UDRP explained: how domain disputes work

How domain name disputes work: the UDRP's three tests, outcomes, reverse domain name hijacking, URS and the ACPA, and how domain investors stay safe.

If someone thinks your domain infringes their trademark, or you think someone else's does, the usual route isn't a lawsuit. It's the UDRP, a fast online process that every generic-ending registrar must follow. Here's how it works, and how domain investors protect themselves.

What is the UDRP?

The Uniform Domain-Name Dispute-Resolution Policy was created by ICANN in 1999. Trademark owners file complaints with approved providers, the best known being the World Intellectual Property Organization (WIPO). An independent panel decides the case, usually within about two months, without anyone going to court.

The three things a complainant must prove

1. The domain is identical or confusingly similar to their trademark.
2. The current owner has no rights or legitimate interests in the domain.
3. The domain was registered and is being used in bad faith.

They must prove all three. Failing any one means the domain stays with its owner.

Possible outcomes

• Transfer of the domain to the complainant.
• Cancellation of the domain.
• Denial: the owner keeps it.

The UDRP can't award money. Either side can still go to court, and a court case filed in time can pause the transfer.

Reverse domain name hijacking

Sometimes a company files a complaint it knows it can't win, hoping to pressure a legitimate owner into giving up a generic domain. Panels can formally find the complainant guilty of reverse domain name hijacking (RDNH). It carries no fine, but it's a public mark against the company.

Other dispute routes

• URS (Uniform Rapid Suspension): a faster, cheaper process for clear-cut cases in new gTLDs. It suspends the domain rather than transferring it.
• ACPA: the US Anticybersquatting Consumer Protection Act of 1999 lets trademark owners sue in federal court, where money damages are possible.
• Country endings often have their own dispute policies, like Nominet's for .uk.

How domain investors stay safe

• Buy generic words and phrases, not brand names or misspellings of them.
• Search trademarks before buying, especially for invented words.
• Never target a brand: no ads for a competitor, no offers to sell to the trademark owner at a premium.
• Keep records of why you bought a name and when. Registration before a trademark existed is strong evidence of good faith.
• Price fairly. A high asking price alone isn't bad faith, but targeting a specific brand is.

See real examples in famous domain disputes and stories.

This page is general information, not legal advice. For a real dispute, talk to a lawyer experienced in domain law.