Your Source for Domain Dispute News and Information November 29, 2007, Vol. 8 No. 11
 

Welcome to Domain News, a complimentary news service of the National Arbitration Forum. The National Arbitration Forum is one of the world's largest neutral administrators of arbitration services and one of three ICANN-approved providers. We invite you to visit our website at www.adrforum.com.

 

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In This Issue

 

 

Google Inc. v. David Miller

 

ICANN Investigates “Domain Name Front Running”

 

Cheap Domain Names Fueling Cybersquatting in Asia

 

World Wide Translations: ICANN Testing Internationalized Domain Names

 

 

 

Recent Decisions

 

 

West End Events LLC v. Jerome Obinabo c/o amazuma.com

 

Complainant, West End Events LLC, brought a UDRP complaint against Respondent, Jerome Obinabo c/o amazuma.com, for transfer of the disputed <tasteofdallas.com> domain name. Since 1986, Complainant has held an annual event, the Taste of Dallas festival, which attracts tens of thousands of people to downtown Dallas every summer. Respondent, a Dallas resident, registered the disputed domain name four days after the 1999 Taste of Dallas festival. Respondent contended that it was unaware of Complainant’s rights in the <tasteofdallas.com> domain name and that it merely registered the disputed domain name to advertise Dallas area restaurant and food services. The Panel first found that Complainant’s continuous and exclusive use of the TASTE OF DALLAS mark for the past twenty years sufficiently established Complainant’s common law rights in the mark under Policy ¶ 4(a)(i). Respondent failed to provide evidence of rights or legitimate interests under Policy ¶ 4(a)(ii), as the Panel concluded that it surely had knowledge of the Taste of Dallas festival prior to registering the disputed domain name. Finally, the Panel found that this knowledge, along with Respondent’s use of the disputed domain name to redirect Internet users to a commercial website that provides online advertising services, evidenced bad faith registration and use under Policy ¶ 4(a)(iii). As a result, the Panel transferred the <tasteofdallas.com> domain name from Respondent to Complainant. West End Events LLC v. Jerome Obinabo c/o amazuma.com, FA1072982 (Nat. Arb. Forum Oct. 18, 2007).

 

 

Google Inc. v. David Miller

 

Complainant, Google Inc., brought a claim against Respondent, David Miller, disputing Respondent’s ownership of the <youtubex.com> domain name. YouTube, owned by Complainant, provides online video services through a website where users can download and share original videos. Respondent’s website at the <youtubex.com> domain name allowed Internet users to download videos from the YouTube service for personal use, which Complainant asserted was in direct violation of YouTube’s terms of use. Respondent argued that the website included a prominent disclaimer disassociating it from Complainant, and that its services work not in competition, but in conjunction, with Complainant’s services. Pursuant to Policy ¶ 4(a)(i), the Panel found that Complainant had established rights in the YOUTUBE mark through registration and continuous use of the mark, and that the <youtubex.com> domain name was identical to the YOUTUBE mark. The Panel next found that Respondent failed to establish rights or legitimate interests in the disputed domain name under Policy ¶ 4(a)(ii), because Respondent’s use of the <youtubex.com> domain name to redirect Internet users to its commercial website did not constitute a bona fide offering of goods or services or a legitimate noncommercial or fair use. Finally, the Panel found that Respondent was attempting to attract, for commercial gain, Internet users who would be confused as to Complainant’s affiliation with the <youtubex.com> domain name and Respondent’s corresponding website. The Panel was of the view that this indicated Respondent’s bad faith registration and use pursuant to Policy ¶ 4(b)(iv). The Panel further concluded that inclusion of a disclaimer did not mitigate bad faith registration and use by Respondent under Policy ¶ 4(a)(iii). Thus, the Panel ordered that the <youtubex.com> domain name be transferred from Respondent to Complainant. Google Inc. v. Miller, FA 1067791 (Nat. Arb. Forum Oct. 24, 2007).

 

 

Netbooks, Inc. v. Lionheat Publishing

 

Complainant, Netbooks, Inc., owner of a U.S. trademark registration for the NETBOOKS mark, brought a Complaint against Respondent, Lionheat Publishing, for the <netbooks.net> domain name. Respondent contended that, as the NETBOOKS mark was widely used by others on the Internet, Complainant did not have sole rights in the mark. The Panel found that this contention was unsubstantiated by evidence and irrelevant to the Policy ¶ 4(a)(i) analysis, and that Complainant had sufficiently established its rights in the NETBOOKS mark pursuant to Policy ¶ 4(a)(i). Complainant further asserted that Respondent, a national or resident of the United Kingdom, had constructive notice of Complainant’s registration of the NETBOOKS mark prior to registering the <netbooks.net> domain name. The Panel agreed with this assertion based on Respondent’s substantial connections with the United States, and found that, as Respondent used the disputed domain name for click-through advertising, Respondent lacked rights and legitimate interests in the disputed domain name pursuant to Policy ¶ (a)(ii). However, the Panel then found that Complainant had failed to supply sufficient evidence to support its argument that Respondent registered and was using the <netbooks.net> domain name in bad faith pursuant to Policy ¶ 4(a)(iii). The Panel based its finding on the fact that the NETBOOKS mark was not well-known and, thus, Complainant failed to demonstrate that Respondent intended to specifically use Complainant’s mark to attract Internet users for commercial gain. Accordingly, the Panel declined to transfer the <netbooks.net> domain name from Respondent to Complainant. Netbooks, Inc. v. Lionheat Publishing, FA 1069901 (Nat. Arb. Forum Oct. 18, 2007).

 

 

IQ Products Company v. Gavin Lloyd

 

Complainant, IQ Products Company, brought a UDRP Complaint against Respondent, Gavin Lloyd, for the <bugout.com> domain name. Complainant holds a U.S. trademark registration for the BUGOUT mark in connection with various insect repellant products that Complainant has sold since at least 1994. Complainant originally registered the <bugout.com> domain name in 1996 and had used the disputed domain name continuously until inadvertently allowing its registration to lapse shortly prior to Respondent’s registration. Respondent purchased the disputed domain name at auction for $5,200 on July 15, 2007. Respondent did not contest Complainant’s rights in the mark, but argued that the terms “bug” and “out” are common English words and that Complainant’s federal trademark registration was limited to “chemical insecticides.” Respondent asserted that it planned to use the <bugout.com> domain name for a free, advertiser-supported, travel related social networking community. The Panel first found that the <bugout.com> domain name was identical to Complainant’s BUGOUT mark pursuant to Policy ¶ 4(a)(i). The Panel next found that Respondent did have rights and a legitimate interests in the <bugout.com> domain name pursuant to Policy ¶ 4(a)(ii) because: (1)“bug” and “out” as common English words used together are slang for “go away” or “leave” or “hit the road;” (2) Respondent’s plans to develop a travel-related social networking site is a bona fide offering of goods or services or a legitimate noncommercial or fair use; and (3) the general use of the slang “bug out” shows a connection to this legitimate use. The Panel finally found that Complainant’s general allegation of Respondent’s bad faith registration and use of the <bugout.com> domain name was insufficient, in light of Respondent’s answer, to satisfy Policy ¶ 4(a)(iii). Accordingly, the Panel denied the Complainant relief. IQ Prods. Co. v. Gavin Lloyd, FA 1065183 (Nat. Arb. Forum Oct. 10, 2007).

 

 

Mothers Against Drunk Driving v. MaDD HaTT Entertainment

 

Complainant, Mothers Against Drunk Driving, brought a claim against Respondent, MaDD HaTT Entertainment, for the <maddhattentertainment.com> domain name. Complainant contended that, by merely incorporating its MADD mark in the disputed domain name and profiting from the corresponding website, Respondent infringed on Complainant’s rights in the mark. Respondent, a hip-hop music and entertainment company, argued that it acquired the <maddhattentertainment.com> domain name in order to create a diverse network of sites and cross-promotion capabilities. Respondent further contended that it spelled “madd” with an extra letter “d” not to exploit Complainant’s MADD mark, but rather to keep in touch with its hip-hop tradition of “flipping” words so “mad” would become “madd,” and “hat” would become “hatt.” The Panel found that this misspelling, and the addition of the generic term “entertainment,” did not sufficiently distinguish the <maddhattentertainment.com> domain name from Complainant’s MADD mark pursuant to Policy ¶ 4(a)(i). The Panel also found that Respondent had no rights or legitimate interests in the disputed domain name pursuant to Policy ¶ 4(a)(ii), as the website that resolved from the disputed domain name contained a pay-per-click search engine, which is not a bona fide offering of goods or services or a legitimate noncommercial or fair use. Lastly, the Panel found that Respondent had registered and was using the disputed domain name in bad faith pursuant to Policy ¶ 4(a)(iii) because it was profiting from the disputed domain name and Respondent should have been aware of Complainant’s rights in the MADD mark at the time of registration. The Panel thus ordered the transfer of the <maddhattentertainment.com> domain name from Respondent to Complainant. Mothers Against Drunk Driving v. MaDD HaTT Enter., FA 1074881 (Nat. Arb. Forum Oct. 10, 2007).

 

 

Wal-Mart Stores, Inc. v. James D’Souza

 

Complainant, Wal-Mart Stores, Inc. brought a UDRP complaint against Respondent, James D’Souza, for the <walmarrt.com> domain name. Complainant contended that it had used the WAL-MART mark since 1962 and held several governmental registrations of the mark world-wide, including in India. Respondent, a resident of India, argued that it was not aware of Complainant’s WAL-MART mark, and that the disputed domain name was significantly dissimilar to Complainant’s mark because it contained no hyphen and an extra letter “r.” Moreover, Respondent contended that the <walmarrt.com> domain name was originally registered in 2000, without objection from Complainant, so Respondent was not acting in bad faith when it recently purchased the disputed domain name. The Panel first found that, pursuant to Policy ¶ 4(a)(i), the <walmarrt.com> domain name was confusingly similar to Complainant’s WAL-MART mark. Next, the Panel found that Respondent had no rights or legitimate interests in the disputed domain name pursuant to Policy ¶ 4(a)(ii) because Respondent’s only asserted rights were based on the fact that it paid for the <walmarrt.com> domain name, which is insufficient to find rights or legitimate interests without further affirmative evidence. Lastly, the Panel found Respondent’s contention that it was unaware of Complainant’s “world-famous service mark to be utterly disingenuous,” and as such, sufficient evidence to establish Respondent’s bad faith registration and use of the disputed domain name under Policy ¶ 4(a)(iii). Consequently, the Panel ordered the transfer of the <walmarrt.com> domain name from Respondent to Complainant. Wal-Mart Stores, Inc. v. D'Souza, FA 1060854 (Nat. Arb. Forum Oct. 15, 2007).

 

 

 

E-PRACTICE

 

 

World Wide Translations: ICANN Testing Internationalized Domain Names

 

Historically, Internet domain names have been primarily comprised of English letters and characters. Since computers can only understand numbers, domain name registrars use the standard American Standard Code for Information Interchange (ASCII) to establish numerical representations of these characters. ASCII encoding is used on most computers and printers.

 

In April 2002, ICANN released a discussion paper discussing the importance and potential implication of non-ASCII encoded top-level domain names (“TLDs”) to make the Internet more accessible to those who speak languages other than English. Subsequently, in June 2003, ICANN announced the deployment of internationalized domain names (“IDNs”) to allow for the development of language-specific websites that would benefit a greater diversity of geographic, ethnic, cultural, and linguistic populations. These IDNs use a “punycode” translation to transfer the numbered encoding from ASCII characters into non-ASCII characters that are universally represented in many different languages by a singular “Unicode.” Since this time, ICANN has monitored the progress of, and continued to implement, usage of IDNs.

 

In July 2007, ICANN announced a plan to publicly evaluate the ease and success of IDN usage. In mid-October 2007, the evaluation period commenced, and ICANN has encouraged the public to participate and provide feedback. The initial phase allows individuals to register a domain name in one of eleven test languages – Arabic, Persian, Chinese (simplified and traditional), Russian, Hindi, Greek, Korean, Yiddish, Japanese and Tamil – and develop a wiki with their name in their own language. After the first week of testing, ICANN reported that over 128,000 people had participated, with over 37% registering their domain names in Chinese.

 

Upon completion of the evaluation period, ICANN intends to determine how usage of these IDNs can best be implemented on a permanent global scale. ICANN’s goal is to “make the Internet less English-dependent”, and allow Internet users around the world to develop and connect to websites using their own native languages.

 

 

In The News

 

 

ICANN Investigates “Domain Name Front Running”

 

NewsFactor.com, October 25, 2007: ICANN’s Security and Stability Advisory Committee is currently investigating reports of what it has termed “domain name front running.” The term was coined to refer to activity comparable to “a stock broker buying or selling shares ahead of a client's trade, in anticipation of a movement in price.” ICANN received reports that domain names were being snatched up after an initial search revealed their availability, but before prospective buyers could purchase them. This activity has led to suspicions that there is an insider with access to search requests, who is gauging interest in the domain names and then purchasing them before legitimate buyers have an opportunity to do so. Domain name front running exceeds the level of mere domain name speculation because interest is actually quantified and can then be used to generate profit with the sale of a domain name, which is known to be desired, to the original prospective buyer. ICANN hypothesizes that there are several ways in which the practice could be facilitated, including using software or viruses to collect data. ICANN is actively investigating the issue to determine if it is in fact occurring, and, if so, what measures need to be taken to address the activity. Although there is no evidence confirming the allegations, ICANN is most concerned that even the suspicion “portrays an unfavorable image of the parties associated with the domain name registration process in specific, and of the domain name community in general.” ICANN is working diligently to dispel this concern. Link to Full Story

 

 

Infamous Cybersquatter Fined $164,000

 

PCWorld, October 16, 2007: John Zuccarini, the infamous cybersquatter responsible for linking the children’s television show-related <bobthebiulder.com> and <teltubbies.com> domain names to adult content, has been fined again by the Federal Trade Commission, this time for $164,000. The FTC said that Zuccarini had registered hundreds of websites linking to domain names to legitimate advertising this time, instead of adult content. In 2002, Zuccarini pled guilty to typosquatting and child pornography charges and served a prison sentence until 2005. He was ordered to refrain from typosquatting, but the lucrative activity proved too much to resist for Zuccarini. Prior to his previous conviction, the U.S. Department of Justice estimated that Zuccarini was making about $1 million each year from typosquatting. Although Zuccarini agreed to a settlement in the most recent case, he has not admitted guilt with regard to the charges. Link to Full Story

 

 

Cheap Domain Names Fueling Cybersquatting in Asia

 

c|net News.com, October 16, 2007: Cybersquatting has caught on in Asia. The low price of domain names, often as little as $3 per year, is fueling the practice, according to industry experts. As in the rest of the world, generic top-level domains (“gTLDs”) are the most popular cybersquatting territory. In Asia the most popular gTLDs are China’s “.cn,” India’s “.in,” and Korea’s “.kr.” Janna Lam, managing director of Singapore’s IP Mirror, also noted “that cybersquatters have now earned a new moniker, ‘domainers.’” She goes on to explain that the domain name industry now supports a market for trading in domain names, but that Singapore strongly discourages the activity. Lam believes that domain name monitoring is the solution to the problem. In the U.S., corporations like Microsoft have resorted to taking legal action to deal with the problem. Recently, Microsoft has initiated 15 different legal actions targeting more that 1,500 infringing domain names, most in the last year alone, including three suits in federal court regarding infringing domain names according to Microsoft’s vice president and deputy counsel, Nancy Anderson. These actions have resulted in judgments of more then $5 million and settlements worth more than $1 million. Anderson said that consumer education and legal enforcement are necessary to solve the worldwide cybersquatting problem. Link to Full Story

 

 

No Big Changes Yet for WHOIS Database

 

computerworld.com, November 1, 2007: The Generic Names Supporting Organization, a committee of ICANN, recently voted 17-7 to continue studying the possibility of making changes to the WHOIS database. Currently, the WHOIS database is open to everyone, and contains the names and contact information of domain name owners. Those pushing for change of the current system argue that this information should be made private in order to protect individual registrants. However, many point to the benefits of the current open system in exposing those who use domain names for copyright infringement, scamming, and similar unsavory uses. This is not a new issue: the ICANN committee has been discussing changes to the WHOIS system for seven years. Link to Full Story

 

 

Ireland Embraces “.ie” Domain Names

 

Irish Times, October 31, 2007: In response to the growing worldwide popularity of blogs and social networking sites, Ireland now allows Internet users to register vanity websites using the “.ie” top-level domain. The “.ie” domain is reserved for Irish residents or people with links to Ireland. In fact, to register a domain name with the “.ie” top-level domain, one must provide an Irish utility bill, driver’s license, or other supporting documentation. The new domain is reserved for individuals, who must register full names as they appear on the documentation they have provided; nicknames or other variations are not allowed at this time. Chief executive of the IE Domain Registry, David Curtin, said: "As well as Bebo and Facebook users, we expect a keen interest from people who want to secure their name online or who want to secure a family name for generations to come." Link to Full Story

 

 

 

PROCEDURAL UPDATES

 

 

New Supplemental Rules

 

The National Arbitration Forum issued new Supplemental Rules, effective November 1, 2007. One of the two main changes addresses situations where the WHOIS information may not exactly match, allowing complainants to argue that the information is actually that of one registrant. The second change allows both the complaint and the response to reach a maximum of fifteen pages each.

 

View the new Supplemental Rules at http://domains.adrforum.com/main.aspx?itemID=631&hideBar=False&navID=237&news=26.

 

 

 

Upcoming events

 

 

January 20-23, 2008

DomainFEST ‘08

Hollywood, CA

January 25-26, 2008

American Bar Association Business Law Section, Cyberspace Law Committee Winter Working Group

Minneapolis, MN

 

 

Let the National Arbitration Forum know of your upcoming events for listing in Domain News. Send event listing information to: domain-news@adrforum.com. Please type "DOMAIN NEWS EVENTS" in the subject header.

 

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Note: The information found in this newsletter is designed to provide accurate and authoritative information regarding the subject covered, but is not intended as legal advice.