Protect Your Domain Name and Internet Business, Secure It With a Trademark: "Dot-Com" Trademarks On the Rise - Internet/Web/Online Service Information

Edge: Work-Group Computing Report, August 16, 1999

While "dot-com" trademarks filed with the US Patent and Trademark Office are up 572% in the first six months of 1999 over the same period in 1998, most domain name holders are playing with fire.

"Overwhelmingly businesses are failing to protect themselves by not securing their domain names as trademarks," says Alan Davidson, Executive VP at MicroPatent, a leading provider of trademark and patent information on the Internet. "While the numbers are moving in a positive direction, most businesses on the Internet are at risk that a trademark owner may appear and tell them to 'cease and desist' using that domain name," says Davidson.

The USPTO records reveal that there were 362 "dot-com" trademarks filed during the first six months of 1998. During the same period in 1999, there were 2,436 "dot com" trademarks filed. A huge increase? Yes, but a drop in the bucket when you realize that Network Solutions, the global registrar of domain names, cites that there are over 5 million web sites and web addresses currently registered.

The ICANN, the body in charge of the Net's core technical functions, has directed its newly formed delegations to consider a controversial proposal to handle trademark disputes over domain names. But, the fact remains; companies that don't protect their domain names are at risk.

With Internet growth continuing to lead a business revolution, it appears that domain name holders are under a false impression that they are secure by simply registering a domain name. No law protects a domain name itself from infringement. The current laws only protect trademark owners. And all indications suggest that this is the way it is going to stay. The Federal Dilution Act of 1995 and the current bill in the Senate support the protection of registered trademarks in electronic commerce.

"The smart domain name holders protect themselves in two ways: first, they complete a trademark search before selecting a domain name to ensure availability and secondly, once they adopt the name, they register it as a trademark to protect themselves from business disruption" says Davidson. "This way they are covered from all sides."

MicroPatent is a subsidiary of Information Holdings, Inc. (IHI-NYSE), and is a leading publisher of patent and trademark information on CD-ROM and via the Internet at http://www.micropat.com. The company supplies more than 6,000 corporate, legal and government subscribers worldwide with CD-ROM and on-line products including full text of patents; file histories; complete patent documents, including drawings, abstracts; and trademark text and images.