(b)(iii).  See EBAY, Inc. v. MEOdesigns, D2000-1368 (Dec. 15, 2000) (finding that Respondent registered and used the domain name <eebay.com> in bad faith where Respondent has used the domain name to promote competing auction sites); see also Puckett v. Miller, D2000-0297 (WIPO June 12, 2000) (finding that Respondent has diverted business from Complainant to a competitor’s website in violation of Policy ¶ 4(b)(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 <dinerclubcanada.com>, <dinersus.com> and <dinerclubnorthamerica.com> domains names be TRANSFERRED from Respondent to Complainant.

 

 

Judge Harold Kalina (Ret.), Panelist

Dated:  March 15, 2005

 

 

 

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