[DNS] Cybersquatting and secondary market

[DNS] Cybersquatting and secondary market

From: Bruce Tonkin <Bruce.Tonkin§melbourneit.com.au>
Date: Fri, 23 Sep 2005 19:19:42 +1000
Hello Kim,

> What are the community benefits from encouraging a secondary 
> market (which seems like a euphemism for encouraging cybersquatting)?

I define cybersquatting as registering, selling or using a domain name
with the intent of profiting from the goodwill of someone else's
trademark.   Dispute resolution policies such as auRP and UDRP have
substantially reduced this practice.

The secondary market is about transferring licences between eligible
licence holders.  The secondary market exists in most other areas of

E.g You can buy a work of art from the artist (primary market), and
subsequently trade that work of art with others.   What is not
appropriate is copying someone's work of art and then trying to sell it
(ie violate someone's intellectual property rights).

Businesses should be able to trade the assets of a business as the
business evolves.  A person may register "book.com.au", and then decide
that that area of business is no longer profitable, or may decide to
move into another area of business .e.g DVDs.  It is reasonable for the
business to sell the licence to book.com.au and buy the licence to
dvd.com.au, just as I may decide to sell a seascape painting and buy a

A flower shop with flower-shop.com.au should be able to trade up to
potentially a "better" name e.g flowers.com.au as their business grows.

Overtime the secondary market in most areas (e.g real-estate) takes over
the primary market.  For example in Sydney and Melbourne, most of the
market is people buying and selling existing houses.   There is a mcuh
smaller primary market on the edges of cities where government land is
converted into residential land.

Received on Fri Sep 23 2005 - 09:19:42 UTC

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