So the RGP is not a mandatory procedure; one learns a new thing each day.
It wasn't supposed to be optional, but there are too many boneheads that can't leave a good policy alone.
As a technical matter, however, Verisign makes certain technical requirements in addition to the bare minimum in order to implement RGP renewals. So a given registrar may be literally unable to process them.
Here's what happened:
http://gnso.icann.org/issues/deletes/report-final-17jun03.shtml
(5) Danny Younger argues that Recommendation 3.1.2 is seriously flawed , as it allows a registrar discretion as to when a domain name may be deleted within the forty-five days following its expiration. He proposes a uniform policy whereby domain names are deleted only on the 45th day following expiration.
TASK FORCE COMMENT ON 5:
Mr. Younger raises an issue that the Task Force discussed early in its deliberations. At its initial meetings, members of the Task Force appointed from constituencies composed of users raised the same issue as Mr. Younger. The registrars, however, made the point that given their various business models, some flexibility is needed during this grace period. For example, registries bill the registrars for a renewed domain promptly on its renewal date and then credit the renewal fee back if the domain name is deleted within forty-five (45) days. While some registrars are willing and financially able to front the registry fee on behalf of a domain name registrant, not all registrars are in the same position. The registrars expressed the strong concern that requiring them to bear the registry fee would place an undue hardship on smaller registrars. Based primarily on this concern, the Task Force compromised on the discretionary window of 45 days, which will provide some uniformity and certainty while also allowing those registrars who wish to do so to avoid the registry renewal fee for domain names not renewed by the registrant. In order to provide registrants with an understanding of their registrarâs deletion policies, however, the task force has recommended that registrars provide registrants with those policies, including a specific time after expiration at which names will be deleted.
You have to bear in mind that a registrar is an interface to the registry, which imposes its own conditions on the registrar. The registry is required by ICANN to only enter names for integer year periods. The initial "fix" of the "whoops there goes my domain" problem was to implement a registry auto-renew, charged to the registrar, and refundable after 45 days. That allowed Verisign to hold a fistful of registrar cash on a rolling basis, even if registrants didn't want to renew their domain names.
It was in the context of the argument over who is responsible for payment of the domain name during that 45 days that registrars could opt out of registry auto-renew, even if Verisign ran the RGP.
So, the Deletes Task Force Final Report sat on a shelf for another year and half before it was hastily re-drafted as a consensus policy and grafted into the registrar accreditation agreement as follows. Note the phrase I have in bold:
http://www.icann.org/registrars/eddp.htm
3.7.5 At the conclusion of the registration period, failure by or on behalf of the Registered Name Holder to consent that the registration be renewed within the time specified in a second notice or reminder shall, in the absence of extenuating circumstances, result in cancellation of the registration by the end of the auto-renew grace period (although Registrar may choose to cancel the name earlier).
3.7.5.1 Extenuating circumstances are defined as: UDRP action, valid court order, failure of a Registrar's renewal process (which does not include failure of a registrant to respond), the domain name is used by a nameserver that provides DNS service to third-parties (additional time may be required to migrate the records managed by the nameserver), the registrant is subject to bankruptcy proceedings, payment dispute (where a registrant claims to have paid for a renewal, or a discrepancy in the amount paid), billing dispute (where a registrant disputes the amount on a bill), domain name subject to litigation in a court of competent jurisdiction, or other circumstance as approved specifically by ICANN.
3.7.5.2 Where Registrar chooses, under extenuating circumstances, to renew a domain name without the explicit consent of the registrant, the registrar must maintain a record of the extenuating circumstances associated with renewing that specific domain name for inspection by ICANN consistent with clauses 3.4.2 and 3.4.3 of this registrar accreditation agreement.
3.7.5.3 In the absence of extenuating circumstances (as defined in Section 3.7.5.1 above), a domain name must be deleted within 45 days of either the registrar or the registrant terminating a registration agreement.
3.7.5.4 Registrar shall provide notice to each new registrant describing the details of their deletion and auto-renewal policy including the expected time at which a non-renewed domain name would be deleted relative to the domain�s expiration date, or a date range not to exceed ten days in length. If a registrar makes any material changes to its deletion policy during the period of the registration agreement, it must make at least the same effort to inform the registrant of the changes as it would to inform the registrant of other material changes to the registration agreement (as defined in clause 3.7.7 of the registrars accreditation agreement)."
3.7.5.5 If Registrar operates a website for domain name registration or renewal, details of Registrar's deletion and auto-renewal policies must be clearly displayed on the website.
3.7.5.6 If Registrar operates a website for domain registration or renewal, it should state, both at the time of registration and in a clear place on its website, any fee charged for the recovery of a domain name during the Redemption Grace Period.
3.7.5.7 In the event that a domain which is the subject of a UDRP dispute is deleted or expires during the course of the dispute, the complainant in the UDRP dispute will have the option to renew or restore the name under the same commercial terms as the registrant. If the complainant renews or restores the name, the name will be placed in Registrar HOLD and Registrar LOCK status, the WHOIS contact information for the registrant will be removed, and the WHOIS entry will indicate that the name is subject to dispute. If the complaint is terminated, or the UDRP dispute finds against the complainant, the name will be deleted within 45 days. The registrant retains the right under the existing redemption grace period provisions to recover the name at any time during the Redemption Grace Period, and retains the right to renew the name before it is deleted.
Okay, now the entire deletion policy hinges upon the absence of a registrant's consent to renew the name, right?
Now go back and read the domain terms par. 14 at Netsol:
Should you not renew the domain name during any applicable grace period, you agree that unless you notify us to the contrary we may, in our sole discretion, renew and transfer the domain name to Network Solutions or a third party on your behalf (such a transaction is hereinafter referred to as a "Direct Transfer"), and your failure to so notify us after the domain name expiration date shall constitute your consent to such a Direct Transfer.
There's the consent of the Registered Name Holder that renders the Deletion Policy entirely meaningless.
Now, go read GoDaddy's, Enom's, etc. etc.