Current Insight Community Cases

Essential Datacenter Tips On Application Performance Monitoring

The Importance Of Skilled Immigrants To The American Economy

Help A New Kind of Music Label Revolutionize The Industry

Mandates To Buy American Should Be More Carefully Considered

Navigating The New Business World After This Recession

Check out our CwF + RtB experiment.
Brought to you by Floor64 and the Techdirt crew.

stories filed under: "domain tasting"
Legal Issues

Legal Issues

by Mike Masnick


Filed Under:
domain names, domain tasting, domainers, trademark



Domainers Lose Big Time In Verizon Cybersquatting Lawsuit

from the poor-domainers dept

Eric Goldman has the details on a lawsuit that should make various typosquatting "domainers" (those who register tons of domain names on typos or other variations of a brand name) a bit nervous. The court came down hard on domaining in general, and domain "tasting" more specifically. The domainer in question tried to get around the law by claiming that by just "tasting" the domain (i.e., holding onto it for the 5 day grace period before you have to pay for it), they weren't running afoul of laws concerning registering someone else's trademarked names.

What's odd, though, and Goldman doesn't seem to understand it either, is that it wasn't just the domainer who got slammed, but the registrar through which the domainer registered the domains. That seems questionable, as the registrar should just be a third party service provider, and protected from any liability from the actions of the user.

13 Comments | Leave a Comment..

 
(Mis)Uses of Technology

(Mis)Uses of Technology

by Mike Masnick


Filed Under:
domain kiting, domain tasting, icann, tlds, top level domains

Companies:
icann



ICANN Finally Relaxes TLD Requirements -- But It Still Looks Like A Money Grab

from the cluster.f**k dept

For years, we've been among those who wondered what good it did for ICANN to dribble out new top level domains (TLDs -- such as .info, .biz, .aero, etc.) every few years. For the most part, these new domains didn't do much other than force companies to buy their name on each new TLD as it was released. It basically just seemed like a way for ICANN and registrars to keep fleecing companies. Instead, we agreed with those who wondered why we had a limited number of TLDs in the first place. Why not just open it up and let any address work?

Well, now ICANN has taken a step in that direction... but, not really. It has agreed to open up the TLD system to those beyond what was approved, but anyone registering a name on a non-standard TLD will need to show a "business plan and technical capacity." Why do they need a business plan? What if they just want to set up a site for fun? Oh, right, because if you have a business plan, it means you have money to pay for stuff -- say $100,000 to $500,000?

In other words, rather than really opening up the system, it looks like yet another money grab.

In better news, however, it appears that ICANN has also decided to put in place a tiny charge for registering domain names and dropping them in the "grace period." This hopefully should greatly reduce the practice of domain hoarding (or "domain kiting" or "domain tasting" depending on who you talk to). As you may know. companies have been pulling all sorts of tricks using this grace period to register domains without ever having to pay for them. And, as a result, even companies like Network Solutions have gotten into the game, while pretending that they were holding any domain you searched for in order to "protect" you from others who might squat on the name.

19 Comments | Leave a Comment..

 
Scams

Scams

by Mike Masnick


Filed Under:
domain kiting, domain names, domain tasting, scams

Companies:
google, icann



Can Google Solve The Domain Tasting Problem?

from the worth-a-shot dept

The issue of "domain tasting" (or "domain kiting") has been getting a lot more attention lately. Dell sued a company for pulling a domain tasting scam to make ad money off of domains without having to pay for them and ICANN has recently started to look into the problem. Of course, at ICANN's snail's pace, it didn't seem like anything was going to happen any time soon -- so it appears Google has decided to step up with a potential solution.

For those who don't know, domain tasting is used by certain companies to register a bunch of domain names and place ads on them. Since ICANN's rules say that you can register a domain for five days before deciding if you actually want to pay for it and keep it, the domain tasters just hold onto the domain for five days, put Google AdSense on the domain and collect any money before returning the URL. If a domain is particularly valuable, they might actually buy it -- but the more recent scam is to have a series of shell companies repeatedly take the domain for five days at a time, quickly reregistering it seconds after the previous "holder" gives up the domain.

It's clearly a scam and wasn't at all what was intended with the five day grace period. However, with ICANN taking the slow road towards dealing with it, Google has now announced that it will not allow any Google AdSense ads to appear on a site during the five day grace period. This is a bit of a surprise, since Google likely makes plenty of money from this practice. While domain tasters will quickly gravitate to other ad platforms, Google was probably the most effective one, and hopefully other leading ad platforms will follow Google's lead.

26 Comments | Leave a Comment..

 
(Mis)Uses of Technology

(Mis)Uses of Technology

by Mike Masnick


Filed Under:
domain names, domain tasting



ICANN Finally Realizes Domain Tasting Is A Problem, Might Fix It Sometime This Decade

from the or-maybe-not dept

The practice of "domain tasting" (or "domain kiting" as it used to be called) has been a well-known problem for at least two years now. Since domain name registrars offer a five day grace period whereby you can buy a domain and return it saying you made a "mistake," scammers have been buying up every domain name imaginable, throwing ads up on the site for five days, seeing what kind of return it gets, and then tossing it back (without ever paying for it). In some cases, scammers have set up multiple shell corporations to keep renewing those names for 5 days at a time indefinitely, without ever having to pay a dime. When we first wrote about it in May of 2006, the estimate was that over 90% of new domain registrations were of this nature (though, some question that number). Either way, it's clearly a big issue. Yet, it's taken nearly two years just to get ICANN to acknowledge it's a problem. On top of that, they're merely discussing the problem, and may not take any action towards dealing with it for some time. As per usual with ICANN, expect lots of talk and little useful action.

In related scammy domain name news, apparently the very first domain name registrar, Network Solutions, has joined the ranks of scammy registrar sites that reveal the names you're searching to scammers who register them quickly. This, also, has been a well-known problem since at least 2006, though usually for less reputable whois sites. Most people felt you were okay if you researched the names at a reputable site like Network Solutions. Network Solutions has responded to these accusations by claiming this is for customer protection (talk about double speak). Effectively, NetSol's claim is that they're trying to prevent others from registering the domain you searched for, so they're holding it themselves (and making it more expensive than you can get anywhere else). Maybe ICANN will notice this activity sometime in early 2011, and try to put in place a solution sometime before 2020.

5 Comments | Leave a Comment..

 
Scams

Scams

by Mike Masnick


Filed Under:
domain kiting, domain names, domain tasting, registrars

Companies:
dell



Dell Sues Cybersquatters For Elaborate Shell Game

from the catch-me-if-you-can.com dept

Hearing stories about cybersquatters taking domains that are confusingly similar to corporate names is nothing new, but a new lawsuit from Dell shows just how far some firms are taking the practice. Dell has sued a group of registrars claiming that they're really a series of shell companies designed to sit on various squatted domains for free. It's no secret that a common practice among domain squatters is to register a domain and put ads on it for a few days to see if it drives any revenue -- and if it doesn't to return the domain within the grace period. We had always heard of this practice as being called "domain kiting," but Dell refers to it (more aptly) as "domain tasting" in its lawsuit. However, what's interesting here is that they're accusing one company of setting up a long series of shell corporations to keep registering the same domain name over and over again -- getting the benefit of the traffic without ever having to pay for the domain name. For example, Dell notes that one company registered "dellfinacncialservices.com" and used it for 5 days (the limit you can go without paying) before abandoning it. However, as soon as it was abandoned, another firm picked up, used it for 5 days and then abandoned it again, only to see another firm immediately pick it up. Basically, they trace a pretty compelling pattern to suggest that this was a coordinated effort, potentially by a single company.

The other interesting part about the lawsuit is that rather than focusing on standard laws having to do with cybersquatting, Dell has gone a step further and is claiming that registering domain names with the Dell name in them is akin to "counterfeiting." That seems like quite a stretch -- and even the legal expert quoted in the article seems to think it's a long shot for Dell to make that argument. If they win on this argument, then it could spell a lot of trouble for people who happen to own domain names that are similar to the names of large corporations. For many years, we've covered the fight between Nissan (the automaker) and Uzi Nissan, the guy who owns Nissan.com (this story is getting some more attention this week, thanks to a Freakonomics post, but the story itself has dragged on for years). Presumably, if Dell wins their case, then Nissan could turn around and accuse Nissan.com of "counterfeiting" and have a pretty strong precedent to back it up.

15 Comments | Leave a Comment..

 
Search Techdirt
And now, a word from our Sponsors..



Popular Posts
Poll

Which Internet Concern Worries You The Most?

 

 

 

 

 

 


Add Techdirt RSS To Your Reader
rss Add Techdirt to your Bloglines
Add Techdirt to your Google Add Techdirt to your My Yahoo
Add Techdirt to your Netvibes Add Techdirt to your Newsgator
Subscribe to Techdirt's Daily Email Newsletter

Techdirt's Daily Email Newsletter

Older Stuff

Friday

1:49am: Winner Takes All, Long Tails And The Fractilization Of Culture (10)

Thursday

10:37pm: The Lobbyists' Ability To Control The Message (29)
8:11pm: In Going Free, London Evening Standard Doubles Circulation While Slashing Costs (26)
6:10pm: Senate Exploring Med School Profs Putting Names On Ghostwritten Journal Articles In Favor Of Drugs (22)
4:52pm: What Does It Say When A Comedy Show Does More Fact Checking Than News Programs? (56)
3:33pm: Nordic Music Week: Optimism Galore And Found Songs (11)
2:10pm: Would Top Sites Really Opt-Out Of Google Based On A Microsoft Bribe? (37)
12:57pm: Intel Lawyers Again Go Too Far In Trademark Bullying (22)
11:43am: Mandelson Wants Gov't To Have Sweeping Powers To Protect Copyright Holders (40)
10:47am: Once Again, Walmart Stops People From Printing Family Photos Due To Copyright Law Claims (42)
9:39am: Essayist Writes Popular Essay... Then Sends 'Non-Negotiable' Invoice To Church Who Posts It Online (59)
8:23am: ASCAP, BMI And SESAC Continue To Screw Over Most Songwriters: 'Write A Hit Song If You Want Money' (78)
7:07am: Kicking People Off The Internet Not Enough In South Korea, Copyright Lobbyists Demand More (26)
5:33am: Are The Record Labels Using Bluebeat's Bogus Copyright Defense To Avoid Having To Give Copyrights Back To Artists? (42)
3:53am: Larry Magid Calls For News Tax To Fund Failing Newspapers (29)
1:35am: Judge Says 'There's An Ad For That...' And It's Ok For Now (14)

Wednesday

11:01pm: Oh Look, Some Police Do Know How To Use Craigslist As A Tool (8)
8:43pm: Netherlands The Latest To Propose Mileage Tax That Requires GPS For Tracking Driving (30)
6:40pm: Spain Says Broadband Is A Basic Right (12)
4:22pm: Entertainment Industry Wants More People To Know About OpenBitTorrent Tracker (25)
3:00pm: It's The TSA, Not CSI: Actions Limited To Security, Not Crime Investigation (25)
1:49pm: The More Innovative You Are, The More You Get Sued; Yet Another Patent Lawsuit Over Shazam (7)
12:36pm: Oh No! Nobody Reads! Oh No! It's Too Cheap For Everyone To Read! (18)
11:15am: We See Your 'Copyright Contributes $1.5 Trillion' And Raise You 'Fair Use Contributes $2.2 Trillion' (17)
9:55am: Cable Industry Joins MPAA In Asking FCC To Allow Them To Stop Your DVR From Recording Movies (45)
8:44am: Sony Pictures Having Its Best Box Office Year Ever... Still Blaming Piracy For Killing The Business (38)
7:30am: Jenzabar Finds 'Expert Witness' Who Will Claim Google Relies On Metatags, Despite Google Saying It Does Not (38)
5:52am: China Says Microsoft Violates IP With Windows, Bars Sales (26)
4:01am: Don't Post Comments On StlToday.com Or They Might Tell Your Boss (46)
1:50am: Recording Industry Making It Impossible For Any Legit Online Music Service To Survive Without Being Too Expensive (45)
More arrow
Quick Links
Close
E-mail It