Domainers often purchase typo domains in an effort to get traffic effortlessly. When this is done with generic domains such as WedingDresses.com or Pickels.com, it is a pretty good strategy. But if you register a typo of a trademark, you may be setting yourself up for serious legal problems. This is called typosquatting, and companies that have invested a lot of time and money into building their brand do not take it lightly.
Some domainers also grab domains that consist of names of upcoming movies, fledgling companies, or other terms that have been trademarked, or that will likely be trademarked in the near future. Sometimes the company pays lots of money to purchase the domain. But sometimes they choose to take legal action instead.
Domain matters may be settled by arbitration or in court. Arbitration is quicker, but it usually results in nothing more than an order for the domain holder to turn the domain over to the other party if he loses. Court battles take longer, but they can result in the plaintiff winning
monetary damages. Which path is pursued is up to the plaintiff.
There is some legal precedent for these types of cases, but unless the domain owner has a good defense, the odds are not in his favor. Therefore, before registering a domain that is or could easily be trademarked (or a typographical error thereof), it is important to consider the possible ramifications.
Mail this post
Posted under Make Money With Domain
This post was written by admin on February 25, 2010
