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Are All Domainers Cybersquatters?

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With the number of domains being registered by domainers, domain tasters and various domain monetization companies, the cybersquatting debate continues to increase in intensity. In the Vtalkradio interview with Professor Eric Goldman, the phenomena of domaining is explored. Are all domainers cybersquatters? What is the impact of domain tasting on the domain industry? Where is the domain monetization industry headed next?

Professor Eric Goldman of the Santa Clara University School of Law is the assistant professor/director of the school’s high tech law institute. Before that he was the assistant professor at Marquette University Law School in Wisconsin, and his specialties are cyberlaw, cyberspace, intellectual properties and copyright.

DomainNews.com has posted both the audio and written transcript of the interview below…


Question: So what is a domainer and domaining? It’s a pretty hot subject with everything that’s going on on the internet right now.

ERIC: I think that we’re still working on an exact definition, but a typical domainer has some of the following attributes: They register a lot of domain names and in some cases they register them on an automated basis. Typically they create a very light content site onto that domain name. They will typically have some sort of ad platform that will generate revenue from that particular page. So the typical domainer has a large portfolio of domain names with content attached to their websites that’s mostly ads.

Question: What would make a domainer different from a cybersquatter then?

ERIC: Well, that’s one of the issues that we’re wrestling with in the field is whether domainers are cybersquatters and there’s been a strong split of opinion about that topic. In the late 1990’s and even earlier than that, we had a very strong and relatively clear definition of cybersquatters. These are people who would acquire a domain name for the profitable resale of that domain name. Typically they would identify a trademark owner or a well known person register the domain name before that person could register it or that company could register it and then play a hold up game. Tell the company or person that if they wanted the domain name back, they would have to pay an extravagent amount of money and that is that and it’s gotten so out of control that a couple of different types of regulations were introduced to squelch it which they’ve done pretty well. However, domain name isn’t quite that. Often times the domainers are not particularly interested in profitable resale and, in fact, in my experience many times when domainers get complaints about domains, they’ll just hand the domain name back, no questions asked and no money charged. They’re not looking to make money from the resale of the domain names, they’re looking to make money from the traffic that flows from the visitors who come to those particular domains and the sites that has them. So, we’re not entirely sure if domainers are really just new and slightly different variation of cybersquatters or if they are really a new class of activity that wasn’t contemplated by the problems we saw in the late 1990’s.

Question: So, by listening to the psuedo definition of it is it can’t really be nailed down at this point. It’s more like a land speculation deal where you think this person may go up so you buy into it now?

ERIC: Well yeah, I think you’re on the right track. In other words, think about when a city or a county builds a new stadium and because of that there is gonna be all these people who are gonna be driving to that stadium and from that stadium as part of going to a game or fair or some festival. So all the real estate along that route are gonna be suddently more valuable as there is more traffic coming to and from the stadium. Certainly domainers take advantage of the fact that people are trying to get to a particular place and they’re using the technology of domain names to try and get where they are going and along the way domainers hope to make some money from these people on their journey.
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In a word: no. He makes a logical fallacy (professor, ahem) of confusing mode with intent. That is, as "cyber squatter" is legally defined depends on those who try to profit from domain names that derive their value from the trademark of another firm or individual. The notion that because squatters are now parking instead of selling means only that they have changed their modus operandi - the core issue remains: those who profit off of others' trademarks, through traffic, resale, etc., are "cyber squatters". There is a legitimate PPC market, in parking and beyond, and we shouldn't create an infinitely large gray area to appease those who misunderstand this market.
 
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In a legal sense, no.

In a general sense, yes.

We are "squatting" on a non-physical piece of cyberspace.

All of the cybersqatting you hear of is use of the legal term.

-Steve
 
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I donno why he sees Domainers as trademark domains owners only "the real cybersquatters" .

Also, he talks about Google and the parking concept as stealing or cybersquatting.
He have Adsense on his own web page.

I liked the way he explained and answered all the questions but it looks like from the other side of the tunnel.
 
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rfm said:
In a word: no. He makes a logical fallacy (professor, ahem) of confusing mode with intent. That is, as "cyber squatter" is legally defined depends on those who try to profit from domain names that derive their value from the trademark of another firm or individual. The notion that because squatters are now parking instead of selling means only that they have changed their modus operandi - the core issue remains: those who profit off of others' trademarks, through traffic, resale, etc., are "cyber squatters". There is a legitimate PPC market, in parking and beyond, and we shouldn't create an infinitely large gray area to appease those who misunderstand this market.

Great Post. One which i'd have to agree with. The issue here is that CyberSquaters directly and intentionally try to profit from anothers trademark. Regardless of selling the domain name for large gains or even parking it and directing its traffic to advertisements.
 
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It is really scary how little this guy understands.
 
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Let's dissect the definition of a squatter for a moment..

squat·ting, adjective, squat·ter, squat·test, noun
–verb (used without object)
1. to sit in a low or crouching position with the legs drawn up closely beneath or in front of the body; sit on one's haunches or heels.
2. to crouch down or cower, as an animal.
3. to settle on or occupy property, esp. otherwise unoccupied property, without any title, right, or payment of rent.
4. to settle on public land under government regulation, in order to acquire title.

If you pay for your domain registration and its associated yearly maintenance, and the name is generic... need I say more?
 
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rfm said:
"cyber squatter" is legally defined.
By who? Although ACPA describes instances of such, it still doesn't define it.

Folks, Mr. Goldman is simply trying to explain and explore the issues based on
what he knows and whatever experience he has. In case some of you missed
this:

with respect to the number of domainers out there
At least it isn't as seemingly broad a stroke as Mr. Isenberg wrote before.

How often do you see a lawyer talk about something closely while considering
any and all sides to it?
 
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domainerph said:
Let's dissect the definition of a squatter for a moment..

squat·ting, adjective, squat·ter, squat·test, noun
–verb (used without object)
1. to sit in a low or crouching position with the legs drawn up closely beneath or in front of the body; sit on one's haunches or heels.
2. to crouch down or cower, as an animal.
3. to settle on or occupy property, esp. otherwise unoccupied property, without any title, right, or payment of rent.
4. to settle on public land under government regulation, in order to acquire title.

If you pay for your domain registration and its associated yearly maintenance, and the name is generic... need I say more?


And there ya go......
 
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domainerph said:
If you pay for your domain registration and its associated yearly maintenance, and the name is generic... need I say more?
A lot can be said if the generic name isn't being used in its generic sense.
 
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