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Domain Names and Trademarks FAQ

How Domain Names and Trademarks Interact

Updated this week

What is a domain name?
A domain name is a unique internet address directing users to a website, like markavo.com. It consists of a second-level domain (e.g., "markavo") and a top-level domain (TLD) like .com, .org, or .net. Businesses often seek domain names matching their business or product names (e.g., fedex.com) for brand consistency.

How do domain names differ from trademarks?
Unlike trademarks, awarded based on first use and distinctiveness, domain names are granted to the first person to pay for registration, regardless of trademark status. Domain names can function as trademarks only if used to sell goods or services and associated with a business by customers, meeting trademark distinctiveness criteria.

Why are domain names important for businesses?
Domain names are critical as they serve as a business’s online address, trademark, or expression platform. With over 85 million active domains, mostly .com, and 311 million deleted, securing a desired name is challenging due to high demand and speculative registrations.

How can a business check domain name availability?
Check availability through accredited registrars listed at ICANN (https://lookup.icann.org/en). Enter the desired domain name to see if it’s taken. For example, checking "markavo.com" would show it’s unavailable, indicating prior registration.

What should a business do before registering a domain name?
Ensure the domain name doesn’t infringe an existing trademark, especially for similar goods/services or famous marks.

What happens after registering a domain name?
Registration grants exclusive use of the internet address but requires a web hosting arrangement with an ISP and website creation. Ownership lasts with annual renewals. Non-payment risks termination, allowing others to purchase the domain.

What are the risks to domain name ownership?
Ownership can be challenged if: (1) you fail to renew annually, (2) you’re a cybersquatter registering in bad faith to sell to a trademark owner, (3) your domain infringes a trademark by confusing customers, or (4) it dilutes a famous trademark by blurring its uniqueness or tarnishing its reputation.

What options exist if a desired domain name is taken?

  1. Choose a New Name: Select an available alternative suggested by registrars, like goodgrammar.org instead of goodgrammar.com.

  2. Buy or Share: Purchase from a good-faith owner via brokering services (e.g., GreatDomains.com) or negotiate sharing, like two banks using firstwashingtonbank.com with a split landing page.

  3. Fight for It: Pursue legal action against cybersquatters via federal court or ICANN arbitration if the name was registered to exploit a trademark.

Why is .com the most popular TLD?
The .com TLD is the default for commercial entities, widely recognized when guessing a company’s web address. Other TLDs include .org (nonprofits), .net (discussion groups), .biz (businesses), .edu (education), .gov (government), and country-specific ones like .be (Belgium). Defensive registrations across TLDs protect against misuse.

Can domain name registration grant trademark rights?
No, registration only secures the internet address. Trademark rights require using the name for goods/services with customer association, like Amazon.com, which gained trademark status through distinctiveness and promotion. Others can use the same name if not confusingly similar or prior-used.

When can trademark owners sue over domain name use?
Trademark owners can sue if a domain name: (1) was used after their trademark, (2) confuses customers due to similarity in goods/services, or (3) dilutes a famous mark’s distinctiveness or reputation. For example, Xon.com for auto accessories could face a challenge from Exxon.

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