national arbitration forum

 

DECISION

 

Expedia, Inc. v. Yong Li

Claim Number:  FA0502000429084

 

PARTIES

Complainant is Expedia, Inc. (“Complainant”), represented by Angela K. Steele of Pattishall, McAuliffe, Newbury, Hilliard and Geraldson LLP, 311 South Wacker Drive, Suite 5000, Chicago, IL, 60606.  Respondent is Yong Li (“Respondent”), P.O. Box 904, Beijing 100029, China.

 

REGISTRAR AND DISPUTED DOMAIN NAME

The domain name at issue is <expendia.com>, registered with Iholdings.com, Inc. d/b/a Dotregistrar.com.

 

PANEL

The undersigned certifies that she has acted independently and impartially and that to the best of her knowledge she has no known conflict in serving as Panelist in this proceeding.  Hon. Carolyn Marks Johnson sits as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically February 22, 2005; the National Arbitration Forum received a hard copy of the Complaint February 24, 2005.

 

On February 23, 2005, Iholdings.com, Inc. d/b/a Dotregistrar.com confirmed by e-mail to the National Arbitration Forum that the domain name <expendia.com> is registered with Iholdings.com, Inc. d/b/a Dotregistrar.com and that Respondent is the current registrant of the name. Iholdings.com, Inc. d/b/a Dotregistrar.com verified that Respondent is bound by the Iholdings.com, Inc. d/b/a Dotregistrar.com registration agreement and thereby has agreed to resolve domain-name disputes brought by third parties in accordance with ICANN's Uniform Domain Name Dispute Resolution Policy (the "Policy").

 

On February 25, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of March 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@expendia.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 24, 2005, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Hon. Carolyn Marks Johnson as Panelist.

 

Having reviewed the communications records, the Administrative Panel (the "Panel") finds that the National Arbitration Forum 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.      The domain name that Respondent registered, <expendia.com>, is confusingly similar to Complainant’s EXPEDIA marks.

 

2.      Respondent has no rights to or legitimate interests in the <expendia.com> domain name.

 

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

 

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

 

FINDINGS

Complainant, Expedia, Inc., provides numerous services by the Internet, including access to airline, hotel and rental car reservations, as well as special rates for these services.  Complainant also offers travel, entertainment and education information and online retail services featuring travel-related goods and services and restaurant services.

 

Complainant holds numerous registrations with the United States Patent and Trademark Office (“USPTO”) for its EXPEDIA (Reg. No. 2,168,097 issued June 23, 1998) and EXPEDIA.COM (Reg. No. 2,610,319 issued August 10, 2002) marks (collectively “EXPEDIA marks”).  Additionally, Complainant holds registrations for its EXPEDIA (Reg. No. 1,129,253 issued November 21, 1997) mark in China, Respondent’s purported place of residence.  Complainant has used its EXPEDIA mark since October 1996.

 

Respondent registered the <expendia.com> domain name June 24, 2000, four years after Complainant’s first use of its EXPEDIA marks and two years after Complainant’s registration of its EXPEDIA mark with the USPTO.  Respondent is using the disputed domain name to redirect Internet users to websites that feature a pop-up advertisement for an online casino and offer a variety of goods and services, including goods and services that compete with 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 will draw such inferences as the Panel considers appropriate pursuant to paragraph 14(b) of the Rules.

 

Paragraph 4(a) of the Policy requires Complainant to 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 to and/or Confusingly Similar

 

Complainant established by extrinsic proof in this proceeding that it has rights in the EXPEDIA marks through registrations with the United States Patent and Trademark Office as well as other countries, including Respondent’s purported residence of China.  Respondent has not disputed Complainant’s prima facie case of rights; therefore, the Panel finds that Complainant has rights in the mark for purposes of Policy ¶ 4(a)(i).  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); see also Koninklijke KPN N.V. v. Telepathy Inc., D2001-0217 (WIPO May 7, 2001) (finding that the Policy does not require that the mark be registered in the country in which Respondent operates.  It is sufficient that Complainant can demonstrate a mark in some jurisdiction).

 

The <expendia.com> domain name that Respondent registered differs from Complainant’s EXPEDIA mark only by the addition of the letter “n” between two letters of the mark.  A long line of Panel Decisions hold that under the Policy, the addition of only one letter to a complainant’s registered mark is inadequate to distinguish the disputed domain name from the mark.  Therefore, the Panel concludes that the disputed domain name is confusingly similar to Complainant’s marks pursuant to Policy ¶ 4(a)(i).  See Victoria’s Secret v. Zuccarini, FA 95762 (Nat. Arb. Forum Nov. 18, 2000) (finding that, by misspelling words and adding letters to words, a Respondent does not create a distinct mark but nevertheless renders the domain name confusingly similar to Complainant’s marks); see also Dow Jones & Co., Inc. v. Powerclick, Inc., D2000-1259 (WIPO Dec. 1, 2000) (holding that the deliberate introduction of errors or changes, such as the addition of a fourth “w” or the omission of periods or other such generic typos do not change respondent’s infringement on a core trademark held by the complainant).

 

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

 

Rights to or Legitimate Interests

 

Complainant established its rights to and legitimate interests in the domain name that contains in its entirety Complainant’s protected mark.  Complainant alleged that Respondent has no such rights.  Respondent failed to respond to the allegations set forth by Complainant in the Complaint.  In this circumstance, the Panel is entitled to accept all reasonable allegations and inferences in the Complaint as true.  See 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 Ziegenfelder Co. v. VMH Enter., Inc., D2000-0039 (WIPO Mar. 14, 2000) (drawing two inferences based on Respondent’s failure to respond: (1) Respondent does not deny the facts asserted by Complainant, and (2) Respondent does not deny conclusions which Complainant asserts can be drawn from the facts).

 

Complainant asserts that Respondent has no rights to or legitimate interests in the domain name that contains in its entirety Complainant’s protected mark.  On its face, the <expendia.com> domain name contains Complainant’s EXPEDIA mark in its entirety, differing only in a common misspelling.  Once Complainant makes a prima facie case in support of its allegations, the burden shifts to Respondent to show that it has rights or legitimate interests pursuant to Policy ¶ 4(a)(ii).  However, Respondent has not responded to Complainant’s allegations and has presented no proof of Respondent’s rights or legitimate interests.  Therefore, due to Respondent’s failure to respond to the Complaint, the Panel will assume 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 Parfums Christian Dior v. QTR Corp., D2000-0023 (WIPO Mar. 9, 2000) (finding that by not submitting a Response, Respondent has failed to invoke any circumstance which could demonstrate any rights or legitimate interests in the domain name).

 

The <expendia.com> domain name resolves to a website that contains links to various websites, including websites of Complainant’s competitors, as well as a pop-up advertisement for an online casino.  The Panel infers that Respondent receives commissions through referral fees for directing Internet traffic intended for Complainant to various third-party websites.  Thus, the Panel finds that Respondent’s use of the disputed domain name to divert Internet users away from Complainant to Respondent’s website for Respondent’s commercial benefit is not a use in connection with a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i) and it is not a legitimate noncommercial or fair use of the domain name pursuant to Policy ¶ 4(c)(iii).  Therefore, Respondent lacks rights and legitimate interests pursuant to Policy ¶ 4(a)(ii).  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 TM Acquisition Corp. v. Sign Guards, FA 132439 (Nat. Arb. Forum Dec. 31, 2002) (finding that Respondent’s diversionary use of Complainant’s marks to send Internet users to a website which displayed a series of links, some of which linked to competitors of Complainant, was not a bona fide offering of goods or services).

 

Complainant also asserts that Respondent is not commonly known by the <expendia.com> domain name and has not acquired any trademark or service mark rights in the domain name.  Furthermore Complainant alleges that Respondent is not licensed or permitted to use Complainant’s EXPEDIA marks or any variations thereof.  Respondent has offered no evidence to refute these allegations that it is not commonly known by the disputed domain name or authorized to use Complainant’s marks.  The Panel finds that Respondent lacks rights and legitimate interests in the disputed domain name pursuant to Policy ¶ 4(c)(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).

 

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

 

Registration and Use in Bad Faith

 

Complainant alleged that Respondent acted in bad faith in registering and using the <expendia.com> domain name in an attempt to gain profit.  Respondent intentionally attempts to attract Internet users interested in locating Complainant’s EXPEDIA products and services but who accidentally type an “n” while entering Complainant’s <expedia.com> domain name.  Respondent presumably derives commercial benefit from these intentional diversions through referral fees from redirecting Internet users to other commercial websites, some of which offer competing travel services.  The Panel concludes that Respondent’s attempts to divert Internet users for commercial gain by attracting Internet users to Respondent’s website through a likelihood of confusion with Complainant’s EXPEDIA marks is evidence of bad faith registration and use pursuant to Policy ¶ 4(b)(iv).  See 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 State Fair of Texas v. Granbury.com, FA 95288 (Nat. Arb. Forum Sept. 12, 2000) (finding bad faith where Respondent registered the domain name <bigtex.net> to infringe on Complainant’s goodwill and attract Internet users to Respondent’s website); see also Drs. Foster & Smith, Inc. v. Lalli, FA 95284 (Nat. Arb. Forum Aug. 21, 2000) (finding bad faith where Respondent directed Internet users seeking Complainant’s site to its own website for commercial gain).

 

Furthermore, while the situations listed under Policy ¶ 4(b) are circumstances in which there may be a finding of bad faith registration and use, it is widely understood under the Policy that this list is not intended to be exhaustive.  Therefore, the Panel has decided to examine additional factors in making its determination of bad faith registration and use.  See Twentieth Century Fox Film Corp. v. Risser, FA 93761 (Nat. Arb. Forum May 18, 2000) (finding that, in determining if a domain name has been registered in bad faith, the Panel must look at the “totality of circumstances”); see also Do The Hustle, LLC v. Tropic Web, D2000-0624 (WIPO Aug. 21, 2000) (“the examples [of bad faith] in Paragraph 4(b) are intended to be illustrative, rather than exclusive”).

 

Respondent is engaging in the practice of “typosquatting” by taking advantage of a common typographical error made by Internauts intending to reach Complainant’s website at the <expedia.com> domain name, but who mistakenly type the letter “n” before the letter “d.”  The Panel determines that Respondent’s use of typosquatting to attract Internet users to its website is evidence of bad faith registration and use pursuant to Policy ¶ 4(a)(iii).  See Nat’l Ass’n of Prof’l Baseball Leagues v. Zuccarini, D2002-1011 (WIPO Jan. 21, 2003) (“Typosquatting is the intentional misspelling of words with intent to intercept and siphon off traffic from its intended destination, by preying on Internauts who make common typing errors.  Typosquatting is inherently parasitic and of itself evidence of bad faith”); see also Zone Labs, Inc. v. Zuccarini, FA 190613 (Nat. Arb. Forum Oct. 15, 2003) (finding that Respondent registered and used the <zonelarm.com> domain name in bad faith pursuant to Policy ¶ 4(a)(iii) because the name was merely a typosquatted version of Complainant’s ZONEALARM mark); see also Dermalogica, Inc. v. Domains to Develop, FA 175201 (Nat. Arb. Forum Sept. 22, 2003) (finding that the <dermatalogica.com> domain name was a typosquatted version of complainant’s DERMALOGICA mark and stating that “[t]yposquatting itself is evidence of bad faith registration and use pursuant to Policy ¶ 4(a)(iii)”).

 

Respondent also has registered a domain name that contains a confusingly similar version of Complainant’s EXPEDIA marks and used it to resolve to a website that diverts Internet users to goods and services in competition with Complainant.  This suggests that Respondent chose the disputed domain name based on the distinctive and well-known qualities of Complainant’s famous mark.  Furthermore, Complainant’s registration of its EXPEDIA marks with the USPTO bestows constructive knowledge on Respondent even if Respondent did not actually know of Complainant’s marks.  Registration of a domain name that includes a mark that Respondent reasonably should have known belonged to Complainant is evidence of bad faith registration and use pursuant to Policy ¶ 4(a)(iii).  See Pfizer, Inc. v. Suger, D2002-0187 (WIPO Apr. 24, 2002) (finding that because the link between Complainant’s mark and the content advertised on Respondent’s website was obvious, Respondent “must have known about the Complainant’s mark when it registered the subject domain name”); see also Cellular One Group v. Brien, D2000-0028 (WIPO Mar. 10, 2000) (finding bad faith when (1) the domain name contains Complainant’s mark in its entirety, (2) the mark is a coined word, well-known and in use prior to Respondent’s registration of the domain name, and (3) Respondent fails to allege any good faith basis for use of the domain name); see also Orange Glo Int’l v. Blume, FA 118313 (Nat. Arb. Forum Oct. 4, 2002) (“Complainant’s OXICLEAN mark is listed on the Principal Register of the USPTO, a status that confers constructive notice on those seeking to register or use the mark or any confusingly similar variation thereof.”).

 

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

 

 

Hon. Carolyn Marks Johnson, Panelist

Dated:  April 7, 2005

 

 

 

 

 

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