Now let’s take as an example:
Company ‘Z’ forms a subsidiary company named ‘ABCD’, which it lays dormant for a future project. Two year later a company ‘Y’ is created by another group and develops a brand called ‘ABCD’, it then applies and is granted the trademark for ‘ABCD’ and naturally company ‘Z’ and company ‘ABCD’ doesn’t know about it (remember company ‘ABCD’ is dormant). Now, company ‘Y’ wants to own company ‘ABCD’ and see’s that it is dormant and that it is owned by company ‘Z’. Company ‘Y’ approaches company ‘Z’ branding them as ‘Company Squatters’ and demanding that the company be handed over immediately. …Dose company ‘Y’ have a leg to stand on? NO. Can they go to Companies House and have the company handed over to them? NO. Can they go to court and have the company handed over to them? NO. Can company ‘Z’ sell company ‘ABCD’ for more than their ‘Out Of Pocket Expenses’? YES. Some examples:
http://www.formationshouse.com/search/readymade.php . So why do we have this ridiculous situation with domains? I understand that in the beginning there was an issue with people buying domains purely to profit from companies/brands that had already been established, but what’s happening now quite frankly scares me.
Oh dear, this has got me going now
Maybe one day somebody on the receiving end of a poor DRS decision ‘purely’ based on the ‘policy’ will issue proceedings against Nominet for ‘unfair/unlawful contract’ and ‘negligence’.
Link to ‘similar’ complaint against ICAN…
http://wadnd.com/Complaint(ver4).pdf
Maybe including a complaint to the OFT under the ‘Competition Act 1998’ …
http://www.oft.gov.uk/Business/Legal/Competition/ca982.htm
And maybe for good measure a complaint to Trading Standards.
Please don’t get me wrong, Nominet staff are very helpful, I just think the ‘tool’ they are using is a bit blunt. It just seems that their contract could do with a bit of ‘tweaking’ to reflect some of the applicable laws of the UK. Personally I think it’s perfectly valid that a contract like this should evolve and improve over time
