1. What is cybersquatting?
Cybersquatting is the practice of registering domain names similar to established businesses with the intent to sell them at a premium. Often considered a form of extortion, cybersquatters rely on businesses’ willingness to pay to prevent confusion among customers and safeguard their goodwill. However, if a similar domain is registered without malicious intent, it may not be considered cybersquatting.
2. What is the legal position on cybersquatting in India?
India does not have specific laws against cybersquatting. However, courts have ruled in favor of trademark owners under the Trade Marks Act, 1999. For instance, in Yahoo! Inc. vs Akash Arora, the Delhi High Court ruled against the unauthorized use of a trademarked name. Internationally, the Uniform Domain Name Dispute Resolution Policy (UDRP) by ICANN offers a non-judicial path for trademark owners to reclaim domain names.
3. What is the UDRP, and how does it help?
The UDRP is a dispute resolution policy managed by ICANN that allows trademark owners to recover domain names without going to court. It applies to generic top-level domains (like .com, .net) and some country-specific domains. To succeed, complainants must show that the domain is identical or confusingly similar to their trademark, the respondent has no legitimate interest in it, and it was registered in bad faith.
4. Have Indian companies successfully used the UDRP?
Yes, Indian companies have successfully challenged cybersquatting through the UDRP. For example, in 2017, Reliance Industries won a case against a Mumbai resident for the domain jiodhandhanadhan.com. The WIPO Arbitration and Mediation Centre ruled in favor of Reliance, supporting their right to protect the “JIO” trademark.
5. What steps can businesses take to protect against cybersquatting?
Businesses can register similar domains in advance, monitor domain registrations, and take swift action if cybersquatting occurs. Consulting legal experts or using policies like UDRP can help companies prevent unauthorized use of their trademarks.
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