A Domain Name "Acquisition" Doesn't Always Signify Something New | DomainInvesting.com

A Domain Name “Acquisition” Doesn’t Always Signify Something New

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A business friend emailed me the other day to let me know he spotted an interesting domain name “acquisition” that appeared to be made by a large company. It wasn’t all that interesting to me, but it would have been interesting to speculate about the plans for this new domain name.

One thing we all need to keep in mind is that a domain name “acquisition” isn’t always what it looks like. If a large company acquires a domain name with their brand in it, they might have done so to protect their brand. They might not have even paid for the domain name that they now own. Perhaps they sent the domain owner a cease and desist letter with a request or demand to transfer the domain name to them to prevent the owner from using it.

I monitor UDRP filings, and there are many that are filed because a company’s brand name is included in the domain name. Many companies prefer to send a cease and desist letter to a domain registrant before filing a UDRP or lawsuit. This saves time and money. In order to avoid a re-registration of the domain name, the company may request that the registrant transfer the domain name to them instead of deleting it or letting it drop. This is for brand protection purposes rather than because the company has plans for the domain name.

When I first started buying domain names, I bought a couple of names that I shouldn’t have bought. Fortunately for me, I received an email from someone at the company requesting the domain name, and I happily handed it over to them for free. This didn’t mean anything more than the company protecting its intellectual property. Had someone noticed the transfer, they may have thought the company was buying a domain name for a future product, when in reality, it was simple brand protection.

If you see a corporate domain “acquisition,” it may signify something interesting, but it’s very possible that it was a defensive purchase or transfer.


About The Author: Elliot Silver is an Internet entrepreneur and publisher of DomainInvesting.com. Elliot is also the founder and President of Top Notch Domains, LLC, a company that has sold seven figures worth of domain names in the last five years. Please read the DomainInvesting.com Terms of Use page for additional information about the publisher, website comment policy, disclosures, and conflicts of interest.


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Comments (2)

    Gregg

    Hi ELLIOT,
    I own many domains with Trademark issues but in most cases my domain is older than trademark. I never been emailed by trademarks owners, but anyway I wouldnĀ“t give my domains away for FREE.

    August 1st, 2014 at 7:18 am

    Karl B. Hensel

    Hello sir,
    Would you be so kind to answer this. If I purchase a domain and some other entity purchases a similar domain and then trademarks it. Do I have to surrender my domain to them. The terms are dictionary so I would imagine that it can not be considered a ” brand’ like Facebook, Kleenex etc.. Am I correct in my assumption? I am not asking legal advice just an opinion.
    Thanks,
    Karl

    August 2nd, 2014 at 5:46 pm

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