national arbitration forum

 

DECISION

 

General Media Communications, Inc. v. Challenge Services, Inc. c/o Dave Wright

Claim Number:  FA0507000508942

 

PARTIES

Complainant, General Media Communications, Inc. (“Complainant”), is represented by Joshua R. Bressler, 2 Penn Plaza, 11th Floor, Suite 1125, New York, NY 10121.  Respondent is Challenge Services, Inc. c/o Dave Wright (“Respondent”), 11821 Buckner Road, Austin, TX 78726.

 

REGISTRAR AND DISPUTED DOMAIN NAME

The domain name at issue is <penthouseporn.com>, registered with Namesdirect.

 

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.

 

John J. Upchurch as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on July 5, 2005; the National Arbitration Forum received a hard copy of the Complaint on July 7, 2005.

 

On July 6, 2005, Namesdirect confirmed by e-mail to the National Arbitration Forum that the domain name <penthouseporn.com> is registered with Namesdirect and that Respondent is the current registrant of the name.  Namesdirect has verified that Respondent is bound by the Namesdirect 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 July 11, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of August 1, 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@penthouseporn.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 August 4, 2005, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed John J. Upchurch 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 <penthouseporn.com> domain name is confusingly similar to Complainant’s PENTHOUSE mark.

 

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

 

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

 

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

 

FINDINGS

Complainant, General Media Communications, Inc., has been publishing its Penthouse magazine since 1969.  Penthouse is an adult entertainment magazine and is distributed throughout the United States and internationally.  Complainant’s magazine has generated millions of dollars in sales.  Moreover, Complainant uses the <penthouse.com> domain name to market and promote the magazine.  As a result, Complainant’s website is extremely popular among Internet users.  The website averaged 10.4 million visits per month in Spring 2005.

 

Complainant holds several registrations for its PENTHOUSE mark with the United States Patent and Trademark Office (“USPTO”) (E.g., Reg. No. 880,992 issued November 18, 1969; Reg. No. 1,064,636 issued April 26, 1977; Reg. No. 2,686,386 issued February 11, 2003). 

 

Respondent registered the <penthouseporn.com> domain name on November 20, 2003.  On January 11, 2005, Complainant discovered that Respondent was offering the domain name registration for sale.  After monitoring the domain name over the subsequent months, on April 14, 2005, Complainant discovered that Respondent was using the <penthouseporn.com> domain name to provide sponsored links to active adult content websites.

 

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 numerous registrations for its PENTHOUSE mark with the USPTO are sufficient to establish a prima facie case of rights in the mark.  See Vivendi Universal Games v. XBNetVentures Inc., FA 198803 (Nat. Arb. Forum Nov. 11, 2003) (“Complainant's federal trademark registrations establish Complainant's rights in the BLIZZARD mark.”); see also Innomed Techs., Inc. v. DRP Servs., FA 221171 (Nat. Arb. Forum Feb. 18, 2004) (“Registration of the NASAL-AIRE mark with the USPTO establishes Complainant's rights in the mark.”).  Respondent’s failure to submit a response leaves undisputed the presumption that Complainant has rights in the mark.  See Janus Int’l Holding Co. v. Rademacher, D2002-0201 (WIPO Mar. 5, 2002) (“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 Panel finds that Complainant has established rights in the mark for purposes of Policy ¶ 4(a)(i).

 

Complainant alleges that Respondent’s <penthouseporn.com> domain name is confusingly similar to Complainant’s PENTHOUSE mark.  The disputed domain name wholly incorporates Complainant’s mark and adds the term “porn.”  The Panel holds that the addition of the term “porn” is not sufficient to distinguish the disputed domain name from Complainant’s mark pursuant to Policy ¶ 4(a)(i).  See Mattel, Inc. v. domainsforsalenow@hotmail.com, FA 187609 (Nat. Arb. Forum Oct. 6, 2003) (“Respondent has merely added the descriptive word ‘porn’ to Complainant's registered BARBIE mark, and the addition of this word does not create a notable distinction between Complainant's mark and the domain name currently in dispute.”); see also Am. Online, Inc. v. GSD Pty. Ltd., FA 169083 (Nat. Arb. Forum Sept. 2, 2003) (finding that the <icqporn.com> domain name was confusingly similar to the complainant's ICQ mark under Policy ¶ 4(a)(i)).

 

Therefore, the Panel finds that Complainant has satisfied Policy ¶ 4(a)(i).

 

Rights or Legitimate Interests

 

Complainant contends that Respondent does not have rights or legitimate interests in the <penthouseporn.com> domain name.  Complainant’s assertion establishes a prima facie case.  The burden shifts to Respondent to demonstrate that it does have rights or legitimate interests in the domain name.  See Compagnie Generale des Matieres Nucleaires v. Greenpeace Int’l, D2001-0376 (WIPO May 14, 2001):

 

Proving that the Respondent has no rights or legitimate interests in respect of the Domain Name requires the Complainant to prove a negative. For the purposes of this sub paragraph, however, it is sufficient for the Complainant to show a prima facie case and the burden of proof is then shifted on to the shoulders of Respondent.  In those circumstances, the common approach is for respondents to seek to bring themselves within one of the examples of paragraph 4(c) or put forward some other reason why they can fairly be said to have a relevant right or legitimate interests in respect of the domain name in question.

 

Id.; see also Do The Hustle, LLC v. Tropic Web, D2000-0624 (WIPO Aug. 21, 2000) (holding that, where the complainant has asserted that the respondent has no rights or legitimate interests with respect to the domain name, it is incumbent on the respondent to come forward with concrete evidence rebutting this assertion because this information is “uniquely within the knowledge and control of the respondent”).  The Panel will analyze whether Respondent could meet its burden of establishing rights or legitimate interests for purposes of Policy ¶ 4(a)(ii).

 

Complainant maintains that Respondent is using the disputed domain name for commercial purposes by directing Internet users to competing websites that sell content and advertising and link visitors to other competing adult content websites.  Because Respondent has not submitted a response, the Panel accepts Complainant’s description of Respondent’s website as accurate and true.  See Vanguard Group, Inc. v. Collazo, FA 349074 (Nat. Arb. Forum Dec. 1, 2004) (finding that because Respondent failed to submit a Response, “Complainant’s submission has gone unopposed and its arguments undisputed.  In the absence of a Response, the Panel accepts as true all reasonable allegations . . . unless clearly contradicted by the evidence.”).  The Panel concludes that such use is not 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 DLJ Long Term Inv. Corp. v. BargainDomainNames.com, FA 104580 (Nat. Arb. Forum Apr. 9, 2002) (“Respondent is not using the disputed domain name in connection with a bona fide offering of goods and services because Respondent is using the domain name to divert Internet users to <visual.com>, where services that compete with Complainant are advertised.”); see also Coryn Group, Inc. v. Media Insight, FA 198959 (Nat. Arb. Forum Dec. 5, 2003) (finding that the respondent was not using the domain names for a bona fide offering of goods or services nor a legitimate noncommercial or fair use because the respondent used the names to divert Internet users to a website that offered services that competed with those offered by the complainant under its marks).

 

Moreover, Respondent has not provided evidence to suggest that it is commonly known by the disputed domain name.  In fact, Respondent’s WHOIS information states that Respondent is known as “Wright, Dave.”  Without evidence from Respondent to assert that it is commonly known by the disputed domain name, the Panel infers that Respondent is not commonly known by the disputed domain name.  See Charles Jourdan Holding AG v. AAIM, D2000-0403 (WIPO June 27, 2000) (finding it appropriate for the panel to draw adverse inferences from the respondent’s failure to reply to the complaint).  Therefore, the Panel concludes that Respondent has not established rights or legitimate interests under Policy ¶ 4(c)(ii).  See Am. W. Airlines, Inc. v. Paik, FA 206396 (Nat. Arb. Forum Dec. 22, 2003) (“Respondent has registered the domain name under the name ‘Ilyoup Paik a/k/a David Sanders.’  Given the WHOIS domain name registration information, Respondent is not commonly known by the [<awvacations.com>] domain name.”); see also Gallup, Inc. v. Amish Country Store, FA 96209 (Nat. Arb. Forum Jan. 23, 2001) (finding that the respondent does not have rights in a domain name when the respondent is not known by the mark).

 

Accordingly, the Panel finds that Complainant has satisfied Policy ¶ 4(a)(ii).

 

 

 

 

Registration and Use in Bad Faith

 

Complainant argues that Respondent uses the <penthouseporn.com> domain name with the purpose of usurping website visitors from Complainant’s website to Respondent’s for Respondent’s commercial gain.  The Panel holds that Respondent’s diversionary use of a confusingly similar domain name to commercially benefit from click-through fees is evidence of bad faith registration and use under Policy ¶ 4(b)(iv).  See Am. Online, Inc. v. Tencent Commc’ns Corp., FA 93668 (Nat. Arb. Forum Mar. 21, 2000) (finding bad faith where the respondent registered and used a domain name confusingly similar to the complainant’s mark to attract users to a website sponsored by the respondent); see also Associated Newspapers Ltd. v. Domain Manager, FA 201976 (Nat. Arb. Forum Nov. 19, 2003) (“Respondent's prior use of the <mailonsunday.com> domain name is evidence of bad faith pursuant to Policy ¶ 4(b)(iv) because the domain name provided links to Complainant's competitors and Respondent presumably commercially benefited from the misleading domain name by receiving ‘click-through-fees.’”).

 

Moreover, Complainant contends that Respondent has been offering to sell the disputed domain name registration since at least January 11, 2005.  The Panel holds that Respondent’s offer to sell a domain name registration that is confusingly similar to Complainant’s famous PENTHOUSE mark is evidence of bad faith use and registration under Policy ¶ 4(b)(i).  See CBS Broad. Inc. v. Worldwide Webs, Inc., D2000-0834 (WIPO Sept. 4, 2000) (“There is nothing inherently wrongful in the offer or sale of domain names, without more, such as to justify a finding of bad faith under the Policy. However, the fact that domain name registrants may legitimately and in good faith sell domain names does not imply a right in such registrants to sell domain names that are identical or confusingly similar to trademarks or service marks of others without their consent”); see also Bank of Am. Corp. v. Northwest Free Cmty. Access, FA 180704 (Nat. Arb. Forum Sept. 30, 2003) (“Respondent's general offer of the disputed domain name registration for sale establishes that the domain name was registered in bad faith under Policy ¶ 4(b)(i).”).

 

The Panel finds that Complainant has satisfied 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 <penthouseporn.com> domain name be TRANSFERRED from Respondent to Complainant.

 

 

 

 

John J. Upchurch, Panelist

Dated:  August 18, 2005

 

 

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