National Arbitration Forum

 

DECISION

 

Dickinson College v. BDC Partners, Inc.

Claim Number: FA0605000703190

 

PARTIES

Complainant is Dickinson College (“Complainant”), represented by Rebecca A. Finkenbinder, of McNees Wallace & Nurick LLC, 100 Pine Street, P.O. Box 1166, Harrisburg, PA 17108-1166.  Respondent is BDC Partners, Inc. (“Respondent”), represented by William Schultz, of Merchant & Gould P.C., 3200 IDS Center, 80 South Eighth Street, Minneapolis, MN 55402-2215.

 

 

REGISTRAR AND DISPUTED DOMAIN NAMES

The domain names at issue are <dickinsoncollegereddevils.com> and <dickinsoncollegereddevils.net>, 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.

 

Roberto A. Bianchi as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on May 10, 2006; the National Arbitration Forum received a hard copy of the Complaint on May 11, 2006.

 

On May 11, 2006, Go Daddy Software, Inc. confirmed by e-mail to the National Arbitration Forum that the <dickinsoncollegereddevils.com> and <dickinsoncollegereddevils.net> domain names are registered with Go Daddy Software, Inc. and that the 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 May 18, 2006, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of June 7, 2006 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@dickinsoncollegereddevils.com and postmaster@dickinsoncollegereddevils.net by e-mail.

 

A timely Response was received and determined to be complete on June 6, 2006.

 

On June 12, 2006, the National Arbitration Forum received an Additional Submission from Complainant.  This submission was timely and in compliance with Supplemental Rule 7.  On June 16, 2006 Respondent sent a reply to Complainant’s Additional Submission. This submission was also timely, and compliant with Supplemental Rule 7(c).

 

On June 14, 2006, pursuant to Complainant’s request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Roberto A. Bianchi as Panelist.

 

RELIEF SOUGHT

Complainant requests that the domain names be cancelled or transferred from Respondent to Complainant.

 

PARTIES’ CONTENTIONS

 

A. Complainant

 

In its complaint Complainant contends the following:

-         BDC's <dickinsoncollegereddevils.com> and <dickinsoncollegereddevils.net> domain names incorporate Complainant’s DICKINSON COLLEGE and RED DEVILS marks; the combination thereof is virtually identical and is confusingly similar to each of Complainant’s marks.

-         The DICKINSON marks are distinctive and famous.  BDC’s domain name registrations are subsequent to Complainant’s use of the DICKINSON COLLEGE trademark for over two centuries, use of the other marks, and trademark and domain name registrations.  BDC had constructive notice of Complainant’s registered trademark DICKINSON COLLEGE before it proceeded to register the disputed domain names.  BDC is not commonly known by the domain names, is not affiliated with Complainant, and has not been given consent, license or other authorization to use the DICKINSON marks.  This necessarily results in the conclusion that BDC has no rights or legitimate interests in the domain names.

-         BDC’s registration of the disputed domain names despite Complainant’s federal registered trademarks which were well-known and had acquired distinctiveness and significant goodwill, constituted bad faith registration, as well as trademark infringement under federal law.

-         The fact that BDC registered 23,000 high school and college web domain names is evidence in and of itself of BDC’s bad faith, as it is not plausible that BDC could effectively assist or service 23,000 institutions.  The purchase of what BDC calls “one of the most comprehensive acquisitions of a single category of domain names in e-commerce history” was clearly intended for commercial exploitation.  BDC’s use of the domain names to increase the likelihood of confusion with the DICKINSON marks as to the source of its domain names and to divert the public and potential students from Complainant clearly evidences BDC’s intent to benefit commercially from the goodwill associated with the DICKINSON marks.

 

B. Respondent

 

In its Response Respondent makes the following contentions:

-         In 2004, Respondent, through its wholly owned subsidiary, BDC Partners, began developing and continues to develop a series of online social-networking communities for students and alumni of approximately 23,500 high schools and over 1,400 colleges and universities.  Respondent’s strategic plan in relation to its school domain names is to offer a social network to students and alumni of thousands of high schools, colleges, and universities by providing content on websites that are based on the school to which the students and alumni belong.  Respondent registered the domain names <dickinsoncollegereddevils.com> and <dickinsoncollegereddevils.net> as part of Respondent’s social network that allows students and alumni of Dickinson College to interact with one another via an online chat room.  Respondent chose the domain names because they are terms that are easy for students and alumni to remember.  The use of the school name and mascot is the only way to accurately describe the students and alumni of those schools.

-         Respondent has made demonstrable steps to develop content for its websites located at the disputed domain names.  Respondent has no plans to deliver content that requires copyright or trademark licensing unless licenses are in place with the appropriate entities.  Respondent did not register the domain names at issue in this case for the purpose of redirecting traffic from the school to its website or disrupting Complainant’s business.  Respondent is not a competitor of Complainant.  Rather, Respondent provides a communication forum that enables students and alumni of Complainant’s institution to interact with other students and alumni who attended that institution.  A disclaimer or link to the school will be used on all websites operated by Respondent under its social-networking plan.  The general disclaimer states: “Copyright 2006 GoSchools.com.  All rights reserved. goschools.com is not affiliated with any University, College or High School.  All other trademarks are held by their respective holders.”

 

C. Additional Submissions

 

In its Additional Submission of June 12, 2006, Complainant contends as follows:

-         BDC argues that the disputed domain names are not confusingly similar to Complainant’s marks because the services it provides are different from Dickinson’s services, and the parties are engaged in different businesses.  However BDC’s own website is evidence that it provides identical or very similar services to those provided by Dickinson.  The student and alumni services provided by both parties in the present case are significantly more related than the services mentioned in the WIPO cases cited by Respondent. 

-         Respondent’s disclaimer and Response’s Exhibit A provide evidence that BDC is not known by the domain names, but rather is known as, in addition to BDC Capital and/or BDC partners, GoSchools.com.

-         BDC has owned the more than 23,000 high school and college web domain names since April 2005 and yet has only developed one, or at most, two active websites located at these domain names.  Although BDC alleges that it is making “demonstrable preparations” to develop the websites located at the disputed domain names, it admits that no content exists on the websites.  BDC has failed to show any concrete preparations to develop the Domain Names.

-         Respondent focuses on a nominative fair use defense to excuse its use of Complainant’s marks.  However, the mark, or in this case the domain name, must first be in use, and such use may not be intended for commercial use to misleadingly divert consumers.  BDC has not presented any evidence of the development, or its demonstrable preparations, for use of the disputed domain names, or that corresponding websites are ready to go live.  BDC’s press release of June 20, 2005 and its response to Complainant’s cease and desist letter show that the originally intended use of the domain names was clearly commercial.

-         BDC’s reliance in its Response on a new strategic plan to offer mere online social networks is disingenuous at best.  Respondent’s original goals were clearly commercial, and its failure to explain such a critical change in the scope of its use of the disputed domain names is evidence of its bad faith.

 

In its Additional Submission of June 16, 2006, Respondent contends the following:

-         BDC does not contest the fact that its domain names are similar to Complainant’s                   school names and mascots.  The key point regarding similarity, however, is the necessity for BDC to use the names to accurately describe Complainant’s students and alumni—and for that matter Complainant’s institution. 

-         Under 4(c)(i) of the UDRP, BDC need only show that it has used or made demonstrable preparations to use the domain names in connection with a bona fide offering of services.  BDC established in its Response and declaration of Mr. Pomije that it has made demonstrable preparations to use its domain names and that its services are bona fide.  Complainant’s rebuttal that BDC “has only developed one or, at most, two active websites,” shows that BDC has made demonstrable preparations to use its social network—it does in fact have active websites.  The domain names in this case are part of a larger network composed of over 25,000 domain names.  BDC’s preparations of websites for other domain names relate directly to the domain names at issue.

-         A tell tale sign of Complainant’s lack of evidence is the fact that it only argues that Respondent’s use is commercial—wholly ignoring the remainder of  Policy 4(c)(iii) that requires an intent to misleadingly divert consumers or to tarnish Complainant.  A commercial use may still be a nominative fair use absent intent to mislead or tarnish.  Complainant’s argument that the placement of a disclaimer somehow shows BDC’s intent to confuse is unreasonable.  Indeed, the placement of a disclaimer is a clear indication that BDC does not intend to cause confusion.  This factor weighs in BDC’s favor.  Complainant cites to a letter from BDC prior to the institution of this proceeding that stated that BDC’s goal was to “assist each school.”  (Complaint Ex. I.)  Assisting a school is not evidence of intent to disrupt.  Complainant cannot point to any evidence showing an intent to disrupt Complainant.  This factor also weighs in BDC’s favor.

 

FINDINGS

Complainant Dickinson College owns, inter alia, the following U.S. federal trademark registrations: DICKINSON (Reg. No 2,498,235, covering jewelry, stationery, notebooks, folders, clothing, etc); DICKINSON COLLEGE and design (Reg. No. 2,498,236, covering similar goods as the DICKINSON mark plus educational services) and DICKINSON COLLEGE (Reg. No. 2,501,957, protecting similar goods and services as DICKINSON COLLEGE and design).  Complainant is the owner of the common law word mark RED DEVILS, having used it at least as early as October 1930, and has used it continuously since that date.

 

On April 20, 2005, BDC Partners, Inc. registered the <dickinsoncollegereddevils.com> domain name.  On the next day, BDC registered the <dickinsoncollegereddevils.net> domain name.  On June 20, 2005, BDC Capital, Inc. issued a press release announcing that its wholly owned subsidiary, BDC Partners, had completed the acquisition of more than 23,000 high school and college web domain names in what “is believed to be one of the most comprehensive acquisitions of a single category of domain names in e-commerce history.”  On June 30, 2005, General Counsel for Complainant sent BDC a cease-and-desist letter from further use of the DICKINSON COLLEGE and RED DEVILS marks.  On July 15, 2005, the President and CEO of BDC Partners, Inc. sent a response to Complainant’s General Counsel.

 

 

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 the 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 the Respondent is identical or confusingly similar to a trademark or service mark in which the Complainant has rights;

(2)   the 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

 

In the present case, “Respondent makes no contention that the disputed domain name is not similar to the Complainant’s school name.”  Response 3.B.1.  Respondent also states that its use of the domain names is a nominative fair use, which by nature uses the Complainant’s name, and that this use is not a confusing use.  However, the Panel believes that this contention is better dealt with under the heading of “Rights or Legitimate Interests.”  Under the first prong of the Policy, a panel should only determine whether a disputed domain name is identical or confusingly similar to a mark in which the Complainant has rights, by comparing both identifiers.  Even in a case where both parties are residents of the same country, and where federal law on confusion might otherwise be applicable, considering the content of the websites would not help Respondent since there is no content posted on the websites corresponding to the disputed domain names.  And if the allegedly intended content were to be considered, it would consist of a chat forum, which is a service similar to those already offered by Complainant to its students and alumni.  See next heading.

 

Complainant has federal rights in the DICKINSON COLLEGE and other DICKINSON marks covering, among other goods and services, educational and entertainment services. Both domain names fully incorporate the DICKINSON COLLEGE registered trademarks as well as the RED DEVILS common law mark. The suppression of the spaces between the words “DICKINSON,” “COLLEGE,” “RED” and “DEVILS,” together with the addition of the gTLDs “.com” and “.net” is not sufficient to distinguish the domain names from Complainant’s federally registered trademarks and common law mark.  The fact that two—and not just one—of the marks of Complainant are fully incorporated in the domain names, does not diminish, but rather increases, the likelihood of confusion between the domain names and Complainant’s marks and educational institution.  A simple comparison shows that the domain names are confusingly similar to Complainant’s marks.  See AT&T Corp. v. Kausar, D2003-0327 (WIPO Jul. 29, 2003) (“In the circumstances the disputed domains name are inherently similar to the Complainant’s marks and likely to be confusing to the public on face value as suggesting either an operation of the Complainant or one associated with or endorsed by it”).  The panel concludes that Complainant has proved the first requirement of the Policy.

 

Rights or Legitimate Interests

 

Complainant must first make a prima facie case that Respondent lacks rights and legitimate interests in the disputed domain names under Policy ¶ 4(a)(ii), and then the burden shifts to Respondent to show it does have rights or legitimate interests.  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 the present case Complainant contends that BDC had constructive notice of Complainant’s registered trademark DICKINSON COLLEGE before it registered the disputed domain names, that BDC is not commonly known by the domain names, that it is not affiliated with Complainant, and that it has not been given consent, license or other authorization to use Complainant’s marks.  This amounts to a prima facie case that Respondent lacks rights and legitimate interests in the domain names. Respondent relies on  4(c)(i) of the UDRP, under which BDC need only show that it has used or made demonstrable preparations to use the domain names in connection with a bona fide offering of goods or services.  BDC contends that it registered the domain names at issue as part of Respondent’s online social network that allows students and alumni of Dickinson College to interact with one another via an online chat room, and that it chose the disputed domain names because they are terms that are easy for students and alumni to remember.

 

As the domain names have not been used to-date, the relevant question is: Is the content and services of an unrelated website sufficient evidence of demonstrable preparations to use the disputed domain names for a bona fide offering of goods or services?  The Panel believes that they are not, since Policy 4(c)(i) clearly requires that use or demonstrable preparations to use refer to the domain name at issue.  Of course, nothing prevents cooperation between Respondent and any of the some 23,000 educational institutions whose names and marks have been fully incorporated in Respondent’s domain name registrations.  According to BDC’s letter of July 15, 2005 to Dickinson College, BDC is “in negotiations with a number of schools and companies who wish to work [with BDC] in assisting the schools in generating public exposure to their institution, and, potentially, additional revenues to that school.”  Exhibit I of the Complaint.  As shown in Exhibit B of the Response, the content posted on the website under Respondent’s <burnsvilleblazers.com> domain name seems to be the result of an agreement in negotiations between Respondent and the Burnsville Senior High School.  While such cooperation might be apt for proving Respondent’s legitimate interest in the <burnsvilleblazers.com> domain name, it certainly does not evidence any rights or legitimate interests in the domain names disputed in the present case.

 

Respondent failed to demonstrate that its use of the domain names would be for a non-commercial purpose, as required by Policy ¶ 4(c)(iii), especially having in mind that Respondent’s only owner, BCD Capital, Inc., was established December 10, 2004 “with the purpose of building an investment portfolio consisting in revenue generating assets and emerging companies well positioned for future growth” (Emphasis added).  See BDC Capital’s press release of June 20, 2005, Exhibit G of the Complaint.  See Compagnie Générale des Etablissements MICHELIN-MICHELIN & Cie v. Marjin van Wezel, D2001-0598 (WIPO Jun. 29, 2001) (“The Respondent has also failed to demonstrate to the satisfaction of the Panel that his use of the Domain Names was to be for a non-commercial purpose.”)

 

On the other hand, the lack of actual use of the domain names excludes the application of Policy 4(c)(iii), since this defense requires that a respondent be “making a legitimate noncommercial or fair use of the domain name, without intent for commercial gain to misleadingly divert consumers or to tarnish the trademark or service mark at issue.” 

 

Respondent’s citation to Scholastic Inc. v. Master Games Int’l, Inc., D2001-1208 (WIPO Jan. 3, 2002) (<scholastics.com>), refers to a case differing from the present one by a number of elements: a) “scholastics” was a trademark as well as a technical term referring to junior chess players; b) the respondent was unaware of complainant Scholastic Inc. or its trademarks at the time it registered the domain name; c) the complainant acknowledged that the disputed domain name was being used at that time for a website regarding chess tournaments; d) respondent’s preparations to use the <scholastics.com> domain name for a chess-related website were directly related to the domain name in dispute.  Respondent’s reference to Texas Lottery Comm’n v. Fisher, FA 289071 (Nat. Arb. Forum Aug. 5, 2004), seems also inappropriate, since in Texas Lottery there was little chance that Internet users could confuse the services of a State lottery with merely informational content provided by the respondent in that case.

 

In order to obtain additional light in a proceeding, a panel may independently visit the Internet, under the general powers of Rules 10(a) (“The Panel shall conduct the administrative proceeding in such manner as it considers appropriate in accordance with the Policy and these Rules.”)  See InfoSpace.com, Inc. v. Prakash, D2000-0076 (WIPO April 6, 2000).  On June 26, 2006, this Panel independently visited the web page shown as Exhibit “D” of Respondent’s Additional Submission.  The visit showed that under the “Dickinson College User Services” title Complainant is offering web-mail services to Dickinson students (see <http://www.dickinson.edu/user/us-home.html>), chat rooms enabling synchronous online discussion (see <http://lis.dickinson.edu/Technology/Training/Tutorials/Blackboard/index.html>), and an Alumni Guest Book, allowing alumni of Dickinson to leave messages by using an online form (see <http://cfserv.dickinson.edu/alumni/alumniguest/guestadd.cfm>). This means that Complainant is right that the “online social network” services (chat rooms) allegedly planned by Respondent for the domain names are coincident with, or similar to, the services already provided by Complainant to its students and alumni on its institutional website at <dickinson.edu>.

 

For these reasons the Panel finds that Complainant has proved that Respondent lacks rights or legitimate interests in the domain names.

 

Registration and Use in Bad Faith

 

Respondent does not deny that it knew Complainant’s educational institution, its services, trademarks and common law mark.  In fact, Respondent accepts that it was exactly Complainant’s institution that was meant at the time of registering the domain names.  This Panel believes that even if Respondent has offered Complainant to post a disclaimer on its allegedly planned websites, this would not prevent confusion between the websites corresponding to the domain names at issue and Complainant.  See Arthur Guinness Son & Co. (Dublin) Limited v. Macesic, D2000-1698 (WIPO Jan. 25, 2001) (“The Respondent points to the disclaimers on his website as evidence of his "lack of intent to divert consumers.”  But by the time consumers get to read the disclaimers, the domain name has already diverted them from the Complainant.”).  Given that Complainant’s marks are well known and have acquired distinctiveness and significant goodwill, that Respondent actually knew the marks at the time of registration of the domain names, and that Respondent lacks rights and legitimate interests in the domain names, the Panel believes that the registration of the domain names was in bad faith.  The fact that in the present case the disputed domain names have not been actively used to-date should not prevent a finding of use in bad faith.  An unauthorized use of the domain names as allegedly intended by Respondent would intentionally attract, for commercial gain, Internet users to Respondent’s web sites, by creating a likelihood of confusion with Complainant's marks as to the source, sponsorship, affiliation, or endorsement of BDC’s web sites, which is a circumstance of bad faith use pursuant to Policy ¶ 4(b)(iv). As stated above, in the present case a disclaimer would not be sufficient to avoid confusion among Internet users as to the source of the web sites.  On the other hand, it appears that the owner of the mark is placed in a situation where it either agrees in a negotiation with Respondent to proceed with the launch of the web site under conditions unknown to-date, or the mark owner is left at the mercy of a Respondent unwilling to transfer the domain name to the trademark owner, unless such conditions are met, and who would be able to develop and launch a website under domain names confusingly similar to Complainant’s marks, and offering online services similar to those already provided by Complainant. The Panel is of the opinion that such a situation is passive holding of the disputed domain names, as found in the much-cited decision Telstra Corporation Limited v. Nuclear Marshmallows, D2000-0003 (WIPO Feb. 18, 2000), which is evidence of bad faith use of the domain names.  See DCI S.A. v. Link Commercial Corp., D2000-1232 (WIPO Dec. 7, 2000) (concluding that the respondent’s passive holding of the domain name satisfies the requirement of ¶ 4(a)(iii) of the Policy); see also Clerical Med. Inv. Group Ltd. v. Clericalmedical.com, D2000-1228 (WIPO Nov. 28, 2000) (finding that merely holding an infringing domain name without active use can constitute use in bad faith).

 

For the above reasons the Panel finds that the third requirement of the Policy has been evidenced.

 

 

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 <dickinsoncollegereddevils.com> and <dickinsoncollegereddevils.net> domain names be TRANSFERRED from Respondent to Complainant.

 

 

 

Roberto A. Bianchi, Panelist
Dated: June 28, 2006

 

 

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