As Application Period Begins Today, ICANN gTLD Program Represents Significant Challenge to Trademark & Copyright Owners

The Internet Corporation for Assigned Names and Numbers (ICANN ) today began accepting applications for new generic top level domains (gTLDs) to the Internet, part of a proposal the ICANN Board adopted in June 2011. 

SIIA supports, respects, and has participated in the ICANN multi-stakeholder process, and acknowledges that new gTLDs will be introduced. But once the scope and content of applications becomes apparent, ICANN will have another opportunity to address stakeholder concerns, and must do so. The introduction of new gTLDs will require even more of ICANN’s focus on previously-neglected, critical tasks such as reform of the Whois system, improvement of registrar contracts, and contract compliance and enforcement.

The highly controversial proposal has been years in the making, and potentially opens up the Internet to hundreds if not thousands of new gTLDs (and second-level registrations within each of them). The application period will run from January to April, and applications are expected to be publicized in May. It is anticipated that new gTLDs will be approved (and begin appearing on the Internet) sometime in 2013. 

The new gTLD program, as currently formulated, represents a significant challenge to trademark and copyright owners. ICANN’s program opens up a whole new frontier of potential –and likely—abuse by those seeking to profit from the name, reputation, and content of others. Intellectual property owners will need to familiarize themselves quickly with the Rights Protection Mechanisms in the gTLD Applicant Guidebook, and expend even more resources and time in enforcing their rights against cybersquatters and infringers.


Laura Greenback is Communications Director at SIIA.

Deluge of Privacy and Security Bills in Washington, Plus ICANN

In case you thought there was already too many privacy and data security bills in the U.S. Congress, several more were introduced last week. Notably, Senators Al Franken (D-MN) and Dick Blumenthal (D-CT) introduced the “Location Privacy Protection Act,” Representative Jason Chaffetz (R-UT) and Senator Ron Wyden (D-OR) introduced their “Geolocation Privacy and Surveillance (GPS) Act,” and on the data security front, Commerce Chairman Rockefeller (D-WV) and Mark Pryor (D-AR) introduced the “Data Security Breach Notification Act.”

At the same time, one of the bills receiving the most attention hasn’t yet been formally introduced.  That is, Mary Bono Mack’s draft “SAFE Data Act” was the subject of a Subcommittee legislative hearing last week, and the Chairwoman has made clear her intentions to move forward to markup the legislation in the near future.

SIIA is currently assessing the long list of proposals, and the outlook in Congress for the remainder of 2011.  Even more now, there is considerable jurisdictional wrangling among the key Committees of jurisdiction on these issues, which could lead to more smoke than fire for the remainder of 2011.  Regardless of how this plays out, SIIA will continue to work with members and policymakers as they explore the need for new laws and regulations regarding the collection and protection of personal information.

On the patent reform front, as reported last week, it’s still expected that the legislation will be voted on by the House this week.  As of Tuesday a.m., House leadership was reportedly hammering-out some of the remaining key details regarding the controversial issue of PTO fee retention and future funding.  That vote is expected to occur later this week. Stay tuned.

As expected, yesterday the Board of Directors of ICANN approved a proposal to add hundreds and possibly thousands of new generic top level domains (gTLDs) to the Internet. The proposal has been years in the making, and the 400-page Draft Applicant Guidebook that describes it has undergone seven major revisions. SIIA believes that the decision to approve the Guidebook represents a significant threat to copyright owners. Intellectual property owners will need to familiarize themselves quickly with the Rights Protection Mechanisms in the gTLD Applicant Guidebook, and expend even more resources and time in enforcing their rights against cybersquatters and infringers.

ICANN Guidebook Vote a Challenge to Trademark and Copyright Owners

The Board of Directors of ICANN today approved a proposal to add hundreds and possibly thousands of new generic top level domains (gTLDs) to the Internet. The proposal has been years in the making, and the 400-page Draft Applicant Guidebook that describes it has undergone seven major revisions. SIIA believes that the decision to approve the Guidebook represents a significant threat to copyright owners.

The new gTLD program, as currently formulated, represents a significant challenge to trademark and copyright owners. While SIIA favored a targeted approach to address specific gTLD needs, such as non-latin script gTLDs, ICANN’s approved program is extremely broad. Intellectual property owners will need to familiarize themselves quickly with the Rights Protection Mechanisms in the gTLD Applicant Guidebook, and expend even more resources and time in enforcing their rights against cybersquatters and infringers.

Tomorrow’s gTLD hearing will be far-reaching

Tomorrow morning, a House subcommittee will tackle an issue that has been under the radar for most Internet users and rights holders, but is of critical importance.  ICANN, the governing body of the Internet domain name space and addressing structure, has announced plans to introduce hundreds or even thousands of new “generic top level domains” (gTLDs) to the Internet. 

Virtually any string of letters and numbers is fair game, and anyone can apply (assuming you have the six-figure application fee and the wherewithal to run a Registry).  The gTLDs that are approved will then be open for second-level registrations, and brand owners and others will be faced with a Hobson’s choice: spend millions of dollars in new “defensive registrations” to protect their marks, or sit back and risk an exponential expansion of the cybersquatting and online infringement problems.  Members of the House subcommittee will question an ICANN witness, rights owners and others about this proposed program, and related Internet governance issues.

While the U.S. government and Congress always has had an oversight interest in ICANN (the U.S. government, after all, created ICANN), the impetus for this hearing seems to have been ICANN’s contentious debates with its “Government Advisory Committee” and its apparent rejection of a number of GAC “recommendations” regarding the new gTLD roll-out.  The GAC consists of representatives from the governments of the world, and while their advice is not binding on the ICANN Board, it is (or was) widely believed that ICANN rejects GAC advice at its peril – after all, without support of the governments, ICANN’s authority to govern the domain name space, and indeed its very existence, seem in doubt. 

Among the advice given by the GAC is that the new gTLD roll-out should include greater rights-protection mechanisms, should be more narrowly tailored to fit the actual needs of the Internet community, and should give communities and governments the opportunity to nix strings that are (in essence) offensive, contrary to public interest, etc. — in essence, any controversial string.  While the various versions of ICANN’s Draft Applicant Guidebook have taken into account some suggestions of the GAC and rights-holders, the core of the gTLD program has remained the same.  ICANN released its latest – and it says, last — draft of the Guidebook in April, and plans to finalize the roll-out procedure during its June meeting in Singapore. 

Once the process opens up for applications, ICANN expects to process up to 500 gTLD applications at a time. There is a lot of speculation about how this would affect the Internet, but one thing is for sure.  If rights holders have a hard time enforcing their copyright and trademark rights online right now, the problem will be exponentially worse in a world with hundreds of new gTLDs.

A second significant issue of concern for the House is the deterioration of the “WHOIS” databases for determining the owner and operator of web sites.  While the tool originally was intended to allow Internet users and others to know “with whom they are dealing” when they visit a web site online, the system is now broken to the extent that WHOIS is completely unreliable and often useless.  This is particularly true from the standpoint of rights enforcement and law enforcement. 

Sites that are engaging in illegal activity have little incentive to provide accurate WHOIS information if they are not forced to do so, and Registrars too often do not require their registrants to provide accurate whois information (“Mickey Mouse,” for example, is commonly given as the web site registrant’s name) and permit – even encourage – proxy registrations that effectively allow anonymous operation of a web site.  Congress has been concerned about these developments and will have some tough questions for the witnesses tomorrow.

–Scott Bain, Chief Litigation Counsel and Director, Internet Anti-piracy

The week’s top 5 IP enforcement headlines

1. Baidu Announces New Anti-Piracy Measures (Wall Street Journal)
Chinese online-search provider Baidu announced that it will begin to use new copyright-recognition technology on its online document-sharing platform to prevent sharing of pirated content. 

2. ICANN Asks to be Set Free (The Inquirer)
ICANN sent a letter to the Department of Commerce last week asking NTIA to privatize ICANN, saying that the security and stability of the Internet would be enhanced by moving to a cooperative agreement.

3. U.S. Internet Piracy on the Decline? (USAToday)
A report by the NPD Group says that Internet piracy is on the decline in the United States.

4. Have Microsoft’s Anti-Piracy Efforts Gone Too Far? (ZDNet)
The article questions whether Microsoft’s efforts to get new anti-piracy legislation passed in the state of Washington go too far.

5. Photobucket Rebuffs A Copyright Lawsuit—A Pattern Likely To Continue (paidcontent.org)
In Wolk v. Eastman Kodak, a visual artist lost her suit against Photobucket and Kodak, in which she alleged that her copyrighted illustrations were uploaded to the photo-sharing network without her permission.  As in similar cases brought against Veoh and YouTube, the court found that Photobucket was immune from liability under the “safe harbor” of the Digital Millennium Copyright Act (DMCA).

Patent reform moves ahead; Kerry tweaks privacy legislation

Following Senate passage of patent reform legislation, the House is now moving forward quickly. Draft legislation circulated last week is expected to be introduced today, in advance of the Judiciary Subcmte. hearing scheduled for Wednesday. And Committee leadership has indicated a desire for the Committee to approve legislation before the Easter recess. While SIIA will continue to work with House leaders to fine-tune some of the language, SIIA is supportive of many key provisions in the draft bill, including those that would end patent fee diversion, convert the U.S. system to “first-inventor-to-file” with prior user rights and provide for third party prior art submission.

On the Privacy front, Sen. John Kerry (D-MA) has yet to formally introduce his much-anticipated privacy legislation, but he continues to tweak the draft. The most recent version reportedly adds a “privacy by design” section and modifies the exemption for personally identifiable information that’s publicly available and a more detailed definition of “sensitive personally identifiable information,” a term that now covers data that, if leaked, would cause “a significant risk of economic, physical or emotional” harm.

Cybersecurity continues to draw a lot of attention on in Washington. The Senate Commerce Committee postponed a hearing scheduled for today due to unrelated conflicts. However, legislators in the House and Senate, as well as the White House, continue to discuss key elements and seek common ground. More on this next week.

In other IP news, SIIA held a webcast for members last Friday on ICANN’s plans to accept applications for possibly hundreds of new generic top level domains (gTLDs). New gTLDs may provide additional branding and strategic opportunities for some companies, but also may exponentially increase cybersquatting, present new trademark and copyright infringement problems for IP owners, and dramatically increase enforcement costs. ICANN is in the process of finalizing new IP rights protection mechanisms and gTLD objection procedures, following comments by SIIA and many others. SIIA will continue to follow these developments closely and participate in the ICANN policy development processes.

ICANN’s Planned Expansion of gTLDs: Opportunities and Challenges

While some entrepreneurs and technology companies welcome the opportunity that new gTLDs will bring, and plan to submit applications to run new gTLDs, other trademark and copyright owners are rightfully concerned about the potential for increased piracy and abusive domain name registrations.

This webcast will discuss the process, likely implications, and strategies for dealing with new gTLDs.

Featuring:
Steve Metalitz, Partner, Mitchell Silberberg & Knupp LLP, counsel for the Coalition for Online Accountability (COA)
Scott Bain, Chief Litigation Counsel & Director, Internet Anti-piracy, Software & Information Industry Association (SIIA)