Submit Express Newsletter

 

Submit Express Newsletter

Dec 15, 1999

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      1-    Intro

      2-    Trademark Law and Domain Names 

      3-    Cybersquatters Beware!

      4-    Search Engine News

 

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1- Intro

 

Last week in our partner newsletter, "Affiliate Today," we announced

that you could now register 67 character domain names.  Previously this

was limited to 23 characters.  This opens up a whole range of new

possibilities, and we urge you to reserve some good domain names now,

before they are gone.

 

For example, in some industries like Real Estate, it is very hard to

find an available domain name. A few weeks ago we wanted to register a

domain name for one of our clients, "American Mortgage Bankers of

California," but all possible combinations were either taken or were

too long.  We have now registered:

www.AmericanMortgageBankers.com (which was one letter too long before)

 

This change is so new that Network Solutions does not offer it yet.

Fortunately, we have found an approved domain name registry that allows

registration of 67 character domain names.  They charge only $60 per

domain for 2 years. Here is their link:

http://www.submitexpress.com/domains.html

 

We mentioned in the last issue that Infoseek does not accept submission

of sub-pages anymore.  By registering a few domain names you will

increase your chances of getting listed immediately rather than having

to wait for Infoseek's spider to crawl your sub-pages.  Also, domain

URLs rank better than sub-pages in most major search engines.

 

However, before you register a domain name, make sure to read the

articles below about some very important new laws that were passed in

regards to registering domain names that contain trademarks, better

known as "Cybersquatting."

 

We hope you enjoy this issue, and as always we ask that if you like our

newsletter, please forward it to all your webmaster friends or whoever

might be interested.  Subscription is completely free and can be

obtained at:

http://www.submitexpress.com/newsletters.html

 

Thanks,

Submit Express

 

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2- Trademark Law and Domain Names 

 

Recently, two of our clients were asked to cease and desist the use of

their domain names, because URLs contained trademarked terms.  With the

recent trademark laws passed (see next article), it has become very

difficult for non-trademark holders to argue their case.  I have

decided to write this article to mostly warn people from choosing

domain names that may infringe upon trademarked terms.

 

A few months ago one of our clients, shadesrus.com, notified me that we

should stop optimizing their site at the given URL, and that they had

changed their name because Toys-R-Us had threatened to take action.  We

had worked very hard in getting their site to the number 2 position on

AltaVista with the keyword "sunglasses" and now we had to start over.

 

Then a few weeks ago we heard a similar story from another client,

MyStarwars.com.  This time LucasFilm was asking for the domain name

rights.

 

Both of our clients have been asked to cease and desist using these

domains, even though they both have very good cases for holding on to

them. Shadesrus does not sell toys, and MyStarwars.com is an authorized

reseller of LucasFilm products. Unfortunately, both these sites have

decided to give up using the domain names because it will be cheaper

for them to start over with fresh sites, rather than battling the

giants.

 

Another similar case is the non-profit community site latinabarbie.com .

The site belongs to 21-year-old Michelle Curiel, who has been receiving

thousands of hits a week and has about 900 registered email users.  She

is being asked by Mattel, Inc. to transfer the name back to them and in

return they will pay her $70 for her domain registration fee!

 

I had a chance to speak with Michelle and found out that she has simply

chosen her childhood nickname of "latinabarbie" as her domain name. 

Michelle does not sell or mention any products at her site related to

those products made by Mattel.  At this point, Michelle is talking to

her attorneys and has not yet decided what she will do.  She has worked

very hard on her site, and I hope that she will be able to keep it. 

For the latest on her case and to see how you can help her, please go

to her bulletin board page at:

http://server3.ezboard.com/blatinabarbiesmessageboard.html

 

Here are links to some other similar cases:

 

Virtual Works' vw.com vs. Volkswagon

http://www.internetnews.com/bus-news/article/0,1087,3_246671,00.html

 

bbc.org vs. BBC

http://www.theregister.co.uk/991129-000016.html

 

eToys.com vs. etoy.com

http://www.zdnet.com/intweek/stories/news/0,4164,2408451,00.html

http://www.villagevoice.com/issues/9948/barliant.shtml

http://www.toywar.com

 

fcuk.com vs. First Consultants UK

http://www.theregister.co.uk/991206-000020.html

 

We hope that in the future you will use caution when choosing a domain

name that may be a catchy variation or spin-off of major trademark

labels like the ones mentioned earlier.  Your hard work and effort

shouldn't be taken out from under you.  Research, prepare and plan your

domain name carefully.  The misconception that the Internet is an area

of no consequence is soon changing because lobbyists and big business

have seen the profit potential.

 

Good luck!

 

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3- Cybersquatters Beware!

 

On November 30, 1999, President Bill Clinton signed into law the

Anticybersquatting Consumer Protection Act (hereinafter "Act"). 

Holders of trademarks, both consumer and corporate holders, extensively

lobbied for passage of this legislation.  Cybersquatting is the

practice of registering an Internet domain name, or other identifier of

an online location, with the hopes of profiting due to that name's

association with a trademark owned by someone else.  Profits

materialize once the owner of the trademark pays a premium to purchase

the Internet domain name or identifier from the cybersquatter.  The

Act's goal is to both stop and punish the practice of cybersquatting,

and to protect consumers and promote electronic commerce by amending

certain trademark infringement, dilution, and counterfeiting laws.  In

short, the Act aims to provide protection to trademark holders in the

ever-expanding Internet and digital age.

 

Congress made specific findings that the unauthorized registration or

use of trademarks as Internet domain names or other identifiers results

in consumer fraud and public confusion as to the true source or

sponsorship of the products and services.  Further Congressional

findings held that cybersquatting deprives owners of trademarks of

substantial revenue and consumer goodwill.

 

What protection does the Act afford to trademarks holders?  The

trademark holder (hereinafter "Plaintiff") now has a federal court

remedy if plaintiff can prove that the Internet domain name holder

(hereinafter "Defendant") has committed one of the following two

violations:

 

CATEGORY ONE:     The defendant is using an Internet domain name or other

identifier of an online location that is the trademark of the

plaintiff.  For example, defendant cybersquatter has registered

microsoft.com, a trademark owned by Microsoft Corporation.  This is the

simple situation when the discovery process of civil litigation will

almost certainly lead to court or jury factual findings that defendant

violated the Act.

 

CATEGORY TWO:     The defendant's Internet domain name or other identifier

of an online location is "sufficiently similar to a trademark" of the

plaintiff so that it causes either:

 

  a. confusion or mistake; or

  b. causes deception; or

  c. causes a dilution of the distinctive quality of a famous trademark.

 

 

For example, defendant cybersquatter has registered windows.com, a

domain name that is sufficiently similar to a trademark of Microsoft

Corporation.  Plaintiff must then prove that the domain name deceives

the public into the mistaken belief that defendant is associated with

Microsoft Corporation.  This situation, which is the more likely

factual pattern than one detailed in Category One, makes it more

difficult for plaintiff to prove its case.  What exactly is meant by

"sufficient similar" to a trademark will depend on a number of factors

and heighten the possibility of a protracted lawsuit.  Trial and

appellate courts will develop specific factors as the Act is

interpreted and used by litigants.  The process of using the Act in

everyday legal situations and awaiting interpretations and guidance by

higher courts may take a number of years.

 

A prevailing plaintiff can be awarded monetary damages between

$1,000.00 and $300,000.00 under the Act.  The Act also allows plaintiff

to collect fees paid to attorneys to prosecute plaintiff's case.  In

addition to monetary damages, the court can order the cancellation of

Internet names that were registered in bad faith by defendant.  The Act

applies to future cybersquatting conduct and applies retroactively to

domain names that already have been registered.

 

The Act will immediately transform the cybersquatting playing field by

giving trademark holders a distinct advantage in securing their

trademarks.  Trademark holders will no longer be subjected to extortion

type practices of cybersquatters, especially in those situations

wherein plaintiff is using the Category One type violations to stop the

defendant.  This being said, it is not yet clear how the Act will

affect the overwhelming majority of cases where a "sufficient similar"

standard must be proven by the trademark holder (i.e. Category Two type

cases).  The real action will occur in this second category of cases

since the cybersquatter will have a better opportunity to make factual

claims to its right to use the disputed domain name.

 

Aram Ordubegian, Esq.

aram@lawyer.com

1999 Copyright

 

For more details please see:

Uniform Domain Name Dispute Resolution Policy

http://www.icann.org/udrp/udrp.htm

 

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5- Search Engine News

 

MSN SEARCH:

 

MSN Search is now using Inktomi again.  If you remember, a few months

ago we had reported that MSN had dropped Inktomi and was using

AltaVista.  But it appears that now they have gone back to Inktomi for

their secondary results.  Their primary results are taken from the

LookSmart directory.

 

EXCITE:

 

Excite has not been indexing new pages for a while.  It's been reported

that currently only the existing pages are being re-indexed.  If you

have been experiencing problems getting in, you are not alone.  Excite

has announced that they are doubling their index size to 250 million

listings. So we expect that they will start adding new sites sometime

soon.

 

SNAP:

 

Snap has added a new feature called "LiveDirectory".  This feature

allows live addition of websites, without having to wait for an editor

to review your site.  The only difference is that the results will be

shown after the regular listings. Over time, the editors will go

through and add the best sites from the submissions to the actual

directory listings.

 

 

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