The following is an excerpt from the recent ICANN meeting in Lisbon and you should read it and understand what Rob Hall is saying:
25th March 2007, Lisbon
http://www.icann.org/meetings/lisbon/transcript-tutorial-expiring-25mar07.htm
25th March 2007, Lisbon
Let's talk a little bit about privacy services.
Privacy services are when a registrar puts their privacy name, their name, basically, on a registration. I think the first pioneer in this area really was Go Daddy with their domains by proxy service. Almost every registrar now has one.
The interesting thing is it makes transferring in this expiry period even easier because they are already the registrant of the domain name.
The curious thing I am concerned about privacy services, and I am not trying to pass judgment on good or bad, we certainly operate one, we operate privacy.ca which is our privacy service. But in order to make you aware, a bankruptcy or decision against a privacy service means that privacy service now owns a portfolio of domains that are an asset to the creditor of that privacy service.
So I can give you an example.
We currently have a lawsuit against a bunch of people that were committing fraud in our domain marketplace. We started a lawsuit, we sued all the registrants of the domain names and one of them happened to be a domain privacy service run by a registrar.
If we're successful in the suit, we would have a judgment against potentially against that privacy service, and if they were not able to pay the judgment, we could go in and say I want the 400,000 domains that are under that privacy service that they are the registrant of, even though they may be leased or committed to other people, that's an asset of that privacy service. So people need to understand what privacy service are and how they could be attacked or sold separately from a registrar.
It's also much easier to sue a UDRP in privacy service because the privacy service may have no rights to use the domain under a UDRP.
And we're seeing that, certainly, as well.
http://www.icann.org/meetings/lisbon/transcript-tutorial-expiring-25mar07.htm
















