NeuLevel, the US company that was selected to control the
registry for the new .biz domain names, has asked a Virginia court
to declare false a recent claim by Amazon.com and others that its
method of handling .biz domain name applications amounts to an
illegal lottery.
In a letter to NeuLevel, Amazon.com threatened to sue unless the
company altered its registration terms. The terms currently allow
for multiple applications on the same domain name, which increases
an applicant’s chances of securing the name because the “winner” is
chosen at random from all duplicate applications. NeuLevel is
already facing a lawsuit filed by other parties alleging that it is
operating an illegal lottery.
Amazon.com has called for the prohibition of what it sees as an
illegal lottery and is also demanding that NeuLevel allows
registered trade mark holders to enjoy priority registration
rights. It added that NeuLevel should refund any application fees
paid by those who had registered more than once for the same
dot.biz domain name.
In response to the criticisms, NeuLevel has raised an action for
a declaratory judgement in the Virginia federal court, asking a
judge to confirm that its registration policy does not violate any
federal trade mark laws. It also wants a declaration that it is not
subject to any federal laws which prohibit certain types of
lotteries. The lawsuit cites the threat to sue by Amazon.com.