DECISION

 

THE STANLEY WORKS V. MCNEIL & ASSOCIATES

Claim Number: FA0004000094671

 

PARTIES

Complainant is The Stanley Works, New Britain, Conn, USA (“Complainant”) represented by James R. Davis, II of Arent Fox Kintner Plotkin & Kahn.  Respondent is McNeil & Associates, Grande Prairie, Alberta, Canada (“Respondent”) represented by James E. Starnes, Esq.

 

REGISTRAR AND DISPUTED DOMAIN NAME

The domain names at issue are <stanley-proto.com>; <stanley-husky.com>; <stanley-tools.com>; and <stanley-hardware.com>, registered with Internet Domain Registrars.

 

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.

 

The Honorable Charles K. McCotter, Jr. (Ret.) as Panelist.

 

PROCEDURAL HISTORY

Complainant filed a Complaint with the National Arbitration Forum (the “Forum”) on April 27, 2000.

 

Internet Domain Registrars confirmed that the domain names <stanley-proto.com>; <stanley-husky.com>; <stanley-tools.com>; and <stanley-hardware.com>, are registered with Internet Domain Registrars and that Respondent is the current registrant of the name. Internet Domain Registrars has verified that Respondent is bound by the Internet Domain Registrars 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”).

 

After reviewing the Complaint for administrative compliance, the Forum transferred the Complaint to the Respondent, McNeil & Associates, in compliance with Rule 2(a), and the administrative proceeding was commenced pursuant to Rule 4(c). 

 

On May 23, 2000, the Forum appointed the Honorable Charles K. McCotter, Jr. (Ret.) as Panelist.

 

Respondent responded to the Complaint requesting that the administrative proceedings be stayed pending resolution of a legal action commenced on April 27, 2000 in the United States District Court for the Northern District of California.  On June 8, 2000 the Panel suspended the administrative proceedings pending the outcome of the California federal litigation.

 

Having received notification that the federal action had been dismissed, the Panel gave the Respondent until June 7, 2002 to Respond to the ICANN Complaint.  On June 7, 2002 Respondent responded to the Complaint and also moved to dismiss the proceedings or continue the stay.  Complainant filed a Reply on June 12, 2002.  The Panel stayed the proceedings until August 10, 2002. 

 

Respondent’s case in the United District Court for the Northern District of California was dismissed for forum non conveniens.   The Ninth Circuit Court of Appeals affirmed the ruling on April 10, 2002 indicating that Respondent should pursue his claims in the Canadian Courts.  In his June 7, 2002 Response, Respondent contended that his options were to appeal the Ninth Circuit decision to the United States Supreme Court by August 10, 2002 or amend his Answer in the Canadian case between him and Stanley to assert his First Amendment right to continue using the domains to promote his anti-Stanley website.  The Respondent alleged that the issues in the Ninth Circuit and Canadian case were virtually identical to the ICANN case and that the resolution of those issues would resolve this case.

 

The Panel continued the stay until August 10, 2002, the last day by which Respondent could appeal to the United States Supreme Court.  The Panel directed that the stay would automatically dissolve at 11:59 p.m. August 10, 2002, unless Respondent submitted evidence to the Panel that either that he had appealed the Ninth Circuit decision to the United States Supreme Court or had obtained leave to amend his Answer in the Canadian proceeding to assert his First Amendment right.  In the absence of such evidence, the Stay would dissolve and Respondent would be granted until August 20, 2002 within which to renew his Motion to Dismiss and Respond to the ICANN Complaint and Complainant would be given until August 30, 2002 within which to Reply to Respondent’s Response. 

 

Respondent did not appeal to the United States Supreme Court, and did not obtain leave to amend his Answer in the Canadian proceeding.  The stay dissolved on August 10, 2002.  Respondent filed an Additional Response on August 19, 2002 and Complainant filed a Reply on August 29, 2002.

 

RELIEF SOUGHT

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

 

PARTIES’ CONTENTIONS

A.     Complainant

1.      Respondent’s <stanley-proto.com>; <stanley-husky.com>; <stanley-tools.com>; and <stanley-hardware.com> domain names are identical or confusingly similar to Complainant’s registered STANLEY, HUSKY, and PROTO registered trademarks.

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

3.      Respondent registered and used the disputed domain names in bad faith.

 

B.     Respondent’s primary contention is that he uses these Stanley related names to promote his anti-Stanley website <stanleysucks.com>.  Respondent contends that such use constitutes legitimate, non-commercial and fair use of the domain names and that such use is protected by the First Amendment.  Respondent alleges fraud, estoppel, and equitable grounds for denying the transfer; however, these claims are beyond the scope of an ICANN proceeding.

 

FINDINGS

 

1.                  Complainant, The Stanley Works, is a renowned global manufacturer and marketer of tools, hardware, doors and home decor products.  Complainant was established under the trade name The Stanley Works in 1843.  Stanley and its wholly owned subsidiary, Stanley Logistics, Inc. own a number of registrations worldwide for the marks STANLEY and STANLEY & Design used in connection with various goods produced by Stanley.

2.                  McNeil & Associates is the registrant of the domain names in question.  The contact person is Phil McNeil.

3.                  On April 17, 2000, an arbitration panel found that the Phil McNeil registered in bad faith the domain names <stanleyworks.net> and <thestanleyworks.net>.  The Stanley Works v. Philips McNeil, FA 94233 (Nat. Arb. Forum, Apr. 17, 2000).  During the course of the earlier proceeding, McNeil revealed that he had registered a number of other domain names similarly comprised of Stanley’s name and marks, including the domain names now in question.

4.                  This Complaint is based on Respondent’s use of Complainant’s registered trademarks STANLEY, HUSKY, and PROTO, as part of Respondent’s domain names.  Complainant’s marks are well known and registered in the United States and numerous countries worldwide.  Complainant has invested substantial sums of money in developing, manufacturing and marketing the products sold under its various trademarks and well-known name resulting in substantial sales.

5.                  McNeil was once a distributor for Complainant in Canada.  In an e-mail of September 28, 1999, to Complainant, McNeil demanded that Complainant purchase another domain name from him and threatened to register more Stanley domain names if such purchase was not made.  McNeil carried out his threats to register more Stanley domain names.  Respondent registered the two domain names subject to the prior ICANN proceeding and then on January 24, 2000, registered the subject domain names.

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; and

(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

Complainant has established that it has rights in the STANLEY, HUSKY, and PROTO trademarks through registration and continuous use.  Respondent’s <stanley-proto.com>; <stanley-husky.com>; <stanley-tools.com>; and <stanley-hardware.com> domain names are confusingly similar to Complainant’s STANLEY, HUSKY, and PROTO marks because they either combine two of Complainant’s trademarks together or combine Complainant’s trademark STANLEY with generic terms. See Oki Data Americas, Inc. v. ASD Inc., D2001-0903 (WIPO Nov. 6, 2001) (“the fact that a domain name incorporates a Complainant’s registered mark is sufficient to establish identical or confusing similarity for purposes of the Policy despite the addition of other words to such marks”); see also Nintendo of Am. Inc v. Pokemon, D2000-1230 (WIPO Nov. 23, 2000) (finding confusing similarity where the Respondent combined the Complainant’s POKEMON and PIKACHU marks to form the <pokemonpikachu.com> domain name); see also Broadcom Corp. v. Domain Depot, FA 96854 (Nat. Arb. Forum Apr. 23, 2001) (finding the <broadcomonline.com> domain name is confusingly similar to Complainant’s BROADCOM mark); see also Westfield Corp., Inc. v. Hobbs, D2000-0227 (WIPO May 18, 2000) (finding the <westfieldshopping.com> domain name confusingly similar because the WESTFIELD mark was the dominant element); see also Yahoo! Inc. and GeoCities v. Zuccarini, D2000-0777 (WIPO Oct. 2, 2000) (finding the registration and use of multiple domain names incorporating the distinctive and famous YAHOO!, Yahooligans!, and GeoCities marks, together with generic words such as ‘chat’ and ‘financial’ to be confusingly similar to Complainant’s marks and likely to mislead Internet users into believing that products and services offered by Respondents are being sponsored or endorsed by YAHOO! or GeoCities, given the similarity of the names and products and services offered).

 

Furthermore, the addition of a hyphen to another’s mark in a domain name does not create a distinct mark capable of overcoming a claim of identical or confusing similarity.  See Chernow Communications Inc. v. Kimball, D2000-0119 (WIPO May 18, 2000) (holding “that the use or absence of punctuation marks, such as hyphens, does not alter the fact that a name is identical to a mark"); see also Teradyne Inc. v. 4Tel Tech., D2000-0026 (WIPO May 9, 2000) (finding that the “addition of a hyphen to the registered mark is an insubstantial change. Both the mark and the domain name would be pronounced in the identical fashion, by eliminating the hyphen").

 

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

 

Rights or Legitimate Interests

Respondent uses the domain names in question to link to his <stanleysucks.com> site which he uses to criticize Stanley.  Respondent contends he has legitimate interests because the domain names are used for non-commercial reasons including the First Amendment right to criticize Complainant.

 

“Domain names ... per se are neither automatically entitled to nor excluded from the protections of the First Amendment, and the appropriate inquiry is one that fully addresses particular circumstances presented with respect to each domain name."  Name.Space Inc. v. Network Solutions, 202 F.3d 573, 585 (2d Cir. 2000).  Although the content of Respondent’s site may be entitled to First Amendment protection, his use of Complainant’s trademark in the domain name of his site is not so protected.  Since Respondent’s domain name merely incorporates Complainant's trademark, it does not constitute a protectable, communicative message.  See OBH, INC v. Spotlight Magazine, Inc., 86 F. Supp. 2d 176, 197 (W.D.N.Y. 2000) ("Whether a particular domain name is entitled to protection under the First Amendment depends on the extent of its communicative message."). 

 

Use of a Complainant’s mark to deceive Internet users into believing they are accessing Complainant’s website is not protected by the First Amendment.  Morrison & Foerster LLP v. Wick, 94 F. Supp. 2d 1125 (D. Colo. 2000).  "Use of another's trademark is entitled to First Amendment protection only when the use of that mark is part of a communicative message, not when it is used merely to identify the source of a product." OBH, 86 F.Supp.2d at 197-198 (citing Planned Parenthood Federation of America, Inc. v. Bucci, 1997 WL 133313, 42 U.S.P.Q.2d 1430 (S.D.N.Y.1997)).  Respondent’s use of Complainant's mark as the domain name for his website is more analogous to source identification than to a communicative message.  See OBH, 86 F.Supp.2d at 198.  The domain name identifies the website as being that of Stanley.  Free speech rights do not extend to labeling or advertising products in a manner that conflicts with the trademark rights of others. See Yankee Pub. Inc. v. News America Pub. Inc., 809 F.Supp. 267, 275-276  (S.D.N.Y.1992).

 

Because Respondent’s use of Complainant’s mark in a domain name is not part of a communicative message, his use of Complainant’s mark is not protected by the First Amendment. See Gucci America, Inc. v. Hall & Associates, 135 F.Supp.2d 409, 60 U.S.P.Q.2d 1714 (S.D.N.Y. 2001).  Respondent’s domain names in question do not involve the use of a trademarked term that has an additional expressive element or was part of a communicative message that goes beyond commercial identification of the source of a product.  The domain names link to <stanleysucks.com>, a domain name which has critical content in the name.  However, the domain names in question have no critical content so as to distinguish Respondent from Complainant.

 

While the content of Respondent’s website may enjoy First Amendment and fair use protection, those protections do not equate to rights or a legitimate interest with respect to a domain name which is confusingly similar to another’s trademark. See Spence-Chapin Services to Families and Children v. Spence-Chapin, LLC, FA 105945 (Nat. Arb. Forum May 6, 2002).  (Respondent is free to criticize, but the right to criticize does not extend to using the same or similar domain name, without any immediate element to distinguish Respondent, as an entity, from Complainant).  Although, Respondent may have a right to refer to the mark in critical content, the wholesale appropriation of Complainant's mark in a domain name, without any distinguishing material, creates confusion with Complainant's business and is not fair use merely for the purpose of criticism.  Council of Am. Survey Research Org. v. Consumer Info. Org., LLC, D2002-0377 (WIPO July 19, 2002).  No criticism is apparent from the domain name itself; it is not sufficient that the criticism may be apparent from the content of the site. Id.

 

“The unauthorized use of a trademark infringes the trademark holder’s rights if it is likely to confuse an ‘ordinary consumer’ as to the source or sponsorship of the goods.”  See People for the Ethical Treatment of Animals, Inc. v. Doughney, 263 F.3d 359, 366 (4th Cir. 2001) (As to the right and legitimate interest in using the domain name for the purpose of comment, the domain name failed to convey the message that it was used for the purpose of comment or criticism).  As Respondent is not making a legitimate noncommercial and fair use of the domain name, Respondent’s use of Stanley trademarks as the domain names for his website is not protected by the First Amendment.

 

Nor is Respondent known by Complainant’s trade names or the domain names 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).

 

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

 

Registration and Use in Bad Faith

Respondent has no intellectual property rights in the domain names and is not known by the names.  The domain names were deliberately registered and used for the purpose of disparaging Complainant's business, which has a commercial impact upon Complainant's mark and on Complainant.  There is evidence of intent to harm Complainant's goodwill and to tarnish its mark.

 

When Respondent registered the domain names, he was familiar with the popularity and notoriety of Complainant’s mark.  Respondent’s registration of the domain names, despite knowledge of Complainant’s rights in the mark, represents bad faith under Policy ¶ 4(a)(iii).  See Entrepreneur Media, Inc. v. Smith, 279 F.3d 1135, 1148 (9th Cir. Feb. 11, 2002) (finding that "[w]here an alleged infringer chooses a mark he knows to be similar to another, one can infer an intent to confuse"); see also 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).

 

Respondent used the domain names for his website with full knowledge and intent that some Internet users seeking to find Respondent’s website would instead be tricked into encountering his website.  Respondent’s use of the Complainant’s domain names causes a likelihood of confusion because it creates initial interest confusion.  See Coors Brewing Co. v. Zike, FA 104202 (Nat. Arb. Forum Mar. 15, 2002) (“A domain name for the purpose of criticism or commentary must on its face indicate that any site to which it leads is not that of the trademark holder but is instead a site for the criticism of or commentary on the trademark holder. Otherwise, there is created impermissible initial interest confusion.”); see also Aon Reed Stenhouse, Inc. et al v. Robin Beasse, FA 104576 (Nat. Arb. Forum Mar. 22, 2002) (Registration of domain name identical to Complainant’s mark is evidence of bad faith when the Internet user will likely believe that an affiliation exists between Respondent and Complainant when there is none); see also E. & J. Gallo Winery v. Spider Webs Ltd., 286 F.3d 270 (5th Cir. 2002) (The defendant registered and used the domain name <earnestandjuliogallo.com> for a website critical of Gallo.  The Court found that use of a domain name identical to Gallo’s trademarked name was not fair use and the defendant's manner of use supported a finding of bad faith).

Accordingly, 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 the requested relief should be hereby GRANTED.

 

Accordingly, it is Ordered that the <stanley-proto.com>; <stanley-husky.com>; <stanley-tools.com>; and <stanley-hardware.com> domain names be TRANSFERRED from Respondent to Complainant.

 

The Honorable Charles K. McCotter, Jr. (Ret.), Panelist

Dated: August 31, 2002

 

 

 

 

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