US Cyber-Squatting Ruling Sets Precedent

by Glen Shapiro, LawAndTax-News.com, New York

09 May 2003

A ground-breaking ruling in a recent cybersquatting case means that foreign domain name registrars can now be compelled to cooperate with US courts, according to an LMG report.

The dispute began when, during a routine check of domain name records, US internet service provider America Online (AOL) found that the AOL.org domain name had been registered by a cybersquatter with Chinese registrar, OnlineNIC in 2001.

The company filed an in rem complaint under the Anticybersquatting Consumer Protection Act, but following a court order to transfer the name to AOL in November 2002, instead transferred the domain to Neptia.com, another registrar based in South Korea.

According to LMG, the court then issued a second order in April requiring the Public Interest Registry - which controls the database of all .org domain names, and can transfer a domain name against the wishes of a registrar - to act on AOL's behalf.

Speaking to the news service on Monday, James Davis, of US law firm Arent Fox Kintner Plotkin & Kahn explained that:

'There are a growing number of foreign registrars who seem reluctant or unwilling to comply with orders from US courts.' However, he added that:

'As a result of this decision, I anticipate plaintiffs in future in rem cases will ask the court to order that the registrar and registry transfer the domain. That way, if the registrar refuses to comply, the registry will be obligated to take action to ensure the domain is transferred.'

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