Question about Trademark Typos

[domainstrike]

After scouring through the forums, its seems that registering "typos" of trademarked companies is risky, yet everyone seems to be paying $x,xxx for the traffic it gets if its worth it. My question(s) are the following, if anyone could help.

1) Say I register a typo of a big company, and simply park it to earn some money. If its privately registered, can they still contact me? And if they do, can they sue you immediately, or do you have the chance to cough up the domain and give it back to them. Basically, if its parked, but you still offer to give it back, can you still get in trouble?

2) If you sell a trademark typo that has alot of traffic to another person, who knows its a trademark typo but doesnt care and wants the traffic..... if they then get a C & D can you be held liable for anything or is it off your back at that point?

Thanks in advance!

 

[WhoDatDog]

The answer can be yes to every one one of your questions. I could go on and on about the practical risks of various Trademark Registrations...including typos. Each case his different. Some people's ethics forbid them from buying typos while other's ethics allow them to engage in the activity. I am right in the middle on the issue and only have a few names out of thousands that would technically be considered infringements.

It is probably best to read as many UDRP disputes as you can...all the way through. The basis for understanding this question lies in understanding trademark law, theory, and its applications.

You will likely get some hardcore responses here.....the answer is somewhere in between. The first question is whether you believe it is an honorable business practice for you.....then you way the practical risk/reward benefits of the activity.

 

[domainstrike]

So even for just parking a typo you can get slapped with a lawsuit without warning? hmm..... doesn't sound like much fun heh.

 

[WhoDatDog]

Theoretically...Yes. And as the MySpace typo holders will tell you...Practically...yes. The sites that are worth buying typos from need to generate a high-enough conversion rate to warrant the purchase, and many of those sites warrant some sort of trademark protection. People who dabble in this area are rumored to do very well financially, and should be creative enough to limit risk in many areas. Not necessarily my cup of tea, but I can see becoming addicted to it if you got started. Once you decide to do pursue it then the only thing left to do is to figure out what names to get while quantifying the risks....make sure you know what you are buying as well....I don't think it is as easy as one might think. There is a fine line between an "entrepeneur" and a "pile of manure".

 

[FineE]

There is a fine line between an "entrepeneur" and a "pile of manure".

I vote for "pile of manure" when it comes to typosquatting.

 

[j8jweb]

...and yet there is no definitive answer concerning who has the rights to a typographical error domain. I have seen companies successfully seize some domains VERY questionably, i.e. game.co.uk (not even a typo or TM domain!)

I have also seen very blatant TM typos successfully kept by the registrant.

 

[jberryhill]

After scouring through the forums, its seems that registering "typos" of trademarked companies is risky, yet everyone seems to be paying $x,xxx for the traffic it gets if its worth it.

People smuggle cocaine, too. Some get rich.

1. Yes

2. Yes, and you can still be held liable by the TM owner for having trafficked in the domain.

Asking about what can happen is different from asking about what does happen most of the time. The key word is most.

Can you drive over the speed limit or will you get fined if you do? Well, a lot of people drive over the speed limit. On a given highway, usually most people are driving over the speed limit. If you are like me, then you are going to be the ONLY guy pulled over for speeding and fined.

So, it's not helpful to observer that 99% of the time, you can resolve a dispute by handing over the domain name. It's that 1% that is going to bite you, and at that point "what everyone else is doing" is not going to be very helpful.

 

[DaddyHalbucks]

People smuggle cocaine, too. Some get rich.

1. Yes

2. Yes, and you can still be held liable by the TM owner for having trafficked in the domain.

Asking about what can happen is different from asking about what does happen most of the time. The key word is most.

Can you drive over the speed limit or will you get fined if you do? Well, a lot of people drive over the speed limit. On a given highway, usually most people are driving over the speed limit. If you are like me, then you are going to be the ONLY guy pulled over for speeding and fined.

So, it's not helpful to observer that 99% of the time, you can resolve a dispute by handing over the domain name. It's that 1% that is going to bite you, and at that point "what everyone else is doing" is not going to be very helpful.

Yes, and those 1 percenters can grab you by the balls.

Such a lawsuit can be fatal to your business and/ or your house.

You can find yourself in bankruptcy court.

It hasn't happened yet to my knowledge, but someday I imagine some reckless domainer will get charged under RICO, with civil or criminal racketeering. That will be a day of reckoning.

 

[Dave Zan]

Is moving to a country where the US and that country don't see eye to eye
an option? :evil:

 

[WhoDatDog]

Business is war. Most every company claiming infringement is guilty of much worse. Be smart, and don't do anything that would compromise your personal integrity and ethics. In the scheme of Moral Wrongs it is not very high up on my list. Most typos that are truly diluting the infringed upon brand are stopped anyways. If you aren't confusing the public or diluting the name then I believe the moral offense, if any, is low enough that it's not even worth discussing....kinda like talking about Religion.

 

[jberryhill]

It hasn't happened yet to my knowledge, but someday I imagine some reckless domainer will get charged under RICO

www.johnberryhill.com/telepathy.pdf

dismissed.

 

[DaddyHalbucks]

www.johnberryhill.com/telepathy.pdf

dismissed.

Hahahaha. What a joke of a case. What a bunch of idiot plaintiffs! And lawyers to boot!!

Improper venue knocks them out, plus they make an over-reaching RICO claim. Ridiculous.

I wasn't suggesting that plaintiffs should make absurd RICO claims like that. I was suggesting that perpetrators who register numerous famous, registered, and distinctive trademarks might be good targets for RICO, along with the other companies that aid and abet their scams.