We\u2019ve all found ourselves on the wrong website by mistake. Whether it was a typo or hitting the top search result without looking at it properly, it\u2019s easy to end up on a similar, but not-quite-right version of where we wanted to go.<\/p>\n\n\n\n
I just wanted to buy a new pair of goggles for my beach trip and ended up on some random search engine. What?!<\/p>\n\n\n\n
Okay, so despite my misspelling, it looks like these Google guys are legit\u2026 this search engine might catch on! <\/p>\n\n\n\n
But what about Gogle.com, or Googe.com? Given the billions of hits Google gets each day, even a tiny percentage of typos could mean serious traffic for a misspelled imitator and a serious loss of traffic for the real deal!<\/p>\n\n\n\n
Welcome to the world of domain squatting, also known as cybersquatting. Domain squatters take over similar domains to those owned by known brands, and they can wreak havoc for legitimate businesses:<\/p>\n\n\n\n
Every budding brand needs to defend against domain squatting. And every domain investor needs to know the law: when does sound business strategy cross the line into illegal cybersquatting? Domain investing is a legal, skilled, and lucrative form of investing, which makes it even more important the two aren’t muddled up!<\/p>\n\n\n\n
So if you\u2019re asking \u201cwhat is domain squatting\u201d and \u201cwhen is it legal\u201d you\u2019re in the right place. Let\u2019s dive in.<\/p>\n\n\n\n
Domain squatting, also known as cybersquatting<\/a>, is the practice of registering domain names that are identical or similar to existing brands, domains, or people\u2019s names.<\/p>\n\n\n\n Given that acquiring strong, brandable domains is a good investment strategy and can help businesses get the strongest start in life, you might wonder how domain squatting differs from the practice of domaining and domain investing.<\/p>\n\n\n\n In part, it comes down to intention. Acquiring domain names to profit from the relationship with the existing trademark makes domain squatting different from domain investing.<\/p>\n\n\n\n So is someone trying to build a portfolio of objectively strong domain names?<\/p>\n\n\n\n Or are they leveraging someone else\u2019s hard work in building a memorable brand? If it\u2019s the latter, then it\u2019s probably domain squatting. If it’s the former, it’s a perfectly legitimate form of investment. <\/p>\n\n\n\n There are many different types of domain squatting, but all involve taking over a domain that\u2019s identical or closely related to a known brand or individual. Here are some of the ways domain squatters find related domains:<\/p>\n\n\n\n Domain squatting has been around for almost as long as the internet itself, as people realized that domain names were a new kind of valuable real estate pretty quickly once surfing the web became a part of our lives. But what\u2019s in it for the squatters? Let\u2019s find out. <\/p>\n\n\n\n A key part of the definition of domain squatting is that the registrant is acting in bad faith, and they\u2019re trying to profit from owning the domain. There are a few ways that domain squatters try to do this:<\/p>\n\n\n\n In every case, the squatted domain is profitable because of its connection to a related brand, trademark, or (in the case of celebrity name jacking) a famous name. These connections drive traffic to the site, which can then be exploited for gain.<\/p>\n\n\n\n The ICANN (Internet Corporation for Assigned Names and Numbers) policy for dealing with domain disputes is the Uniform Domain-Name Resolution Policy (UDRP).<\/p>\n\n\n\n This policy lays out the process for domain owners to claim other domains registered in bad faith, but it requires court agreement or arbitration before the claim can be resolved.<\/p>\n\n\n\n That means the legality of domain squatting will usually be settled in the courts. Registered domain names that are based on trademarked words and phrases are protected by those trademarks, and domain squatting is illegal when it conflicts with intellectual property and trademarking laws.<\/p>\n\n\n\n So let\u2019s lay down the law.<\/p>\n\n\n\n The World Intellectual Property Organization (WIPO) calls cybersquatting \u201cthe abusive registration of a domain name<\/a>\u201d, and cybersquatting occurs when the following conditions are met:<\/p>\n\n\n\n (i) the domain name is identical or misleadingly similar to a trade or service mark in which the complainant has rights; and<\/em><\/p>\n\n\n\n (ii) the holder of the domain name has no rights or legitimate interests in respect of the domain name; and<\/em><\/p>\n\n\n\n (iii) the domain name has been registered and is used in bad faith.<\/em><\/p>\n\n\n\n The key factor that makes domain squatting illegal is when the registrant is acting in bad faith.<\/p>\n\n\n\n In the US, the law that deals with domain squatting is the Anti-Cybersquatting Consumer Protection Act of 1999. This bill defines bad faith as when the registrant intends \u201cto profit from the goodwill of a trademark belonging to someone else.\u201d<\/p>\n\n\n\n So cybersquatting is illegal when the domain name is misleadingly similar to an existing service, and when the registrant intends to leverage that similarity for monetary or other gain.<\/p>\n\n\n\n If you registered PatagoniaBlog.com, ShopGAP.org, or CNN-news.co, and profited from any of these domains, you would most likely be accused of domain squatting. Sometimes domain squatting is used to refer to the practice of purchasing multiple domains with no immediate intention of using them. But simply purchasing a wide range of domains as an investment, and aiming to monetize these domains based on marketing, branding, and optimization, is not illegal \u2014 in fact, operating a broad portfolio of domains is a smart strategy to maximize return on investment.<\/p>\n\n\n\n Indeed, many domain registrars, the administrators of domain registration, take domains into their ownership when customers fail to renew their registration. This practice is known as warehousing, and while it\u2019s controversial due to potential conflicts of interest, there\u2019s nothing illegal about it.<\/p>\n\n\n\n Although these behaviors might be called domain squatting by some people, in reality, they don\u2019t meet the WIPO definition for cybersquatting and are better understood by different terms: domaining, domain investing, or warehousing.<\/p>\n\n\n\n Domain squatting itself is illegal, but something that looks like domain squatting is legal if: So Johnny Patagonia might get away with PatagoniaBlog, so long as the domain was registered in good faith, and didn\u2019t profit from the association with the Patagonia brand.<\/p>\n\n\n\n Maybe you could keep ShopGAP.com for your landscaping business \u2015 but you should anticipate a call from the lawyers. And if you were running, say, a shoe store with the same website you\u2019d almost certainly get a cease and desist letter from The GAP for trademark reasons, with the potential for domain squatting charges too. <\/p>\n\n\n\n But there are many grey areas, where two or more parties have a claim to a domain. Is it domain squatting? Let\u2019s take a look at some famous cases and you can decide for yourself.<\/p>\n\n\n\n Sometimes domain squatting is easy to spot, but other times it\u2019s harder to unravel the intentions of whoever registered the domain. Let\u2019s take a look at some key examples from the history of cybersquatting.<\/p>\n\n\n\n One of the earliest cases of cybersquatting involved the domain madonna.com, which had been set up to host adult content. Madonna herself sued over the use of the name, and the WIPO settled in her favor<\/a>, stating that the registrant had no legitimate interest in the domain.<\/p>\n\n\n\n In 2004, Microsoft sued a Canadian student Mike Rowe over his website MikeRoweSoft.com, accusing him of domain squatting. Rowe was leveraging a similarity to Microsoft\u2019s trademark, but the presence of bad faith is more uncertain as Rowe was not imitating Microsoft in any way, and used the site as a personal blog.<\/p>\n\n\n\n Ultimately, this case was settled out of court so we\u2019ll never know what the legal outcome would have been, but experts have argued that Microsoft had to pursue legal action to protect its trademark.<\/p>\n\n\n\n One interesting case occurred when the owner of BruceSpringsteen.com was allowed to keep the domain, using it to redirect to his personal website. The defendant argued that the domain was a fan site, registered in good faith, and at the time he wasn\u2019t making any profit from the domain. Springsteen lost the right to the domain of his own name, demonstrating a grey area of domain squatting.<\/p>\n\n\n\n As of 2023, the domain hosts highly questionable links to Springsteen tickets and merchandise. This case of domain squatting likely isn’t closed for good.<\/p>\n\n\n\n In 2020 Foxnews-entertainment.com was set up to display a fake news article advertising a miracle weight loss pill, complete with links to buy the supplement. The website was using the Fox logo and imitating the legitimate domain\u2019s design in a clear attempt to dupe viewers into believing they were on the real Fox News page.<\/p>\n\n\n\n This was a clear-cut example of domain squatting with an obvious bad-faith attempt to leverage a similarity to an existing brand for profit. Fox News sued the owner<\/a>, and the site has been taken down as of 2023.<\/p>\n\n\n\n As the case of brucespringsteen.com demonstrates, even when a domain is being used questionably, the burden of proof is extremely high. If you think a domain is being squatted illegally, you generally have three options:<\/p>\n\n\n\n While you may be reluctant to negotiate with a cybersquatter who is imitating your brand, this is often the quickest way to resolve a dispute. Domain squatters are often seeking a quick payout and are willing to transfer the domain to your ownership.<\/p>\n\n\n\n The registration details of every domain can be searched on the WHOIS database<\/a>. If you do reach an agreement, protect yourself by using an escrow service to hold the funds while the domain transfer is in progress.<\/p>\n\n\n\n If negotiation fails, or it\u2019s not a route you want to take, you may be able to use the Uniform Domain Name Dispute Resolution Policy (UDRP)<\/a> to file a complaint. Approach an approved dispute resolution vendor<\/a> to begin your complaint.<\/p>\n\n\n\n The UDPR offers an expedited administrative process that avoids costly court action, but there must be strong evidence of abusive registration. Ensure you have evidence of historical use of your trademark and can demonstrate that the accused domain owner has no right to the domain.<\/p>\n\n\n\n Lastly, legal action pursued in the appropriate court can reclaim your domain name. Domain attorneys will provide essential expertise and guidance in building a case. Unfortunately, the legal avenues for reclaiming a squatted domain are often expensive, exhausting, and complicated.<\/p>\n\n\n\n If you\u2019ve been the victim of cybersquatting, you may be in for the long haul. For most of us, prevention is better than cure. Let\u2019s learn about the steps to take to stop cybersquatters in their tracks.<\/p>\n\n\n\n If you have been the victim of domain squatting, and have ample evidence protecting your trademark, then you should, eventually, reclaim your domain. But in the meantime, your business, brand, and reputation may have been damaged<\/p>\n\n\n\n Every business founder should know how to protect themselves from domain squatting and take action early to prevent it. Here\u2019s what to do.<\/p>\n\n\n\n Once you\u2019ve chosen a business name, don\u2019t hesitate to register the domain name you need. Domain squatters may be tracking recently searched names and snapping them up in the hope of reselling them at a markup.<\/p>\n\n\n\n Buying a proven, premium domain from a reputable domain marketplace<\/a> can protect your brand from domain squatters. As the name you choose has a higher cost of entry, cybersquatters are deterred. Buying a premium domain gives you a strong, brandable domain with a trustworthy extension, and your business gets the best start in life.<\/p>\n\n\n\n When it comes time to register your domains, ensure they are registered with your details, even if you\u2019re using a third party or employee to register your domain.<\/p>\n\n\n\n Register your domain names with an ICANN-accredited registrar<\/a> with a range of privacy and protection services and a secure infrastructure. Avoid any third-party domain resellers licensed by the registrar to sell domain registrations, as these often have poor customer service and weaker security.<\/p>\n\n\n\n Owning the best version of your domain gives your website credibility in the customers\u2019 eyes and the TLD (top-level domain) is an essential part of that. In today\u2019s digital world, .com is still the king when it comes to customer trust.<\/p>\n\n\n\n Given that newer domain extensions, like .biz or .eu, are mistrusted by 70% of customers<\/a>, owning the .com extension makes it much harder for domain squatters to imitate your brand.<\/p>\n\n\n\n Cybersquatters will often register similar spellings and alternative extensions, so consider registering these yourself at the same time as you register your primary domain. You can then set up these additional domains to redirect to your business\u2019s website, and ensure every last visitor finds their way to your site.<\/p>\n\n\n\n For example, if you were registering \u201cClairesBakes.com\u201d, you might want to register \u201cClaresBakes.com, ClairesBakes.co, and ClairesBakes.org\u201d.<\/p>\n\n\n\n Unregistered domains are usually very affordable, and registration costs around $10 – $60 with a lower annual renewal fee to consider. If you plan to grow into a big-name brand, registering these names early, before your brand inflates their value, could be a long-term investment.<\/p>\n\n\n\n To ensure the speedy resolution of any dispute, you should have ample evidence of the use of your name and, ideally, trademark protection.<\/a> File a provisional trademark as early as possible to protect your name.<\/p>\n\n\n\n One prevalent domain squatting tactic is to register recently expired domains. So don\u2019t let your domains expire!<\/p>\n\n\n\n Remember that registering a domain doesn\u2019t give you lifetime usage, and you have to renew your registration to maintain your ownership of that domain. Turn on auto-renew in your account with the domain registrar, ensure your credit card details are up to date, and use an active email address so you receive any late renewal warnings.<\/p>\n\n\n\n Domain squatting is still a threat in 2023, and squatters are using strategies like new extensions or using the typos created by voice search to imitate legitimate brands and profit from the connection.<\/p>\n\n\n\n Although domain squatting isn\u2019t a huge threat for small and medium-sized businesses, reclaiming a domain name in the courts can be a protracted and costly process. The best way to avoid a lengthy legal battle is to be proactive, so all business owners should take steps to protect themselves from squatters. That means registering your desired domain early, and trademarking your name. Opting for premium domain names with trusted extensions makes it harder for squatters to copy your domain, and ensures customers know who they\u2019re dealing with.<\/p>\n\n\n\n Meanwhile, domain investors need to take care to protect themselves from legal challenges. Buy your domains based on their objective qualities, not for their association with existing entities. As long as your assets are acquired in good faith, you should have a strong, legal portfolio for profit.<\/p>\n\n\n\n Ready to find a home for your brand? Our premium domain marketplace<\/a> is packed with powerful names. Accept no imitations.<\/p>\n\n\n\n Got more questions about domain squatting? Look no further.<\/p>\n\n\n\n The WHOIS database<\/a> contains information about the ownership of domains, including the registrar, the registrant’s name, contact number, and email address. Domain privacy will sometimes redact certain information, but there will be contact details available from the registrar.<\/p>\n\n\n\n A domain\u2019s value depends on a range of factors, including length, extension, and brandable features such as the combination of English language words and on-trend suffices. Unregistered domains are available for free with a registration fee of $10 – $60, while brandable, premium domains start at a couple of thousand dollars.<\/p>\n\n\n\n To find out if a domain is taken, search the WHOIS database<\/a> or at a registrar of your choice. If the domain is taken, there are online tools such as Domain Watch<\/a> that can notify you if that domain becomes available.<\/p>\n\n\n\n Yes, domain squatting is still a popular tactic, and over 5000 domain abuse cases were filed with WIPO in 2022<\/a>. Because gold-standard extensions like .com are becoming increasingly scarce domain squatters are using new tactics. This includes registering alternative extensions and using homophone squatting to leverage errors in voice search technology. <\/p>\n\n\n\nDomain Squatting Strategies<\/h3>\n\n\n\n
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Why Does Domain Squatting Happen?<\/h2>\n\n\n\n
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When is Domain Squatting Illegal?<\/h2>\n\n\n\n
But what if your name was Johnny Patagonia? Or if you had run a landscaping business called Gap? Then you\u2019d be in a grey area, with a claim to the domain. Let\u2019s dig a little deeper.<\/p>\n\n\n\nWhen is Domain Squatting Legal?<\/h3>\n\n\n\n
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Famous Cases of Squatted Domains<\/h2>\n\n\n\n
Madonna.com<\/h3>\n\n\n\n
MikeRoweSoft<\/h3>\n\n\n\n
BruceSpringsteen.com<\/h3>\n\n\n\n
FoxNews-entertainment<\/h3>\n\n\n\n
How do I Get Back a Squatted Domain?<\/h2>\n\n\n\n
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How to Prevent Domain Squatting<\/h2>\n\n\n\n
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Wrapping It Up<\/h2>\n\n\n\n
Domain Squatting Frequently Asked Questions<\/h2>\n\n\n\n
How do I find out who owns a domain?<\/h3>\n\n\n\n
How much is a domain worth?<\/h3>\n\n\n\n
How do I find out if the domain I want becomes available?<\/h3>\n\n\n\n
Is domain squatting still happening?<\/h3>\n\n\n\n
How can I reclaim a domain from squatters?<\/h3>\n\n\n\n