Traverse Internet Law Federal Court Report: January 2009 Domain Name Dispute Lawsuits

Traverse Internet Law Disclaimer

The facts are unproven allegations of the Plaintiff and all commentary is based upon the allegations, the truthfulness and accuracy of which are likely in dispute.


ADVANCE PUBLICATIONS INC., ET AL. v. DAUBEN INC. AND JOSEPH GLEN DAUBEN
NORTHERN DISTRICT OF TEXAS (DALLAS)
3:09-CV-00204
FILED: 1/30/2009

You don’t have to use the exact trademark of another party to be subject to a trademark infringement claim. Using a domain name that is a close misspelling of someone else’s trademark name can be trademark infringement if you are operating in the same category of goods and services.

The Plaintiffs are publishers of a number of high profile magazines an journals. In 2008 Forbes ranked Advanced Publications as the 41st largest private company in the United States. The Defendants allegedly purchased a number of domain names that are close misspellings of the Plaintiffs’ registered trademarks.

The lawsuit alleges federal trademark infringement, violations of the Anti-Cybersquatting Consumer Protection Act, violation of the Federal Dilution Act, unfair competition, injury to business reputation, and breach of contract. The lawsuit requests extensive injunctive relief as well as an award of statutory damages of $100,000.00 per domain name under the Anti-Cybersquatting Act, compensatory damages, punitive damages, triple damages, reasonable attorneys’ fees and its cost of the suit. Traverse Internet Law Cross-Reference Number 1271.


VERIZON CALIFORNIA INC., ET AL. v. LEAD NETWORKS DOMAIN PRIVATE LIMITED, ET AL.
EASTERN DISTRICT OF VIRGINIA (ALEXANDRIA)
1:09-CV-00093
FILED: 1/30/2009

Verizon was recently awarded $50,000.00 per domain name in what appears to be a similar case. This multi-million dollar judgment, while likely very difficult to collect, is an indication that the courts are deferring to the intent of Congress in assessing damages. The law provides for up to $100,000.00 per domain name and until recently the settlement figures in such situations per domain name was nowhere near the amount being awarded by the courts today. It is worthwhile to note that the previous case was a default judgment in which the Defendants did not appear.

Plaintiff is a well known wireless and hard-line telephone service provider and related companies. The Defendants are alleged to have purchased, and are using in a competitive manner, 241 domain names that are confusing similar to the Plaintiffs’ marks. These domain names are either misspellings of the “Verizon” trademark or use the exact trademark with other words.

The Plaintiff has sued for cybersquatting and contributory cybersquatting. Plaintiff has requested the transfer of the domain names, statutory damages of $100,000.00 per domain name, compensatory damages, triple damages, attorneys’ fees, interest and the cost of the lawsuit. Traverse Internet Law Cross-Reference Number 1272.