UDRP
Uniform Domain Name Dispute Resolution Policy / domain name dispute / cybersquatting complaint
The UDRP, or Uniform Domain Name Dispute Resolution Policy, is the ICANN process a trademark holder uses to have a domain name transferred or canceled when someone registered and is using it in bad faith. The complainant pays the fee, a WIPO case normally ends within 2 months, and no money damages are available.
The Uniform Domain Name Dispute Resolution Policy is written into the registration agreement for names in generic top-level domains such as .com and .net. Some country-code domains have adopted it as well. WIPO notes that anyone registering a name in those domains must consent to the UDRP, so the holder cannot opt out of a case.
The trademark holder, called the complainant, must prove three elements. The domain is identical or confusingly similar to a mark in which the complainant has rights. The holder has no rights or legitimate interests in the name. And the name has been registered and is being used in bad faith.
The policy gives examples of bad faith. One is registering a name mainly to sell it to the mark owner or a competitor for more than the documented out-of-pocket costs. Another is registering it mainly to disrupt a competitor. A third is using it to draw visitors for commercial gain by creating confusion with the mark. A holder can defeat the complaint by showing a bona fide offering of goods or services under the name before any notice of the dispute.
The remedies stop at the domain. A panel can order the name canceled or transferred to the complainant, and WIPO says it cannot award money judgments or lawyers' costs. A canceled name can be re-registered by a third party. The complainant pays the provider fees, unless the holder asks for three panelists instead of one, in which case the fees are split evenly.
At WIPO, a case over 1 to 5 domain names decided by a single panelist costs USD 1,500. The holder has 20 days to respond, and a case with no procedural issues should normally finish within 2 months. The holder may not transfer the name to another holder while the case is pending. After a panel orders a transfer, the registrar waits 10 business days and holds off if the holder shows it has sued the complainant in court.
In practice
A roofing company holds a registered trademark on its name. Someone registers the name with a different ending and emails the owner offering to sell it for $4,000. The company files a complaint with WIPO for the single domain and pays the USD 1,500 fee. The holder does not respond, and the panel orders a transfer. The company gets the domain and pays its own costs. The figures are a worked example.
Why it matters to you
A squatter holding a name close to the business can capture customers who type it. WIPO says a complaint does not have to be prepared by a lawyer, and the fee is known in advance. The case only works with trademark rights and evidence of bad faith, and the best result is getting the domain back.
What to ask or check
- 01Does the business hold trademark rights in the name that matches the disputed domain?
- 02What evidence shows bad faith, such as an offer to sell the domain or a page that trades on your name?
- 03Does the complaint ask for transfer, given that a canceled name can be registered again by anyone?
- 04Is a court case needed for a money claim, since a UDRP panel cannot award damages or legal costs?
What people get wrong
That winning a UDRP case pays back the cost of the fight. The ICANN policy limits remedies to cancellation or transfer of the domain name, and WIPO says a panel cannot award money judgments or lawyers' costs.
Red flags
- A request to have the domain canceled, when WIPO says a canceled name can be re-registered by a third party.
- A complaint against a holder who was offering real goods or services under the name before the dispute began.