Many Domains Registered With False Data
bakotaco writes "According to research carried out by the US Government Accountability Office (GAO) many domain owners are hiding their true identity. The findings could mean that many websites are fronts for spammers, phishing gangs and other net criminals. The report also found that measures to improve information about domain owners were not proving effective." From the article: "The GAO took 300 random domain names from each of the .com, .org and .net registries and looked up the centrally held information about their owners. Any user can look up this data via one of the many whois sites on the net. The report found that owner data for 5.14% of the domains it looked at was clearly fake as it used phone numbers such as (999) 999-9999; listed nonsense addresses such as 'asdasdasd' or used invalid zip codes such as 'XXXXX'. In a further 3.65% of domain owner records data was missing or incomplete in one or more fields."
I work at an ISP. We've had customers in the past whose domain names expired because they didn't update their address and phone number with their registrar, the person whose email address was on the record left the company, and they didn't get the renewal notice.
It doesn't happen as often now as it used to. Either businesses are getting better at remembering that their domain names need to be updated along with everything else, or the registrars are better at finding other ways to notify them of renewals.
But I ran into one case (with Network Solutions, IIRC -- it was a few years ago) where I personally updated the contact information associated with a role account and discovered, a year or two later, that the registrar had somehow resurrected the old, deleted contact info.
Note that complete and accurate whois information is a prerequisite for maintaining a domain registration.