Note: Always seek the advice of a lawyer if you have any concern surrounding a domain name acquisition.
Over the years, more than one person has made a small fortune from
exploiting a domain name containing a trademarked brand, title, or some
other name they should not have been able to buy in the first place.
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The reason people were able to get away with this was due to a lack of legal
precedence - neither companies nor courts new exactly what to do when it
came to the issue of Internet-based trademark violations. But as Internet
usage becomes more widespread, new precedents and laws are emerging to
protect trademark holders, though it is still hotly disputed legal
territory. In recent years, trademark holders have started to view the
Internet as simply another medium in which to protect their brand, and they
are becoming more vigilant in doing it.
A trademark, as it is traditionally defined, is a name or symbol is
officially registered to a third party. Unless otherwise specified, the
trademark owner is the only party that can legally make use of a trademarked
name. The Internet presents a problem for trademark holders, as there are
hundreds of operational domain suffixes when country code Top Level Domains
(ccTLDs) are counted; this presents hundreds of opportunities for trademark
violations using domain names. As a result, when purchasing a domain name,
be forewarned that buying one containing a trademark could result in a legal
battle. Some companies protect their trademarks more vigorously than others,
so the issue may never arise; if it does, however, you will likely be asked
to relinquish the domain name - fast.
It is not the responsibility of any one party to notify you if you purchase
a domain name that contains a registered trademark. What's more, most domain
name registrars will side with a court order, no matter what the decision,
when asked to do so. Most companies even spell it out in their dispute
policy. VeriSign's dispute policy, for example, reads: "It is your
responsibility to determine whether your domain name registration infringes
or violates someone else´s rights."
Like most people, companies are not fond of court. As a result, they will
likely ask you nicely to relinquish the domain name before they get nasty.
If you decide to not give up the domain name/close your Web site (the
specific nature of the request can vary), a vigilant firm will initiate
legal action. Remember that most large firms have a great deal of experience
in protecting their trademark and brands, and usually back this experience
up with significant financial resources. Before making a decision to protect
your domain, consider: is the name worth it? Can I gain any benefit from
relinquishing control of it? There are an unlimited number of domains
available for use. It may be worth your while to just look for a new name
instead of trying to protect a disputed one.
