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Your Source for Domain Dispute
News and Information |
October 08,
2008,
Vol. 9 No. 10 |
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
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In This Issue
Patrick Dempsey and TDS 66 Productions, Inc. v. Frisby
Hidden Metatags: Evidence of Bad Faith? Judges and Panelists Disagree
Cybersquatters Move in on Merged Bank Names
Cybercriminals Using Celebrity Names to Lure in Internet Users
Recent
Decisions
Hawaii Community Federal Credit Union v. Texas Int’l
Prop. Assocs.
Complainant, Hawaii Community Federal Credit Union,
sought relief from Respondent for its registration and use of the <hawaiicommunityfcu.com>
domain name. The Panel found the disputed domain name to be confusingly
similar to Complainant’s HAWAII COMMUNITY FEDERAL CREDIT UNION trademark
under Policy ¶ 4(a)(i). Respondent argued it was in the business of
selecting and joining together descriptive, generic and geographic words and
names to form domain names and host websites where advertising and
information is provided corresponding to those registered domain names. In
dispute was whether or not Respondent was aware of Complainant’s Hawaiian
Credit Union at the time of registration of the disputed domain name. The
Panel determined that “the probability of randomly forming the specific
sequential combination here of two particular terms and an abbreviation that
just happens to be a well-known equivalent for the rest of Complainant’s
mark, is so small as to be negligible.” Accordingly, the Panel ordered the
transfer of the disputed domain name to Complainant finding that Respondent
lacked rights and legitimate interests in the disputed domain name under
Policy ¶ 4(a)(ii) and registered and was using the disputed domain name in
bad faith pursuant to Policy ¶ 4(a)(iii).
Hawaii Cmty. Fed. Credit Union v. Tex. Int’l Prop. Assocs., FA
1210174 (Nat. Arb. Forum Sept. 3, 2008).
Freeman Honda v. Domain Administrator
Complainant, Freeman Honda, an automobile dealership
brought a complaint against Respondent. Respondent failed to submit a
Response. The Panel found the <freemanhonda.com> domain name to be
identical to Complainant’s FREEMAN HONDA mark. Additionally, since the
disputed domain name resolved to a website displaying links to competitors
of Complainant, the Panel determined that Respondent lacked rights and
legitimate interests in the disputed domain name pursuant to Policy ¶
4(a)(ii). However, the disputed domain name was registered on April 20,
2002 and Complainant provided evidence of its earliest use of the FREEMAN
HONDA mark to be only May 2, 2005. The disputed domain name was registered
at least three years before Complainant established rights in its mark.
Accordingly, the Panel found Complainant had failed to prove that Respondent
registered the disputed domain name in bad faith pursuant to Policy ¶
4(a)(iii). As a result, the Panel denied Complainant’s requested relief in
its entirety.
Freeman Honda v. Domain Adm’r, FA 1215197 (Nat. Arb. Forum, Sept.
2, 2008).
CLIFF Elec. Components Ltd. v. Cliff Elec.
Components
Complainant, a manufacturer and seller of electrical
components, brought a UDRP Complaint against Respondent for the registration
and use of the <cliffusa.com> domain name. There was no dispute that
the disputed domain name was confusingly similar to Complainant’s mark
pursuant to Policy ¶ 4(a)(i). For fifteen years, Respondent had been a
distributor and reseller of Complainant’s CLIFF products. Each party
submitted significant evidence of a contractual relationship concerning the
disputed domain name. Accordingly, the Panel declined to conduct a Policy ¶
4(a)(ii) analysis, finding the Policy not to be intended to resolve the
scope of the dispute between the parties. Additionally, because of the
parties’ business relationship, the Panel found evidence that even though
Respondent was aware of Complainant’s rights in the CLIFF mark when it
registered the disputed domain name, Complainant appeared to have accepted
Respondent’s registration and use of the disputed domain name. Therefore,
the Panel found that Respondent had not registered the <cliffusa.com>
domain name in bad faith pursuant to Policy ¶ 4(a)(iii). Consequently, the
Panel denied the transfer of the disputed domain name.
CLIFF Elec. Components, Ltd. v. Cliff Elec. Components, FA
1212866 (Nat. Arb. Forum Sept. 1, 2008).
Patrick Dempsey and TDS 66
Productions, Inc. v. Frisby
Complainant brought a UDRP claim against Respondent,
Jennifer Frisby, for the <patrick-dempsey.org> domain name.
Complainant is an internationally recognized and award-winning actor of
television and motion pictures. Complainant contended that Respondent was
using Complainant’s PATRICK DEMPSEY mark to operate a website which
incorporated unauthorized use of Complainant’s publicity rights and
requested visitors to pay “donations” to keep the website active. The
website resolving from the disputed domain name also provided advertisements
and links to third-party websites unrelated to the career of Complainant.
The Panel found that Complainant had established rights in its PATRICK
DEMPSEY mark, and that the disputed domain name was identical to that mark
under Policy ¶ 4(a)(i). The Panel also found that Respondent lacked rights
and legitimate interests in the disputed domain name pursuant to Policy ¶
4(a)(ii). Finally, the Panel found that Respondent’s registration of the
disputed domain name with knowledge of Complainant’s rights was evidence of
bad faith registration and use under Policy ¶ 4(a)(iii), particularly
because the disputed domain was being used commercially. The Panel
transferred the disputed domain name to Complainant.
Dempsey and TDS 66 Prods., Inc. v. Frisby, FA 11218786 (Nat. Arb.
Forum Sept. 5, 2008).
The Neiman Marcus Group, Inc. & NM Nevada Trust v.
Cieply
Complainant, The Neiman Marcus Group, Inc. & NM Nevada
Trust, brought a UDRP claim against Respondent, Alyson Cieply, for the <nemanmarcos.com>
domain name. Complainant operates a chain of retail stores and a mail order
catalog retail business. Respondent asserted that it adopted the <nemanmarcos.com>
domain name as an adaptation of the acronyms NEMA (National Electronics
Manufacturing Associations) and MARCOS (Magnetic Applications to Radiation
Computed by Oscillating Systems). Respondent stated its NEMANMARCOS project
was a group of students and faculty members conducting research in radiation
treatment. Complainant argued that Respondent provided no proof of the
existence of its purported project and provided no explanation why the
letter “n” was added between the two acronyms. After finding that the
Complainant had satisfied Policy ¶ 4(a)(i), the Panel then found Respondent’s contentions “patently absurd,” because there was no
justification for the coupling of a manufacturing trade association with the
acronym of a research project. Thus, the Panel found that Respondent had
not established rights or legitimate interests in the disputed domain name
pursuant to Policy ¶ 4(a)(ii) and had registered and used the disputed
domain name in bad faith pursuant to Policy ¶ 4(a)(iii). The Panel
transferred the disputed domain name to Complainant.
Neiman Marcus Grp., Inc. v. Cieply, FA 1215817 (Nat. Arb. Forum
Sept. 2, 2008).
E-PRACTICE
Hidden Metatags: Evidence of Bad
Faith? Judges and Panelists Disagree
Website owners and designers
utilize metatags to present their websites to Internet users searching
for certain keywords in a search engine. A
metatag is a “special HTML tag that is used to store information about a
Web page but is not displayed in a Web browser. For example, metatags
provide information such as what program was used to create the page, a
description of the page, and keywords that are relevant to the page. Many
search engines use the information stored in metatags when they index Web
pages.” Website owners may add metatags containing keywords describing
their products or competitors’ products to attract Internet users searching
for similar products. Problems develop when owners add metatags comprising
the trademarks of third-parties. Although an Internet user may not see the
use of the third-party trademark, the use of the metatag will cause the
website to be displayed as a search result when the user runs a query in a
search engine, such as Google, for the third-party’s trademark.
Courts and administrative panels around the world are
now forced to deal with the issue of whether or not utilizing a metatag
containing a third-party’s trademark constitutes bad faith (in a UDRP
proceeding) or trademark infringement when only the Internet user’s computer
has “seen” the third party’s trademark and not the actual user.
In the United Kingdom, in rejecting a lower court’s
argument of infringement, Lord Justice Jacob
held that, “[a]ssuming metatag use counts as use of a trade mark, there
is simply no confusion here. I confess to not following the [lower
court] Judge's
reasoning on the point. He said that the 'ultimate purpose [of the metatag]
is to use the sign to suggest a connection which does not exist.' But
purpose is irrelevant to trade mark infringement and causing a site to
appear in a search result, without more, does not suggest any connection
with anyone else.”
On the other hand, in a 2003
UDRP decision from, the panel held that “[t]he use of the metatags
incorporating the Complainant’s trademarks to misleadingly attract persons
searching the web for information on Complainant’s products and services to
Respondent’s website as opposed to a legitimate complaint website is
evidence of use in bad faith.”
In a leading United States 11th Circuit Court of
Appeals
case, the court relied less on the argument that the use of metatags
showed a likelihood of confusion, and more so on the argument that the use
of metatags constituted a “use in commerce,” which is also part of the
trademark infringement standard. Because metatags are used primarily to
promote a website in the context of a search engine’s rankings, and because
the defendant used the plaintiff’s mark in its metatags, the defendant
therefore used the plaintiff’s marks abusively in commerce.
Some articles suggest tips for website owners to avoid
creating a likelihood of confusion while still utilizing third-party marks.
One
suggestion is to “consider including a prominent disclaimer or other
wording on the website which makes it clear to web users that the trade
marks are the property of the trade mark owner and that the website is not
affiliated with, sponsored by or approved by the trade mark owner.”
However, this suggestion would do nothing to avoid initial interest
confusion. Another
suggestion is to just avoid third-party trademarks altogether or obtain
permission from trademark holders.
On a related note, courts have relieved the fears of
many advertisers and search engine providers by acknowledging the legitimate
use of displaying third-party trade marks when Internet users search by
those marks. In
1-800-Contacts, Inc. v. Whenu.com, Inc., a pop-up advertisement case,
the 2nd Circuit Court of Appeals held that “[a] company’s internal
utilization of a trademark in a way that does not communicate it to the
public is analogous to a [sic] individual’s private thoughts about a
trademark. Such conduct simply does not violate the Lanham Act, which is
concerned with the use of trademarks in connection with the sale of goods or
services in a manner likely to lead to consumer confusion as to the source
of such goods or services.”
For the moment, it seems that pop-up ads are safe from
being held liable for trademark infringement in the Second Circuit; however,
using another’s trademark to place your website next to theirs may still
constitutes an improper use. Yet the question remains: if your website is
competing for customers, isn’t it fair use to identify the competing good or
service in this manner? As with most inquiries into fair use, the answer to
this question may differ from case to case.
In The News
Internet Service Providers Discuss Consumer Privacy
on Capitol Hill
Cnet.com, September 25, 2008: Several of the largest
Internet Service Providers (“ISPs”) met with members of Congress about
protecting consumer privacy against targeted ad campaigns. The ISPs urged
lawmakers to stay away from stiff regulations on Internet advertising and
instead asked them to focus on giving the ISPs a chance to self-regulate.
Gigi Sohn,
president of public-interest advocacy group
Public Knowledge,
outlined measures that ISPs, advertising networks, and search engine
companies should be deploying, as the use of targeted online advertising
gains favor with advertisers. In addition, she stressed the importance of
ISPs not using deep-packet inspections as a means for targeting consumers.
"Deep-packet inspection is the Internet equivalent of the postal service
reading your mail. They might be reading your mail for any number of
reasons, but the fact remains that your mail is being read by people whose
job it is to deliver it," Sohn said.
Link to Full Story
Cybersquatters Move in on Merged
Bank Names
BBC News, September 17, 2008: Opportunistic
cyber-squatters are seeking to capitalize on the rush of emergency mergers
on Wall Street by snapping up domain names related to the collapsed banks
and their buyers. Among the web addresses snapped up are <barclayslehman.com>
and <bankofamericamerrilllynch.com>, which have been put up for sale on
eBay. Also available on the online auction site are <bofaml.com>, <bankofamericaml.com>
and a series of derivative web addresses. The value of collecting
click-through fees for these merged bank names is cited as the major reason
for their acquisitions, but cybersquatters are also hoping to profit from
the high sales prices these domain names could command at auction. Link
to Full Story
Cybercriminals Using Celebrity
Names to Lure in Internet Users
Reuters, September 16, 2008: A report done by
Internet security firm McAfee Inc. has shown that the most dangerous
celebrity names to search are “Brad Pitt” and “Beyonce.” The report showed
that 18 percent of all searches on the two celebrity names led to their PCs
being infected with a virus, spyware, spam, phishing and adware. Other
celebrities on McAfee's most dangerous list include singers Mariah Carey,
Rihanna and Fergie and film stars Angelina Jolie, Jessica Alba, Cameron Diaz
and George Clooney. McAfee outlined in the report that reasonable
precautions are being taken to protect the normal Internet user and stated
that the reasons for planting spyware range from simple marketing purposes
to more serious things like stealing files or passwords used to access
sensitive financial information.
Link to Full Story
Thailand Government Shuts Down 400 Websites
The Guardian, September 3, 2008: Thailand's
Information and Communications Technology Ministry sought court orders
yesterday to shut down about 400 websites and advised Internet service
providers to block 1,200 sites it claims are disturbing the social order or
are a danger to national security. The move to shut down
online dissent follows the Thai government’s declaration of a
state of emergency
as thousands of demonstrators took to the streets to demand the government's
resignation. The anti-government movement became more active and violent in
late August and early September, and some portray the move by the Thai
government to shut down the websites as an attempt to block communications
between Thai anti-government demonstrators.
Link to Full Story
Upcoming events
| October 23-25,
2008 |
AIPLA Annual Meeting
Washington, D.C.
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| November 2-7, 2008 |
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Meeting
Cairo, Egypt
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