opinion Buyer: "Well, I'll own the TM in a couple of weeks. So, nobody will be able to use it."

[Nick]

I got an inbound today on a 2 generic word .COM that I registered back in April. On my site, when a buyer is interested in the domain, they can choose their budget range in the contact form. The starting budget range is $1000-$5000- of course, that's what he chose. I gave him a call and asked what he was offering. He said "a thousand bucks". I said "hmm" and before I could utter another sentence, he added (I couldn't believe this...) "Well, I'll own the trademark in a couple of weeks. So, nobody will be able to use it.".

I was, literally, speechless. I could already see the article being posted on TheDomains about this guy being found guilty of reverse domain hijacking. If he hadn't thrown in that little bit of unsolicited information, I'd probably have let it go for not much more than he offered. However, now that I know he apparently filed a trademark, the price in my mind has gone up at least 5x...maybe 10x.

What would you do?

 

[hxp]

"Well, I'll own the trademark in a couple of weeks. So, nobody will be able to use it."

"Including you."

 

[johname]

Ideas Just to get the ball rolling.

1) Just because he says he will own the tm in a couple of weeks doesn't mean he even applied

2) Any evidence he even applied. You don't go from zero to have the tm in a couple of weeks.

3) Does the name lend itself to only one use. For example GoatComputers would only suggest a computer use. One use domains can be neutered by a tm

4) Your creation date resent? ( i see April, that's could be sketchy)

5) Dont talk too much, A simple "it doesn't work that way" and move on to price talk.

6) Just because you want a nice payday doesn't mean he will pay it.

*********

He could easly applied before or at April. I would investigate more and not talk too much. He might have you on this one. Good Luck

 

[DomainVP]

Direct him to this article:

How I Blew 50 Grand On My Journey For The Perfect Domain Name
http://www.forbes.com/sites/zalmidu...nd-on-my-journey-for-the-perfect-domain-name/

In the end he may be just as stubborn, sometimes in a game of chicken if nobody swerves - everyone loses.

In this case I would just make sure development was going on with the name before he does anything with the name. You could even file a dispute with the USPTO to void his TM since you will be using the name in commerce, if you decide to use it.

Any way you look at it, the ball is in your court.

 

[Nick]

1) Just because he says he will own the tm in a couple of weeks doesn't mean he even applied

I agree. But I've done research on him and he has some money, so it's believable that he could have filed.

2) Any evidence he even applied. You don't go from zero to have the tm in a couple of weeks.

None that I've found.

3) Does the name lend itself to only one use. For example GoatComputers would only suggest a computer use. One use domains can be neutered by a tm

No. As a matter of fact, there are SIMILAR trademarks that contain my phrase, with the addition of other words. I registered this domain thinking of it as a use for an organization or club. As a matter of fact, I also have the .CLUB.

4) Your creation date resent?

Not clear on this question.

5) Dont talk too much, A simple "it doesn't work that way" and move on to price talk.

I totally agree. I always try to say the least possible. This guy reminded me of a criminal on COPS, singing his way into handcuffs. We left the phone call with me telling him I'd get back to him shortly.

6) Just because you want a nice payday doesn't mean he will pay it.

I agree with this, as well. This is why I usually research the person before contacting them. From what I found, he has money. Of course, this doesn't mean he's willing to spend it. Yes, I could use the money to make other investments or do whatever else with it. A 4 month flip is always nice. On the flip side, I'm not in a rush to give it away for a fraction of what I could get for it.

 

[Nick]

Direct him to this article:

How I Blew 50 Grand On My Journey For The Perfect Domain Name
http://www.forbes.com/sites/zalmidu...nd-on-my-journey-for-the-perfect-domain-name/

In the end he may be just as stubborn, sometimes in a game of chicken if nobody swerves - everyone loses.

In this case I would just make sure development was going on with the name before he does anything with the name. You could even file a dispute with the USPTO to void his TM since you will be using the name in commerce, if you decide to use it.

Any way you look at it, the ball is in your court.

Yes, great advice. Regarding the game of chicken comment...I'd be totally cool with not selling this domain versus not getting what the value is. I am pretty sure I paid $0.99 for it, anyway and will happily renew it.

 

[discobull]

I got an inbound today on a 2 generic word .COM that I registered back in April. On my site, when a buyer is interested in the domain, they can choose their budget range in the contact form. The starting budget range is $1000-$5000- of course, that's what he chose. I gave him a call and asked what he was offering. He said "a thousand bucks". I said "hmm" and before I could utter another sentence, he added (I couldn't believe this...) "Well, I'll own the trademark in a couple of weeks. So, nobody will be able to use it.".

I was, literally, speechless. I could already see the article being posted on TheDomains about this guy being found guilty of reverse domain hijacking. If he hadn't thrown in that little bit of unsolicited information, I'd probably have let it go for not much more than he offered. However, now that I know he apparently filed a trademark, the price in my mind has gone up at least 5x...maybe 10x.

What would you do?

I would continue negotiating the same way I would have if he hadn't said that. Just because he's filing for TM doesn't mean he's got $5k or $10k to spend on a domain and if he doesn't have it, you're not going to get it.

 

[indiegrind]

Treat it as you would as if he had not even said that. If you are happy with his offer take it. If not negotiate. Dont jack up the price out of spite.

 

[Nick]

I would continue negotiating the same way I would have if he hadn't said that. Just because he's filing for TM doesn't mean he's got $5k or $10k to spend on a domain and if he doesn't have it, you're not going to get it.

I see your point and it's valid. The only additional thing I have to add is, I know that his circle consists of very wealthy people and what I've found about him, so is he. Of course, like I previously mentioned, I know it doesn't mean he's willing to spend his money.

 

[Dream Big]

I would ask for 2K and settle around 1.5K

 

[ulterios]

Depending on what the name is, i'd double his offer if it's something you would be happy with.

Him having/getting/owning a Trademark means nothing as long as you aren't using the domain to profit from his TM. Slap up a 2-3 page site in an unrelated niche/field/etc. and it doesn't matter if he has the TM or not. Since it's generic as you have said, find something opposite of what he is in.

He's trying to scare you off. I have had it happen to me before and I did lots of research into TM's so I knew what not to do.

Just don't have anything on the site, including parking ads, that is related to what his would be TM is going to be for.

 

[RevolutionaryDomains]

Stay focused on the only piece of info that matters, which is his offer amount. Everything else is immaterial at this point, so don't get distracted by his gibberish.

You fully admit you'd let it go for not much more than he offered, so state your price in your reply, close the deal, and move on to the next name, with a great sale under your proverbial belt, IMO.

Congrats, and best of luck.

I got an inbound today on a 2 generic word .COM that I registered back in April. On my site, when a buyer is interested in the domain, they can choose their budget range in the contact form. The starting budget range is $1000-$5000- of course, that's what he chose. I gave him a call and asked what he was offering. He said "a thousand bucks". I said "hmm" and before I could utter another sentence, he added (I couldn't believe this...) "Well, I'll own the trademark in a couple of weeks. So, nobody will be able to use it.".

I was, literally, speechless. I could already see the article being posted on TheDomains about this guy being found guilty of reverse domain hijacking. If he hadn't thrown in that little bit of unsolicited information, I'd probably have let it go for not much more than he offered. However, now that I know he apparently filed a trademark, the price in my mind has gone up at least 5x...maybe 10x.

What would you do?

 

[hawkeye]

Quickly put a porn site on it, and tell him that was your intent all along and why you bought it in the first place!

 

[cocaseco]

I would explain to him that a TM is for one specific use and that it can be used by anyone else in a non competing segment. Then I'd raise the price.

 

[Ms Domainer]

I would explain to him that a TM is for one specific use and that it can be used by anyone else in a non competing segment. Then I'd raise the price.

Well, that depends.

If the trademark is on a made-up word, developed by the trademark holder, then that assumption is flawed.

Just try using "Verizon" in a non-competing business and you'll be receiving a C & D.

 

[SirDrago]

You can easily make him aware that in the "few weeks" it will take him to obtain his TM on the name you could sell it to someone else and make it their problem.

Or my favorite is making them aware that it will cost them at least $3,500 before even having the pleasure of seeing me in court.
I'm sure $1,500 would avoid that tho....
Best of luck!

 

[cdboard]

put up a website.

formally oppose his trademark application.

 

[SpareDomains]

This is the reason I keep all negotiations to email only. Can print it out if needed in the future as that statement alone equals instant fail. I only call people to help with the transfer of the domain as prefer all business terms to be in writing. I can pull up emails from deals that happened 12 years ago. I even save negotiation emails that don't materialize in case they turn shady down the road.

 

[paul79]

good point re getting everything in writing (well email) - as you say is better as verbal agreements can be backed out of and not easily proved

 

[Nick]

Well, that depends.

If the trademark is on a made-up word, developed by the trademark holder, then that assumption is flawed.

Just try using "Verizon" in a non-competing business and you'll be receiving a C & D.

In this case, it's not something like "verizon", but more like "snackfit", "visuallabs" or "mindfield". (those are comparable sale .COMs from the past week) Two words together, that are not related apart.

put up a website.

formally oppose his trademark application.

I've searched the USPTO and Trademark247.com - I've found nothing. He may have just submitted an application today, for all I know. I've since removed the domain from my portfolio site and put up a single "coming soon" page.

This is the reason I keep all negotiations to email only. Can print it out if needed in the future as that statement alone equals instant fail. I only call people to help with the transfer of the domain as prefer all business terms to be in writing. I can pull up emails from deals that happened 12 years ago. I even save negotiation emails that don't materialize in case they turn shady down the road.

I agree and do as well. However, if I send an email and don't get a response back (which is what happened here) I give them a call. Sometimes emails go to spam and they never end up reading it.