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Beckstrom: ICANN accountable to world, not just US

Kevin Murphy, December 6, 2010, Domain Policy

ICANN chief Rod Beckstrom opened the organization’s 39th public meeting in Cartagena, Colombia, with a speech that touched on many of the organization’s recent controversies and appeared to take a strong stance against US government interference.
Everything from its political tangles with the International Telecommunications Union, to the recent calls for high-security top-level domains for financial services, to Beckstrom’s own controversial pet project, the proposed DNS-CERT, got a mention.
But probably Beckstrom’s strongest statement was the one which indirectly addressed recent moves by the US government to slam the brakes on ICANN’s new top-level domains program:

We are accountable to the world, not to any one country, and everything we do must reflect that.

Beckstrom acknowledged the controversies in the new TLDs policy, given last week’s strongly worded letter from the US Department of Commerce, which was highly critical of the program.
Commerce assistant secretary Lawrence Strickling has called on ICANN to delay the program until it has justified its decision under the Affirmation of Commitments.
But this morning, Beckstrom echoed sentiments expressed on the ICANN blog last week (my emphasis):

As is often the case with policy decisions in that multi-stakeholder model, not everyone is pleased, and this diversity of opinion contributes to the policy process. For example, last week we received a critical letter from the US Department of Commerce. As with all contributions, ICANN will give these comments careful consideration as part of the implementation of the GNSO policy. We welcome the transparent way that Commerce provided their comments through the public comment process.

How ICANN chooses to deal with the demands of its former master, the US government, is one of the Cartagena meeting’s Big Questions.
Another such question is how ICANN plans to deal with ongoing threats to its legitimacy from international bodies such as the International Telecommunications Union.
Addressing ITU secretary general Hamadoun Toure directly, Beckstrom said:

We have always sought to build our relationships based on mutual respect and integrity, taking into account the unique and distinct mandates entrusted to our organizations. The strengthening of communication between us is a personal priority for me.

Security
Security is one of ICANN’s watchwords, and Beckstrom is a security guy by trade. His speeches typically address the topic to a greater or lesser extent and Cartagena was no exception.
Security policies inherently create tensions. Take, for example, controversies about the strength and enforceability of of Whois policies, or Beckstrom’s own call for a DNS-CERT to oversee DNS risk.
This morning, he said:

The staff under my leadership is willing to go as far on security as the community is willing. And whatever security effort this community decides, we will do our utmost to implement and support, given sufficient resources. Because when it comes to security, how can we ever say we’ve done enough?

And now you need to tell us: where do you want us to go?
Of course, I am sure we can agree that when it comes to security, the question is not what do we want to do? Or what is popular or easy? It’s what do we owe the world? Because all of us care about the global public interest.

He took, in my view, a subtle swing at the Governmental Advisory Committee for putting security at the heart of its ongoing policy demands, while largely failing to cooperate with ICANN’s requests for information on security issues in their own jurisdictions. Beckstrom said:

We have asked GAC members to provide information about security activities in their countries. We appreciate the information some have shared but there have been few responses. As governments urge us to remain committed to security efforts, we in turn request that they help us by responding and working with the ICANN community on this vital mission.

I know there are some European ccTLD registries a bit miffed that ICANN has in recent months gone over their heads, direct to their governments, for this information, highlighting what a tricky political situation it is.
The speech also touched on internationalized domain names, with a shout-out to the recent launch of Russia’s Cyrillic ccTLD, and general global inclusion activities. I expect the text and audio to be published on the ICANN web site to be published shortly.

Three registrars face the ICANN chop

Kevin Murphy, November 24, 2010, Domain Registrars

ICANN has told three registrars they are in breach of their registrar contracts and will lose their accreditation next month unless they rectify the problems.
These registrars, all of which appear to have negligible numbers of gTLD domains under management, are affected:
Mister Name will be shut down if it does not pay its ICANN fees and escrow its Whois data.
Open System Ltd is accused of not having a functioning Whois service.
Best Bulk Domains Inc also doesn’t have a functioning Whois, ICANN said. It also has not been paying its dues and hasn’t maintained accurate contact information for itself.
All three have dates in mid-December to clean up their acts or lose their right to sell gTLD domains.
You can find ICANN’s compliance letters here.

Save the Children recovers domains from scumbag

Kevin Murphy, November 22, 2010, Domain Policy

The international charitable organization Save the Children has recovered two domain names from a squatter who held them hostage for $2,500.
Save the Children, which hosts its official web site at savethechildren.org, recently won a UDRP complaint for the domains save-the-children.com and save-the-children.org, which are both parked.
As you might imagine, it was an open-and-shut case.
Save the Children has been around since the 1930s, and it owns trademarks on its name.
Bad faith was proved with a shockingly clueless email from the registrant:

As you may be aware, with the explosion of the internet and domains, there has been a scramble by speculators or entrepreneurs to purchase popular names or names which we believe may become popular, so we can resell them for a profit. In fact, many businesses will buy numerous domain names that are similar, or may be abbreviations or acronyms, or with different suffexes [sic] in order to get them off the market and prevent somebody else purchasing it.
After consulting with my attorney, and in the best interests of a speedy resolution, I’ve been advised to offer to sell my domain to your client.
I am unwilling to give it up for free since I purchased it. However, I am willing to sell it, and I am asking $2,500.00 for my website.

Whois records show that the domain has changed hands a few times since it was first registered in 2001. I hope the current registrant paid a lot for it.
This kind of behavior is why domainers get a bad rep.

DirectNIC chief tries to dismiss cybersquatting suit

Kevin Murphy, November 11, 2010, Domain Registrars

The CEO of DirectNIC is trying to wriggle out of a cybersquatting lawsuit filed by Verizon, seemingly on the grounds that the telco has been unable to track him down.
Sigmund Solares heads up the Grand Cayman-based registrar and lives in Florida, but since suing DirectNIC back in March, Verizon has not been able to find him to serve him notice.
Now, his lawyers are arguing on a technicality that the suit against him should be dismissed (pdf).
Verizon claims that DirectNIC and its directors, via a bunch of shell companies, cybersquatted “nearly every single famous trademark in existence”, including some of Verizon’s.
It filed an amended complaint (pdf) a month ago. Due to its inability to track down Solares, it served the Florida Secretary of State instead, which it’s allowed to do if the defendant evades service.
Verizon has filed a number of declarations from process servers who were unable to serve him, despite staking out his Tampa home on at least 10 occasions over the space of several months.
Solares’ lawyers now want the complaint against him dismissed on the grounds that he’s not been served, and that he was not evading service, he was just away on business and vacation:

no where in the Plaintiffs’ affidavits do the Plaintiffs allege any actions whatsoever on the part of Mr. Solares. The Plaintiffs’ complaint and affidavits merely recount their efforts to serve Mr. Solares. Such allegations cannot clearly show that Mr. Solares is evading process because they allege no actions on his part at all. Plaintiffs’ assertions only show Mr. Solares’ absence from Tampa during the periods when the Plaintiffs attempted to effect service of process.

In response, Solares has filed a fairly detailed account (pdf) of his whereabouts between March and September, which included trips to Milan, Miami, Aruba, Ireland and Boston.
Some of the dates and locations coincide with big domainer conferences.
Verizon’s complaint attacks DirectNIC on essentially two fronts.
It claims that DirectNIC’s practice of parking expiring domains – including those that infringe trademarks – constitutes cybersquatting. This is of course a fairly common industry practice.
It also claims that DirectNIC itself cybersquatted on thousands of domains via a number of shell companies, including NOLDC, Spiral Matrix, Kenyatech, Kentech, Speedy Web, Unused Domains, and Belize Domain WHOIS Service.
There’s a fair bit of circumstantial evidence connecting the firms, and UDRP panelists have previously inferred that they shared ownership, but I don’t think it’s ever been definitively proved.
I reported on this evidence in a bit more depth here.
It’s possible that more evidence could emerge during discovery, but the suit cannot proceed to that stage while the court is still figuring out whether Solares has been served or not.
Dell previously sued DirectNIC on the same grounds. Solares signed an affadavit denying he had anything to do with Kenyatech. That suit was settled.

Native American domain gives .jobs critics ammo

Kevin Murphy, October 22, 2010, Domain Registries

The coalition of companies opposed to the expansion of the .jobs top-level domain seems to think it has found a ‘gotcha’ in the recent registration of nativeamerican.jobs.
The domain leads to a site listing jobs that are identified, for whatever reason, as being particularly suitable for Native Americans. It’s based on an earlier site at ndianjobs.com
The .jobs TLD was originally intended to allow human resources departments to list their corporate job openings using only their own company name or brand in the domain.
The .JOBS Charter Compliance Coalition, made up of a number of jobs portals including Monster.com, now points to nativeamerican.jobs as an example of .jobs registry Employ Media breaking its charter commitments.
The Coalition wrote to ICANN yesterday in support of its effort to get ICANN to overturn its recent decision on .jobs liberalization.
In August, ICANN told the registry that it could start accepting non-company-name .jobs registrations through a “phased allocation process” that involves an RFP and possibly auctions.
But the Coalition contends that the amended registry contract does not allow Employ Media to break its Charter commitment to restrict registrations to purely human resources registrants.

It could not be clearer that Employ Media is using the Board’s approval of the Phased Allocation Program to transform the fundamental nature of the .JOBS sponsored top level domain from a site for employers to link directly with job seekers to a generic employment services theme park – in clear violation of the .JOBS charter, and without the smallest consideration of third party rights.

These “third-party rights” include the owner of nativeamericanjobs.com, who presumably did not have the chance to register the contested domain.
It’s not clear whether the Coalition statement is entirely correct, however.
Judging from Whois records, the domain nativeamerican.jobs was registered in May, prior to ICANN’s board approving the .jobs registry contract changes.
It was certainly registered prior to the closure of the initial RFP stage of Employ Media’s phased allocation program.
The Coalition has a Reconsideration Request pending. ICANN earlier this week asked Employ Media to respond to 13 questions about its plans.

DiscountVouchers.com sells for $158k

Kevin Murphy, October 12, 2010, Domain Sales

DiscountVouchers.co.uk has acquired the equivalent .com domain for £100,000 ($158,000).
The private sale, apparently sealed after owner Barry Garner offered it for sale in a forum post at Affiliates4U.com last week, does not appear to have closed yet, judging by Whois records.
The buyer, who claims the .co.uk site will handle £50 million to £100 million of sales to merchants in its first year, reportedly said the primary motivation behind the deal was brand protection.

FDA to get domain name takedown role?

Kevin Murphy, October 4, 2010, Domain Policy

The US Food and Drug Administration may in future take a stronger role in having domain names associated with rogue internet pharmacies shut down.
Following the meeting between domain name registrars and registries and the Obama administration at the White House last week, I reached out to a few attendees to find out what was discussed.
I didn’t have much luck, to be honest. Some said the meeting was quite dull. But Christine Jones, Go Daddy’s general counsel, was good enough to answer a few questions via email.
The meeting was scheduled to discuss voluntary measures domain firms can take to shut down web sites selling counterfeit pharmaceuticals. I asked whether any specific solutions were discussed.
Jones replied: “Not specifically. There could be an FDA-led solution at some point, which Go Daddy supports.”
The FDA has taken action against illegal online pharmacies in the past, but it does not currently appear to do so on a day-to-day basis.
In November 2009, the agency sent warning letters to the operators of 136 web sites that appeared to be selling medicines illegally. The letters were also sent to the registrars of record for the sites’ domains, most of which were taken down.
The FDA said at the time that the intention was to alert the registrars that the registrants in question may have been in violation of their terms of service and eligible for termination.
In general, the FDA says that overseas pharmacies selling prescription drugs into the US, whether counterfeit or not, is illegal. What this would mean for any “FDA-led solution” is a matter for speculation.
It’s well-known that sick people in the US tend to pay more for their prescription drugs than in other nations, due in part to years of protectionist policies designed to keep the pharma business healthy.
While there are plenty of crooks selling potentially dangerous bogus pills online, some say there are also many legitimate Canadian pharmacies online that supply authentic products more cheaply to US-based prescription holders.
Currently, many US registrars use services such as LegitScript to identify potentially infringing sites. Demand Media’s registrar, eNom, is the most recent convert.
LegitScript, which also only approves US pharmacies, is subject to a certain degree of controversy.
Last week it threatened to sue a web site that made a number of allegations about its financing and the motivations of founder John Horton.
Horton founded LegitScript in 2007, shortly after leaving his Bush administration role as associate deputy director of the Office of National Drug Control Policy.
LegitScript’s main competitor, PharmacyChecker.com, recently asked the US Congress to investigate Horton for alleged ethics violations, claiming he set up LegitScript while still in government.
In April 2007, the ONDCP issued a report which harshly criticized PharmacyChecker for approving Canadian pharmacies that sell drugs to US citizens over the internet, which it said was illegal.
The domain name legitscript.com was initially registered on March 20, 2007. The earliest Whois record I can find, from July that year, shows Horton was the registrant.
Horton’s LinkedIn profile says he left the administration in May 2007.
It seems likely that even if LegitScript did not exist until Horton was out of government, he was preparing its foundations months earlier, at the same time as his office was trashing his future competitor.
Finally, to return to last week’s White House meeting, I asked Go Daddy’s Jones whether the focus was on healthcare or IP protection, and she had this to say:

The focus of this particular meeting was definitely not IP protection. Although IPEC [Intellectual Property Enforcement Coordinator] organized the meeting, there were administration officials and law enforcement attending from many areas of the government. The focus was on finding ways to deal with the rogue pharmacy issue, to get non-compliant registrars to join the fight, and to beef up AUPs to cover registrars in these cases.

She also said that the topic of COICA, the Combating Online Infringement and Counterfeits Act, was not raised.
As I’ve previously reported, ICANN did not attend the White House meeting.

One in five domains use a privacy service

Kevin Murphy, September 14, 2010, Domain Policy

As many as 20 million domain names are registered via Whois privacy or proxy services, an ICANN-sponsored study has found.
The study, conducted by the National Opinion Research Center, looked at a sample of 2,400 domains registered in .com, .org, .net, .info and .biz.
It found that 18% of these names used a privacy/proxy service to hide the contact details of the true registrant. Its margin of error means the actual number could be between 16% and 20%.
Extrapolating to the universe of 101 million domains registered in these five TLDs at the time the sample was taken in January 2009, NORC estimates that between 17.7 million and 18.4 million domains used a proxy.
NORC also estimates that the current number of private registrations could be “substantially higher” today, due to increased market traction for such services.

This, combined with the growth in registration numbers to over 115 million domain names as of January 2010, means that the actual number of privacy/proxy registrations among the top five gTLDs is likely to be substantially higher than 18 million.

When you consider that some privacy services charge as much as $10 a year for private registrations, that adds up to quite a healthy market.

Muslim.co auction won by a Christian ministry?

Kevin Murphy, September 13, 2010, Domain Sales

Whois data for the domain muslim.co, which recently sold for $2,650 during the .co landrush auction, suggests it was won by a US-based Christian ministry.
The organization listed as the registrant and administrative contact is Theandric Ministry, the address a postbox at a strip-mall in Reno, Nevada.
While Google sheds no light on this purported organization, the term “theandric” refers to the notion that Christ was both god and man, not a theory you’d expect the typical Muslim to promote.
The domain is currently pointing to Go Daddy’s default parking page. I’ll be interested to see what content, if any, it eventually contains. The equivalent .com domain is also parked.
(UPDATE: the registrant tells me he’s not a ministry and that the Whois data is out of date. He plans to resell or develop the domain.)
The alternate English spelling, moslem.co, appears to have been registered on the first day of .co general availability by a Canadian with a Muslim-sounding name.
Islam.co is on .CO Internet’s reserved list, with the Whois suggesting it is considered a “premium” domain to be auctioned at a later date. Christian.co is also on this list.
That’s not the case for catholic.co and christianity.co, however. Those domains sold for $3,700 and $725 respectively during the landrush auctions.
Hindu.co, hinduism.co, buddhist.co and buddhism.co all appear to have been registered on or around July 20, the first day of general availability.
The three main English spellings of the name of the prophet Mohammed are registered to Dubai or Saudi-based individuals.
Jesus.co is on the premium list. Christ.co appears to have been won at auction last week, but the registry has not yet disclosed the sale price.

.CO landrush auctions top $1 million

Kevin Murphy, September 8, 2010, Domain Sales

According to my calculations, the total value of announced .co landrush auction sales has now topped $1 million, helped in part by the recent sale of Aspen.co for $22,500.
I’m currently aware of over 250 reported sales from the official registry auction, which is only about 10% of the total number of contested landrush applications.
These domains fetched a total of $1,125,932. The average sales price is over $4,400.
Here’s a list of the 30-odd most recently reported sales.

aspen.co – $22,500
myhealth.co – $18,500
allergy.co – $16,286
jackpot.co – $12,500
locksmith.co – $10,000
zoom.co – $10,000
breckenridge.co – $8,499
mall.co – $8,350
see.co – $8,300
pens.co – $8,200
fairfield.co – $7,210
groceries.co – $6,600
assessment.co – $6,437
backup.co – $6,310
llc.co – $5,200
mylawyer.co – $5,100
apparel.co – $4,782
america.co – $4,050
continental.co – $3,972
mark.co – $3,900
cheapinsurance.co – $3,600
steamboat.co – $3,600
motivate.co – $3,500
rooms.co – $3,175
jewellery.co – $3,162
honey.co – $3,150
handbag.co – $3,100
cooks.co – $3,090
cola.co – $2,900
travels.co – $2,830
neem.co – $2,800
rafting.co – $2,600

.CO Internet does not disclose the sales of domains with “adult” themes, but its possible to infer from Whois data some of the domains that it probably auctioned.