Domain Names

Jane Lambert

 














17 Jan 2026

A domain name is a mnemonic for a string of numbers that identifies a website, mail server or other resource on the Internet.  A typical domain name will consist of at least two elements:
  • A top-level domain name ("TLD") which can either be country specific such as ".uk" for the United Kingdom, ".fr" for France, ".jp" for Japan or ".us" for the United States known as a country code top-level domain ("ccTLD") or generic such as ".com", ".net" or ".org" known as a generic top-level domain ("gTLD"); and
  • A second-level domain ("SLD") such as "nipclaw" or "4-5" which generally identifies the owner of the resource.
Domain names are registered for finite periods by registrars appointed by country code domain name authorities such as "Nominet" for domain names ending in ".uk" or ICANN (the Internet Corporation for Assigned Names and Numbers) for generic domain names like ".com", ".net" and ".org".

As a trade mark or corporate name can be an SLD, domain names are used in marketing and distribution.  Consequently, some become valuable assets.  According to Wikipedia's List of Most Expensive Domain Names, "voice.com" changed hands for US$30 million in 2019, and "360.com" and "chat.com" for US$15 million in 2015 and 2023 respectively.  That has given rise to cybersquatting, the unauthorized registration of a trade mark or corporate name as a domain name and ransoming it to the trade mark owner or company for exorbitant premiums.

Cybersquatting may be actionable as trade mark infringement or passing off but the costs, delays and uncertainties of litigation make civil proceedings unattractive.   That is particularly true where the cybersquatter inhabits a country with an unreliable legal system.  In some circumstances, a trade mark owner may even have to defend a groundless threats action as happened in Prince Plc v Prince Sports Group Inc. [1998] FSR 21.  Many trade mark owners found it cheaper and easier to pay the ransom which encouraged the cybersquatters.

Cybersquatting was tackled for the first time when the US Department of Commerce contracted the management of the domain name system to ICANN (see the  Memorandum of Understanding Between the U.S. Department of Commerce and ICANN).   ICANN required all gTLD registrars to incorporate the Uniform Domain Name Dispute Resolution Policy ("UDRP") into their domain name registration agreements.  Para 4 (a) of that Policy provides:
"Applicable Disputes. You are required to submit to a mandatory administrative proceeding in the event that a third party (a "complainant") asserts to the applicable Provider, in compliance with the Rules of Procedure, that
(i) your domain name is identical or confusingly similar to a trademark or service mark in which the complainant has rights; and
(ii) you have no rights or legitimate interests in respect of the domain name; and
(iii) your domain name has been registered and is being used in bad faith.
In the administrative proceeding, the complainant must prove that each of these three elements are present."

An administrative procedure can be initiated for a few hundred dollars and concluded within a few weeks.  Many country code domain name authorities have adopted the UDRP verbatim or devised similar dispute resolution policies.   Domain name dispute resolution is discussed in more detail in Domain Name Disputes.

Anyone wishing to discuss this article further may call me on +44 (0)20 7404 5252 during normal UK office hours or send me a message through my contact form. 

Further Reading

Domain Names Generally

Jane Lambert The IPR Help Desk's Domain Name Primer 6 July 2022 NIPC Branding

IP Helpdesk  Domain names & cybersquatting Infographic 4 July 2022 European Commission

IP Helpdesk  New Infographic is Out Now: Domain Names and Cybersquatting 4 July 2022 European Commission

Jane Lambert Domain Name Glossary  16 July 2017 NIPC Branding

Domain Name Disputes

Jane Lambert  Domain Name Disputes 15 July 2017 Last updated 17 Aug 2025 NIPC Branding

Jane Lambert The Terms that are incorporated into every Agreement to register a Domain Name 30 Oct 2022 NIPC Branding

Jane Lambert Introduction to Domain Name Dispute Resolution 21 Nov 2015 NIPC Law

Jane Lambert Domain Name Dispute Resolution Policies 15 July 2017 NIPC Branding


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