As explained in the decision, there are three primary actors in the domain name system. First, companies called "registries" operate a database (or registry) for all domain names within the scope of their authority. Second, companies called "registrars" register domain names
with registries on behalf of those who own the names. Registrars maintain an ownership record for each domain name
they have registered with a registry. Action by a registrar is needed to transfer ownership of a domain name from one registrant to another. Third, individuals and companies called "registrants" own the domain names. Registrants interact with the registrars, who in turn interact with the registries.
Verisign is a registry, not a registrar. The court held that under California law that domain names are located where the registry is located for the purpose of asserting quasi in rem jurisdiction. Accordingly, the the Northern District of California could assert jurisdiction over the domain names becuase Verisign was located within the District. While the court also included in dicta that it saw no reason why for that purpose domain names are not also located where the relevant registrar is located, this was not relevant to the decision.
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The decision is based on the fact that Verisign is the REGISTY, not the REGISTRAR
As explained in the decision, there are three primary actors in the domain name system. First, companies called "registries" operate a database (or registry) for all domain names within the scope of their authority. Second, companies called "registrars" register domain names
with registries on behalf of those who own the names. Registrars maintain an ownership record for each domain name
they have registered with a registry. Action by a registrar is needed to transfer ownership of a domain name from one registrant to another. Third, individuals and companies called "registrants" own the domain names. Registrants interact with the registrars, who in turn interact with the registries.
Verisign is a registry, not a registrar. The court held that under California law that domain names are located where the registry is located for the purpose of asserting quasi in rem jurisdiction. Accordingly, the the Northern District of California could assert jurisdiction over the domain names becuase Verisign was located within the District. While the court also included in dicta that it saw no reason why for that purpose domain names are not also located where the relevant registrar is located, this was not relevant to the decision.