Domain Name Blog

Microsoft has announced new legal actions against cyber-squatters in the UK and the US.

The assault comes in the form of four new or amended civil suits in the US and five new actions in the UK against companies accused of registering domain names infringing on Microsoft’s trademarks and brands.

Cyber-squatters register internet domain names containing widely recognised trademarked names and brands as well as commonly misspelled variations.

Screens filled with pay-per-click advertisements greet visitors to such websites, which can generate revenue for the registered domain owner and the online ad network.

“These sites confuse visitors who are trying to reach genuine company websites, which can negatively affect corporate brands and reputations as well as impair the end users’ experience online,” said Aaron Kornblum, senior attorney at Microsoft.

“With every ad hyperlink clicked, a registrant or ad network harvests cash at the trademark owner’s expense, while derailing legitimate efforts by computer users who are trying to go to a specific website.”

Microsoft reached a settlement with UK-based Dyslexic Domain Company Ltd, which Microsoft alleged had registered more than 6,000 domains.

In addition to a monetary payment, Dyslexic Domain Company Ltd agreed to other confidential settlement terms.

Two other federal civil lawsuits in the US have also been settled, filed in August 2006 against five named defendants who allegedly profited from domain names that infringed on Microsoft trademarks.

The software giant has reclaimed more than 1,100 infringing domain names worldwide in the past six months with the help of researchers led by Yi-Min Wang, who has played a major role in the company’s efforts to combat cyber-squatting.

Microsoft is also investigating potential violations of intellectual property law in other nations.

“We hope that our stance and activity on this issue will help motivate and empower other companies whose brands are abused to take action,” said Kornblum.

The domain name reselling has become big business today and people are making money through this way. Microsoft has started to shutdown such sites that are violating trade marks and provided threats to hosting services providers that they stop selling domains like that. Now people are more convenient in buying domain web hosting so they use it for different purposes. To get affordable hosting for their websites they just buy reseller domains rather than new domains. There are many webhosting com that are using affiliates for resellers. Even free voip online phone services are being offered for resale.