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Domain “slammer” finally gets suspended by ICANN

Kevin Murphy, July 21, 2014, Domain Registrars

The beneficiary of the long-running Domain Registry of America scam is finally at risk of losing its ICANN accreditation.
ICANN has suspended Brandon Gray Internet Services, which does business as NameJuice.com, due to the “deceptive” marketing practices carried out by its “resellers”.
The company won’t be able to register any gTLD names or receive transfers for 90 days.
If NameJuice hasn’t sorted out its act by October 17, it faces the risk of losing its accreditation permanently.
The company, you will recall, is the primary beneficiary of the “slamming” scam, which tricks customers of other registrars into transferring their names with confusing, invoice-style junk mail.
Slammers have been operating under various names including Domain Registry of America, Domain Registry of Europe and Domain Registry of Canada for close to 15 years.
I received one in 2011 from the “Domain Renewal Group”, which I blogged about here.
It was sued by Register.com in 2002 over the practice, was forced into a settlement with the US Federal Trade Commission in 2003, and has been involved in tangles with regulators all over the world for the last decade.
But it seems ICANN’s hands were tied until Brandon Gray signed the new 2013 Registrar Accreditation Agreement, which gives ICANN’s compliance department more power over resellers.
ICANN said:

Since at least 2009, ICANN has received numerous complaints from Registered Name Holders, registrars, and various ICANN Supporting Organizations and Advisory Committees regarding the business solicitation practices of Brandon Gray’s resellers. Such practices were not specifically prohibited under the 2001 and 2009 RAAs. Section 3.12 of the 2013 RAA, however, requires registrars to ensure its reseller’s actions comply with the RAA, as well as the Registrants’ Benefits and Responsibilities Specification, which protects Registered Name Holders from false or deceptive practices.

ICANN fingered “reseller” Registration Services Inc as the party behind DROA and the other slamming scams.
In order to cure the latest breach, NameJuice has until August 8 to provide a tonne of information about Registration Services, including its certificate of incorporation, samples of its mailshots, and details of how a sample of specific domains came to be transferred.
In order to avoid losing its accreditation by October 10, the company will also have to promise to force its reseller to stop its deceptive marketing and provide ICANN with samples of future mailings.
NameJuice has 13 tasks in total to comply with to avoid termination proceedings; it’s looking promising that ICANN will finally shut down this blight on the industry just a few months from now.
The irony is, of course, if NameJuice loses its accreditation, all of the names that were obtained under false pretenses will not revert naturally to their original registrar. Instead, if ICANN follows its standard practice, they’ll be transferred in bulk to a third registrar.
You can read the breach notice here and the suspension notice here.