What is cybersquatting?

Cybersquatting is the practice of registering, selling, or using a domain name with the intent of profiting from the goodwill of someone else's trademark. It often involves registering domain names that are similar to well-known brands, trademarks, or personal names to either sell them back to the rightful owner at a higher price or to mislead and exploit internet users.

Key Points about Cybersquatting

Trademark Infringement: Cybersquatters often target domain names that are identical or confusingly similar to trademarks or brand names.

Profit Motive: The primary goal is usually financial gain, either by selling the domain to the trademark owner or by using it to attract traffic and generate ad revenue.

Legal Consequences: Many countries have laws against cybersquatting, such as the Anticybersquatting Consumer Protection Act (ACPA) in the United States (law enacted in 1999), which allows trademark owners to sue cybersquatters for damages. Instead of suing in federal court under the ACPA, a trademark owner can choose to pursue an administrative proceeding under ICANN's Uniform Domain Name Dispute Resolution Policy (UDRP). The UDRP allows a trademark owner to challenge domain name registrations in expedited administrative proceedings.