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WIPO Processes First Case Under Cybersquatting Procedure

Geneva, December 3, 1999
Press Releases PR/1999/200

Cybersquatters received a warning signal this week when the first international dispute settlement mechanism aimed at curbing the abuse of trademarks on the Internet was launched. The first dispute under the new Uniform Dispute Resolution Policy applicable to the top-level domains (.com, .net and .org) was filed with the World Intellectual Property Organization (WIPO) Arbitration and Mediation Center on December 2, 1999, a day after the new rules took effect.

The Uniform Dispute Resolution Policy was adopted by the Internet Corporation for Assigned Names and Numbers (ICANN) on August 26, 1999. The policy went into effect on December 1, 1999 for all accredited registrars, with the exception of America On-line, the Name IT Corp. and Network Solutions, Inc., which will have to comply as of January 3, 2000. The policy essentially adopts the recommendations made in the Report of the WIPO Internet Domain Name Process, which was published on April 30, 1999. The Report recommended a uniform and mandatory administrative dispute-resolution system to address cases of bad faith, abusive registrations, also known as "cybersquatting." Using this system, panels of one or three experts, appointed by the WIPO Arbitration and Mediation Center, will apply streamlined, quick and cost-effective procedures to review multiple claims and eliminate cases of clear abuse of trademark holders' rights, leaving the more complex cases to the courts. Cases are expected to be decided within 45 days.

The dispute filed with the WIPO Arbitration and Mediation Center concerns a domain name registered with Melbourne IT, one of the first five registrars accredited by ICANN to accept registrations, in addition to Network Solutions, Inc., in the .com, .net and .org top-level domains. It concerns an allegation that the domain name in question was registered in bad faith by the domain name registrant in abuse of the trademark rights of the complainant. The names of the parties and other details of the dispute will become available when the decision of the panel appointed to determine the case is published.

"Our aim is to make sure that parties are treated fairly and equally and that balanced decisions providing practical guidance are taken," said Mr. Francis Gurry, WIPO Assistant Director General. Mr. Gurry said the services provided by the Center offer parties a quick, cost-effective alternative to the court system. "There is a great deal of misconception about the rights and wrongs and dos and don'ts of the Internet. This system will help bring some clarity in a relatively quick and cheap manner."

The Chief Executive Officer of Melbourne IT, Mr. Peter Gerrand, applauded the parties' use of the WIPO Dispute Resolution Service. "Hopefully this process will be much more cost-effective and swifter than if they had resorted to the courts. As the Registrar concerned, Melbourne IT will simply act upon the decision of the Dispute Resolution arbitrator," he said.

The WIPO Center's Domain Name Dispute Resolution Service has been established specifically to administer domain name disputes between individual complainants. The Center's work in the area of electronic commerce and intellectual property-related disputes continues to expand. The Center has received numerous inquiries about how to file cases.

Further information about the Center is available at https://www.wipo.int/amc/en/domains, or please call the Media Relations and Public Affairs Section:

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