What Is Cybersquatting?
Registering, trafficking, or using a domain name identical or confusingly similar to a trademark with bad-faith intent to profit. Classic example: snapping up applecomputers.net and offering it to Apple for $1 M.
Legal Frameworks
- UDRP (ICANN): global, no court, 2-4 months, $1,500+
- URS (new gTLDs): faster, cheaper, suspension only
- ACPA (US): court action, up to $100k statutory damages
- National laws: UK Nominet DRS, EU ADR
Proving Bad Faith (UDRP 4(a))
- Domain identical/confusingly similar to mark
- Registrant has no rights or legitimate interests
- Domain registered and used in bad faith
Defensive Registration Strategy
Register core marks in .com, .net, .org, key ccTLDs, and common misspellings. Use registrar bulk search to grab new TLD launches during sunrise periods—cheaper than UDRP later.
Monitoring for Abuse
Set Google Alerts for “{yourbrand} + domain”. Use Markify or Corsearch to automate watch service. Receive weekly lists of newly registered domains that match your trademark phonetically or visually.
Enforcement Workflow
1) Send cease-and-desist (C&D) via email + certified mail. 2) If no response within 5 days, file UDRP. 3) Parallel file TM opposition if registrant applies for trademark. 4) Escalate to federal court if damages sought.
Reverse Domain Hijacking
If you overreach and try to grab a legitimate domain, respondent can file RDH claim. Panel may declare you guilty, hurting future cases. Ensure you have clear trademark rights before filing.
Borderline Cases
Descriptive terms (“apple” for fruit site) and generic combos (“apple-store-reviews.com” for blog) may be protected. Evaluate strength of mark, distinctiveness, and good-faith use before acting.
Cost-Benefit Analysis
Average UDRP costs $3k-$5k total. Compare to purchase price owner demands. If offer is < $2k, buying is cheaper and faster. Keep evidence of bad faith to preserve UDRP option.
Takeaway
Proactive monitoring plus swift UDRP filing protects brand equity and deters future squatters. A reputation for aggressive enforcement lowers the number of new infringements dramatically.