Network Solutions Sued
Domain registrar Network Solutions and the domain organization ICANN are being sued over the “front running” practices that was publicized by the domaining world earlier in the year.
- Read about the front running practices here.
Front running is also known as domain tasting. This is the practice of securing a domain for approximately 5 days, analyzing the traffic of the domain, and then releasing it back into the public without paying a registration fee. Made possible by an ICANN policy that was supposed to be used for domains that are misspelled or when a credit card doesn’t fully process the payment (among some other reasons).
Chris McElroy has brought the class-action lawsuit after Network Solutions had turned it’s domain search feature into the ultimate domain tasting machine. Using its status as one of the largest, and oldest, registrar on the market it was capturing every query made on it’s system.
Thus effectively forcing the user to register the domain at the NetSol astronomical prices. Of course you could wait for the domain to be released in 5 days but lots of people started to monitor the registered/dropped lists from NetSol (someone wanted the domains right?).
So how much is Network Solutions facing in damages? We have yet to see any definitive numbers but the Kabateck, Brown, and Kellner LLP firm is on the case and they are known for getting some big payouts from companies like Google and Microsoft.
I have a feeling that this lawsuit will be successful at two things:
- Costing NetSol some big dollars which would force a drop in registration prices to increase revenue.
- ICANN is going to loose and decide that domain tasting should come to an immediate stop. Continuing the 5 day grace period will only keep a target on their back and their pocketbooks potentially open.
