National Arbitration Forum

 

DECISION

 

Guru Denim, Inc. v. Hooman Partovi

Claim Number: FA0503000445327

 

PARTIES

Complainant is Guru Denim, Inc. (“Complainant”), represented by Gary J. Nelson of Christie, Parker & Hale LLP, 350 West Colorado Boulevard, Suite 500, P.O. Box 7068, Pasadena, CA 91109-7068.  Respondent is Hooman Partovi (“Respondent”), 764 South Stanford Avenue, Los Angeles, CA 90021.

 

REGISTRAR AND DISPUTED DOMAIN NAME 

The domain name at issue is <truereligionoutlet.com>, registered with Go Daddy Software, 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.

 

Honorable Richard B. Wickersham, Judge (Ret.), as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on March 23, 2005; the National Arbitration Forum received a hard copy of the Complaint on March 24, 2005.

 

On March 25, 2005, Go Daddy Software, Inc. confirmed by e-mail to the National Arbitration Forum that the domain name <truereligionoutlet.com> is registered with Go Daddy Software, Inc. and that Respondent is the current registrant of the name.  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 March 30, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of April 19, 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@truereligionoutlet.com by e-mail.

 

A timely Response was received and determined to be complete on April 18, 2005.

 

On April 22, 2005, pursuant to Complainant’s request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Honorable Richard B. Wickersham, Judge (Ret.), as Panelist.

 

RELIEF SOUGHT

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

 

PARTIES’ CONTENTIONS

A. Complainant

 

Complainant Guru Denim, Inc. ("Guru") is the owner of United States Trademark Registration Nos. 2,761,793 and 2,917,187.  These trademark registrations are valid and enforceable.  Complainant began using its TRUE RELIGION trademark at least as early as 2002, and has been using the mark continuously ever since.  In addition to the rights associated with its federal trademark registrations, Guru has established common law trademark rights in the TRUE RELIGION word mark in association with the sale and distribution of clothing and clothing labels.

 

Guru sells TRUE RELIGION products in the United States to many high-end boutiques including Saks Fifth Avenue, Neiman Marcus, Barney's New York, Henri Bendel, Bergdorf Goodman, and Nordstrom.  Guru also has distribution agreements for TRUE RELIGION products with distributors outside the Unites States including in Italy, Germany, Switzerland, Japan, Holland, France, Scandinavia, Canada, the United Kingdom and Australia.  Guru's international customers of TRUE RELIGION products include Harrods, Harvey Nichols, Barney's Japan, Isitan, Rosebud Trading, Elephant Trading, Ueno Shokai, Liberty, Selfridges and many others.

 

Complainant’s federally registered trademark is included in Respondent's domain name, <truereligionoutlet.com>.  Respondent cannot avoid the confusing similarity between its registered domain name and the TRUE RELIGION trademark simply by tagging on the generic and descriptive word "outlet" at the end of the TRUE RELIGION trademark.  See Sony Kabushiki Kaisha v. Inja, D2000-1409 (WIPO Dec. 13, 2000) (finding that [n]either the addition of an ordinary descriptive word . . . nor the suffix “.com” detract from the overall impression of the dominant part of the name in each case, namely the trademark SONY and thus Policy ¶ 4(a)(i) is satisfied).

 

Respondent registered and began using the <truereligionoutlet.com> domain name in January 2005, a date well after Complainant’s trademark registrations had issued (i.e., September 26, 2002 and June 17, 2003, respectively, and a date well after Complainant’s rights in its TRUE RELIGION trademark had been firmly established.

 

Moreover, Respondent is not commonly known by the name True Religion, and has not acquired trademark rights in the TRUE RELIGION name. 

 

Since Complainant has developed prior rights in the TRUE RELIGION trademark in at least the United States, Respondent is not commonly known as TRUERELIGIONOUTLET, and Respondent is not a licensee of Complainant, Respondent is foreclosed from establishing rights or a legitimate use in the contested domain name.  See Charles Jourdan Holding AG v. AAIM, D2000-0403 (WIPO June 27, 2000) (finding no rights or legitimate interest where respondent was not a licensee of complainant, complainant’s rights in the domain name preceded the registration, and respondent was not commonly known by the domain name).

 

B. Respondent

 

This letter is in response to your domain name dispute by Guru Denim dated March 23, 2005. 

 

Firstly, I was not aware that the picture of the guru had a trademark therefore after the complaint I asked my web programmer to immediately take it off.

 

Secondly, the website truereligionoutlet.com is not an operating website, therefore I have no problem transferring the name to Guru Denim. But I do feel that the name was reserved by me and I do have certain rights to it. I would like to ask Guru Denim to reimburse me my costs of the domain name registration and website building costs in the amount of  $225.00 (two-hundred twenty five dollars). This payment will be accepted in the form of shares of there [sic] common stock or a check made payable to me. If your client would like to reimburse me for the costs I have entailed that would be great otherwise they can have the domain name at no costs.

 

Thirdly, If the above isn’t agreed upon I do elect a single member panel to resolve the complaint.

 

Fourthly, All responses can go to the following:

 

Hooman Partovi

764 Stanford Ave

Los Angeles, CA 90021

 

 

 

 

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 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;

(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.

 

FINDINGS    

Identical and/or Confusingly Similar  Policy ¶ 4(a)(i).

 

Complainant asserts that it has established rights in the TRUE RELIGION BRAND JEANS and the TRUE RELIGION BRAND JEANS WORLD TOUR FASHION FOR THE SENSES SECTION ROW SEAT marks through the registration of the marks with the United States Patent and Trademark Office (Reg. No. 2,761,793 issued Sept. 9, 2003 and Reg. No. 2,917,187 issued Mar. 23, 2004, respectively).  Moreover, Complainant states that it has used the mark in commerce since at least August 2002.  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 that a respondent has the burden of refuting this assumption).

 

Complainant contends and the Panel finds that the <truereligionoutlet.com> domain name is confusingly similar to Complainant’s TRUE RELIGION BRAND JEANS mark because Respondent’s domain name incorporates Complainant’s mark and merely omits the terms “brand” and “jeans,” leaving “true” and “religion,” the dominant features of Complainant’s mark.  In addition, Complainant argues that Respondent’s domain name merely adds the generic or descriptive term “outlet,” which describes a service Complainant could easily offer.  Panel determines that such minor alterations do not disguise the fact that “true” and “religion” of Complainant’s TRUE RELIGION BRAND JEANS mark is the dominant feature of the disputed domain name and the alterations are not enough to overcome a finding of confusing similarity pursuant to Policy ¶ 4(a)(i).  See Hammond Suddards Edge v. Westwood Guardian Ltd., D2000-1235 (WIPO Nov. 6, 2000) (finding that the domain name, <hammondsuddards.net>, is essentially identical to the complainant's mark, Hammond Suddards Edge, where the name “Hammond Suddards” identifies the 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 the complainant’s mark, where the complainant holds the WEST JET AIR CENTER mark); see also Vivid Video, Inc. v. Tennaro, FA 126646 (Nat. Arb. Forum Nov. 14, 2002) (finding that any distinctiveness resulting from a respondent’s addition of a generic word to the complainant’s mark in a domain name is less significant because the respondent and the complainant operate in the same industry).

 

Furthermore, Complainant argues that the addition of the generic top-level domain “.com” and the omission of the space in between the terms of Complainant’s mark are not enough to negate a finding of confusing similarity pursuant to Policy ¶ 4(a)(i).  See Nev. State Bank v. Modern Ltd. – Cayman Web Dev., FA 204063 (Nat. Arb. Forum Dec. 6, 2003) (“It has been established that the addition of a generic top-level domain is irrelevant when considering whether a domain name is identical or confusingly similar under the Policy.”); see also Gardline Surveys Ltd. v. Domain Fin. Ltd., FA 153545 (Nat. Arb. Forum May 27, 2003) (“The addition of a top-level domain is irrelevant when establishing whether or not a mark is identical or confusingly similar, because top-level domains are a required element of every domain name.”); see also Hannover Ruckversicherungs-AG v. Ryu, FA 102724 (Nat. Arb. Forum Jan. 7, 2001) (finding <hannoverre.com> to be identical to HANNOVER RE, “as spaces are impermissible in domain names and a generic top-level domain such as ‘.com’ or ‘.net’ is required in domain names”).

 

Rights or Legitimate Interests  Policy ¶ 4(a)(ii).

 

Complainant avers that Respondent is appropriating Complainant’s marks to market and sell Complainant’s goods.  The <truereligionoutlet.com> domain name directs Internet users to a website that states “Why pay more?  True Religion Outlet is your source to all new and trendy True Religion clothing!”  The Panel finds that Respondent’s use of a confusingly similar domain name that resolves to a website that directly competes with Complainant is not a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i) or a legitimate noncommerical or fair use pursuant to Policy ¶ 4(c)(iii).  See Ziegenfelder Co. v. VMH Enter., Inc. D2000-0039 (WIPO Mar. 14, 2000) (finding no rights or legitimate interests based on the fact that the domain names bear no relationship to the business of a  respondent and that the respondent would only legitimately choose to use the complainant’s mark in a domain name if the respondent was seeking to create an impression that the two businesses were affiliated); see also Avery Dennison Corp. v. Steele, FA 133626 (Nat. Arb. Forum Jan 10, 2003) (finding that a respondent had no rights or legitimate interests in the disputed domain name where it used the complainant’s mark, without authorization, to attract Internet users to its business, which competed with the complainant); see also Am. Online, Inc. v. Fu, D2000-1374 (WIPO Dec. 11, 2000) (“[I]t would be unconscionable to find that a bona fide offering of services in a respondent’s operation of [a] web-site using a domain name which is confusingly similar to the complainant’s mark and for the same business.”).

 

The Panel finds that the <truereligionoutlet.com> domain name is not being used for competing use, but the Panel finds that the domain name is confusingly similar to Complainant’s TRUE RELIGION BRAND JEANS mark and used for Respondent’s commercial benefit, and the Panel concludes that the use of the domain name does not fall within the parameters of Policy ¶ ¶ 4(c)(i) or (iii).  See Ziegenfelder Co. v. VMH Enter., Inc. D2000-0039 (WIPO Mar. 14, 2000) (finding no rights or legitimate interests based on the fact that the domain names bear no relationship to the business of a respondent and that the respondent would only legitimately choose to use the complainant’s mark in a domain name if the respondent was seeking to create an impression that the two businesses were affiliated).

                 

Moreover, Complainant alleges that Respondent was not authorized or licensed to register or use a domain name that incorporates the dominant features of Complainant’s TRUE RELIGION BRAND JEANS mark, “true” and “religion.”  In addition, Complainant argues that Respondent is not commonly known by the disputed domain name.  The Panel finds that Respondent is not commonly known by the domain name; therefore, the Panel finds that Respondent lacks rights and legitimate interests in the domain name pursuant to Policy ¶ 4(c)(ii).  See RMO, Inc. v. Burbridge, FA 96949 (Nat. Arb. Forum May 16, 2001) (interpreting Policy ¶ 4(c)(ii) “to require a showing that one has been commonly known by the domain name prior to registration of the domain name to prevail”); see also Compagnie de Saint Gobain v. Com-Union Corp., D2000-0020 (WIPO Mar. 14, 2000) (finding no rights or legitimate interests where a respondent was not commonly known by the mark and never applied for a license or permission from the complainant to use the trademarked name); see also Charles Jourdan Holding AG v. AAIM, D2000-0403 (WIPO June 27, 2000) (finding no rights or legitimate interests where (1) the respondent is not a licensee of the complainant; (2) the complainant’s prior rights in the mark precede the respondent’s registration; and (3) the respondent is not commonly known by the domain name in question). 

 

Registration and Use in Bad Faith  Policy ¶ 4(a)(iii).

 

Complainant argues that Respondent registered and used the <truereligionoutlet.com> domain name in bad faith pursuant to Policy ¶ 4(b)(iv) as Respondent is using the domain name to intentionally attract Internet users to its website, by creating a likelihood of confusion with Complainant as to the source, sponsorship, affiliation or endorsement of its website.  See Computerized Sec. Sys., Inc. v. Hu, FA 157321 (Nat. Arb. Forum June 23, 2003) (finding that a respondent’s use of the <saflock.com> domain name to offer goods competing with the complainant’s illustrates the respondent’s bad faith registration and use of the domain name, evidence of bad faith registration and use pursuant to Policy ¶ 4(b)(iv)); see also TM Acquisition Corp. v. Carroll, FA 97035 (Nat. Arb. Forum May 14, 2001) (finding bad faith where a respondent used the domain name, for commercial gain, to intentionally attract users to a direct competitor of the complainant); see also Fossil Inc. v. NAS, FA 92525 (Nat. Arb. Forum Feb. 23, 2000) (finding that a respondent acted in bad faith by registering the <fossilwatch.com> domain name and using it to sell various watch brands where the respondent was not authorized to sell the complainant’s goods).

 

In addition, Complainant contends that Respondent is using the <truereligionoutlet.com> domain name for the purpose of bringing Internet users desiring to purchase Complainant’s goods to Respondent’s website for the intended purpose of offering Complainant’s goods at a discount price thus disrupting the business of Complainant.  Therefore, the Panel finds that Respondent’s registration of a domain name confusingly similar to Complainant’s mark, for this purpose, is evidence of bad faith registration and use pursuant to Policy ¶ 4(b)(iii).  See Volkswagen of Am., Inc. v. Site Design Online, FA 95753 (Nat. Arb. Forum Nov. 6, 2000) (transferring BAYAREAVW.COM from the respondent, an automobile dealership specializing in Volkswagens, to the complainant); see also Gorstew Ltd. & Unique Vacations, Inc. v. Satin Leaf, Inc., FA 95414 (Nat. Arb. Forum Oct. 4, 2000) (transferring <sandalsagency.com> and <sandalsagent.com> from the respondent travel agency to the complainants, who operate Sandals hotels and resorts); see also S. Exposure v. S. Exposure, Inc., FA 94864 (Nat. Arb. Forum July 18, 2000) (finding that a respondent registered the domain name in question to disrupt the business of the complainant, a competitor of the respondent).

 

Complainant further argues that Respondent’s registration of the disputed domain name, a domain name that incorporates the dominant features of Complainant’s mark and deviates only with the addition of a generic or descriptive term, suggests that Respondent knew of Complainant’s rights in the TRUE RELIGION BRAND JEANS mark.  Additionally, the term incorporated in the domain name is easily connected to Complainant’s business.  In its Complaint, Complainant has included one hundred examples of websites with domain names that include a brand name that end in “outlet.com.”  Thus, the Panel finds that Respondent chose the <truereligionoutlet.com> domain name based on the distinctive and well-known qualities of Complainant’s mark, and therefore registered and used the domain name in bad faith.  See Samsonite Corp. v. Colony Holding, FA 94313 (Nat. Arb. Forum Apr. 17, 2000) (finding that evidence of bad faith includes actual or constructive knowledge of a commonly known mark at the time of registration); see also Digi Int’l v. DDI Sys., FA 124506 (Nat. Arb. Forum Oct. 24, 2002) (“[T]here is a legal presumption of bad faith, when Respondent reasonably should have been aware of Complainant’s trademarks, actually or constructively.”); see also Sony Kabushiki Kaisha v. Inja, Kil, D2000-1409 (WIPO Dec. 9, 2000) (finding bad faith registration and use where it was “inconceivable that Respondent could make any active use of the disputed domain names without creating a false impression of association with Complainant”); 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 Respondent’s offer to sell the disputed domain name to Complainant for a value in excess of out-of-pocket expenses directly related to the domain name, and the Panel concludes that Respondent’s registration and attempt to sell a domain name that is confusingly similar to Complainant’s mark evidences opportunistic bad faith pursuant to Policy ¶ 4(b)(i).  See Little Six, Inc v. Domain For Sale, FA 96967 (Nat. Arb. Forum Apr. 30, 2001) (finding a respondent’s offer to sell the domain name at issue to the complainant was evidence of bad faith).

 

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

 

 

 

___________________________________________________

 

Honorable Richard B. Wickersham, Judge (Ret.), Panelist
Dated:  May 6, 2005

 

 

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