Domain name scam: Difference between revisions

'''Domain name scams''' are types of [[Scams in intellectual property|Intellectual property scams]] or [[confidence scam]]s in which unscrupulous [[domain name registrar]]s attempt to generate revenue by tricking businesses into buying, selling, listing or converting a domain name. The [[Office of Fair Trading]] in the United Kingdom has outlined two types of domain name scams which are "Domain name registration scams" and "Domain name renewal scams".<ref name=oft>{{cite web|title=Domain name scams|url=http://www.oft.gov.uk/business-advice/protect-your-business-from-scams/types/domain|work=Types of business scams|publisher=[[Office of Fair Trading]]|accessdateaccess-date=27 July 2011|url-status=dead|archiveurlarchive-url=https://web.archive.org/web/20111010102229/http://www.oft.gov.uk/business-advice/protect-your-business-from-scams/types/domain|archivedatearchive-date=10 October 2011}}</ref><ref>{{cite news|last=Richardson|first=Tim|title=Three domain name scams|url=https://www.theregister.co.uk/2002/07/12/three_domain_name_scams/|accessdateaccess-date=27 July 2011|newspaper=[[The Register]]|date=12 July 2002<!-- 15:31 GMT-->}}</ref>

In 2004, [[ICANN]], the domain name governing body, made changes to its policy for transferring domains between registrars. They introduced a single protective measure that can help prevent unauthorized transfers: [[domain locking]]. Critics, although advising owners to apply the new feature, said that this was an "unnecessary and customer-unfriendly change".<ref>{{cite news|last=Rohde|first=Laura|title=ICANN domain transfer policy takes effect|url=http://www.infoworld.com/t/platforms/icann-domain-transfer-policy-takes-effect-409|accessdateaccess-date=22 July 2011|newspaper=[[InfoWorld]]|date=November 12, 2004}}</ref><ref>{{cite news|last=Lake|first=Matt|title=Why it's easier than ever to lose your domain|url=http://reviews.cnet.com/4520-6028_7-5581289-1.html|accessdateaccess-date=22 July 2011|newspaper=[[CNET]]|date=November 22, 2004|url-status=dead|archiveurlarchive-url=https://web.archive.org/web/20101211003443/http://reviews.cnet.com/4520-6028_7-5581289-1.html|archivedatearchive-date=11 December 2010}}</ref>

Although less common than domain slamming, another domain name scam primarily coming from registrars based in China involves sending domain owners an e-mail claiming that another company has just attempted to register a number of domains with them which contain the targeted domain owner's trademark or has many keyword similarities to their existing domain name. Often, these domains will be the same as the one(s) owned by the targeted individual but with different TLDs (top-level domains). The scammer will claim to have halted the bulk registration in order to protect the targeted individual's intellectual property, and if the email recipient doesn't recognize the entity attempting to register these domain names, that they should respond immediately to protect their trademark. If the scam target does respond by email or by phone, the scammer will then try to get them to register these domain names for several years upfront with the registrar running this scam.<ref name="pcw">{{cite web|url=http://www.pcworld.com/article/183803/beware_domain_registration_scams.html|title=Beware Domain Registration Scams|first=Amir|last=Lev|publisher=PCWorld Communications, Inc.|accessdateaccess-date=2012-05-04|date=2009-12-09}}</ref>

* In 2001, the federal [[Competition Bureau]] (of Canada) issued a warning about documents that appeared to be invoices sent out by a business called the ''Internet Registry of Canada'' (a [[Brandon Gray Internet Services|Brandon Gray]] reseller{{Ref label|BrandonGray|1|a}}).<ref>{{cite news|last=MARRON|first=KEVIN|title='Domain slamming' surfaces on the Web|url=https://www.theglobeandmail.com/news/technology/domain-slamming-surfaces-on-the-web/article1048676/|accessdateaccess-date=12 July 2011|newspaper=The Globe and Mail|date=Nov 6, 2002 <!-- 9:03PM EST --> }}</ref>

** "Complaints received by the Competition Bureau indicate that the mailings from the 'Internet Registry of Canada' give the impression that it is affiliated with the Government of Canada or that it is an officially sanctioned agency registering domain names in Canada. The 'Internet Registry of Canada' is not associated with any government agency," the Competition Bureau advisory stated.<ref>{{cite web|last=Charles|first=Bergeron|title=Competition Bureau Issues Warning to Canadians about Misleading Mailings for Internet Domain Name Registrations|url=http://www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/00528.html|publisher=[[Competition Bureau]]|url-status=dead|archiveurlarchive-url=https://web.archive.org/web/20110824074521/http://www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/00528.html|archivedatearchive-date=2011-08-24}}</ref>

* In April 2002, the FTC charged ''National Domain Name Registry'', ''Electronic Domain Name Monitoring'', ''Corporate Domain Name Monitoring'', and owner Darren J. Morgenstern, with making false and misleading statements to domain name holders whereby they duped consumers into needlessly registering variations of their existing domain names by deceptively contending that third parties were about to claim them.<ref>{{cite web |url=http://www.ftc.gov/opa/2002/04/morgenstern.shtm |title=Archived copy |accessdateaccess-date=2012-02-25 |url-status=dead |archiveurlarchive-url=https://web.archive.org/web/20120416014721/http://www.ftc.gov/opa/2002/04/morgenstern.shtm |archivedatearchive-date=2012-04-16 }}</ref>

* On 2 July 2002, the "Domain Registry" served papers against Canada-based domain registrar [[Tucows Inc]] for alleged defamation and sought $21 m in damages.<ref name="droe" /><ref name=tucows_court_case>{{cite web|last=Michener |first=Lang |title=1446513 Ontario Limited v. Tucows Inc. et al. |url=http://comingsoon.tucows.com/.court_case/ |publisher=[[TuCows]] |accessdateaccess-date=13 July 2011 |url-status=dead |archiveurlarchive-url=https://web.archive.org/web/20030810122021/http://comingsoon.tucows.com/.court_case/ |archivedatearchive-date=August 10, 2003 }}</ref> Tucows later said: "The Company (Tucows) does not believe it will be liable for any damages and accordingly has not accrued any amounts at June 30, 2002."<ref name=tucows_report>{{cite web|last=COOPERMAN|first=MICHAEL|title=Legal Proceedings|url=http://markets.financialcontent.com/stocks/action/getedgarwindow?accesscode=91205702031385#toc_dm1459_1|work=QUARTERLY REPORT|publisher=Tucows Inc.|accessdateaccess-date=13 July 2011}}</ref>

* In 2002, the UK Advertising Watchdog Authority (ASA) slammed ''Domain Registry of Europe'' (a Brandon Gray reseller{{Ref label|BrandonGray|1|c}}) over similar mail shots.<ref>{{cite news|last=Richardson|first=Tim|title=ASA slams 'intimidating' Domain Registry of Europe mailshots|url=https://www.theregister.co.uk/2002/10/23/asa_slams_intimidating_domain_registry/|accessdateaccess-date=12 July 2011|newspaper=The Register|date=17 July 2002}}</ref><ref>{{cite news|last=Richardson|first=Tim|title=Ad watchdog critical of Domain Registry of Europe|url=https://www.theregister.co.uk/2002/08/16/ad_watchdog_critical_of_domain/|accessdateaccess-date=12 July 2011|newspaper=The Register|date=16 August 2002<!-- 10:07 GMT-->}}</ref>

** In response to this, Alan Freeman, Relations Manager for ''DRoE'', said that the company - which also trades as ''Domain Registry of America'' and ''Domain Registry of Canada'' - had registered 1.1 million domains for customers and was registering between 5,000 and 7,000 new domains a day.<ref name="droe">{{cite news|last=Richardson|first=Tim|title=Domain Registry of Europe defends tactics, sues Tucows|url=https://www.theregister.co.uk/2002/07/17/domain_registry_of_europe_defends/|accessdateaccess-date=12 July 2011|newspaper=The Register|date=17 July 2002<!-- 12:58 GMT-->}}</ref>

* In 2003, Dutch hosting provider Deinternetman pondered legal action against ''Domain Registry of Europe'' (a Brandon Gray reseller{{Ref label|BrandonGray|1|d}}) for sending their customers letters urging them to renew their domain contracts.<ref>{{cite news|last=Libbenga|first=Jan|title=Legal action threatened against domain slammer|url=https://www.theregister.co.uk/2003/08/06/legal_action_threatened_against_domain/|accessdateaccess-date=12 July 2011|newspaper=The Register|date=6 August 2003<!-- 17:56 GMT-->}}</ref>

* In 2003, the [[Federal Trade Commission]] reached a settlement with the ''Domain Registry of America'' (a Brandon Gray reseller{{Ref label|BrandonGray|1|e}}) for practices such as transferring domain registrations to their service under the guise of domain renewal, a practice known as ''domain slamming'', and having hidden fees.<ref>[http://www.ftc.gov/os/2003/12/031219stipdomainreg.pdf Federal Trade Commission v. Domain Registry of America, Inc.]</ref><ref>[https://www.ftc.gov/news-events/press-releases/2003/12/court-bars-canadian-company-misleading-consumers-marketing Federal Trade Commission: Court Bars Canadian Company from Misleading Consumers in Marketing of Internet Domain Name Services]</ref><ref>{{cite web|url=https://www.theregister.co.uk/2004/01/06/court_bars_canadian_domain_slammer/|title=Court bars Canadian domain slammer|first1=6 Jan 2004 at|last1=11:55|first2=Jan Libbenga|last2=tweet_btn()|publisher=|accessdateaccess-date=3 June 2017}}</ref><ref>{{cite news |author=Stephen Lawson |title=Judge Halts Domain Deception |url=http://www.pcworld.com/article/id,108315-page,1/article.html |work=[[PC World (magazine)|PC World]] |date=31 December 2002 |accessdateaccess-date=24 May 2008 |archive-url=https://web.archive.org/web/20080114070641/http://www.pcworld.com/article/id,108315-page,1/article.html |archive-date=14 January 2008 |url-status=dead }}</ref>

* In July 2004, Daniel Klemann and ''1480455 Ontario Incorporated'', operating as ''Internet Registry of Canada'' (a Brandon Gray reseller{{Ref label|BrandonGray|1|f}}), was sentenced to a $40,000 fine and a five-year prohibition order for deceptive Internet domain name renewal mailouts that targeted 73,000 businesses and non-profit organizations across Canada.<ref>{{cite news|last=King|first=Julie|title=Toronto man sentenced in Bogus Invoice Scam|url=http://www.canadaone.com/ezine/briefs.html?StoryID=04Jul02_1|accessdateaccess-date=14 July 2011|newspaper=[[CanadaOne]]|date=July 2, 2004}}</ref>

* In April 2005, the Australian Competition & Consumer Commission warns of a domain name renewal scam where domain name holders have received a letter that looks like an invoice for the registration or renewal of a domain name, where the domain name in question is very similar to your actual domain name except has a different ending, for example it will end in “.net.au” instead of “.com” <ref>{{cite web|url=http://www.scamwatch.gov.au/content/index.phtml/tag/domainnamerenewalscams#h2_10|title=False billing|first=Australian Competition and Consumer|last=Commission|date=14 May 2015|publisher=|accessdateaccess-date=3 June 2017}}</ref>

* In March 2006, Consumer Fraud Reporting reports about a company called “Domain Listing Service” sending out emails to domain name holders that look like a bill to register/renew their domain name listing a “final notice”.<ref>{{cite web|url=http://www.consumerfraudreporting.org/domainnamescams.htm|title=Domain Name Registration Scams|website=www.consumerfraudreporting.org|accessdateaccess-date=3 June 2017}}</ref>

* In 2006, reports appeared from New Zealand that Blair Rafferty had resurrected his bankrupt brother Chesley's domain name service, "domain slamming" New Zealand and Australian registrants.<ref>{{cite news|last=SAARINEN|first=JUHA|title=Rafferty brother continues domain slamming scam|url=http://pcworld.co.nz/pcworld/pcw.nsf/feature/0B56ACE3E2A579C7CC2571C30007FDE7|accessdateaccess-date=12 July 2011|newspaper=Fairfax Media Business Group, Fairfax New Zealand Limited|date=August 7, 2006|url-status=dead|archiveurlarchive-url=https://web.archive.org/web/20111001065509/http://pcworld.co.nz/pcworld/pcw.nsf/feature/0B56ACE3E2A579C7CC2571C30007FDE7|archivedatearchive-date=1 October 2011}}</ref>

* In 2007, a company known as "Domain Renewal SA" operating from Brussels was sending out emails that told you that you need to renew your domain.<ref name=eweek>{{cite news|last=Seltzer|first=Larry|title=Beware Fake Domain Renewal Notices|url=http://www.eweek.com/c/a/Security/Beware-Fake-Domain-Renewal-Notices/|accessdateaccess-date=21 July 2011|newspaper=[[eWeek]]|date=2007-07-16}}</ref>

* In August 2007, the Internet Centre reports of a wave of emails originating from China from “Asian Domain Registration Service”, implying that a domain name will be lost, or all Asian TLDs of the domain name will be taken away shortly by a foreign company. The Internet Centre has found no indication that any of these are valid, and in fact they appear to be a scam.<ref>{{cite web |url=http://www.incentre.net/content/view/113/1 |title=Archived copy |accessdateaccess-date=2012-02-29 |url-status=dead |archiveurlarchive-url=https://web.archive.org/web/20120211194446/http://www.incentre.net/content/view/113/1 |archivedatearchive-date=2012-02-11 }}</ref>

* In 2007, it was reported that a company under the name of ''Liberty Names of America'' (a Brandon Gray reseller{{Ref label|BrandonGray|1|g}}) had been sending out "Domain Name Expiration Notices", which one expert said is "not exactly ''domain name slamming''. But it is sleazy marketing."<ref>{{cite news|last=Mitchell|first=Robert|title=The not-quite-domain-name-slamming school of marketing|url=http://blogs.computerworld.com/node/6503|accessdateaccess-date=13 July 2011|newspaper=Computerworld Inc.|date=November 7, 2007|archive-url=https://web.archive.org/web/20110202061840/http://blogs.computerworld.com/node/6503|archive-date=2 February 2011|url-status=dead}}</ref>

* In March 2008, PC News Digest reports “Network Solutions Scam”. When searching on the Network Solutions website to see if a name was available for registration, Network Solutions was actually registering the name and then attempting to sell that name at an inflated price.<ref>{{cite web|url=http://pcnewsdigest.com/network-solutions-scam/|title=Network Solutions Scam|date=7 March 2008|publisher=|accessdateaccess-date=3 June 2017}}</ref>

* In 2009, [[American Student Assistance|ASA]] released an [[adjudication]] on ''Domain Registry of America'' t/a ''Domain Renewal Group'' (both Brandon Gray resellers{{Ref label|BrandonGray|1|i}}).<ref name=asa>{{cite web|title=ASA Adjudication on Domain Registry of America|url=http://www.asa.org.uk/Asa-Action/Adjudications/2009/11/Domain-Registry-of-America/TF_ADJ_47583.aspx|publisher=[[American Student Assistance|ASA]]|accessdateaccess-date=15 July 2011|url-status=dead|archiveurlarchive-url=https://web.archive.org/web/20110807045218/http://www.asa.org.uk/ASA-action/Adjudications/2009/11/Domain-Registry-of-America/TF_ADJ_47583.aspx|archivedatearchive-date=7 August 2011}}</ref>

* As of 2010, the company mailing as ''DROA'', ''French Internet Registry'', ''Domain Renewal Group'' or ''Company Directory'', is doing so in order to achieve ''domain slamming''.<ref>{{cite web|url=http://www.micro-entreprise.info/essentiel-renouvellement-nom-domaine-n25981.html|title=L'essentiel sur le renouvellement d'un nom de domaine -|date=26 May 2010|publisher=|accessdateaccess-date=3 June 2017}}</ref> [[McAfee]] Labs also reports that the ''domain slamming'' solicitations continue.<ref>{{cite web |first=Craig | last=Schmugar | title=Persistent Domain-Renewal Scam Alive and Kicking | work=McAfee Labs Blog | date=30 March 2010 | url=http://www.avertlabs.com/research/blog/index.php/2010/03/30/persistent-domain-renewal-scam-alive-and-kicking/ | accessdateaccess-date=6 May 2010 }}</ref>

* In September 2010, ''Brandon Gray Internet Services Inc.'' had its licence with the authority responsible for Canada's [[.ca]] domain names, [[Canadian Internet Registration Authority]] terminated as a result of ''domain slamming'' carried out under the name of ''Domain Registry of Canada''.<ref>{{cite news|last=Jackson|first=Brian|title=Alleged 'domain slammers' lose dot-ca licence, sue CIRA $10 million|url=http://www.itbusiness.ca/it/client/en/home/News.asp?id=59307|accessdateaccess-date=12 July 2011|newspaper=ITworldcanada|date=2010-09-22 <!-- 5:57:00 AM --> }}</ref><ref>{{cite web|last=Shea|first=Dave|title=Domain Registry Scam|url=http://mezzoblue.com/archives/2008/07/16/domain_regis/|work=mezzoblue|publisher=[[Dave Shea (web designer)|Dave Shea]]/[[mezzoblue]]|accessdateaccess-date=15 July 2011}}</ref> The officer registered with the Ontario government for Brandon Gray Internet Services is Marilyn Benlolo.<ref name=itbusinessca-59307-p3>{{cite news|last=Jackson|first=Brian|title=Alleged 'domain slammers' lose dot-ca licence, sue CIRA $10 million|url=http://www.itbusiness.ca/it/client/en/home/News.asp?id=59307&PageMem=3|accessdateaccess-date=7 August 2011|newspaper=[[ITworldcanada]]|date=2010-09-22}}</ref>

* On March 31, 2011, the law office of Ostrolenk Faber LLP warned about Trademark and Domain Name Scams where its clients received fake warnings of usurpers of internet domain names. Clients were allegedly receiving phony "Trademark Office Notices" from the "United States Trademark Agency".<ref>{{cite web|url=http://www.ostrolenk.com/publications/trademark_articles.html?PID=75|title=Ostrolenk Faber LLP|website=www.ostrolenk.com|accessdateaccess-date=3 June 2017}}</ref>

*In Dec 2011, NameCheap accused GoDaddy of putting technical barriers to frustrate its customers from transferring their domains to Namecheap in breach of ICANN rules.<ref>{{cite web|url=http://www.investopedia.com/ask/answers/052315/who-are-godaddys-gddy-main-competitors.asp?partner=YahooSA|title=Who are GoDaddy's (GDDY) main competitors?|last=Investopedia|date=23 May 2015|publisher=|accessdateaccess-date=3 June 2017}}</ref>

* In July 2014, ICANN suspended ''[[Brandon Gray Internet Services]]'' (including its various resellers, like ''Domain Registry of America'' and ''Namejuice.com'') for subjecting domain name holders to false advertising, deceptive practices, or deceptive notices.<ref name="DIIN19July2014">{{cite web|url=http://www.internetnews.me/2014/07/19/domain-registry-america-suspended-icann/|title=Domain Registry Of America Suspended By ICANN|last1=Neylon|first1=Michele|date=19 July 2014|publisher=Domain Industry & Internet News|accessdateaccess-date=20 July 2014}}</ref>

:1.{{Note label|BrandonGray|1|a}}{{Note label|BrandonGray|1|b}}{{Note label|BrandonGray|1|c}}{{Note label|BrandonGray|1|d}}{{Note label|BrandonGray|1|e}}{{Note label|BrandonGray|1|f}}{{Note label|BrandonGray|1|g}}{{Note label|BrandonGray|1|h}}{{Note label|BrandonGray|1|i}}Entities and resellers associated with [[Brandon Gray Internet Services|Brandon Gray]] include Namejuice.com, Domain Registry of America, Domain Renewal Group, Domain Registry of Australia, Domain Registry of Canada, Domain Registry of Europe, Internet Registry of Canada, Liberty Names of America, Registration Services Inc, Yellow Business.ca and Internet Corporation Listing Service.<ref name="The Register 2014-07-20">{{cite web|url=https://www.theregister.co.uk/2014/07/20/brandon_gray_aka_namejuice_suspended_by_icann/|title=Brandon Gray aka Namejuice suspended by ICANN|last1=Chirgwin|first1=Richard|date=20 July 2014|publisher=[[The Register]]|accessdateaccess-date=4 August 2014}}</ref>