National Arbitration Forum

 

DECISION

 

Amazon.com, Inc. v. Digital Systems c/o John Daniels

Claim Number: FA0612000871120

 

PARTIES

Complainant is Amazon.com, Inc. (“Complainant”), represented by Kevin M. Hayes, of Klarquist Sparkman, LLP, One World Trade Center, Suite 1600, 121 SW Salmon Street, Portland, OR 97204.  Respondent is Digital Systems c/o John Daniels (“Respondent”), P.O. Box 855, Lake Oswego, OR 97034.

 

 

REGISTRAR AND DISPUTED DOMAIN NAMES 

The domain names at issue are <amazon-dvd.com>, <amazon-music.com> and <amazon-movies.com>, registered with Tucows Inc.

 

PANEL

The undersigned certifies that they have acted independently and impartially and to the best of their knowledge have no known conflict in serving as Panelist in this proceeding.

 

Hon. Tyrus R. Atkinson, Jr,, Hon. Nelson A. Diaz, and Joel M. Grossman, Esq.,  Chairman, as Panelists.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on December 15, 2006; the National Arbitration Forum received a hard copy of the Complaint on December 18, 2006.

 

On December 18, 2006, Tucows Inc. confirmed by e-mail to the National Arbitration Forum that the <amazon-dvd.com>, <amazon-music.com> and <amazon-movies.com> domain names are registered with Tucows Inc. and that the Respondent is the current registrant of the name.  Tucows Inc. has verified that Respondent is bound by the Tucows 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 December 19, 2006, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of January 8, 2007 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@amazon-dvd.com, postmaster@amazon-music.com and postmaster@amazon-movies.com by e-mail.

 

A timely Response was received and determined to be complete on January 5, 2007.

 

An Additional Submission from Complainant was timely received on January 9, 2007.

 

On January 12, 2007 pursuant to Complainant’s request to have the dispute decided by a three-member Panel, the National Arbitration Forum appointed Hon. Tyrus R. Atkinson, Jr., Hon. Nelson A. Diaz, and Joel M. Grossman, Esq., Chairman, as Panelists.

 

RELIEF SOUGHT

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

 

PARTIES’ CONTENTIONS

A. Complainant

Complainant asserts that it owns a very famous mark, AMAZON.COM, which it has owned since 1996.  It asserts that each of Respondent’s domain names, <amazon-dvd.com>, <amazon-music.com> and <amazon-movies.com> are identical to and confusingly similar to its mark, in that these domain names fully incorporate Complainant’s mark.  The domain names are further confusing in that Amazon.com offers movies, DVDs and music for sale on its website.  Complainant next contends that Respondent has no rights or legitimate interests in the domain names.  Complainant notes that Respondent’s WHOIS records show that Respondent has never been commonly known by any of these names.  Moreover, Respondent owned the domain names in 2004 during which time it used the domain names for business, namely in connection with an online DVD store.  Finally, Complainant contends that the domain names were registered and are being used in bad faith.  Complainant notes that Respondent concedes that at the time of the registration of the domain names, Respondent was aware of the AMAZON.COM mark, and, at least for a period of time in 2004, used the mark to compete with Complainant by selling DVDs through an online store.

 

B. Respondent

Respondent contends that the term “amazon” is a common term, and cannot be monopolized by Complainant.  Respondent further contends that it is not making any commercial use of its domain names, and therefore it has a legitimate use of the name.  Finally, Respondent contends that it did not register the names in bad faith as the term “amazon” is generic.  Respondent notes that while it was aware of the AMAZON.COM mark when it registered its domain names, and aware of potential confusion, it solved the problem by placing a disclaimer on its sites, alerting the public that the sites had no connection to Amazon.com.  Respondent also contends that Complainant waited four years before instituting the current complaint.  While not using this term, Respondent is apparently arguing that under the equitable doctrine of laches, it is now too late for Complainant to assert its rights.

 

C. Additional Submissions

In its Additional Submission, Complainant points out that Respondent acknowledges its ownership of the domain names for four years, a period of time that clearly includes the year 2004.  Complainant points out that even though Respondent claims that it has made no commercial use of its domain names, in 2004 the domain names resolved to an online DVD store.  Thus, the domain names were being used to divert business from Complainant’s online DVD sales to another vendor.  Complainant attaches to its Additional Submission a letter from the proprietor of that online store, acknowledging that the domain names were being used to direct traffic to the online store, and noting that upon notification from Complainant, the online store proprietor disabled this connection.

On the issue of bad faith registration, Complainant notes that in its Response Respondent admits that when registering the domain names, it was aware of the Complainant’s mark.  In the words of the Respondent: “And yes, someone here thought about amazon.com …” when registering the mark.  Complainant notes that knowledge of the existence of Complainant’s mark is evidence of bad faith.  As noted above, Respondent contends that because of the potential confusion, it placed a disclaimer on its websites.  Complainant contends, however, that the disclaimer does not avoid a finding of confusion.

 

FINDINGS

By unanimous decision, the Panel finds as follows:

1.      the domain names <amazon-dvd.com>, <amazon-music.com> and <amazon-movies.com> are confusingly similar to, or identical to Complainant’s AMAZON.COM mark;

2.      Respondent has no rights or legitimate interests in the domain names; and

3.      the domain names were registered and are being used in bad faith.

 

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

 

There is no doubt that AMAZON.COM is a very famous mark, and has been a registered trademark since 1996.  The domain names at issue here each fully incorporate the mark, and then add a generic term such as “movies” or “music.”  Under these circumstances, the Panel finds that the domain names are confusingly similar to Complainant’s mark.  See Space Imaging LLC v. Brownell, AF-0298 (eResolution Sept. 22, 2000) (finding confusing similarity where the respondent’s domain name combines the complainant’s mark with a generic term that has an obvious relationship to complainant’s business.).  In this case, since Amazon.com sells movies, DVDs and music on its website, the public could easily be confused and believe that the domain names are part of the larger Amazon.com enterprise.  While Respondent asserts that the disclaimers it has placed on its site will alleviate any confusion, this does not eliminate confusion.  The disclaimer could be ignored, or might not be noticed by consumers.  See Ciccone v. Parisi, D200-0847 (WIPO Oct. 12, 2000). See also Digi Int’l v DDI Sys., FA124506 (Nat. Arb. Forum Oct. 24, 2002).

 

Rights or Legitimate Interests

 

The Panel notes that once a complainant has made a prima facie showing of confusion, the burden shifts to the respondent to show that it has rights and legitimate interests in the domain name.  See Do the Hustle, LLC v. Tropic Web D2000-0624 (WIPO Aug. 21, 2000).  Respondent cannot meet this burden.  Based on Respondent’s WHOIS listing, Respondent is not commonly known by any of the domain names.  See Gallup, Inc. v. Amish Country Store, FA96209 (Nat. Arb. Forum Jan. 23, 2001) (finding that the respondent did not have rights in a domain name when it was not commonly known by that name).  In addition, in its Additional Submission, Complainant has presented evidence that in 2004, until Complainant interceded, visitors to Respondent’s domain names were being redirected to an online DVD store.  This was clearly an attempt to use Complainant’s mark to divert business from Complainant’s website to a competitor which, the Panel assumes, was compensating Respondent.  This use clearly is incompatible with the notion of legitimate interests in a domain name.

 

Registration and Use in Bad Faith

 

Respondent has conceded that when it registered the domain names it was aware of Complainant’s mark and possible confusion, but decided that if it placed a disclaimer on the sites there would be no confusion.  Respondent’s admission that it was aware of the AMAZON.COM mark when it registered the name is enough to conclude that the registration and continuing use was in bad faith.  See Exxon Mobil Corp. v. Fisher, D2000-1412 (WIPO Dec. 18, 2000).  Respondent’s bad faith is further demonstrated by its 2004 use of the domain names to redirect internet users to an online DVD store that competed with Complainant’s website.  The disclaimers on Respondent’s website do not obviate bad faith.  See Ciccone v. Parisi, supra: “Respondent’s use of a disclaimer on its website is insufficient to avoid a finding of bad faith.”  For all of the foregoing reasons, the Panel concludes that the domain names were registered and are being used in bad faith.

 

Finally, the Panel will briefly address Respondent’s apparent assertion of the laches defense.  First, other panels have noted that laches is not a defense in a domain name dispute.  See E.W. Scripps Co. v. Sinologic Indus., D2003-0447 (WIPO July 1, 2003) (“The Policy does not provide any defence [sic] of laches. This accords with the basic objective of the Policy of providing an expeditious and relatively inexpensive procedure for the determination of disputes relating to egregious misuse of domain names.”).  But even if a laches defense were available to Respondent, it would be of no avail. Respondent states that it has owned the domain names for four years.  That is hardly a sufficient amount of time to create a laches defense without some assertion by Respondent that it has been prejudiced by the delay.  While Respondent complains of the delay, it does not assert any evidence that it was prejudiced by the delay.  Prejudice is a necessary component of the defense of laches.  See Getty v. Getty 187 Cal.App. 3d 1159, 1170 (Cal. Ct. App. 1986).   Moreover, Complainant has shown that it did not sit on its rights, because it asserts that in 2004 it did act to protect its rights, by contacting the online DVD store to which Respondent was diverting Complainant’s customers.  Thus the laches defense, even if permitted in UDRP cases, will not save Respondent’s case.

 

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 <amazon-dvd.com>, <amazon-music.com> and <amazon-movies.com> domain names be TRANSFERRED from Respondent to Complainant.

 

 

 

Hon. Tyrus R. Atkinson, Jr., Hon. Nelson A. Diaz, and Joel M. Grossman, Esq., Chairman, Panelists
Dated: January 29, 2007

 

 

 

 

 

 

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