Anyone trying to register a domain name knows that it is extremely difficult to find a domain that has not already been registered. Common English dictionary words are all registered for the most part, cybersquatters control domains that incorporate the valuable trademarks and service marks of others, domainers have accumulated scores of domains, and new words are being created in order to secure a domain for a website daily. So what's next for domain names? Insight to that answe will be revealed in the upcoming months in light of today's ICANN meeting in Paris where two proposals have been voted upon: (1) whether to allow domain name registrations with non-Latin characters; and (2) whether to allow the use of any letter or number combination, up to 64 characters.
For some time now there has been speculation about opening up the top level domains. The passing of these proposals may create yet another domain name registration rush. Extensions such as .sex, .xxx, and other generic words would be highly sought after, demand high prices, and create additional online avenues through which companies may operate websites, market and advertise, and sell their products and services. However, what about the practical implications (such as dispute resolution, sunrise registration periods, etc.) for trademark owners?
An exception does exist for trademark owners. However, what additional obligations will these trademark owners have to ensure that noone is indeed allowed to register and offer their .[trademark]? What will the cost be? What happens with words that have acquired distinctiveness and serve as valuable trademarks and service marks for companies (e.g. progressive, northwest, sprint) but also are common terms that have generic meanings?
While some of these questions will be flushed out, I predict there will be additional disputes as a result. As such, depending upon the vote, all individual domain name owners, business entities, and trademark/service mark owners will potentially be affected by these proposed changes. Understanding what you can do to proactively protect your intellectual property portfolio, take advantage of this new "opportunity," and remedy the abuse by others will be critical.