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ICANN sued by company that pre-registers new top-level domain names

OUT-LAW News, 03/11/2000

The Internet Corporation for Assigned Names and Numbers, ICANN, that manages the domain name system of the internet, is being sued in a Texas district court by RegLand Inc., a company that offers domain name registrations to those wanting to pre-register names in the anticipated new top-level domains (TLDs).

The lawsuit alleges that ICANN has abused its power. ICANN has come under increasing scrutiny and criticism recently for its business practices. The lawsuit alleges defamation, business disparagement and wrongful interference. According to RegLand, specific accusations against ICANN include scaring away customers with notices posted by ICANN on its web site, and “strong-arming” some of the domain name registrars with which RegLand.com does business.

ICANN is deciding which new top-level domain names will be available late this year or early next. Domains under consideration include .shop, .info, .kids and others. Once they are approved and operational, these domains will work exactly like the now familiar .com, .net and .org, currently operated by Network Solutions.

ICANN has warned that there is no guarantee for those who pre-register with companies such as RegLand that their registration will be honoured. The TLD might not be among those selected and the chosen domain name could conflict with an identical name pre-registered with a competing company. RegLand charges applicants a non-refundable $20 for each chosen name; an additional sum, estimated at $40, is payable if the application is successful.

RegLand said in a statement:

“Expect a gold rush for names in the new top-level domains. RegLand.com is leading the way for pre-registration of names within these new domains. Mere seconds, perhaps tenths of seconds, will separate the winners of great domain names from the losers. At the moment the new domain names are made available for registration, RegLand.com's automated solution will push their customer's registrations through the system as fast as possible… Although RegLand.com will do all it can to maximise the chances of acquiring a name, it cannot guarantee success.”

 

 

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