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TM Acquisition Corp. v. Michael Harrison [2004] GENDND 1293 (6 October 2004)


National Arbitration Forum

DECISION

TM Acquisition Corp. v. Michael Harrison

Claim Number:  FA0408000317590

PARTIES

Complainant is TM Acquisition Corp. (“Complainant”), represented by Kathryn S. Geib, 1 Sylvan Way, Parsippany, NJ 07054.  Respondent is Michael Harrison  (“Respondent”), 14049 S. Timber Ridge Dr., Draper, UT 84020.

REGISTRAR AND DISPUTED DOMAIN NAME

The domain name at issue is <centurytwentyonerealestate.com>, registered with Go Daddy Software, Inc.

PANEL

The undersigned certifies that he or she has acted independently and impartially and to the best of his or her knowledge has no known conflict in serving as Panelist in this proceeding.

Judge Harold Kalina (Ret.) as Panelist.

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum (the "Forum") electronically on August 24, 2004; the Forum received a hard copy of the Complaint on August 25, 2004.

On August 24, 2004, Go Daddy Software, Inc. confirmed by e-mail to the Forum that the domain name <centurytwentyonerealestate.com> is registered with Go Daddy Software, Inc. and that Respondent is the current registrant of the name. Go Daddy Software, Inc. has verified that Respondent is bound by the Go Daddy Software, Inc. registration agreement and has thereby agreed to resolve domain-name disputes brought by third parties in accordance with ICANN's Uniform Domain Name Dispute Resolution Policy (the "Policy").

On August 25, 2004, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of September 14, 2004 by which Respondent could file a Response to the Complaint, was transmitted to Respondent via e-mail, post and fax, to all entities and persons listed on Respondent's registration as technical, administrative and billing contacts, and to postmaster@centurytwentyonerealestate.com by e-mail.

Having received no Response from Respondent, using the same contact details and methods as were used for the Commencement Notification, the Forum transmitted to the parties a Notification of Respondent Default.

On September 22, 2004, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the Forum appointed Judge Harold Kalina (Ret.) as Panelist.

Having reviewed the communications records, the Administrative Panel (the "Panel") finds that the Forum has discharged its responsibility under Paragraph 2(a) of the Rules for Uniform Domain Name Dispute Resolution Policy (the "Rules") "to employ reasonably available means calculated to achieve actual notice to Respondent."  Therefore, the Panel may issue its decision based on the documents submitted and in accordance with the ICANN Policy, ICANN Rules, the Forum's Supplemental Rules and any rules and principles of law that the Panel deems applicable, without the benefit of any Response from Respondent.

RELIEF SOUGHT

Complainant requests that the domain name be transferred from Respondent to Complainant.

PARTIES' CONTENTIONS

A.  Complainant makes the following assertions:

1. Respondent’s <centurytwentyonerealestate.com> domain name is confusingly similar to Complainant’s CENTURY 21 mark.

2. Respondent does not have any rights or legitimate interests in the <centurytwentyonerealestate.com> domain name.

3. Respondent registered and used the <centurytwentyonerealestate.com> domain name in bad faith.

B.  Respondent failed to submit a Response in this proceeding.

FINDINGS

Complainant and Century 21 Real Estate Corporation (“Century 21”) are subsidiaries of Cendant Corporation.  Century 21 is a franchisor of a system of business for the promotion and assistance of independently owned and operated real estate brokerage offices.  Complainant is the owner of numerous CENTURY 21 marks registered with the USPTO and licenses the marks to Century 21.  In turn, Century 21 sub-licenses the CENTURY 21 marks to franchisees throughout the United States and in many foreign countries.   

Among Complainant’s relied upon registrations for the CENTURY 21 mark are registration numbers 1,063,488 (issued Apr. 12, 1977 in connection with “real estate brokerage services), 1,085,039 (issued Feb. 7, 1978 in connection with “rendering technical assistance to others in the establishment and/or operation of real estate brokerage businesses”), and 1,304,095 (issued Nov. 6, 1984 in connection with “mortgage brokerage services and assisting lending institutions in the processing of loans”).

Pursuant to its licenses from Complainant, Century 21 has used the marks continuously in the U.S. since April 16, 1972.  Century 21 also operates its principal website at the domain name <century21.com>.

Respondent registered the domain name <centurytwentyonerealestate.com> on March 21, 2004.  The disputed domain name resolves to a website located at the <servicemagic.com> domain name.  The resolved website contains substantial information relating directly to the real estate market, including content that states, “Service Magic Realty Services” and “Get Connected to a Prescreened and Customer-Rated Real Estate Agent Today!”  The resolved website also contains links to “home improvement contractors,” “real estate agents,” and “banks and lenders.”  

DISCUSSION

Paragraph 15(a) of the Rules instructs this Panel to "decide a complaint on the basis of the statements and documents submitted in accordance with the Policy, these Rules and any rules and principles of law that it deems applicable."

In view of Respondent's failure to submit a Response, the Panel shall decide this administrative proceeding on the basis of Complainant's undisputed representations pursuant to paragraphs 5(e), 14(a) and 15(a) of the Rules and draw such inferences it considers appropriate pursuant to paragraph 14(b) of the Rules.

Paragraph 4(a) of the Policy requires that Complainant must prove each of the following three elements to obtain an order that a domain name should be cancelled or transferred:

(1) the domain name registered by Respondent is identical or confusingly similar to a trademark or service mark in which Complainant has rights; and

(2) Respondent has no rights or legitimate interests in respect of the domain name; and

(3) the domain name has been registered and is being used in bad faith.

Identical and/or Confusingly Similar

A complainant establishes rights in a mark under paragraph 4(a)(i) of the Policy by registering a mark with an appropriate governmental authority.  In the instant case, Complainant and Century 21 are subsidiaries of Cendent Corporation and Complainant has provided printouts of the registration information for the CENTURY 21 marks, registered with the United States Patent and Trademark Office.  Therefore, Complainant has established rights in the CENTURY 21 marks pursuant to paragraph 4(a)(i) of the Policy.  See Janus Int’l Holding Co. v. Rademacher, D2002-0201 (WIPO Mar. 5, 2002) (finding that the registration of a mark is prima facie evidence of validity, which creates a rebuttable presumption that the mark is inherently distinctive.  Respondent has the burden of refuting this assumption); see also Am. Online, Inc. v. Thomas P. Culver Enters., D2001-0564 (WIPO June 18, 2001) (finding that successful trademark registration with the United States Patent and Trademark Office creates a presumption of rights in a mark). 

In determining the similarity between a mark and a disputed domain name pursuant to paragraph 4(a)(i) of the Policy, panels disregard top-level domains for purposes of the analysis.  See Rollerblade, Inc. v. McCrady, D2000-0429 (WIPO June 25, 2000) (finding that the top level of the domain name such as “.net” or “.com” does not affect the domain name for the purpose of determining whether it is identical or confusingly similar); see also Busy Body, Inc. v. Fitness Outlet Inc., D2000-0127 (WIPO Apr. 22, 2000) (finding that the addition of a top-level domain is without legal significance).

It has been established that if a domain name incorporates a term that is phonetically similar to a complainant’s mark, a panel may find that the domain name is confusingly similar to the mark.  In the instant case, the domain name <centurytwentyonerealestate.com> contains the terms “century twenty one,” which is phonetically identical to Complainant’s CENTURY 21 mark.  See Mattel, Inc. v. Organization, FA 97653 (Nat. Arb. Forum July 30, 2001) (finding the domain name <magiceightball.com> confusingly similar to the MAGIC 8 BALL mark because the domain name was “phonetically indistinguishable from Complainant’s mark”); see also Software ONE, Inc. v. Castonguay, FA 103811 (Nat. Arb. Forum Feb. 28, 2002) (finding the domain name <software1.net> confusingly similar to Complainant’s SOFTWARE ONE mark because the “domain name is phonetically the same as Complainant’s mark”). 

Not only does the disputed domain name incorporate terms phonetically identical to Complainant’s mark, but the domain name also includes the additional terms “real estate,” which describe the commercial market in which the CENTURY 21 marks are used to identify the source of various services.  It is well established that merely appending terms, which have an obvious relationship to a complainant’s business, to another’s mark in a domain name fails to alleviate the confusing similarity that arises between a domain name and a mark pursuant to paragraph 4(a)(i) of the Policy.  See Oki Data Americas, Inc. v. ASD Inc., D2001-0903 (WIPO Nov. 6, 2001) (“[T]he fact that a domain name incorporates a Complainant’s registered mark is sufficient to establish identical or confusing similarity for purposes of the Policy despite the addition of other words to such marks.”); see also Space Imaging LLC v. Brownell, AF-0298 (eResolution Sept. 22, 2000) (finding confusing similarity where Respondent’s domain name combines Complainant’s mark with a generic term that has an obvious relationship to Complainant’s business); see also Treeforms, Inc. v. Cayne Indus. Sales Corp., FA 95856 (Nat. Arb. Forum Dec. 18, 2000) (finding that confusion would result when Internet users, intending to access Complainant’s website, think that an affiliation of some sort exists between Complainant and Respondent, when in fact, no such relationship would exist).

In a similar case involving Complainant, a panel found that the domain name <coldwellbankerrealestate.com> was confusingly similar to the COLDWELL BANKER mark because the domain name incorporated Complainant’s mark in its entirety and merely added the terms “real estate,” which described Complainant’s business.  TM Acquisition Corp. v. Lam, FA 280499 (Nat. Arb. Forum July 9, 2004).  The Panel sees little difference between the latter case and the one in which it confronts today.  Therefore, the disputed domain name is confusingly similar to Complainant’s mark pursuant to paragraph 4(a)(i) of the Policy.

Complainant has established Policy ¶ 4(a)(i).

Rights or Legitimate Interests

In the absence of a response, the Panel accepts all reasonable allegations set forth in the Complaint as true. See Desotec N.V. v. Jacobi Carbons AB, D2000-1398 (WIPO Dec. 21, 2000) (finding that failing to respond allows a presumption that Complainant's allegations are true unless clearly contradicted by the evidence); see also Allergan Inc. v. MedBotox Inc., FA 170639 (Nat. Arb. Forum Sept. 9, 2003) (“Respondent has not challenged the allegations in the Complaint. Under these circumstances it is appropriate for the Panel to accept all reasonable allegations and inferences in the Complaint as true.”).

The failure to respond to the Complaint may also function as an implicit admission that Respondent lacks rights and legitimate interests in the disputed domain name. See Pavillion Agency, Inc. v. Greenhouse Agency Ltd., D2000-1221 (WIPO Dec. 4, 2000) (finding that Respondents’ failure to respond can be construed as an admission that they have no legitimate interest in the domain names); see also See Bloomberg L.P. v. GAF, FA 190614 (Nat. Arb. Forum Oct. 20, 2003) (finding that since Respondent did not come forward to explain what legitimate use it may have had in the domain names, the panel could “presume that Respondent lacks rights and legitimate interests in the domain names at issue”).

Using a domain name, which is confusingly similar to a third-party mark, for the purpose of hosting content that directly relates to goods or services offered by the third party under its mark has been consistently found not to be a bona fide offering of goods or services under paragraph 4(c)(i) of the Policy, nor a legitimate noncommercial or fair use under paragraph 4(c)(iii) of the Policy.  In the instant case, Respondent is using a domain name that is confusingly similar to Complainant’s CENTURY 21 mark to resolve to a website that offers nearly identical services as those offered by Complainant under its mark.  Therefore, Respondent is not using the domain name in connection with a bona fide offering of goods or services pursuant to paragraph 4(c)(i) of the Policy, nor a legitimate noncommercial or fair use pursuant to paragraph 4(c)(iii) of the Policy.  See Computerized Sec. Sys., Inc. v. Hu, FA 157321 (Nat. Arb. Forum June 23, 2003) (holding that Respondent’s appropriation of Complainant’s mark to market products that compete with Complainant’s goods does not constitute a bona fide offering of goods and services); see also Glaxo Group Ltd. v. Glenmore, FA 203164 (Nat. Arb. Forum Dec. 1, 2003) (finding that respondent was not using the domain name in connection with a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i) or a legitimate noncommercial or fair use of the trademark pursuant to Policy ¶ 4(c)(iii) because respondent used the domain name to take advantage of Complainant's mark by diverting Internet users to a competing commercial site); see also C & E Fein GmbH & Co. v. Mierendorff, FA 183729 (Nat. Arb. Forum Oct. 1, 2003) (“Relevant law states that no legitimate or bona fide use or interest in the domain name can be found when a respondent, who is selling competing goods and services, is diverting consumers to its own web site by using a complainant's trademark in its domain name.”).    

The WHOIS registration information for the disputed domain name is the only evidence in the record that would have the potential to indicate that Respondent was somehow commonly known by the domain name <centurytwentyonerealestate.com> pursuant to paragraph 4(c)(ii) of the Policy.  However, the WHOIS registration fails to indicate as much.  Therefore, the Panel finds that Respondent is not commonly known by the disputed domain name.  See Tercent Inc. v. Yi, FA 139720 (Nat. Arb. Forum Feb. 10, 2003) (finding that the WHOIS information, and its failure to imply that Respondent is commonly known by the disputed domain name, is a factor in determining that Policy ¶ 4(c)(ii) does not apply); see also RMO, Inc. v. Burbridge, FA 96949 (Nat. Arb. Forum May 16, 2001) (interpreting Policy ¶ 4(c)(ii) "to require a showing that one has been commonly known by the domain name prior to registration of the domain name to prevail").

Complainant has established Policy ¶ 4(a)(ii).

Registration and Use in Bad Faith

Paragraph 4(b)(iii) of the Policy is violated if a domain name registrant registers a domain name primarily for the purpose of disrupting the business of a competitor.  As described above, Complainant and Respondent both appear to operate in the real estate market and both offer agency-like services to facilitate real estate transactions.  Therefore, Complainant and Respondent are competitors.  In the absence of a response, the fact that Respondent registered a domain name that is confusingly similar to a competitor’s mark is sufficient to establish that Respondent’s primary purpose in registering the domain name was to lure potential customers away from Complainant, and by logical extension, to disrupt the business of Complainant.  Therefore, Respondent is in violation of paragraph 4(b)(iii) of the Policy.  See S. Exposure v. S. Exposure, Inc., FA 94864 (Nat. Arb. Forum July 18, 2000) (finding Respondent acted in bad faith by attracting Internet users to a website that competes with Complainant’s business); see also Puckett v. Miller, D2000-0297 (WIPO June 12, 2000) (finding that Respondent has diverted business from Complainant to a competitor’s website in violation of Policy 4(b)(iii)) see also Travant Solutions, Inc. v. Cole, FA 203177 (Nat. Arb. Forum Dec. 6, 2003) (“Respondent registered and used the domain name in bad faith, pursuant to Policy 4(b)(iii), because it is operating on behalf of a competitor of Complainant.”); see also Disney Enters., Inc. v. Noel, FA 198805 (Nat. Arb. Forum Nov. 11, 2003) (“Respondent registered a domain name confusingly similar to Complainant's mark to divert Internet users to a competitor's website. It is a reasonable inference that Respondent's purpose of registration and use was to either disrupt or create confusion for Complainant's business in bad faith pursuant to Policy ¶¶ 4(b)(iii) & (iv).”).

Paragraph 4(b)(iv) of the Policy is violated if a domain name registrant has intentionally attempted to attract Internet users to its website for commercial gain by creating a likelihood of confusion with a complainant’s mark.  Having registered a domain name that is confusingly similar to Complainant’s mark, and having provided nearly identical services at the resolved website as those offered by Complainant under its mark, it is apparent that Respondent has intentionally attempted to attract Internet users to its website by creating a likelihood of confusion with Complainant’s CENTURY 21 mark, presumably for commercial gain.  Therefore, Respondent is in violation of paragraph 4(b)(iv) of the Policy.  See Perot Sys. Corp. v. Perot.net, FA 95312 (Nat. Arb. Forum Aug. 29, 2000) (finding bad faith where the domain name in question is obviously connected with Complainant’s well-known marks, thus creating a likelihood of confusion strictly for commercial gain); see also Am. Online, Inc. v. Fu, D2000-1374 (WIPO Dec. 11, 2000) (finding that Respondent intentionally attempted to attract Internet users to his website for commercial gain by creating a likelihood of confusion with Complainant’s mark and offering the same services as Complainant via his website); see also Scholastic Inc. v. Applied Software Solutions, Inc., D2000-1629 (WIPO Mar. 15, 2001) (finding bad faith under Policy ¶ 4(b)(iv) where Respondent initially used the domain name at issue to resolve to a website offering similar services as Complainant into the same market); see also Computerized Sec. Sys., Inc. v. Hu, FA 157321 (Nat. Arb. Forum June 23, 2003) (finding that Respondent’s use of the <saflock.com> domain name to offer goods competing with Complainant’s illustrates Respondent’s bad faith registration and use of the domain name pursuant to Policy ¶ 4(b)(iv)); see also TM Acquisition Corp. v. Carroll, FA 97035 (Nat. Arb. Forum May 14, 2001) (finding bad faith where Respondent used the domain name, for commercial gain, to intentionally attract users to a direct competitor of Complainant).

Complainant has established Policy ¶ 4(a)(iii).

DECISION

Having established all three elements required under the ICANN Policy, the Panel concludes that relief shall be GRANTED.

Accordingly, it is Ordered that the <centurytwentyonerealestate.com> domain name be TRANSFERRED from Respondent to Complainant.

Judge Harold Kalina (Ret.), Panelist

Dated:  October 6, 2004


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