Help! I've Lost My Domain Name!
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by Lee Hodgson August 12, 2003
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Imagine this:
you wake up one morning to find your web site has disappeared, your e-mail
has stopped working and a person you've never heard of is listed as the
owner of your domain name. Such a Kafkaesque loss of digital identity
is actually surprisingly common. The main cause is not the well publicised
"domain hijacking", but something much more mundane. Simply
that for one reason or another, the domain was not renewed at the end
of the expiration period. When this happens, the sponsoring registrar
issues a delete command to the registry and the name is quickly available
for any party to register.
If the domain
is for personal use then no big deal. You learn from the experience and
register a new name instead. But what if the name was an integral part
of your business strategy? Losing it could cause untold damage to your
business.
Success Increases Risk
So what exactly
are the chances of other parties attempting to register your name if it
ever did get deleted? Don't be naive in believing your name is only worth
something to you. This is truly not the case. Perversely, the chances
of the name being valuable to other parties, domain speculators in particular,
increase in proportion to how successful you have been in building up
your online business.
To understand
the reasoning behind this statement, you have to get inside the mind of
a typical domain speculator. A year or two ago, most speculators simply
registered "virgin" domain names, in the hope of selling them
on to site developers. In other words, they were gambling on the value
of the name itself. As it turned out, most speculators were awful at inventing
good domain names, and many lost their shirts employing this methodology.
Hurrah you say! When the dot com bubble burst, however, speculators came
up with a new strategy: re-registering "used" domain names.
In particular re-registering used domains with "built-in" traffic
- i.e. domains having incoming links from other web sites, search engines
and directories.
For these
types of names, speculators are not the slightest bit interested in the
actual value of the name itself - it could be rat-splat-drat.org for all
they care. If a name produces traffic, an averagely intelligent reptile
could make money from it. Just put up a one-page pay-per-click (PPC) search
engine, or any decent (or indecent) affiliate program, and the revenues
will come in.
So given
that domain speculators are now looking for domain names with traffic
rather than branding value, you can see that any web site that has been
successful and has built up tens or hundreds of incoming links is a prime
candidate for domain speculators should the name ever get deleted.
How To Get
Your Name Back
Now you know
why a speculator might re-register your domain name, let's move on to
the crux of the matter: just how do you go about getting your name back
should the nightmare come true and your name is deleted. The first thing
to get out of your mind is the notion that this is still "your"
domain name. Whilst you will undoubtedly feel the name is still yours,
the harsh truth is that your rights expired along with the domain name.
Most people will naturally contact their domain registrar first, assuming
somehow the registrar will be able to "sort it out" for them.
But every registrar will give you the same response. If you didn't pay
the renewal fee and the name got deleted, there is nothing they can do,
and they certainly don't have any way of getting the name back for you.
Given that
reality, what other methods can be used to get your name back? You could
try suing the new registrant, but this is often a hugely complicated,
time-consuming and costly affair, especially since the new registrant
is as likely to reside in Korea as California. The two more practical
methods are detailed below, these are: (a) ICANN Arbitration and (b) Domain
Purchase.
Method
A: ICANN Arbitration
If you have
a trademark on the name in question, you have a chance of getting it back
through ICANN's "Uniform Domain Name Dispute Resolution Policy"
or UDRP for short. This arbitration mechanism has proved an effective
way of gaining control of domains for many trademark holders. But success
is by no means certain. In order to successfully win a UDRP case, you
need to convince the arbiter(s) of ALL of the following three elements:
The domain
name must be identical or confusingly similar to a trademark or service
mark in which you have rights.
The current
registrant must have no rights or legitimate interests in the disputed
domain name.
The domain
name must be being used in bad faith.
The fact
that the current registrant has re-registered "your" domain
is not relevant to this process. And in fact, most cases brought by trademark
holders that do fail will fail on point (3) - showing the domain is being
used in bad faith. In effect, this means demonstrating that the registrant
has offered to sell the name - either by e-mailing you to offer the name,
or by putting up a "For Sale" web site etc. Registering the
name without using it is not normally seen as "bad faith" by
most arbitration panels.
If you are
interested in following this course of action, take a look at the full
text of the UDRP - to file a dispute, legal counsel is not required,
though it is recommended. Filing a dispute will typically cost $1000+,
and can be done through several services, such as WIPO,
or eResolution. Also
bear in mind that many of the most professional domain speculators will
have more experience of the UDRP than you, and will try and use this to
their advantage.
Method
B: Domain Purchase
If you don't
think you can win a UDRP case, then purchasing the name from the new registrant,
however unpalatable that may sound, is the other option worth pursuing.
Before you contact them, consider the following:
What
is the name worth to you? How much money will you lose if you
don't have the name? How much money can you make with the name? Will your
business fold without the name? Once you answer these questions and probably
several more, you will have a good idea just how much money the name is
worth to you.
What
is the name worth to the speculator? As explained above, there
are two components to a used name's value - the branding value and the
traffic value. The branding value is hard to calculate - though domain
appraisal companies will give you a fair idea. The traffic value is somewhat
easier to calculate. By estimating the traffic (which shouldn't be difficult
because this was your traffic a few weeks ago) you should be able to make
a guess at how much money the speculator is making by putting up a PPC
search engine or affiliate program. As a rough example, a domain that
gets 100 visitor per day can expect to generate about 10 click throughs
in that time - and each click through might earn then $0.03 to $0.10,
so they might earn $0.30 to $1.00 per day, that's $100 to $365 per year.
What
is the psychology of the negotiation? Having estimated the value
of the domain to you and the speculator, it is true in nearly all cases
the speculator is hoping to sell it to YOU i.e. the original site owner.
Sure he might earn $200 a year or so from an affiliate program or more
if the name has some branding value, but what he really wants is to make
a quick high-value cash sale by selling back to the original owner. So
in his mind, you are the ONLY potential customer. So what it boils down
to is a classic game of brinkmanship. If the sale happens, both parties
gain. If it doesn't, both parties lose. Bearing that in mind, here are
a few tips to help you succeed in the negotiations:
Avoid
conveying any sense of "desperation" to get the name back.
If you do, the speculator will take you for every penny you can afford.
So don't rush to reply to e-mails, and most importantly, always give
the sense that you are prepared to walk away from the deal if pushed
too far.
Most
speculators will "try it on" to start - they may ask for 10
times what they are willing to accept eventually. Be calm and patient
in the knowledge that you can get the name for much less than the speculator
says he is looking for.
Stay polite
and be professional. Even though you may have overwhelming negative
feelings about the speculator, they will feel what they are doing is
legitimate. If you start insulting them, chances are they will walk
away and you will lose the name forever. This is particularly true of
speculators from Eastern countries who will not tolerate direct conflict
in business situations.
Remember
at all times - the speculator has as much to gain from making the deal
as you do.
Consider
employing an experience negotiator / domain broker.
Having read
all this, it should be noted the best way to avoid this nightmare is to
take proper care of your domain names in the first place and not let them
expire at all. Keep a list of the names you own, which registrar they
are registered with, and most importantly, what the renewal date is. Renew
them at least a couple of months in advance, and consider renewing them
for a period of at least two years. Why risk your whole future over a
few bucks? If you have more than thirty names or so, consider using a
domain management program such as Watch
My Domains Pro. For more tips on domain renewals read
this article.
Additionally
think about protecting your domain name using a protective service from
SnapNames
called Snap-Back.
This service alerts owners of any changes to their name, whether hijacking,
vandalism, redirection, expiration, or deletion -- and if it's deletion,
attempt to re-register the name.
Update: An
innovative service called Move
Announcer has been brought to our attention. This service would be
useful in the event that you really couldn't get your name back and are
forced to use a different name for your web site. What it does is notify
all sites that link to your old site about the change of web address,
thus reducing the impact of the domain name loss.
DomainGuru
offer a well-respected brokering
service which will help you purchase a domain name for the best price
possible. We also have a corporate
domain management service for companies wishing to consolidate their
domain portfolio.
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