Well, it is true. REPI the Italian company is a popular brand. If i type REPI on Google, the company's italian website ranks on top. There is no way to argue that you could not have known this brand has been existing.
Another is that REPI is not exactly generic, dictionary, or descriptive. The more unique it is, the more it reinforces your trademark claim to it. Which is a burden for acronym speculators, because it is difficult to claim legit interest on some jumbled letters other than squatting on it when someone already has trademark claims to it.
I think the wordings of this panelist was less than perfect. He must have been referring to regging "trademarked" domains. Otherwise, SEDO could not have existed if people are not allowed to reg domains for the purpose of reselling them.
And lastly, the domain owner in this specific REPI case did not offer any defense. And his position was not exactly strong to begin with to not offer any kind of defense to rebutt the complaint against him.
A panelist is a human being, and you need to convince his mind to reverse an existing presumption that is against you. And the contention was, he regged the domain in bad faith based on the argued evidence presented.
By the way, i am just commenting for the sake of discussion. This is not a legal advice.
Just out of curiosity: This is an old case, dating back to March 2011. What prompted you to dig this up?