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Last resort gTLD auction loser wants share of $5m winning bid

Kevin Murphy, December 10, 2014, Domain Registries

An unsuccessful new gTLD applicant wants ICANN to share the proceeds of its “last resort” auction with itself and the other losing applicants.

Aesthetics Practitioners Advisory Network had applied for .salon, but found itself in a contention set with three other applicants and was ultimately beaten at auction by a winning bid of over $5 million from Donuts.

Now, the company has written to ICANN to ask for the money from the ICANN-run auction to be shared out among the losing bidders in much the same way as it is when a contention set goes to private auction.

APAN CEO Tina Viney wrote (pdf):

On the basis that ICANN received such a large amount ($5.175million) for the bidding of this auction it would be fair and equitable for the losing parties to be considered in the distribution of the winning financial bid. We believe that ICANN should review this consideration for losing parties who have had to incur numerous costs, not just the application fee, but also toward the preparation of documents so that we could meet with ICANN’s requirements. These include, but are not limited to registry fees, solicitor’s fees, financial services, not to mention the enormous amount of time that is required of an applicant in preparing for their application.

As a result, we respectfully request ICANN as part of their funds distribution policy to consider the applicants who did not win at the auction, BUT WERE SUCCESSFUL IN PASSING THE EVALUATION PROCESS.

She said that private auctions, which allow losing applicants to recoup some or all of their costs, should be mandatory when a majority of the applicants in a contention set want one.

In .salon’s case, one of the four applicants didn’t agree to a private auction, according to Viney. As Donuts is the enthusiastic pioneer of the private auction concept, that means the holdout was either DaySmart Software or L’Oreal.

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First live dot-brand switches back to .com

Kevin Murphy, December 10, 2014, Domain Registries

CITIC Group, which became the first company to dump .com for its new dot-brand gTLD, has switched back to .com.

CITIC, a massive Chinese conglomerate, switched from citic.com to limited.citic in September, but a DI commenter noticed that it’s now back to using citic.com.

Google searches for “citic” were returning the new gTLD as the top hit for the Citic Limited, now it’s back to citic.com.

The domain limited.citic is not currently resolving to a web site for me.

Other brands are still actively using their dot-brand gTLDs, but Citic was the only one I’m aware of that decided to replace its .com.

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.ceo smartens up in new promo video

Kevin Murphy, December 10, 2014, Domain Registries

Struggling to find its tone?

PeopleBrowsr has done a full 180 in its attempts to market .ceo through online commercials.

In its latest video, the company has gone for a straightforward grey-hair-in-a-suit-addresses-camera concept.

It’s a far cry from its first attempt, published a year ago but now flagged as “private” on YouTube, which comprised PeopleBrowsr staffers dicking around the office in Donald Trump masks.

It also represents an evolution from the cartoony, but much more respectable, effort from February.

“The video was produced over many months – with feedback and collaboration from over 100 of our early adopter CEOs,” the company said.

Now, .ceo is being positioned as a “business card” for CEOs that enables social networking opportunities.

The gTLD, which went to general availability in March, currently has fewer than 1,800 domains in its zone file, though PeopleBrowsr pegs its number of registrations at “almost 2,000″.

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New .jobs contract based on new gTLD agreement

Kevin Murphy, December 10, 2014, Domain Registries

ICANN and Employ Media are set to sign a new contract for operation of the .jobs registry which is based heavily on the Registry Agreement signed by all new gTLD registries.

.jobs was delegated in 2005 and its first 10-year RA is due for renewal in May 2015.

Because Employ Media, like all gTLD registries, has a presumption of renewal clause in its contract, ICANN has published the proposed new version of its RA for public comment.

It’s basically the new gTLD RA, albeit substantially modified to reflect the fact that .jobs is a “Sponsored TLD” — slightly different to a “Community” TLD under the current rules — and because .jobs has been around for nine years already.

That means it won’t have to sign a contract forcing it to run Sunrise or Trademark Claims periods, for example. It won’t have to come up with a Continued Operations Instrument — a financial arrangement to cover operating costs should the company go under — either.

Its commitments to its sponsor community remain, however.

ICANN said it conducted a compliance audit on Employ Media before agreeing to the renewal.

Employ Media remains the only gTLD registry to have been hit by a formal breach notice by ICANN Compliance. In 2011, it threatened to terminate its contract over a controversial proposal to all job aggregation sites to run on .jobs domains.

The registry filed an Independent Review Process complaint to challenge the ruling and ICANN eventually backed down in 2012.

The fight came about as a result of complaints from the .JOBS Charter Compliance Coalition, a group of jobs sites including Monster.com.

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.health backer has cop-like takedown powers for all gTLDs in Japan

Kevin Murphy, December 8, 2014, Domain Registrars

LegitScript, a US company focused on eradicating illegal online pharmacies, which backs the .pharmacy and .health gTLDs, has been given police-like powers to have domain names taken down in Japan.

It has also emerged that when IP Mirror, a brand protection registrar, was hit with an embarrassing ICANN contract-breach notice in November, it was as a result of a LegitScript complaint.

Under section 3.18.2 of ICANN’s 2013 Registrar Accreditation Agreement, registrars must have a 24/7 abuse hotline that can be used by “law enforcement, consumer protection, quasi-governmental or other similar authorities” to report illegal activity.

Registrars must act on complaints made to the hotline within 24 hours, but only authorities designated by national governments get to use it.

Now, it transpires that LegitScript has been formally designated a 3.18.2 authority by the Japanese Ministry of Health, Labor and Welfare.

That means the US company’s complaints about domains hosting potentially illegal pharmacy sites have the same weight as complaints from the Japanese police, when made to registrars that have an office in Japan, even if they’re headquartered elsewhere.

IP Mirror, which was recently acquired by CSC Digital Brand Services, is based in Singapore but has an office in Tokyo.

As far as I can tell, most of the top 10 registrars do not have offices in Japan. KeyDrive (Moniker, Key-Systems etc) may be the exception. GMO is the largest registrar based in Japan.

LegitScript announced its relationship with the Japanese ministry in September (I missed it at the time) and company president John Horton provided some context to the IP Mirror breach notice on CircleID today.

I only report the deal today because it strikes me as noteworthy that a private enterprise has been given the same powers under the 2013 RAA as law enforcement and government consumer protection agencies — and it’s not even in its home territory.

Horton told DI today that while LegitScript is legally based in the US and has offices in the EU, only Japan has so far formally granted it 3.18.2 powers. He said in an email:

We only have formal Section 3.18.2 designation in Japan at present. We have some other endorsements or recommendations by or on behalf of government authorities, although they do not specifically reference Section 3.18.2. We work closely with the Italian Medicines Agency and the Irish Medicines Board, for example, and report rogue Internet pharmacies in consultation with them.

Horton pointed out that anybody is able to to file abuse complaints under the 2013 RAA — and registrars are obliged to “take reasonable and prompt steps to investigate and respond appropriately”.

His CircleID piece cites two instances in which such complaints from LegitScript resulted in ICANN breach notices.

The chief difference is that under 3.18.2 registrars do not have much flexibility in their response times. They have to “take necessary and appropriate actions” within a black-and-white 24-hour deadline.

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