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Chip Rosenthal Wins Unicom Domain Name Case

Seth Schoen writes "As seen last month, Chip Rosenthal (whom many people know for Reply-to Munging Considered Harmful, among other projects) was threatened with the loss of his domain name unicom.com. He's now won in court and will get to keep the domain, at least for the time being."

170 comments

  1. Why was there even a court case? by TrollMan+5000 · · Score: 3, Informative

    Mr. Rosenthal secured the domain in 1990. It seemd to be his. How this got that far into the courts mystifies me.

    According to the plaintiff's charges, Rosenthal was being accused of cyberpiracy. Why? It's almost like a child throwing a tantrum when he can't get his way.

    1. Re:Why was there even a court case? by ackthpt · · Score: 2, Informative
      What a silly question. Even people without a leg (wooden, plastic or virtual) to stand on file suits every day just to see if the threat is enough to get another party to back down.

      As for the suit, ok, the California part is over, but it's up to UnicomSI to decide if they want to pursue in the district of Western Texas. Until such time as they throw in the towel or Chip is victorious in Texas, it ain't really over.

      --

      A feeling of having made the same mistake before: Deja Foobar
    2. Re:Why was there even a court case? by Anonymous Coward · · Score: 0

      "How this got that far into the courts mystifies me."

      Well, it didn't actually get very far:

      Oct. 31, 2001 - Complaint filed
      Dec. 12, 2001 - Summons and Complaint served
      Jan. 2, 2002 - Motion to Dismiss
      Jan. 14, 2002 - Response to Motion to Dismiss
      Feb. 4, 2002 - Order dismissing case

      So the case was on file for over 3 months, but was dismissed less than 2 months after the plaintiff actually told defendant about it. Applying a little-known federal court docket control called "the sixty-day list," the court was not even obligated to decide this matter (the motion to dismiss, not the entire case) prior to May 31, 2002. Not only did this case not get very far, it was decided most expeditiously.

      Yes, I am a lawyer, and yes, I have worked for the federal courts. The sad fact is that litigation, even when you win, is hellatiously expensive. The next step in this saga is up to the plaintiff. While defendant won this round, the litigation may not yet be over. The sad fact is that complying with state law concerning either a corporate name or a fictitious business name may not be sufficient to protect your use of that name against a competing federal trademark registration.

    3. Re:Why was there even a court case? by Anonymous Coward · · Score: 0

      Texas has very strong "state trademark laws" and Chip has a common law state Trademark on Unicom.

  2. Leave him alone... by PoiBoy · · Score: 4, Insightful
    Since he registered this domain way back in 1990, I don't see how this California company has any claim to it. Notice that the company became interested in acquiring the domain around 1998, about the time every company on the planet decided to get online. Seeing that an individual owned the name they wanted, they figured they could throw a few lawyers at the problem and scare the person into giving it up. They thought wrongly.

    Sure, cybersquatting just to extort money out of a company or to otherwise do harm to a company is wrong; in these situations I think companies have legitimate beef with cybersquatters. However, let's not ignore that fact that this guy registered the domain in 1990!

    --
    Sig (appended to the end of comments you post, 120 chars)
    1. Re:Leave him alone... by operagost · · Score: 1

      Besides, he couldn't really qualify as a cybersquatter when his registration precedes the plaintiff company's mere EXISTENCE! He's also been actively using the domain for WWW, e-mail, gopher, etc. Not just putting up a page saying, "This domain for sale"!

      --

      Gamingmuseum.com: Give your 3D accelerator a rest.
    2. Re:Leave him alone... by operagost · · Score: 1

      Oops, looks like they did exist... but they didn't trademark the Unicom name until 1997. My bad.

      --

      Gamingmuseum.com: Give your 3D accelerator a rest.
    3. Re:Leave him alone... by Cramer · · Score: 1

      Actually, unicomsi has been around for ~20 years. They claim to have registered the trademark on UNICOM (and attached thousands of circled "R"s on their web paged) in 1989. The domain was registered in Feb of 1990. Now, I would submit, Mr. Rosenthal had no knowledge of the existance of the "international powerhouse" of unicomsi (not being a Fortune 100 company and all.)

      Of course, their failure to "protect their mark" for 12 years is extremely damning evidence. I say let him keep his domain name AND nullify the trademark as well *grin*

    4. Re:Leave him alone... by blibbleblobble · · Score: 1

      Try telling that to the Texan lawmakers. If they want to impose their views on the entire world wide web, there seems to be no stopping them.

      Our next step is to register "tx" as a trademark in Uganda, then sue the state of texas and force them to surrender their .tx domain. It's really no different.

  3. Cyber squatters by sweat · · Score: 3, Insightful

    I have never been a fan of companies being able to override people who own domain names. First come, First serve should apply. Especially if the domain name was originally purchased before the company was even formed. A similar example was the newish Minnesota Wild NHL team sued a childrens magazine(titled Wild) even though the magazine was around for years before the team even existed. Crazy.

    1. Re:Cyber squatters by TrollMan+5000 · · Score: 0

      I don't think that's right either. I was under the impression a "cybersquatter" purchased a name simply to have the name, and not do any legitimate business with it.

      If someone else has the name, then you're a day late and a dollar short. Deal with it.

    2. Re:Cyber squatters by praedor · · Score: 2

      No, it was entirely a speculative venture. The squatter buys up a domain name and sits on it, doing nothing (or they COULD make noises like they were going to use it). The entire intent, start to finish, was to prompt an interested body (a corporation, celebrity) to pay top dollar to get the rights to the name. Squatters essentially have no intention of actually using the names they registered for any purpose other than to drive a legitimate entity with interest in the domain to cough up lots of money to acquire the domain.

      --
      In Bushworld, they struggle to keep church and state separate in Iraq as they increasingly merge the two in America.
    3. Re:Cyber squatters by Aexia · · Score: 1

      >>Squatters essentially have no intention of actually using the names they registered for any purpose other than to drive a legitimate entity with interest in the domain to cough up lots of money to acquire the domain.

      So what?

    4. Re:Cyber squatters by praedor · · Score: 2

      So what...is that it is now illegal. You don't get to be a cybersquatter anymore. If you want a domain name, get it, but you actually need to have a use for it beyond extorting money from deep pockets. You do not have an inherent internet right to the name pepsico.com, britneyspears.org, chevy.com.


      That's the way it is.

      --
      In Bushworld, they struggle to keep church and state separate in Iraq as they increasingly merge the two in America.
    5. Re:Cyber squatters by ergo98 · · Score: 1

      If I interpret correctly, there is nothing wrong whatsoever with speculating on domain names: If I think motorizedmonkeys will be a big thing and acquire the domain, then tough cookies for MondoCorp when they want to sell motorizedmonkeys (and I have no duty to do anything with the domain: I don't have to prove I'm using it). The problem is if people sit on the trademarks or trade names of established companies with the sole purpose of being bought out by said company (i.e. the first proof of this is when someone sends an email to said big company saying "Hi, I own www.yourproduct.com, and will sell it to you for $500000").

    6. Re:Cyber squatters by McFly777 · · Score: 1

      An additional problem is that USE of the domain now translates to posting a WEB page of some sort. I have a domain that I am only (currently) using for the purpose of recieving e-mail. And I have been using it actively for several years that way. It makes it really nice when I decide that a particular ISP has stopped being competitive. I just point the DNS MX record to my new ISP and nobody has to worry about "my new email address is..." type of issues.

      In some cases, such as the theos.com issue, companies have agrued that because they couldn't find a web page the holder was cybersquatting. (Theo used it only for e-mail.) Now in Chip's case the company is arguing that BECAUSE he is using the web page he is either cybersquatting or infringing on trademark.

      Sounds like you can't win either way.

      --

      McFly777
      - - -
      "What do people mean when they say the computer went down on them?" -Marilyn Pittman
    7. Re:Cyber squatters by praedor · · Score: 2

      You are doing something I am interested in setting up. I have a couple domains of use to me that I want to use for email. How do you go about it? I already have the registered domains, I am just not sure of the next step(s) so I can setup my personal email address as you did - my permanent, neverchanging email with a name I gave it.

      --
      In Bushworld, they struggle to keep church and state separate in Iraq as they increasingly merge the two in America.
    8. Re:Cyber squatters by McFly777 · · Score: 1

      In my case I am now using LowCostDomains.com as my registrar. They give you free "mail forwarding" which sends the mail to whatever isp mailbox you specify. You can specify as many different aliases as you want, as well as a catchall for anything left over.

      The better way, which I did for a short time while I had direct access to a DNS server and a cooperative ISP (they were bought out and became less so) is to set the MX record on the DNS server to point to the proper place. If you have a static IP that is "always-on" you can even skip the ISP and point directly to yourself. Of course if you have a static IP you can host your own DNS records. (but you do need a secondary DNS too... ie swap with another friend with a static, always on connection)

      p.s. Don't let the low budget name bother you. Low cost domains is actually Tucows.

      --

      McFly777
      - - -
      "What do people mean when they say the computer went down on them?" -Marilyn Pittman
  4. The good guy wins (sometimes) by TheAngryArmadillo · · Score: 1

    I've met Chip. He's a decent guy. It's nice to see that the good guy does win once in a while.

  5. Now that's irony.. by mythr · · Score: 4, Funny

    He wins the right to keep his page up at that domain, and, within minutes, we bring it back down. Now that's irony.

    1. Re:Now that's irony.. by mclearn · · Score: 2
      What's even funnier is the fact that the error message returned is:

      Web site is Slashdotted. Please visit again later.

      That's *hilarious*!
  6. Funny by .sig · · Score: 2, Interesting

    Checked out his website, got a laugh out of it. Apparently during the case, he was using his website to keep us informed of the progress of the case. So, he was defending his right to keep his domain, on which he reported on the defending of his right to keep his domain, on which he reported on the defending......etc

    --
    -Space for rent
    1. Re:Funny by ackthpt · · Score: 1
      It's kinda funny, too, that he was slashdotted before and I couldn't get the finding to come up, probably slashdotted again.


      It's an interesting read and a very professional job, aside from the shout outs, of assembling a track. Kudos to Chip for keeping people informed and placing the relevant information in an easy to read and access format. Others could learn from him, or heck, even hire him as a consultant, I expect he could do with some employ. *hint* *hint*

      --

      A feeling of having made the same mistake before: Deja Foobar
  7. A rare bit of sanity by sjhwilkes · · Score: 3, Insightful

    Companies should be checking domain name availability before coming up with names, either that or develop a more relaxed attitude to all the different TLD's. - I worked for too many firms that consider 300 odd names their right.

    1. Re:A rare bit of sanity by RazzleFrog · · Score: 1

      Companies should be checking domain name availability before coming up with names

      I agree with you on new companies but this wasn't the case here. This is a case of a company with a poor sense of timing. According to their site the have existed since 1981 but they didn't register a trademark until 1997? (Although they did mention something about a prior trademark that was abandoned in the suit). Then after registering a trademark they decide to register their domain name, find it exists, get pissed off and sue.

  8. Interesting analysis of "commercial" sites by Masem · · Score: 4, Informative
    While I agree that the case shouldn't have even come this far (first come, first served back in the 90s), I also think the Judge's reasoning on the non-commercial nature of the site are to be noticed. Specifically, the platiffs tried to point out that the site had the authors email, resume, phone, and other ways to contact the author if they wanted to talk about business deals. The Judge summarized that these were all passive, in that no business activity or exchanging of money was done through the site itself, nor the direct selling of a product. (This was even considered in the posting of the resume; the judge disagreed that the author was selling himself to outside companies). Thus, trying to call the site 'commercial' failed, and thus fell out of the traditional cybersquatting situation.

    Unfortunately, this is a limited decision, but hopefully others (like WIPO!) would consider some of this ruling to be reasonable when deciding other domain name battles.

    --
    "Pinky, you've left the lens cap of your mind on again." - P&TB
    "I can see my house from here!" - ST:
    1. Re:Interesting analysis of "commercial" sites by Bonker · · Score: 2

      Unfortunately, this is a limited decision, but hopefully others (like WIPO!) would consider some of this ruling to be reasonable when deciding other domain name battles.

      Remember that WIPO is a for-profit thing. They make their money off of people who choose them to arbitrate intellectual property issues. Therefore, its in their best interest to *always* decide for the plantiff rather than the defendant in IP disputes so that more plantiffs bring their cases to WIPO.

      Indeed, this seems to be their business model, because something like 80% of WIPO cases are decided for the plantiff... complaint bringer... whatever.

      It's a clear case of conflict of interests, but it continues nonetheless.

      --
      The next Slashdot story will be ready soon, but subscribers can beat the rush and slashdot the links early!
    2. Re:Interesting analysis of "commercial" sites by zurab · · Score: 1

      I am no lawyer but if you look through all the documents and filings, etc. you will see that the cybersquatting charge was dropped. In the argument and reasoning that you are referring to the court was trying to determine if it had jurisdiction over Rosenthal. To do that, one of the points to consider was if the defendant had done substantial commercial activity in CA, which of course, wasn't the case.

    3. Re:Interesting analysis of "commercial" sites by jred · · Score: 1

      While I agree that the case shouldn't have even come this far (first come, first served back in the 90s), I also think the Judge's reasoning on the non-commercial nature of the site are to be noticed. Specifically, the platiffs tried to point out...

      I had a company, Caution Wear Inc. (or something close) complain to my Domain provider that I was infringing, give us the name or we'll sue you til you're dead, dead, dead.

      I responded to my provider (www.namezero.com) that I run a personal, hobbyist site, and that my domain, www.cautioninc.com, can in no way be mistaken for caution wear. I was upset, because I was quite sure I'd loose my domain. I've been putting out paper zines under caution, inc. for ~15 yrs., and am quite attached to the name. I was extremely & pleasantly surprised when Namezero backed me up, especially considering their terms of use state they won't.

      Of course, months later I got a notice from Cafepress.com that they're cancelling my store. Apparently a t-shirt w/ a picture of me & my daughter & the cautioninc logo are infringing on their trademarks, too.

      But Namezero, whatever else you can say about them, get good marks in my book.

      Off-topic? Big guy vs. little guy??? I'm not that worried :)

      --

      jred
      I'm not a mechanic but I play one in my garage...
  9. He didn't REALLY win--jurisdictional issues by Elwood+Blues · · Score: 5, Informative

    Let me preface this by stating I'm currently a law student (actually in my civil procedure class right now).

    The court did not render a judgment stating he had the right to his domain. Rather, they said that suing in California was not permissible due to a lack of jurisdiction over him.

    There are several ways to establish jurisdiction over an out of state defendant:
    -If Chris had "systematic and continuous" contacts with the State of California
    -If his website was of an ambiguous (courts have a nebulous examination standard) level of interactivity and accessible from California (contacts with California established via the Internet)

    Because they didn't find either of those, the court determined that he couldn't be tried in that court. This does not preclude the plaintiff from bringing a case in Texas against him.

    Basically he just won this battle. It's possible the war is still going on.

    1. Re:He didn't REALLY win--jurisdictional issues by chip+rosenthal · · Score: 5, Insightful
      I agree with your analysis. However it greatly rearranges the playing field, and that helps me tremendously. I won't have to fight a long-distance lawsuit. If they choose to re-file, they would have to retain ($$$$) Texas counsel. (I believe all of their work on the lawsuit to-date has been done with in-house counsel.)

      I think the big value in the Unicom v. Rosenthal decision is that it provides the independent web publisher some peace of mind that some company cannot reach out, claim jurisdiction, and make them fight a long-distance lawsuit. That's very expensive and very difficult.

    2. Re:He didn't REALLY win--jurisdictional issues by Negadecimal · · Score: 2

      The court did not render a judgment stating he had the right to his domain. Rather, they said that suing in California was not permissible due to a lack of jurisdiction over him

      True, the judgement is based on jurisdiction.

      But the court goes on to explain why UNICOM wouldn't have a claim to the domain anyway: that a name, phone number, and resume do not make a site "highly commercial", and that Chip was (obviously :) unaware of UNICOM's trademark rights when he registered to the domain name.

      So they establish some precedent that would make it very hard for UNICOM to appeal under a different jurisdiction.

    3. Re:He didn't REALLY win--jurisdictional issues by Anonymous Coward · · Score: 0
      So they establish some precedent that would make it very hard for UNICOM to appeal under a different jurisdiction.

      IANAL, but:

      1. Don't you actually need an appelate court (second instance) to set a precedent? AFAIK, lower courts (first instance) do not set precent unless confirmed later on.
      2. formally, the court didn't pronounce a judgment, but rather said it had no jurisdiction. And the comment "You wouldn't have had a case anyways" was just that: a comment. Thus, the next step would not be an appeal, but rather a trial at the same level, in the correct state.
    4. Re:He didn't REALLY win--jurisdictional issues by BlueUnderwear · · Score: 1, Redundant
      Having been to law school myself, I am shocked and ashamed that you are still awake in cipro. Of course, now you kids all have your wireless internet and your laptops in class.

      Which explains why he was not asleep. He was surfing instead ;-)

      --
      Say no to software patents.
    5. Re:He didn't REALLY win--jurisdictional issues by Negadecimal · · Score: 2

      Don't you actually need an appelate court (second instance) to set a precedent? AFAIK, lower courts (first instance) do not set precent unless confirmed later on.

      Probably, but i'm not a lawyer either. Or a law student :)

      I figure even if the stuff I was referring to doesn't bear legal clout, it's still a warning to UNICOM of what they'll be up against if they move the fight to Texas.

    6. Re:He didn't REALLY win--jurisdictional issues by thing12 · · Score: 1

      That may or may not be true. It's possible, though unlikely, that they may have members of their in house counsel with licenses to practice in Texas and/or agreements national firms that do. They also have the option of becoming licensed, which may, in fact, be less expensive than hiring local counsel.

      Just my 2 cents...

    7. Re:He didn't REALLY win--jurisdictional issues by Elwood+Blues · · Score: 1

      This was not to slight your decision at all. "Winning" is always a relative term, especially in the legal field.

      I really think what's important coming up about these types of jurisdictional issues is the distinction courts are making with regards to the interactivity of websites determining whether or not you've "entered" the forum state. Your page is rather static, but if you'd offered a product for sale, or possibly the ability to directly communicate with another individual in California, the jurisdictional issue may have been decided otherwise.

      Actually, the Northern District of Texas set out a description of whether or not a website creates "sufficient contacts" in the forum state in Mink v. AAAA (190 F.3d 333). Basically the court described three points on a spectrum of websites: 1) fully interactive, and/or commercial, 2) somewhat interactive, 3) static pages. The court is the determiner of where a website falls, and if it's somewhere within 1 or 2, a website operator may be under jurisdiction in a state where the site is viewable.

      Granted this is one court's decision, but the extreme difficulties in quantifying interactivity make this a sticky issue.

      I really think this highlights the need for a clear legislative or Supreme Court ruling on these types of issues.

      Again, I'm just a first year law student, about a month and a half into civil procedure--but I have been following the growth of the Internet and the arising legal issues since 1994. I do think the correct result was reached on this issue, and hope that they don't pursue the case any further.

  10. yeah, this aint over... by jeffy124 · · Score: 4, Informative

    the case was tossed out by the judge because Chip was from Texas, not because he was there first or anything to do with trademarks. This was very similar to what LindowsOS is trying to do with Microsoft. MS wants the case tried under Washington state laws, but LindowsOS is trying to get the case tossed because they havent done any business in Washington.

    At any rate, Unicom Systems Inc will find a way to keep things going against Unicom Systems Development, we'll here more about this in a few months.

    --
    The One Rule Of Chess You'll Ever Need: Don't play someone who carries a kit in their bookbag.
    1. Re:yeah, this aint over... by jeffy124 · · Score: 2

      do'h! I left out the fact that the case was being tried in California, where Texas laws dont apply.

      --
      The One Rule Of Chess You'll Ever Need: Don't play someone who carries a kit in their bookbag.
    2. Re:yeah, this aint over... by Anonymous Coward · · Score: 0

      do'h! I left out the fact that the case was being tried in California, where Texas laws dont apply.

      You did right to leave that out. This is a federal case meaning federal laws. The only issue was whether it should be tried in a california federal court or a texas federal court.

    3. Re:yeah, this aint over... by Anonymous Coward · · Score: 0

      And Texas has tough State Trademark laws -- which Chip can claim his statuatory trademark and tradename and FNB rights.

  11. Chip, not Chris--My Bad by Elwood+Blues · · Score: 0, Offtopic

    Again, this case was not decided on the merits of the issue, rather just a procedural thing.

    1. Re:Chip, not Chris--My Bad by ruggerboy · · Score: 1

      Wouldn't there be Res Judicata? I know it was decided on procedure, but was it dismissed without prejudice?

    2. Re:Chip, not Chris--My Bad by ajakk · · Score: 1

      Res Judicata only attaches if there was a decision on the merits of the case.
      Here, there obviously wasn't.

    3. Re:Chip, not Chris--My Bad by ruggerboy · · Score: 1

      Ah yes. If the federal court forgets to say something about prejudice (with or without) then the default rule will be with prejudice except for 3 enumerated exceptions in 41(b), one of which is lack of jurisdiction....so I guess no res judicata.

    4. Re:Chip, not Chris--My Bad by ruggerboy · · Score: 1

      You cannot just assume, however, that because the ruling was not on the merits it will not be treated with prejudice. The court was silent. It was because it was dismissed for jurisdicitonal issues that there is no preclusion of future suit...and simply because the ruling was not on the merits... go Civ Pro! Oh man, I'm a loser...

  12. Some info about IP. by Anonymous Coward · · Score: 0, Offtopic

    Making a expensive luxury car in the $50 000 range costs about $3 000 - $4 000. A $25 000 car costs about two grand to make. The usual costs for making a car is a bit below 10% of the sale price.

    Intels top-of-the-line processors costs $20 or so to make but you buy them for $500 or so. Your typical stereo or freezer or whatever costs just a fraction of what you buy them for to make.

    Despite that this may seem like a huge overprice those companies sure hasn't profit margins like 99%. Intel has negative cashflow (right? I'm not 100% sure) right now. It DO costs lots and lots of money to develop new products, test them for safety and so on.

    Software isn't really any different. Just like everything else the value is mostly in the research&development (and marketing) of the products.

    People just don't seem to realize that "intellectual property" is the major costs of ANY product these days. But hey, this isn't bad! Thats whats make the people valuable and if you ask your gandfather I can bet that he will tell you how the workers situation was then the valuable wasn't in the worker but mostly in material and machines. It was a good bit worse than today. The worker has never been to valuable as today.

    1. Re:Some info about IP. by PoiBoy · · Score: 1
      Making a expensive luxury car in the $50 000 range costs about $3 000 - $4 000. A $25 000 car costs about two grand to make. The usual costs for making a car is a bit below 10% of the sale price.

      You are full of shit. Where did you get these numbers? Out of your arse?

      --
      Sig (appended to the end of comments you post, 120 chars)
    2. Re:Some info about IP. by Anonymous Coward · · Score: 0

      "You are full of shit."

      No.

      "Where did you get these numbers?"

      From a cost study covering most major car makers not including russian and eastern Europe ones.

      "Out of your arse?"

      Why do /. argumenting always go to this level?

    3. Re:Some info about IP. by Anonymous Coward · · Score: 0

      Are you sure you are not just taking into account direct material cost and not including labor costs which dramatically increase the cost.

      These values seem low when most auto production lines are probably completely depreciated (cost of building the line spread out over 3-5 years)except for the occasional upgrades that go in with car improvements.

      When at GM 10 years ago, removing one line worker was the equivalent saving over $50,000 including salary and benefits. Now GM has a few hundred thousand employees. That adds up pretty quickly, even when divided over millions of cars per year.

    4. Re:Some info about IP. by Anonymous Coward · · Score: 0

      "Are you sure you are not just taking into account direct material cost and not including labor costs which dramatically increase the cost. "

      Labour cost at the production site is included.

    5. Re:Some info about IP. by ichimunki · · Score: 1

      This is a complete load of BS. Not to mention that this is an article about domain names (trademarks), and not copyrights, patents, or trade secrets, so your thesis is mostly irrelevant.

      Product cost is extremely difficult to measure in a firm that produces more than one product and which engages in non-trivial research and development. Simply, you cannot measure products like this.

      The correct level for this type of socio-economic analysis is the household and the firm. Firms have expenses, some of which they can link directly to a good sold (i.e. the cost of the raw materials) and some which are extremely fluid (i.e. the salary of the CEO). But unlike expenses, revenues usually have one type: sales. It is therefore extremely easy to assess the revenue a product/service generates, but because of the issue with cost analysis, accounting for profit is only truly possible at the firm level.

      What I really don't understand is: what's your point? "Intellectual property" is supposedly good for workers, and therefore must be given priority protected legal status? Or are you saying we don't need to bother, since the workers are what's important because without them "intellectual property" is mostly useless anyhow?

      --
      I do not have a signature
    6. Re:Some info about IP. by HardCase · · Score: 2
      Intels top-of-the-line processors costs $20 or so to make but you buy them for $500 or so. Your typical stereo or freezer or whatever costs just a fraction of what you buy them for to make.


      Well...I don't think I agree with that. Intel fits about 180 Pentium 4's onto a single wafer. Your "estimated" manufacturing cost of $20 per chip comes out to $3600 per wafer. A bare 8" wafer with an epitaxially grown SI02 layer goes for about $3000. Are you seriously suggesting that by the time that the chip emerges at the end of the process that only $600 of value is added to the entire wafer? Bear in mind that in order to develop up to 12 layers of material on the chip that a ton of photolithography, deposition and etching has to take place. And following that, the die have to be cut, tested, packaged...it's a very long process. From start to finish, it will take several days to process a wafer from bare silicon to finished package.


      To top it off, while 180 P4's may come off the die, they don't all work. A very mature process with substantially fewer process steps than that of a processor would cheer for a 90% yield rate. P4's aren't mature...draw your own conclusions from that.


      Also, Intel is cash flow positive. And their investment in R&D for Q4 2001 was fairly typical at about $950 million, but the cost of goods sold came in at well over $3 billion.


      In fact, it costs about $50 to produce the very cheapest Pentiums...the slow Celerons and PIII's that have been in production long enough to work out the kinks in the process.


      Nonetheless, your point about IP is well taken. I'm an engineer in R&D for a big semiconductor company...we spend hundreds of millions of dollars every year on R&D. While that's a significant portion of the company's budget (in Intel's case, it was 14% of revenues last quarter), it's safe to say that it isn't the major expense of the cost of the chips that we produce. Manufacturing expenses are the brunt of the expense. It simply costs a lot of money to build the chips.


      I don't know about stereos or freezers, but I do know about semiconductors.
      -h-

    7. Re:Some info about IP. by Anonymous Coward · · Score: 0

      This is not interesting, just plain "lies."

  13. Clarifying the Win by Jim+Tyre · · Score: 5, Informative
    We did win (I'm one of Chip's lawyers, so I can say "we"), but the thing isn't necessarily over yet.

    Chip is in Austin, Texas, but the Plaintiff sued him in Los Angeles.

    When we responded to the Complaint, we made several alternative motions, one being that a court in California lacked personal jurisdiction over Chip, not only because he's in Texas, but also because he does not have sufficient contacts with California to make it reasonable for him to be dragged into court here.

    The Court granted our motion to dismiss for lack of personal jurisdiction. That's a big victory, there's much to be said for the proposition that courts do not have unlimited reach, even when the Internet is involved (think Matt Pavlovich and the California DVDCCA case, for example), but it isn't a ruling on the merits.

    If Plaintiff should choose to file a new action against Chip in Austin, we have plenty of ammunition for arguing the merits of his rightful claim to the unicom.com domain name, but readers should not assume that this win addressed that issue. The Court's ruling is here.

    1. Re:Clarifying the Win by Foxxe · · Score: 0, Troll

      Ya know...I was on Chip's side until I saw in the complaint that he requested $50,000 for the domain. This negates any sympathy from me. Sounds like a cyberpirate so if the shoe fits. If it was about scrupals then ok but he showed his true colors when he asked for the money. Trademark are going to have to carry over to domain names if true ecommerce is going to fly. I have had to deal with this problem twice now at work and once with my Wife's company. Yeah, you won but that doesn't mean you are right.
      From the pissed-off Web Developer Department.

    2. Re:Clarifying the Win by Jim+Tyre · · Score: 2
      Ya know...I was on Chip's side until I saw in the complaint that he requested $50,000 for the domain. This negates any sympathy from me.

      The Complaint alleged that Chip tried to sell the name. That's very different from the actual fact, which is that Chip never tried to sell the name. Read the e-mail exhanges between Chip and Corry Hong, attached to Chip's declaration in support of the motion to dismiss, up at save.unicom.com

    3. Re:Clarifying the Win by mjh · · Score: 2
      When we responded to the Complaint, we made several alternative motions, one being that a court in California lacked personal jurisdiction over Chip, not only because he's in Texas, but also because he does not have sufficient contacts with California to make it reasonable for him to be dragged into court here.

      Ok. So in the ruling, it says:

      Here, Plaintiff has failed to establish that Defendant's internet activities are purposefull directed at California in a substantial way. The only portion of Defendant's website that Plaintiff claims is "presumably" commercial is the copy of his resume. This is nothing more than a passive "advertisement" for Defendant's services akin to the web site in Cybersell. Unlike Colt or Stomp where California consumers purchased goods or services directly online, Defendant's resume does not enable people to automatically hire his services online.

      Is this saying that had unicom.com been offering the sale of products or services to anywhere, including California, that would have justified jurisdiction for California courts in this case?

      That seems strange to me. Why would his selling products and services to California justify jurisdiction? Hypothetically, what if a website offered products that are legal in the state that it resides but illegal in California. For example a cheap system for disconnecting California emmissions systems on automobiles. This is something that might be valuable and legal to someone living outside of CA. Is it now the responsibility of the seller to refuse to sell the product to CA residents?

      If so, what does that say about the Skylarov case. Does California, or anywhere in the US justifiably have jurisdiction, and justification for arresting Skylarov based on his selling software that is (stupidly) illegal in California and the rest of the US?

      My concern about this is that it seems like it's setting a precedent for making it impossible to sell things over the web. The seller has to not just take into account the laws that govern the selling of the product where he lives. He has to be aware of the laws that govern the buyer of his product. This seems to me to be an unreasonable burden for the seller of products and services over the web to carry.

      IANAL. Did I get this wrong?

      --
      Key to financial independence: Spend less than you earn. Save and invest the difference. Do it for a long time.
    4. Re:Clarifying the Win by ethereal · · Score: 1

      It's still not cyberpiracy (ack, what an ugly and misleading term) if he created the site before the trademark existed. He got the site first-come, first-served, without any trademark issues, and has a perfect right to sell it to whomever he wants for however much they can agree to. Perhaps Unicom should have looked for others who were using the name "Unicom" before picking a trademark that would conflict with a pre-established domain name?

      --

      Your right to not believe: Americans United for Separation of Church and

    5. Re:Clarifying the Win by chip+rosenthal · · Score: 3, Informative
      I saw in the complaint that he requested $50,000 for the domain

      Yes, that allegation was in the complaint I deny it.

      You don't have to take my word for it. All of my communication with USI (prior to the cease and desist letter) was by email, and that email is available online. You can read it and decide for yourself.

    6. Re:Clarifying the Win by operagost · · Score: 1

      Besides, they were the ones offering to buy. People take their classic cars to shows with a price on the windshield all the time. Meanwhile, they have no intention of selling, but they're curious as to how much people will pay. It's not illegal.

      --

      Gamingmuseum.com: Give your 3D accelerator a rest.
    7. Re:Clarifying the Win by markmoss · · Score: 2

      IANAL either, but I'm afraid mjh got that right. It is encouraging that the courts are recognizing _some_ cases where web sites don't come under distant jurisdiction, but very discouraging to discover all the things that can make them liable to be hauled into a far-away court...

    8. Re:Clarifying the Win by Anonymous Coward · · Score: 0

      Perhaps you could explain to me why a domain name is legally considered any different than a vanity license plate you can purchase for your car to drive on a public road that has been paid for by the tax payers of this fair country?
      The judge would kick someone out of court if they tried to take a vanity plate ( or 1-800 phone number for that matter) from someone under the guise of trademark!
      What is a Fully Qualifide Domain Name anyway, if after you register it you find it wasn't qualifide for your purchase?
      Seems to me there are serious Due Process issues being ignored by our National Science Foundation.
      -David

  14. Decision doesn't answer the question by gmag3 · · Score: 1

    The court did not rule on the substantive issues - whether or not Rosenthal has the right to continue using the domain name, or whether his use of the name violates the California company's trademark. Rosenthal won because the California court did not have personal jurisidction over him - a procedural matter.

  15. HAve you noticed by wiredog · · Score: 4, Interesting

    That the corp sueing him apparently didn't go through the ICANN name dispute resolution system? Interesting that they realize that ICANN has no real power in those sorts of disputes. Not that it's any surprise See this story from a year ago for another example of using the courts to avoid/overrule ICANN.

    1. Re:HAve you noticed by FreeUser · · Score: 3

      HAve you noticed That the corp sueing him apparently didn't go through the ICANN name dispute resolution system? Interesting that they realize that ICANN has no real power in those sorts of disputes.

      Actually, ICANN does have power, in that possession is often 9/10 of the law, and an ICANN decision will yank the name and put it in the plaintiff's hands right away.

      What is really interesting is that they chose not to use the ICANN "arbitration" procedure (I use the term in quotes for a reason), particularly in light of the fact that the ICANN "arbitration" procedure is designed to favor the plaintiff. The plaintiff pays for the procedure, chooses the arbiter out of several competitors (obviously the ones who tend to rule for the plaintiff are outcompeting the more fair alternatives), and the defendent has no recourse once the domain name is taken away (aside from a civil suit to get the name back).

      One could speculate either way on why they would go to the courts, rather than use a remedy procedure that costs less and is clearly slanted in their favor. It is interesting, in any event.

      --
      The Future of Human Evolution: Autonomy
    2. Re:HAve you noticed by dougmc · · Score: 2
      That the corp sueing him apparently didn't go through the ICANN name dispute resolution system?
      Well, if they had, and the ICANN followed it's own rules, ICANN would have had to rule in Chip's favor. ICANN rules in favor of those who were there first -- the domain, or the trademark. In this case, the domain was there long before any trademark.

      Only if a domain is registered after a trademark is created do they start figuring out the purpose of the domain and such (and they usually side with the plaintifs, but that's another story.)

      At least if you go through the courts, there's a good chance they won't undertand and will side for you due to that.

  16. Not a ruling on merits, but interesting anyway by dinotrac · · Score: 2, Redundant
    First things first: Congratulations, Chip.

    This decision, though good for Chip, does not address the merits of the case, only the question of whether a California Court has jurisdiction to hear it. Presumably, the plaintiffs could got to a Federal Court somewhere and get the case heard (disclaimer: I don't know all of the facts, so that is merely a presumption on my part)

    That doesn't mean the decision isn't interesting. The judge includes a nice discussion of purposeful availment and standards used to decide when the operator of a web site has or has not made him/herself subject to a jurisdiction's laws. Very good to see that mere presence doesn't trip the wire.

    1. Re:Not a ruling on merits, but interesting anyway by ruggerboy · · Score: 1

      A small point. The Plaintiff is not barred from bringing suit again. This is not simply because the decision was not based on the merits. Under Rule 41(b) of FRCP, if the federal court does not specifiy dismissal with/without prejudice, prejudice will be assumed, invoking res judicata and barring future suit. There are three exceptions to 41(b) where prejudice will not not be presumed, however, and Lack of Jurisdiciton happens to be one of those. THe ends are the same, but you can't say just because a case was decided on procedure the issues will not be barred in future suits.

    2. Re:Not a ruling on merits, but interesting anyway by chip+rosenthal · · Score: 3, Interesting

      Thanks for the support, Dino.

      I think the decision goes beyond interesting, and really will be valuable. The jurisdiction question is an area of the law that needed clarification, and I'm really proud that we were able to do that. This decision will help shield the independent web publisher from "long arm" tactics, that would pull them into a long-distance lawsuit they couldn't fight.

      (By the way ... I was sued in a Federal court, not State court. If they want to come back after me, they are going to have to come to Austin and do it.)

      You are right that there were other matters in question, but once jursidiction was settled they all became moot. Somebody, someday, is going to have to litigate those issues too. (Hey, why you looking at me!!?!)

    3. Re:Not a ruling on merits, but interesting anyway by dinotrac · · Score: 2
      >By the way ... I was sued in a Federal court, not State court

      Oops! Gotta get those glasses fixed. ;0)

      Like you, I was pleased by the Court's decision. Web Access may be worldwide, but the Web itself is as local as it is global.

      Following a snowstorm the other day, I hoped onto the local high school web site to see if my daughter's driver's ed class would be cancelled. My local library publishes it's schedule on the web. My neighbor across the street advertises his local heating and cooling business on the web.

      People in California or Timbuktu can look at these sites, but the intended audience is right here in St. Charles, IL. Well, Tony's happy to service customers in the surrounding towns, but not Calfornia.

      Reasonable standards of contact are required to activate long-arm statutes and I'm glad to see the Courts making sense when applying those standards to this case.

      Side note. Putting the check in the mail this week to renew my law license.

      I may not do much with it, but at least I'll be able to reply to any nastygrams as "Attorney at Law"

      The way things are going these days, that can only be a good thing.

  17. Evil Priority by fm6 · · Score: 2, Offtopic

    Believe me, you do not want this kind of case settled sole on the basis of who-filed-first. If we took that approach, we'd all be paying half our income to the holders of submarine patents.

  18. countersuit? by cheesyfru · · Score: 1

    The very fact that this got as far as it did shows a ton about our legal system. A company with relatively deep pockets is able to force a guy to go to court and pay two lawyers to fight a frivilous lawsuit.

    If I were him, I would file a countersuit. He registered the domain in 1990, and since the company didn't file for the trademark until 1997, he might have a lawsuit for *them* for trying to name their company to take advantage of his domain's popularity. ;-)

  19. Cyber squatters SUCK by why-is-it · · Score: 2

    First come, First serve should apply.

    Actually, I have a real problem with that. There were all sorts of speculators who tried to sign up domains for recognizable trademarks in the hopes of making a lot of money selling the domain back to the trademark holder. To me, that is un-acceptable.

    Now, the people who registered generic terms for domains (i.e. drugs.com, beer.com, etc) - those were the smart people because the domain could properly be sold to the highest bidder.

    In this case (and the example you quote with the NHL Wild), the companies trying to get a domain that was registered long before the company existed, these people are no better than the cyber-squatters and do not deserved to be treated any better.

    It's too bad that they are the ones with the money and the lawyers though. It would be nice if ICANN and their *cough* impartial *cough* dispute mechanism could take this sort of thing into account. Mind you, it would be nice if ICANN had the broad interests of the entire Internet community at heart as opposed to the corporate interests it seems to represent.

    --
    *** Where are we going? And what's with this handbasket?
    1. Re:Cyber squatters SUCK by Anonymous Coward · · Score: 0

      I agree with your statements, but there is this assumption that there are these huge crowds of cybersquatters that are sitting on domain names.

      For every supposed story of a speculator who squatted on a domain name that referred to a trademark, it seems we hear a story about a J. MacDonald, Harold Potter, or Ira Browning Michaels (IBM) who's rights to a domain are considered less than the rights of the corporation.

      Fuck it and the lawyers. Let the free market rule. If it is important enough to Unicorp to be refered to as www.unicorp.com then they should pay for it whether or not Rosethal's initial purchase of the domain was legitimate or not. If they can't pay enough, then let them choose www.unicorpisgreat.com or www.unicorpincdoesnotactuallysuckdiseasedcock.com or www.unicorp.biz or some other domain. The combinations are infinite.

      In a similar situtaion, didn't land speculators in the 1800's make lots of money off of worthless land because they knew a railroad was going to need to buy that land eventually? That was another limited resource that one company had the foresight to buy and another needed.

    2. Re:Cyber squatters SUCK by markmoss · · Score: 2

      This wasn't a case of cybersquatting -- but of someone who was legitimately using a particular domain name for 11 years before one of at least four companies with the same name decided to sue. First come, first serve may not be the best policy -- but after 11 years, even if this particular Unicom somehow "owned" the name, they've lost the trademark by non-enforcement.

  20. Have they tried by wiredog · · Score: 2
    Going through the ICANN dispute resolution system? Have you?

    You might want to write up an article about the case for this place or k5.

    1. Re:Have they tried by Jim+Tyre · · Score: 5, Informative
      Going through the ICANN dispute resolution system? Have you?

      No, they didn't go through ICANN. (Allegedly) aggrieved domain name owners can either use the ICANN UDRP or go to court, they're not required to use the ICANN procedures first. These folks chose to go to court first.

      As for Chip, he would have no reason to go to ICANN. unicom.com is his domain name, he isn't contesting that the Plaintiff can keep its name, unicomsi.com.

  21. Laws need to be changed. by Anonymous Coward · · Score: 0

    Frivilous lawsuits like this should be highly profitable to those attacked. Say a $1Mill USD award to whoever get's sued by a company for something stupid like this? Granted it would take a court system that isnt corrupt in every crevice.. (remember judges are lawyers first therefore are scumbags)

    Makes you love this country eh?

    1. Re:Laws need to be changed. by www.sorehands.com · · Score: 2
      There are provisions in some jurisdictions for paying fees and costs where a case is frivilous (in Federal court it is rule 11).

      There are also torts of abuse of process and malicious prosecution.

      The problem with these are the companies that bring this, like Mattel are not concerned that a judge may order costs and fees. Costs and fees may amount to $10,000-$2000, where such a company would spend less than that in a month on outside counsel.In some companies, the inhouse counsel gets additional monies for assisting outside counsel.

    2. Re:Laws need to be changed. by SnapShot · · Score: 1
      Frivilous lawsuits like this should be highly profitable to those attacked. Say a $1Mill USD award to whoever get's sued by a company for something stupid like this? Granted it would take a court system that isnt corrupt in every crevice..

      I wanted to repeat this (minus an ad hominim attack on lawyers ;-) so that people who are filtering out acowards could read it. I happen to agree with the logic. I think a better solution would be to have the losing party's legal team pay the winning party's legal fees. This penalty should be no greater than what the losing party paid for their own legal council.

      I wouldn't want to see situations evolve where a corp can simply threaten a legitimate lawsuit with "you'll owe us $1M if you lose, better settle now." But I would like to see a situation where Joe Public has a legitimate beef so he pays $100k for lawyers against a corp who spends $10M on their lawyers. Joe wins his legitimate beef so he gets the award and his lawyer gets a $10M bonus. This rewards the lawyer who takes up legitimate causes and punishes the lawyer that sues for the [insert comical frivilous lawsuit (i.e. hot McD's coffee)].

      Corps would also benefit since they would have the possibility of actually recouping their defense against frivilous lawsuits instead of settleing.

      --
      Waltz, nymph, for quick jigs vex Bud.
    3. Re:Laws need to be changed. by Aexia · · Score: 1
      [insert comical frivilous lawsuit (i.e. hot McD's coffee)]

      Maybe you find third-degree burns comical if you've only heard the Rush Limbaugh version of the case instead of what actually happened.

      The sweatpants Liebeck was wearing absorbed the coffee and held it next to her skin. A vascular surgeon determined that Liebeck suffered full thickness burns (or third-degree burns) over 6 percent of her body, including her inner thighs, perineum, buttocks, and genital and groin areas. She was hospitalized for eight days, during which time she underwent skin grafting. Liebeck, who also underwent debridement treatments, sought to settle her claim for $20,000, but McDonald's refused.

      During discovery, McDonald's produced documents showing more than 700 claims by people burned by its coffee between 1982 and 1992. Some claims involved third-degree burns substantially similar to Liebeck's. This history documented McDonald's knowledge about the extent and nature of this hazard.

      ...

      The jury awarded Liebeck $200,000 in compensatory damages. This amount was reduced to $160,000 because the jury found Liebeck 20 percent at fault in the spill. The jury also awarded Liebeck $2.7 million in punitive damages, which equals about two days of McDonald's coffee sales.

    4. Re:Laws need to be changed. by SnapShot · · Score: 1

      Personal Responsibility. If you are incapable of successfully negotiating a drive-in coffee transaction then you need to take the responsibility to perform your coffee transations in an alternate way. Only YOU know what your capabilities are.

      From the information you posted, the next question is why she didn't sue the sweatpant manufacturer since "the sweatpants Liebeck was wearing absorbed the coffee and held it next to her skin." Sounds like gross negligence on the part of the sweatpant manufacturer. There should have been a warning label.

      Obviously McD's had deeper pockets ;-).

      Oh, and BTW, I'm no ignorant, conservative, corporation-loving McD's fan, but the sign on the McD's down the road reads 85 billion served. This works out to a roughly 99.9999177% chance of successfully NOT being burned. I wish my NT server had such reliability.

      --
      Waltz, nymph, for quick jigs vex Bud.
    5. Re:Laws need to be changed. by OwnedByTwoCats · · Score: 1

      Coffee is traditionally served hot. McD's served traditional coffee.

      Did a McDonalds employee place the cup where it could spill on Ms. Liebeck's loins? Or did she?

      How the jury found McD's 80% liable for Ms. Liebeck's choice of coffee holder mystifies me. Much of this country's legal system mystifies me.

    6. Re:Laws need to be changed. by J.+Random+Software · · Score: 1

      Nobody is capable of drinking 185F coffee. Danger determines what precautions are reasonable--I'm sure she would have handled the cup more carefully (or not at all) had she known some psychopath gave her a weapon instead of the food she requested.

    7. Re:Laws need to be changed. by Anonymous Coward · · Score: 0
      Other establishments sell coffee at , and coffee served at home is generally 135 to 140 degrees.

      People who spill traditional coffee don't need skin grafts.

    8. Re:Laws need to be changed. by SnapShot · · Score: 1

      Gee, I don't know. I've never done a study of coffee temperatures, but I would assume that any consumable liquid that is made by running BOILING WATER over crushed, dried beans would be slightly less than 212F.

      And to think that I made tea this morning by pouring DANGEROUS BOILING WATER directly from the tea kettle into my cup. My fingers were mere inches from that stream of hazardous fluid.

      You have opened my eyes to the treacherous position I place myself in every day.

      If I don't see a warning label on the side of that kettle when I get home I'm going to sue the bastard for the sheer emotional trauma they have put me through contemplating how I might have been injured.

      P.S. I was really hoping someone would comment on my origional idea not rehash old arguments about coffee temperatures. J. Random. Aexia. Do YOU think tort reform that doesn't give all the power to the corporations is a good idea? Do you think the current system is perfect? Do you think a system that tries to keep frivilous lawsuits from being dragged out but rewards lawyers that undertake cases for the underdog should be implemented. Please no more coffee comments. I'm sorry. I'm so, so sorry.

      --
      Waltz, nymph, for quick jigs vex Bud.
    9. Re:Laws need to be changed. by J.+Random+Software · · Score: 1

      That's just it, though. You do know how hot your kettle is and so you almost certainly handle it "this could hurt me" carefully (not just "this could stain my shirt" carefully). I can't silently hand you a cup that's almost boiling if I know you're expecting one that's ready to drink out of.

      AFAIK frivolous lawsuits are already illegal--I don't see that we need more reform than fully enforcing that. In principle I favor loser-pays, but you have to keep the winner's costs realistic somehow. I think professional legal advice shouldn't be as omnipresent and essential as it is (any law we have to obey should be comprehensible), but when it is it's one of those inelastic goods that you can't fairly ration using a market.

    10. Re:Laws need to be changed. by SnapShot · · Score: 1
      In principle I favor loser-pays, but you have to keep the winner's costs realistic somehow.

      I appreciate your comment on my post. This is really the basis of my thought. The money paid is only between the lawyers. If the plaintiff wins he simply gets the award that is appropriate to the basis of the lawsuit. If the defendent wins, his only reward is probably going to be that if doens't have to put on a suit and go to court again. The money paid between laywers is limited to what the losing side paid. Basically, the loser pays double. I also think (just thought of this) that this penalty should be paid at the end of each court case (before the corp simply tries to drag out payment through appeals) .

      For example, Small Legal Team [SLT] pays $100k to pursue a lawsuit against Mega-corp Division [McD]. McD pays $20M for their defense.

      If SLT loses the lawsuit then SLT (not the plaintiff unless there was an agreement between the plaintiff and SLT that the plaintiff would be responsible) owes McD $100k. If on the other hand, SLT wins then McD owes SLT $20M.

      This provides some positive incentive:

      • All parties have an incentive to keep their costs down.
      • Similarly it wouldn't tie up the courts with massive numbers of appeals.
      • The "little guy" with a legitimate beef could get a lawyer to go after a large corp knowing that when they win the lawyer would be rewarded.
      • "Ambulance chaser" lawyers who are simply in it for a percentage of the take would forced to change their tactics.
      • Corps would have less incentive to simple settle frivilous lawsuits (and therefor rewarding fraud) since they would have some hope of recovering their costs.
      --
      Waltz, nymph, for quick jigs vex Bud.
  22. Never even been to Texas by Alien54 · · Score: 0, Redundant
    IANAL, but apparently the claim was a california company trying to take the domain name of the arizona operation, when the two were never in competition.

    The plaintiffs failed to show that the they had even bothered to do business or anything else in Texas, and so the california court could not compell a Texas business to had over the Domain name.

    Also, the plaintiff had abandoned their trade mark in 1994. and were trying to assert it now.

    doh

    --
    "It is a greater offense to steal men's labor, than their clothes"
  23. still penalized by Anonymous Coward · · Score: 2, Funny

    So instead of losing the domain, he just gets slashdotted.

  24. The thing.. by Heem · · Score: 5, Insightful

    The thing that bothers me the most about this is how much time and money it cost Chip just to defend himself. How many of us have those resources? If someone came after one of my domains, I'd fight as much as I could on my own, but in the end would probably be forced to give up. Thats what these corporate types want. they have the money and the resources to do this. There needs to be a law to protect US from this behavior.

    --
    Don't Tread on Me
    1. Re:The thing.. by rudedog · · Score: 1

      It's called tort reform. In many countries, if you sue somebody and lose, the courts can rule that you must also pay the victor's legal fees. Unicom would never have sued Chip if they thought they would end up paying Chip's legal fees as well as their own, because I doubt that their lawyers ever thought the case was all that strong. In the US, it's not whose case has the strongest merits, it's who has the most money.

      The anti-reform people say that the US system is good because it guarantees that the little guy gets his day in court. The problem with that stance is that the little guy can't afford his time in court anyway.

    2. Re:The thing.. by ryanwright · · Score: 2

      The thing that bothers me the most about this is how much time and money it cost Chip just to defend himself.

      This bothers me too. Chip, how 'bout it? Care to disclose how much this has cost you? I'd like to know. Personally, I think the plaintiff should be forced to reimburse Chip for all of his expenses + some percentage of that for wasting his time. Otherwise, what's to stop companies from simply dragging things out until you can no longer afford your legal bills? I for one find it bullshit that Chip should have to spend a single penny of his own money on this.

      If someone came after my domain, I don't know what I'd do. I don't have many thousands of dollars laying around to defend myself. I suppose I could go into debt and spend the next 10 years paying it off, but how fair is that?

      --
      -Ryan, with the unoriginal sig
  25. OK by wiredog · · Score: 2

    I was wondering if this was like the eReferee case, where the corporation lost in UDRP, and then won in court.

  26. Re:Jim Tyre, Age 32, Found Dead This Morning by Jim+Tyre · · Score: 2
    Kinda scary, the guy is reported dead five minutes after posting a reply in this thread. Makes you wonder how safe slashdot really is. Now I'll definately be looking over my shoulder every time I hit that submit button.

    The reports of my death are greatly ....

    When did this happen? Why wasn't I told?

    I am not rolling cigars in Tampa, or anywhere.

  27. ./ time... by tomknight · · Score: 3, Informative
    I followed the "Reply-to Munging Considered Harmful" link, and after about 20 lines, the page stops loading. Press refresh, and I see a 404....? Huh?

    Try the main page, and I see it now says:

    I am Slashdotted

    Sorry ... this web site is Slashdotted at the moment.

    Here is the Google cache version of my main page.

    Until my new shipment of bandwidth arrives, you may want to visit the Save Unicom.Com web site.

    Okay, the google cache for his main page is at: http://www.google.com/search?q=cache:ta1nhhNpbHMC: www.unicom.com/+&hl=en. If you really want a good read, look at the Save Unicom.Com web site he mentions.

    Tom.

    --
    Oh arse
  28. one more thing by ruggerboy · · Score: 1

    I forgot to say that the judge here did not mention the issue of prejudice in the opinion so 41(b) is invoked (or would be if Plaintiff sought a new trial on the same claim) :)

  29. Changed meaning of top domains ? by bigmouth_strikes · · Score: 1

    So what we have here is an individual claiming his rights to a .com(mercial) address which he himself claims not to be using commercially ?

    Shouldn't a commercial company like Unicom have the rights to the Unicom.com address, rather that an individual exploiting the weak control of .com addresses? As far as I'm concerned, he is a squatter in some sense. Or should we change the meaning of .com to .common ?

    And with a new top domain like .biz, one has to ask whether that will be under better control than .com. Or will .com-owners claim ownership on .biz domains with the argument that "customers" shouldn't be confused when visiting both unicom.biz and unicom.com ?

    --
    Oh, I can't help quoting you because everything that you said rings true
  30. The site by Andrewkov · · Score: 2
    For those who can't access the site, here it is:

    I am Slashdotted Sorry ... this web site is Slashdotted at the moment. Here is the Google cache version of my main page. Until my new shipment of bandwidth arrives, you may want to visit the Save Unicom.Com web site to read about the lawsuit.

    Now how's *that* for Karma Whorin! ;-)

  31. Priority? by markmoss · · Score: 4, Informative

    If you read through Unicom Systems, Inc.'s first filing, you'll see that they claim to have been using "Unicom" as a trademark since 1989 -- which seems to give them priority, except...

    Lots of other companies have used trademarks including the word "unicom". Rosenthal says he searched the federal trademark registry and found more than 20 registrations besides unicomsi's 3. Or in a search I just ran myself, Thomas Register (http://www.thomasregister.com/, registration required) lists 3 companies whose names start with "Unicom", not including Unicom Systems Inc. There's a maker of industrial air filters in Oregon, a printer in Alberta, and a "LAN products manufacturer" in California. I wonder if that one has heard from Unicomsi?

    IANAL, but it certainly looks to me that, no matter when unicomsi registered their various trademarks, they've never had priority to just the name "unicom", or even to that name in a computer-related market. According to Rosenthal, unicomsi's registered marks are graphic designs including the word "UNICOM" -- that makes the whole mark a valid trademark (assuming the graphics are unique), but it hardly gives them the right to the name itself. And if they did own the name as related to software, still they failed to defend it for 11 years.

    Anyway, this round was only about whether u-si could sue a Texas website in a California court. If u-si wants to hire a Texas lawyer, they can start over again in Texas -- of course, this is more expensive for them, and I'd certainly be amazed if they won in _any_ court on the facts I know of.

    If they do continue in Texas, a suggested settlement: Rosenthal puts their banner ad at the top of his web page "Were you looking for Unicom Systems, Inc., support for legacy...". Not that he couldn't beat them entirely, but it would save time and money.

    The great thing about that decision is that it tends against all the various silly lawsuits claiming that because your web site can be seen, or is mirrored in, or links to sites in some other jurisdiction, you can be yanked into court in a different state or country.

  32. IAAL in Canada, where costs are routinely awarded by Anonymous Coward · · Score: 0

    and I note no mention of costs in the decision. Is this automatic in the civil aspect of U.S. Federal courts, or will you be applying separately for such costs?

    BTW, you have a very impressive grandmother. Mine was first female mayor on the Canadian prairie (in Estevan, Saskatchewan), and I'd hate to see them arm-wrestle. Say hello to her.

  33. Prior prior use by netringer · · Score: 2, Interesting

    The U.S. Federal Aviation Administration defines the term UNICOM as the radio handle of the managing authority of an airport, usually the airport's Fixed Base Operator (FBO), the airport's local "service station." That use goes back to the earliest days of aviaton radio in the 1920s.

    At O'Hare airport UNICOM is on the 122.95 frequency.

    Fighting over the first use of the term UNICOM is like fighting over who owns "home page."

    --
    Ever dream you could fly? Get up from the Flight Sim. I Fly
  34. gTLD's SUCK by ChristTrekker · · Score: 1

    Again, this is why the generic TLD's (.com, .net, etc) were a bad idea to from the beginning and should be done away with. We still live in a world with nations that have their own laws. Every domain should have a ccTLD, so the applicable laws apply.

    If you register a common word as a domain (beer.com.us) then you can auction it off. Individual countries would be responsible for 2LD management so that McDonald's (the restaurant chain) and McDonald's (the hardware store) could both have their name. You shouldn't be allowed to squat on your name across every namespace when others have a legitimate claim as well.

    If you are truly international, register your .int domain, give up rights/claims to any ccTLD domain you have, and agree to settle disputes with WIPO or similar agency.

    These stupid domain-name-trademark infringement cases would become drastically more scarce. Seems fair to me.

    1. Re:gTLD's SUCK by ideut · · Score: 1
      We still live in a world with nations that have their own laws. Every domain should have a ccTLD, so the applicable laws apply.

      Yes but individual states also have their own laws. And in many countries individual towns have their own laws. So by your argument, every domain should be geography-specific enough that it is in one, undebatable, jurisdiction. Even if it means going several subdomain layers down. Most people would consider that an unnacceptable sacrifice. The internet is a global network. That's one of its strongest benefits.

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    2. Re:gTLD's SUCK by ChristTrekker · · Score: 1

      In legal terms I think the phrase that applies is, "It's the law. Deal with it."

      Convenience might have to be sacrificed. TBL never intended URLs to be exposed to users anyway. Remembering that long string is only slightly less clumsy than remembering the IP. But, if your states/districts want their own control and their own subset of laws to apply, then you will have to deal with reduced convenience. If the citizens don't like it, vote in somebody who will change it. Just because the internet is a global network doesn't mean we have to throw out all rules (which are inconvenient) in favor of anarchy (which is convenient...until someone takes your domain name, at which point you wish you had some rules).

    3. Re:gTLD's SUCK by Anonymous Coward · · Score: 0

      I think that they shoudl have a .TM for Trademark and a .R for registered Trademark that would be for all of the whining trademark holders. Then, and only IF a domain name holder "used" a .com or other TLD to violate the a protected trademark category of a holder and was deceiving consumers to the "origin of products or services", would there be recourse for Trademark infringment. If I were trying to sell "Oreo" Cookies -- Nabisco would have a legitimate claim. If I had a site Oreo.com about my dog, or about computers -- that is not trademark infringement. Nabisco would have protection for OreoCookies.com -- but a selfish corporations would want Oreo.com because it is a shorter better domain name -- but not an accurate trademark. The trademark would be Oreo brand Cookies -- and Nissan should be Nissan NissanCars.com. FYI: Nissan is actually suing a computer company that is named after the owner. Tdaemark infringement is just their perversion of the law to commit CyberPiracy.

      There also need to be an amendment ot the Federal Anti-CyberPiracy Consumer Protection to include a $100,000 penalty for Reverse Cyber-Piracy. The anme of this new Act in bad, I doubt if it has ever "protected" a consumer. It has been a tool for corporations that have sued consumers to steal their righful domains via legal intimidation.

    4. Re:gTLD's SUCK by Cramer · · Score: 1

      Actually, they aren't that bad if people actually obeyed the original charter: .com is for COMpanies, .net for NETwork providers, .org for non-profit ORGanizations.

      One cannot rely completely on "first come" or trademarks or copyright. Domain disputes are complex problems. The bigest problem is all the lies and posturing associated with almost all disputes. In this case, he got there first and without incident for *12* years.

    5. Re:gTLD's SUCK by ChristTrekker · · Score: 1

      Yeah, it would help if groups would actually stay in the TLD that best suited them. That's what I meant when I said they shouldn't squat across every namespace.

      Still, there are different "areas" for copyright. For instance, Acme Computers does not infringe on Acme Coffee, even thought they have the same name. Both have a legitimate claim to be the .company that "rightfully" gets acme.com. That's why we should move to ccTLD's exclusively, and let nations sort out the rest by their own (copyright) laws.

    6. Re:gTLD's SUCK by ideut · · Score: 1
      TBL never intended URLs to be exposed to users anyway


      er, TBL didn't invent DNS. (These are DOMAIN NAME disputes, not necessarily anything to do with the WWW)

      Just because the internet is a global network doesn't mean we have to throw out all rules

      No one's suggesting that.

      "It's the law. Deal with it."

      It's not the law though. Nowhere is there any law which states that domain names must be qualified by a unique legal jurisdiction. There are other, more sensible ways of dealing with it. Even WIPO is a far more sensible way than what you are suggesting.

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    7. Re:gTLD's SUCK by ChristTrekker · · Score: 1
      er, TBL didn't invent DNS. (These are DOMAIN NAME disputes, not necessarily anything to do with the WWW)

      I haven't seen a business sue for rights to a domain name because they wanted to put a Gopher or FTP site at that address. It's always because they want a prominent web site. If there were a different way to access the web site without requiring the domain name, this probably wouldn't be as much of an issue.

      Nowhere is there any law which states that domain names must be qualified by a unique legal jurisdiction. [...] Even WIPO is a far more sensible way than what you are suggesting.

      I disagree. WIPO is an unelected, unaccountable body. Whose laws do they follow when ruling on disputes? If I am an American, I want American laws to be followed. If I am a German, I want German laws to be respected. The situation of a German company challenging an American domain name holder, well, that just shouldn't happen, because whose laws govern that situation? That's why I suggest that the domain name clearly indicate the nation, at least until we have a one-world government. (Which I hope we never do because it's a bad idea.) Then those nations can adjudicate name disputes according to their own customs and trademark laws.

    8. Re:gTLD's SUCK by ideut · · Score: 1
      In any case I don't believe you that TBL didn't intend users to see URLs. What did he want them to see, RealNames? Or maybe you're after what's described here as
      Another year, another dumb attempt to create a totally new namespace instead of trying to make more intelligent use of the existing one ... JINI SEARCH, the revolutionary IE plugin where you "just type the brand, company or product name directly into the address line of your Internet Explorer browser and go straight to the specific page

      The question remains, can you justify saying "it's the law, get over it" to back up your earlier point. I still assert: Nowhere is there any law which states that domain names must be qualified by a unique legal jurisdiction

      I am constantly typing in fully qualified domain names as a user in every application. Whether it's mail, the web, ssh, telnet, rsync, ping, host, nmap blah blah blah. You aren't going to get me to encode a load of extra legal information every time I type a fully qualified domain name. Forget it.

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    9. Re:gTLD's SUCK by ChristTrekker · · Score: 1
      The question remains, can you justify saying "it's the law, get over it" to back up your earlier point.

      It's really not hard. In response to your saying, "Most people would consider that an unnacceptable sacrifice," I tried to respond that if it were the law, too bad it's the law and you have to abide by it. Work to change the law if you think it's unacceptable.

      Right now if there is a problem, all you can do is go to WIPO, who abides by rules of their own making since they are unelected and not held accountable to anybody's laws, and hope they rule justly. I'm betting they rule in favor of the big guy with the money most often. I'd rather be judged by laws that I know, laws that I can work to change if they're unfair. That is, the laws of my country. There's nothing I can do if I think WIPO is unfair. And that's what sucks about gTLD's.

  35. Re:Changed meaning of top domains ? by arkanes · · Score: 2

    It's a valid argument, but a) there is no TLD specified for personal sites and b) whether or not it was first intended for commercial use, it certainly HAS become the generic or "common" domain.

  36. Re:Changed meaning of top domains ? by edack · · Score: 1

    You have to remember that in 1990 when Chip registered UNICOM.COM, there were few TLD's available. .EDU, Nope not a school. .GOV, nope not part of the Gov't. .NET, nope again not a network provider/company. .ORG Nada not a non-profit. that leaves only .COM.

    I seem to recall reading Chip's posts on usenet back then and UNICOM.COM was his address and the address of his 'company'. That alone gives hime the right to register and use unicom.com.

    One of the 'rules' for sitenames even back then was All the good names are taken.

  37. Lawsuits vs UDRP: monetary damages and fines by Frank+T.+Lofaro+Jr. · · Score: 2

    Perhaps they use the courts since the courts can award monetary damages and can order the defendent to pay for the plaintiff's lawyers and for the court's costs (i.e. the defendant has to pay for all the costs of the attack against him). The plaintiff ends up paying nothing in that case.

    Also, violations of the various trademark and cybersquatting acts can lead to up to a $100K fine!

    The worst a UDRP hearing can do is a domain transfer.

    Maybe the company wanted to line its pockets with the defendant's money and/or make him bleed. Note: even middle class defendants have houses that can be foreclosed on and sold to pay a judgement - so a lawsuit is useful to hurt/destroy an opponent and can be profitable even if the defendant doesn't have any spare money lying around (since the courts can sell everything one owns).

    Just because it isn't moral doesn't mean it isn't legal.

    Plaintiffs get undeserved judgements that bankrupt defendants so often it is commonplace.

    --
    Just because it CAN be done, doesn't mean it should!
  38. Ouch by .sig · · Score: 1

    So much for the posting guidelines... (If you can't be deep, be funny)

    Oh well, everyone find something different funny, I'll just try to be more obvious next time.

    (Am I the only one who thinks Offtopic should be +1? The most and probably only interesting conversations I've been in are the ones that wander over all kinds of different topics.)

    --
    -Space for rent
  39. Re:Changed meaning of top domains ? by merennulli · · Score: 1
    So what we have here is an individual claiming his rights to a .com(mercial) address which he himself claims not to be using commercially ? Shouldn't a commercial company like Unicom have the rights to the Unicom.com address, rather that an individual exploiting the weak control of .com addresses? As far as I'm concerned, he is a squatter in some sense. Or should we change the meaning of .com to .common ?

    A squatter, as has been pointed out, is one who takes the name of a company in hopes to sell it. Obviously, in this case, the term does not, in any streach of the imagination, apply.

    The problem with .com is not the fault of Chip Rosenthal, but rather the management of domain names. An interesting example is Microsoft. Go to either http://www.microsoft.com or http://www.microsoft.net. Both result in the same site, both are commercial sites, but one is .net.

    Unicom.com also can justify being a .com in that it is a service to the commercial community. I came across it while seeking information on mailing lists (granted, by the time I ran across it, it was slashdotted, and I can't see the article).

    As to Unicom having a right to the domain, there is no justification for that. They waited all this time to set up a website, they made no attempt to take care of this facet of their interests, and in no way affected Rosenthal's decision to register the address.

    I'm also rather disgusted by the reasoning behind the Squatter rulings. The issue is not that they tried to profit from the URL, but copyright/trademark infringment. Take for instance AltaVista.com. It was registered before the search engine, the owner had legal claim to it, yet he sold it. This is no different from companies buying a valuable piece of real estate they have no intention of developing. They take the risk and expense on themselves, and profit if it pays off.

  40. Unicom is slashdotted, but www.unicomsi.com by CSG_SurferDude · · Score: 1

    Interestingly enough, the unicom site is slashdotted, but the www.unicomsi.com site is not. (But gee, those pages sure are loading slowly. I plan on checking the page-load speed several times today to see if it gets any worse.)

  41. Re:Changed meaning of top domains ? by TheCrazyFinn · · Score: 1

    The Website belongs to Unicom Systems Development, Chip's professional alter ego, so it's definitely a valid registraion. The Crazy Finn

    --
    "You've got an invalid haircut" -Warren Zevon - Life'll Kill Ya
  42. Cybersquatting and Reverse-Cybersquatting by dh003i · · Score: 2, Interesting

    There is a case to be made that there is nothing wrong with cybersquatting. From my point of view, its no different than when some smart investors back in the day bought lots of worthless land and held onto it because they knew eventually railroad companies would need it. Nothing wrong with that -- they had foresight, the railroad companies didn't. Similarly, a wise person today would buy land about a block back from the beachfront on California. Why? Because the average water line is advancing. In about 40 or so years, land that is now "beach front property" in California will be underwater and land that is now worthless and a little bit back, behind the current beachfront property, will be beachfront property. Nothing wrong with that either. In both of these cases, there is nothing wrong, even if the individual only bought the land to later sell it to the railroad company or hotel company at a high price.

    However, consider a reverse case. Consider if a smart large bank -- like JP Morgan and Co -- buys tons and tons of land, which is now cheap. Despite the land now being cheap, it will eventually be valuable, as the US population is increasing and more space will be required to house future populations. Once over-crowding starts occuring, and people experience the need to perhaps live on the inter-city land that populates our expressways/highways/throughways/whatever, the banks will be in prime-time position to sell that land at outrageous prices. That doesn't seem so fair, and for good reason. Why? Because it is the powerful using their resources to take advantage of the disempowered.

    Though these cases are relevant to the internet-case of cybersquatting and reverse-cyber-squatting, they don't map directly. These cases deal with real-world examples, real world property. The internet is more metaphysical, abstract: in the realm of ideas.

    (1) Cybersquatting is registering a domain name with no intent to use it, but simply the intent to use the name as leverage to get a company, organization, or person to buy it at the highest price possible; alternatively, the site may be used for some constructive purpose, but aa temporary location for that constructive purpose, with the end goal being using that domain name to extract maximum money from another entity.

    a. Against a company. An example would be my registering the domain name www.ibm.org and never using it for anything, but simply hoping that IBM would pay you money to get the rights to it. This brings up an important point. As IBM already has a website -- ibm.com -- its claim to take that site from the original owner based solely on cybersquatting is diminished. IBM already has a recognizable domain name which will bring most people to it: in fact, the most recognizable domain name. Company.com is what you type as a standard to get to a companies home page. A case where the company would have a strong claim would be where it had no internet site before, and someone put up site wwww.company-that-previously-had-no-site.com, and put nothing on it, its clearly to extract money. However, if they put up such a site and provided a message board about company products, criticisms, etc, as well as information and hints from ppl who've bought their products, then its not cybersquatting and the organization has no claim.

    b. Against an organization. For example, registering the domain name www.naral.net in hopes of extracting money from NARAL. Again, the same as above applies. NARAL has the most obvious most recognizable website for what they are, so their claim is diminished. But if someone puts up a site wwww.organization-that-previously-had-no-site.com, and has no intention of using it for any purpose, but only trying to extract maximal money, that's cybersquatting. But if they put up such a site and use it constructively -- i.e., perhaps they have their own organization/group abbreviated by "ORGANIZATION", or perhaps they with to criticize said organization, or perhaps they want to make it an informal "fan page" -- then its not cybersquatting and the company has no claim.

    c. Against a person. This hasn't occured much yet, but it may in the future. For example person A, named John Doe, puts up a website named www.janedoe.com. He has no intention of using that website, but knows Jane Doe is rich and will eventually want to have her own website after her own name; so he simply holds onto the website, in hopes that eventually he can squeeze her. This is cybersquatting. But if another woman with the same name, Jane Doe, puts up a website and uses it, its not cybersquatting. Finally, if a company or organization puts up a website with a persons name -- unless it be an organization member -- that's cybersquatting. Organizations/companies have no business putting up sites named with people's name. The only exception would be if that person is a member of the organization, or if they want to use that person as a positive example; i.e., an anarchist organization putting up the domain name KattieSierra.com to honor her. There's nothign malevolent about that; though, of course, if she doesn't want it, she has the rights to claim it. Every individual should be able to claim a domain name named after them. In cases where individuals share the same first, middle, and last names, first come first serve (unless one David Cassidy puts up a website titled David Heinrich to try to extract money from all the other David Heinrich). These are the easy cases. What about the hard cases. What if someone who hates you puts up a website with your first, middle, and last name -- johnxdoe -- and spews about how much of a jerk you are, makes hateful remarks about you, and otherwise demeans you on the site. Or worse, what if said person puts up a website with your name and pretends to be you, except misrepresenting you? I think that these cases are unacceptable. And I realize that's iffy. If someone wants to put up a website trying to masquerade as me or insult me, they should have to in some way put "anti" or something similar in the address: i.e., www.antidavidheinrich.com. This is a minor restriction on freedom of speech which serves to prevent misrepresentation.

    Now, back to the comparisons with people hoarding potential rail-road land back in the day, or buying "2nd tier" beach property in California. There is a clear difference between those cases and stategic registration of domain names. Those cases apply for physical property and must be strategically made; one can't simply buy all land. Furthermore, one is actually abstracting the real value the land will hold in the future. That property is in fact that valuable, and would cost that much to the hotels. But if I squat a domain name, the company might have to pay me a million dollars for something that would've costed only a few bucks otherwise.

    Its not that I'm for big corporations. Its that this type of game-playing demeans the usefulness of the internet and domain names. And its not to say that big corporations don't play this game to.

    Corporations usually don't engage in cybersquatting; though they could if they wanted to. Cybersquatting is really a riskless activity, as I believe it should be. Do you really want to fine someone or put them in jail for that? The worst that can happen is the person loses his domain name, and doesn't get to sell it to the corporation for a high price. But back to corporations -- what they do do is distort cybersquatting norms to allow them to strangle competition or prevent sites from displaying that are critical of them, and otherwise abuse domain-name norms.

    A site opens up with the domain name, www.anti-riaa.com, and uses it to harsly criticize the RIAA. The RIAA sues for "cybersquatting". Plainly ludicrous. Cybersquatting implies that the "target" had the intent or motive to want to use the domain-name. The RIAA would never use that domain-name. Yet, they want to claim it in order to prevent criticism. This is a kind of reverse cybersquatting. It furthermore diminishes the functionality of domain names. People expect that if they type in such a domain name, they'll get a website against the RIAA, not a blank page.

    Another case is where companies try to take away competing companies domain names, or individuals domain names based on "trademark similarlities". Prime example, Lindows.com. Do they really think that people will confuse Windows with Lindows? Most intelligent people wouldn't. But even if they would, that's not Lindows fault -- that's the fault of ppl who are so dumb. Furthermore, Lindows intent isn't to confuse people, making them think its an MS product. Its simply to let them know that it should work fine with MS software. If anyone is confused, they'll be straightened out once they look at the sight. More disturbing is the implication by MS that they have trademark rights to anything that rhymes with Windows, or if of a similar sound.

    I think its obvious to most COMMON-SENSE people that something is or is not cybersquatting when they see it. But that ridiculous definition of "I'll know it when I see it" doesn't do. The public has a right to know EXACTLY is and is not acceptable; EXACTLY what is an is not, for example, "PORNOGRAPHY" (one of the more brilliant quotes by one of the 9 wise men, "I can't define it, but I'll know it when I see it"). If we cannot define precisely what is not an acceptable activity, we have no right to expect people not to do it. People need to know the rules of the game before they play. There's no reason why norms, laws, customs, etc can't be as precisely defined as the rules of chess.

    For example, in chess, there are a few official rules, clearly defined, and there are also some "unofficial" rules which any two professionals understand:

    (1) The official rules. I.e., how each piece moves, exceptions to the normal movement of pieces, conditions in which the king must move, stalemate conditions, and checkmate conditions.

    (2) The unofficial rules. A typical set goes something like this: 1 You touch a piece, you have to move it; 2 No taking back moves; 3 No talking; 4 No motions, positions, etc that would distract the opponent and detract from his/her ability to think.

    The rules in chess are clearly defined. There is no ambiguity.

    The rules governing law and domain-name resolution should be the same: precisely clear. I will attempt to propose some here. I do not pretend that they are perfectly clear, nor that they are comprehensive. But I will try to make them as much so as I can. Obviously, a real set of rules needs to be thoroughly thought out. Each rule must be stated as clearly as possible, as elegantlty as possible, and with as few words as possible. There must be a sufficient number of rules to cover all "inappropriate activity". Here's my rough draft:

    1. IF someone registers a domain name (entity-name.com) BEFORE entity-name does, assuming entity-name exists at the time of registration, AND that someone has no intent of using that domain name, but only trying to extract money from entity-name, THEN it is cybersquatting. The entity-name should be able to obtain entity-name.com from the cybersquatter at the price of domain-name registration.

    2. IF someone registers a domain-name (entity-name.com) BEFORE entity-name does, AND actually uses it for some purpose, whether connected to the domain-name or not, AND has no intent of using it to extract money from entity-name, THEN that is not cybersquatting. Entity-name can always register the domain-name Entity_name.com.

    3. IF someone registers a domain-name (entity-name.com) BEFORE entity-name does, AND uses it for some purpose, whether connected to the domain-name or not, BUT has the intent of never-the-less using it to extract money from entity-name, AND is thus simply using that "purpose" as a front, THEN that is cybersquatting. The individual can copy the web-site content to his hard drive and post it at another domain-name. Meanwhile, entity-name should be able to get entity-name.com from that individual by paying him the cost of registration.

    4. IF someone registers a domain name (entity-name.com) before entity-name exists, THEN no matter the post-entity-name existance activity of that someone, it is not cybersquatting. Whether or not the indivual makes use of that domain-name, it is clearly not his intent to use the domain-name to extract money from entity-name. Simply because the person has not yet used entity-name.com by the time entity-name comes into existence does not mean the person should be deprived of his site. There has been no planned extortion. Should entity-name offer the individual money to get that domain-name, so be it.

    5. IF entity-name already owns a domain-name (entity-name.com) AND an individual creates a site with a similar domain-name (i.e., entity_name.com), AND that individual's end intent is to extract money from entity-name for entity_name.com, THEN that is cybersquatting. However, entity-name hasn't as strong a claim to have the domain-name taken away. Entity-name already has the best domain name possible (as they themselves have affirmed by registering that as their domain-name). They have no real need obtain entity_name.com when they already have entity-name.com.

    6. IF entity-name already has a domain-name (entity-name.com) AND an individual creates a similar domain-name (i.e., entity_name.com or anti-entity-name.com), AND uses that domain name either to offer useful information about entity-name from a member/customer's pov, or to criticize entity-name, THEN that is not cybersquatting. Entity-name has no claim to take away that domain-name.

    7. Dormancy time limit. I believe that all "intellectual property" -- if we are to have such a draconian thing -- should last a maximum of five years. Thus, for non-users of a domain-name, the domain-name is automatically relinquished from their control after 5 years if they do nothing with it. "Nothing" is a very high standard. If an individual uses the domain name for nothing other than saying, "I like blah blah blah blah blah", then that is NOT nothing. Nothing means either no page has been put there, or its just been a "for sale" sign for 5 years, or its just been an "under construction" sign for 5 years.

    8. Assumption of innocence. The party brining the complaint must prove beyond a reasonable doubt that the other has done what is alleged.

    9. The power tilt modifier. Naturally, in resolving disputes, the balance should be tilted towards the side of the less powerful, as the less powerful is more likely to be the innocent side in any given case, and the side less able to defend itself. If the less powerful is the person bearing the complaints, then its tilted towards them. If the less powerful is the person brining the complaint, then its tilted towards them. This does not overturn rule #8, but only modifies it slightly.

    1. Re:Cybersquatting and Reverse-Cybersquatting by G00F · · Score: 1

      Dispite having some good words, I'd give ya a +1 just for putting so much time into it. Don't you have anything esle worth doing?

      --
      The spirit of resistance to government is so valuable on certain occasions that I wish it to be always kept alive
  43. If you have a business domain, get a trademark by Animats · · Score: 3, Interesting
    It's not that hard to get a trademark. It can be done entirely on-line now. Base price is $325.

    Trademarks can be registered on either the "principal" or the "supplemental" register. Trademarks on the principal register can be enforced against others. Trademarks on the supplemental register can't be enforced against others, but prevent others from claiming you are infringing their trademark. If your application for registration on the principal register is rejected, you can often get a registration on the supplementary register, for which the standards are lower. In particular, you can usually get a supplementary register trademark on a commonly used word, which is valuable for domain purposes.

    Either way, you get to use the ® symbol, and you're protected against any trademark-related claims on a domain.

    1. Re:If you have a business domain, get a trademark by Anonymous Coward · · Score: 0

      More like you have to use the ® symbol.

  44. Marginal or average cost? by Anonymous Coward · · Score: 0
    And how do you assign R&D and other overhead?

    I could say a single Pentium IV chip costs less than 1 cent based on marginal cost (as in it cost Intel $1 billion to make 20,000,000 P-IVs, and $1,000,000,000.01 to make 20,000,001 P-IVs.)

  45. You have the numbers backwards by rebill · · Score: 1

    I worked at one of Ford Motor Company's top-earning manufacturing plants in 1997, and the numbers that I saw indicated that they were earning about $5,000 on a $30,000 vehicle ... *before* things like warranty costs were taken into account.

    So, instead of 90% profit 10% cost, the real numbers are more like 10% profit, 90% cost. There was a time when you could earn more money by keeping your money in the bank ...

    --

    Chivalry is not dead, it's just frequently misspelt. - M. Langley

  46. Re:Changed meaning of top domains ? by Anonymous Coward · · Score: 0

    You're using a very old-school view of the domain system.
    See this (old) story: Internet Labels Lose Meaning in Rush for Popular Addresses.

  47. unicomsi - free bad publicity by Anonymous Coward · · Score: 0

    You just can't buy bad press as good as filing a frivolous suit against a little guy. I know the LAST place I'll ever go for any 'legacy services'. Gee, Unicom, thanks for letting me know your are unscrupulous low life's.

  48. This case is just one of thousands by Garry+Anderson · · Score: 2

    I have been in contact, for quite some time, with US and UK authorities (and lawyers) on these domain and trademark problems.

    Because of they way the Internet is being mismanaged, conflict is impossible to avoid.

    Virtually every word is trademarked, be it Alpha to Omega or Aardvark to Zulu, most many times over.

    MOST share the same words or initials with MANY others in a different business and/or country. For example, the World Trade Organization (WTO) shares its initials with six trademarks - in the U.S. alone.

    The solution to exclusively identify all trademark domains was always self-evident.

    It was ratified by honest attorneys - including the honourable G. Gervaise Davis III, UN WIPO panellist judge.

    I truly believe that the United Nations World Intellectual Property Organization and the United States Department of Commerce hide it for reasons of money and power - that they are corrupt.

    They wish to abridge peoples right to use these words - they violate the First Amendment.

    Please visit WIPO.org.uk to see the simple solution - no connection with United Nations WIPO.org ;-)

  49. Appealing jurisdictional issues by Eric+Green · · Score: 2

    The thing is, UNICOM could decide to appeal the jurisdiction decision to the California Court of Appeals (whatever it's called), where they might win or lose depending upon various issues. Either way, what the judge has put on record is on record, and the appeals court will see it as part of the process of deciding whether to overrule the trial judge or not. The trial judge basically is telling the California Court of Appeals "hey, those UNICOM slobs have no case, just go along with me right?", though as a legal professional he cannot of course come right out and say that. This makes it unlikely that the case will be appealed in California -- UNICOM's staff lawyers can see the writing on the wall just as well as anybody else.

    --
    Send mail here if you want to reach me.
  50. A Question About DeCSS... by Jester99 · · Score: 1

    This case was dismissed because the defendant A) wasn't in california and B) didn't talk to californians, as far as I can see.

    Did the kid who wrote DeCSS in another country have any contact with California? (Which is where I thought the DeCSS case was litigated...)

    Is there a way that they can use this ruling?

  51. Re:Jim Tyre, Age 32, Found Dead This Morning by Anonymous Coward · · Score: 0

    Whoops! The report I received was incorrect. As it turns out, Tim Jyre, a Portland, Orgeon AA case worker was found living. These things get a little backwards from time to time. Sorry for the confusion sir!

  52. mung by Anonymous Coward · · Score: 0

    i still consider munging disgusting

  53. How to keep them out of Texas by Aladdin+Sane · · Score: 1

    Although marginally more expensive in legal terms, it would appear that the door is still open to an attack in Texas. What they are missing, is the cost in goodwill from the community. Write them at sales@unicomsi.com (or the email address of your choice, but good luck finding one on their site), and help them understand what it would mean to their sales and employment to be a pariah.

    --

    When the going gets weird, the weird turn pro. [H.S.T.]

  54. Not Over Yet by murr · · Score: 1

    I'm happy for Chip Rosenthal, but it seems to me that this decision is only a temporary victory, based on fairly narrow grounds (lack of jurisdiction). The merits of the case (or lack thereof) were apparently not considered yet.

    Unicom Systems may decide to re-file their case in Texas, and as little as I wish a continued lawsuit on Mr. Rosenthal, for them to re-file and lose decisively would establish a far more useful precedent than this dismissal does.

  55. Cybersquatting by MoneyT · · Score: 1

    If you ask me, there is nothing wrong with cybersquatting, espesialy now. If you own a company now and you don't have the intelligence to go get your domain registered then you deserve to pay money for the name. The fact is, I paid for that domain name, the rights to it belong to me as long as I continue to pay for it. Just as when I buy a product I have the rights to that particular item. I can sell it at whatever price someone is willing to pay for it.

    What really bugs me though are companies that take domains from other people because it's www.companysucks.com. Again, if the company wasn't bright enough to buy that site before hand, they deserve to pay whatever the other person wants for that domain. Remember, no one FORCES the company to pay outrages prices for a domain name, the company decides that that is what the doamin is worth to them. There is a reason before the release of a new product (i.e. iPod) Apple buys the domain, so that no one else gets to it first. Likewise, if I ever start my computer repair business (Orbit Computer Repair) I will register the domain before I star teh actual business. Of course there are many variations on that name that I could use, and let's not forget I could still use .org or .net sites technicaly, it just would be less obvious, but like I said, if your too slow, it's too bad.

    --
    T Money
    World Domination with a plastic spoon since 1984
  56. Commons for Doman-Names? by dh003i · · Score: 1

    I think that some domain names should belong to the public, and be usable only for the obvious public use that they should be used for.

    For example, did you know that www.aristotle.com belongs to some obscure company, Aristotle International? What the sites about, what the company sells, who knows. The point is, that a site with the name of one of the greatest philosophers of all time isn't devoted to him.

    To me, that's outrageous.

    Sites with the names of such influencial people in our history, or historic names, or something in them which belongs to us all, should be in the public domain. Namely, they should be devoted to this commons, in the public domain.

    How to make a good use of those sites in the commons, I'm not sure of. Perhaps a government-funded reference list of all relevant information, books, etc. For example, aristotle.* would have a listing of hyperlinks to all the books written by Aristotle, as well as his biography, and links to other sites about him.

    Other such domain-names which I think should be in the commons include:

    www.plato.*
    www.einstein.*
    www.hobbes.*
    www.orwell.*
    www.nuremburg.*
    www.socrates.*
    www.bohrniels.*
    www.rutherford.*
    www.usconstitution.*
    etc.

    You get the point.

    The idea that some companies get to profit off names which belong in the commons, the public domain, which belongs to us all, is outrageous.

  57. So what do I need to do to protect MY domain? by Anonymous Coward · · Score: 0

    What do I need to do or put on my domain
    website to protect my rights if any company
    ever comes my way and serves me with one of
    these bullshit suits?

    Chip, anyone? What are some key things
    that would make my ownership ironclad?

    1. Re:So what do I need to do to protect MY domain? by phillymjs · · Score: 2

      What do I need to do... ...to protect my rights if any company ever comes my way and serves me with one of
      these bullshit suits?


      Start saving and investing wisely now, so when the time comes you'll have a large bankroll to spend on more expensive lawyers than the plaintiff's.

      ~Philly

  58. Re:Changed meaning of top domains ? by Teun · · Score: 2
    I presume unicom.tx.us was not an option before the www came about?

    THAT would've shown it's a Texas based company..

    --
    "The likes of Facebook and WhatsApp are free to those whose privacy is of zero value."
  59. Idiotic I.T. firms, well done chip btw:) by Anonymous Coward · · Score: 0

    Firstly let me say well done chip I hope you get to keep your domain.

    Am I the only one who has had enough of technologically-illiterate companies whining about I.T. If a company wants a web presence and a domain name it should damn well register it early, like 8 years ago. Why don't these idiots just use unicom-corp.com or stick with the name they have. Its their own fault for not registering the name as early as possible, since they didn't its their tuff shit!!

    jesus get a fucking grip, if you cannot handle the tech market don't whine when it doesn't adapt for your company, instead adapt your company to it....