Chamber of Commerce makes successful use of .nl Dispute Resolution System
Referral service providers must transfer domain names to Chamber of Commerce
Referral service providers must transfer domain names to Chamber of Commerce
Is it okay for a commercial service provider to use the Chamber of Commerce's initials in a domain name, if the Chamber isn't involved with the service at all? Not according to a recent ruling by the World Intellectual Property Organization after the Chamber had made a complaint. The ruling sets a precedent that will be of interest to any organisation facing similar problems.
Referral services are not uncommon. They involve a company registering a domain name or premium-rate phone number, then advertising online using phrases such as 'apply for your driving licence' or 'submit your tax return'. Internet users who do related searches see the referral company's site in their results and simply assume that it belongs to the relevant government agency. But if they call the number listed on the site, or request the relevant service, they get a nasty shock. All the company does is refer them to the agency, or send them copies of the agency's documentation... for a sizeable fee. There are referral schemes designed to snare internet users looking for all sorts of things, but the most common ploy is to cash in on interest in public services.
Many people regard referral services as morally dubious, but they're not strictly illegal. The law doesn't say that you can't charge a fee for connecting people to another number or sending them public documentation. Or, indeed, for sending a form to a government agency on behalf of a 'client'. What the law does forbid is tricking people by pretending that you are a government agency. So, for example, a referral service can't use an agency's logo, house style or domain name.
The Dutch Chamber of Commerce is one of the organisations that referral service providers have latched on to. The Chamber discovered several external websites with domain names that included the letters 'KvK' -- the Dutch abbreviation for Chamber of Commerce. All charging premium rates for services available direct from the Chamber, such as providing extracts from the Trade Register. The identified sites were operating in the same way, although they had different registrants. With a view to stopping unauthorised use of its initials, the Chamber of Commerce brought complaints against the registrants and asked for the domain names to be transferred to its control.
The Chamber's complaints were made through our Dispute Resolution System for .nl Domain Names, which allows a petitioner to seek control of any domain name they feel is rightfully theirs. Using the system is considerably cheaper than pursuing a dispute through the law courts. We don't settle the disputes ourselves, but refer them to the World Intellectual Property Organization (WIPO) in Geneva. WIPO agreed to consider three claims brought by the Chamber together, even though the domain names in question had different registrants. Joint consideration of the claims was deemed justified, because the three domain names had been registered on the same date through the same registrar, and were being used in the same way, indicating that ultimate control lay with the same party. None of the registrants responded to the Chamber's claims. WIPO ruled that the Chamber of Commerce was entitled to the domain names on three grounds: 1. The domain names were sufficiently similar to the Chamber's brand name and trading name to cause confusion. 2. None of the registrants had a right to or legitimate interest in the domain names. 3. The domain names were being used in bad faith. As well as being a positive outcome for the Chamber of Commerce, WIPO's ruling sets an important precedent for any organisation confronted by dubious practices such as those described. However, a company or government agency can only intervene to stop malpractice if it knows about the websites involved. That's where SIDN BrandGuard comes in. The SIDN BrandGuard flags up registrations that resemble a brand or trading name, enabling subscribers to act quickly whenever abuse is suspected.