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View Full Version : Squatting?
anjam 07-20-2005, 04:19 AM Like any business, competition is getting fierce locally. A client has asked me whether it is legal or not to register different variations of a competitors domain.
For example a competitor may be called abc company and have the domain abccompany.org – how would we stand if we registered abccompany.com and used it to direct to his website or perhaps just register it and don’t do anything with it for now?
Goldwing 07-20-2005, 05:40 AM Personally I think it is poor business ethics, however as long as the abc company does not own a trademark to the name then there is not a lot they can do. You do need to be careful on the tradmark issue though along with deliberately misleading adverts claiming to be something you/they are not.
If a trading company has the .org or .net and the .com is free then they probably deserve to lose business anyway.
Another thought though does the company "really" want to build up trade on the back of a competitors name seems like a recipe for tears and something that could backfire quite easily.
anjam 07-20-2005, 06:24 AM Well i agree with every comment you made. It is bad ethics etc but at the end of the day its the clients choice and if they feel it will benefit their business then thats that really. Also in regards to keeping the dot com versions unregistered, i totally agree they do deserve to lose business, one of his competitors has the .co.uk domain but advertises the .com on their literature so thats just how sleepy these guys in this market are.
nameslave 07-20-2005, 09:37 AM As an Internet/hosting/domain professional, you SHOULD advise your client that doing so might incur legal actions to be brought against them, and that YOU would NOT recommend it.
caseyb 07-20-2005, 09:41 AM Originally posted by nameslave
As an Internet/hosting/domain professional, you SHOULD advise your client that doing so might incur legal actions to be brought against them, and that YOU would NOT recommend it.
I agree however, due to the international nature of the Internet, is there a way to do it that does offer protection from prosecution?
I only ask because I know of instances where it is being done and I wonder why someone would take the risk.
4solutions 07-20-2005, 10:55 AM Originally posted by anjam
Like any business, competition is getting fierce locally. A client has asked me whether it is legal or not to register different variations of a competitors domain. Your client has clearly asked you a legal question here. To cover your own behind, you should tell the client that you are NOT a lawyer and you really don't know. If the client wants a definitive answer (where YOU won't be held liable), then they should consult with an attorney.
Trademark law is complicated and varies from country to country. The fact that someone doesn't have a registered trademark does NOT mean that they might not win a court case or a UDRP (i.e. - most celebrities do not have their stage names trademarked, but they usually win in UDRP mediation).
In addition to trademark law, depending upon your local law, there are several other legal theories that the harmed business could sue your client (and possibly YOU) under. In many localities there are restraint of trade, deceptive trade practices, advertising, fraud, and even identity theft laws which could be relied on to sue for alleged damages (i.e. - loss of business). Cybersquatting laws might also come into play because your client is attempting to profit from use of the other business' name in a manner that is clearly not a good-faith mistake on their part.
Instead of the client, you might worry about your own liability in this situation. In California here, they sue everyone - whether you're involved or not! But, what do I know, I'm not a lawyer and I don't play one on TV. ;)
nameslave 07-20-2005, 01:05 PM Originally posted by 4solutions
In California here, they sue everyone - whether you're involved or not!
Tell me about it. I've seen cases in which the defendants are not even remotely involved. ;)
gilbert 07-20-2005, 02:02 PM i say just dont compete in the same marketplace/venue otherwise it really gets confusing i think companies shouldnt know that there doing it cause otherwise its really intentional and not creative
anjam 07-20-2005, 04:13 PM Spoken to the client and at the end of the day its business. These guys are rough, they rip down posters and destroy marketing material handed out by competitors. What my client is doing is taking it to a diffrent level and getting back at them - or so he tells me lol.
Originally posted by 4solutions
Your client has clearly asked you a legal question here. To cover your own behind, you should tell the client that you are NOT a lawyer and you really don't know. If the client wants a definitive answer (where YOU won't be held liable), then they should consult with an attorney.
Instead of the client, you might worry about your own liability in this situation.
Excellent advice. anjam, sounds like your client is a "rough'n'tumble" kind of personality. Don't give them advice that will incriminate you in any way. If it gets risky, just tell them to consult with a lawyer. You just don't need the potential headaches.
Vito
anjam 07-21-2005, 03:51 AM Originally posted by vito
Excellent advice. anjam, sounds like your client is a "rough'n'tumble" kind of personality. Don't give them advice that will incriminate you in any way. If it gets risky, just tell them to consult with a lawyer. You just don't need the potential headaches.
Vito
Hmm its true but he's a really good client and i have done a lot of work with him in the past and have a lot planned for the future.
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