National Arbitration Forum

 

DECISION

 

Postmark DMS, LLC v. Print Source One a/k/a Seminar Direct

Claim Number: FA0501000404558

 

PARTIES

Complainant is Postmark DMS, LLC (“Complainant”), represented by John C. Cain, 20333 SH 249, Suite 600, Houston, TX 77070.  Respondent is Print Source One a/k/a Seminar Direct (“Respondent”), represented by Douglas J. Dickson, 315 East Watkins Street, Phoenix, AZ 85004.

 

REGISTRAR AND DISPUTED DOMAIN NAME 

The domain name at issue is <postmarkdirect.com>, registered with Domaindiscover.

 

PANEL

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

 

Richard B. Wickersham, Judge (Ret.), as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on January 14, 2005; the National Arbitration Forum received a hard copy of the Complaint on January 18, 2005.

 

On January 19, 2005, Domaindiscover confirmed by e-mail to the National Arbitration Forum that the domain name <postmarkdirect.com> is registered with Domaindiscover and that the Respondent is the current registrant of the name.  Domaindiscover has verified that Respondent is bound by the Domaindiscover 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 January 24, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of February 14, 2005 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@postmarkdirect.com by e-mail.

 

A timely Response was received and determined to be complete on February 14, 2005.

 

Additional Submissions were timely received from both Complainant and Respondent and were carefully considered by the Panel.

 

On February 25, 2005, pursuant to Complainant’s request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Honorable Richard B. Wickersham, Judge (Ret.), as Panelist.

 

RELIEF SOUGHT

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

 

PARTIES’ CONTENTIONS

A. Complainant

Complainant in this administrative proceeding is Postmark DMS, LLC, a limited liability corporation organized and existing under the laws of the State of Texas, with a business address of 1507 Ricefield Drive, Suite 200, Houston, Texas 77084-6026.

 

According to DomainDiscover Information dated December 17, 2004, the <postmarkdirect.com> domain name was registered on June 5, 2004 by Print Source One a/k/a Seminar Direct, 2424 S. Central Ave., Phoenix, Arizona 85004.

 

Complainant, Postmark DMS, LLC (“Postmark”), is an industry leader in providing direct marketing materials and services to its clients.  Since 1990, Postmark has provided superior technology, products, tools and expert services to its individual and company clients.  Through its innovative and original materials and services, Postmark helps its clients be productive and efficient and enables them to differentiate themselves from their competitors.

 

Postmark’s investment in its various intellectual property rights, including its unique business methods and practices, its copyrighted artwork and text, and its trademarks, trade dress and trade secrets, has grown significantly during the last decade.  Thus protecting its intellectual property rights while respecting the intellectual property rights of others is very important to Postmark.

 

In its corporate name, the “DMS” stand for “Direct Marketing Services.”  Over the years, Postmark has routinely been known by its customers and the industry as “Postmark,” “Postmark Direct” and “Postmark Direct Marketing” since well before Respondent filed to register the disputed domain name, <postmarkdirect.com>.

 

Postmark has spent many thousands of dollars advertising and promoting its direct marketing services.  As a result of such efforts, and as a result of the long use by Postmark of the POSTMARK DIRECT MARKETING name and mark, the name and mark is recognized as a designation that identifies and distinguishes the quality direct marketing services offered by Postmark.  Moreover, Postmark has developed enormous goodwill in the POSTMARK DIRECT MARKETING name and mark for its direct marketing products and services.

 

Moreover, Complainant Postmark is the owner of the <postmarkdms.com> registered domain name, wherein Postmark advertises its direct marketing services under the POSTMARK and POSTMARK DIRECT MARKETING marks.

 

The disputed domain name, <postmarkdirect.com>, is phonetically identical and confusingly similar to Postmark’s POSTMARK DIRECT MARKETING mark and name.  See ICANN Policy ¶ 4(a)(i).  Indeed, the domain name represents the exact first two words in Postmark’s full name and mark, POSTMARK DIRECT MARKETING.

 

Respondent has no rights or legitimate interests in the <postmarkdirect.com> domain name.

 

Respondent’s website at the <postmarkdirect.com> domain name immediately directs Internet users to its <seminardirect.com> website where Respondent’s services, which compete directly with Postmark’s services, are offered.

 

Respondent registered and uses the <postmarkdirect.com> domain name primarily for the purpose of redirecting customers seeking Postmark’s website to its own website, which offers directly competing services.  Thus, Respondent is trading on Postmark’s goodwill and creating a likelihood of confusion as to source, sponsorship, affiliation, or endorsement between Respondent’s website and Complainant’s POSTMARK DIRECT MARKETING name and mark.

 

The disputed domain name is an example of typosquatting, the appropriation of a trademark holder’s mark with a typographical variation, done in order to attract Internet users attempting to reach the trademark holder’s website.  In light of Respondent’s use of the domain name, it can be inferred that Respondent had actual knowledge of Complainant’s rights in the POSTMARK DIRECT name and mark when it registered the disputed domain name.

 

 

B. Respondent

Print Source One, was founded on January 1, 1990 and has grown to be one of the top printing companies in the Phoenix Metropolitan area, as surveyed by Arizona Business Magazine’s 2004 Ranking Arizona Survey.

 

Print Source One markets itself under its own name and various other trade names for product and industry specific differentiation and has acquired ownership of a substantial number of domain names for this purpose.  Respondent attached a listing of 64 unique domain names acquired by Print Source One, including the <seminardirect.com> and <postmarkpro.com> domain names. 

 

Print Source One is a market leader in providing seminar marketing and promotional printing, graphic design, mailing services and direct mail products under the registered trade name of Seminar Direct to a large number of clients across the United States.

 

Print Source One subcontracts all mailing operations to Postmark Pro, LLC, an Arizona Limited Liability Corporation.  Both Print Source One, Inc. and Postmark Pro, LLC, share the same facilities, physical address, personnel, corporate officers and majority ownership.

 

The combined services of Postmark Pro, LLC and Seminar Direct are marketed under the trade name of “Postmark-Direct.”  This trade name is a contraction of the two names Postmark Pro, LLC and Seminar Direct.  This trade name was created and first marketed to the public on January 1, 2001 to synergistically utilize the great reputation of both firms and recognize the interdependence of both companies to their customers.  The <postmarkdirect.com> domain name was reserved in good faith to facilitate such ongoing marketing and promotion.

 

Since June 2004, Respondent has been using the <postmarkdirect.com> domain name in connection with its graphic design, printing services and direct-mail marketing.  This is a bona fide offering of goods and services under Policy ¶ 4(c)(i).

 

Respondent has effectively made use of the domain name continuously as a website address.  Its utilization, which is unrefuted, had been made for the aforementioned purpose prior to any notification of a dispute concerning the domain name. There is no question of its legitimate right or interest in the domain name.  See, e.g., Shirmax v. CES Mktg. Group Inc., AF-0104 (eResolution Mar. 20, 2000).

 

Respondent asserts that the domain name was registered and is being used in good faith. Respondent has a legitimate interest in the domain name because Respondent selected the name in good faith for its website and has been offering services under the domain name prior to the initiation of the dispute.  See DJF Assoc., Inc. v. AIB Communications, FA 95612 (Nat. Arb. Forum Nov. 1, 2000).

 

Print Source One has made a large investment in its various intellectual property rights, including its unique business methods and practices, its copyrighted artwork and text, and its trademarks, trade dress and trade secrets, that has grown significantly during the last decade.  Protecting its intellectual property rights, while respecting the intellectual property rights of others, is very important to Print Source One.

 

Complainant has legally organized itself under the legal name of Postmark DMS, LLC and has presented no evidence of its registration or use of the POSTMARK DIRECT trademark.  The words “Postmark” and “Direct” are of general application in the field of commercial direct mail and Complainant has presented no evidence that those words, apart from any others, have been utilized by Complainant as a trademark.

 

Respondent asserts that the term “postmark,” which is common to both the registered name Postmark DMS and the Postmark Direct domain name, is generic and cannot acquire secondary meaning as a trademark.

 

Respondent rebuts Complainant’s asserted rights in the terms POSTMARK, POSTMARK DIRECT, POSTMARK DIRECT MARKETING and POSTMARK DIRECT MARKETING SERVICES.  Respondent contends that Complainant holds no legitimate trademark registration for any of these combinations of words.

 

 

C. Additional Submissions

Received timely from both parties and fully considered.

 

 

DISCUSSION

Paragraph 15(a) of the Rules for Uniform Domain Name Dispute Resolution Policy (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.”

 

Paragraph 4(a) of the Policy requires that the 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 the Respondent is identical or confusingly similar to a trademark or service mark in which the Complainant has rights;

(2)    the 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.

 

 

FINDINGS

 

Identical and/or Confusingly Similar Policy ¶ 4(a)(i).

 

Complainant asserts that is has established rights in the POSTMARK DIRECT MARKETING mark, despite the fact that the mark is not registered with any trademark authority.  See SeekAmerica Networks Inc. v. Masood, D2000-0131 (WIPO Apr. 13, 2000) (finding that the Rules do not require that Complainant's trademark or service mark be registered by a government authority or agency for such rights to exist); see also British Broad. Corp. v. Renteria, D2000-0050 (WIPO Mar. 23, 2000) (noting that the Policy “does not distinguish between registered and unregistered trademarks and service marks in the context of abusive registration of domain names” and applying the Policy to “unregistered trademarks and service marks”).

 

The Panel finds that Complainant’s POSTMARK DIRECT MARKETING mark has gained secondary meaning through Complainant’s continuous use of the mark since 1990.  Complainant contends that it “has spent many thousands of dollars advertising and promoting its direct marketing services” and “[a]s a result of such efforts, and as a result of the long use by Postmark of the POSTMARK DIRECT MARKETING name and mark, the name and mark is recognized as a designation that identifies and distinguishes the quality direct marketing services offered by Postmark.”  Thus, the Panel finds that Complainant has established common law rights in the POSTMARK DIRECT MARKETING mark.  See Tuxedos By Rose v. Nunez, FA 95248 (Nat. Arb. Forum Aug. 17, 2000) (finding common law rights in a mark where its use was continuous and ongoing, and secondary meaning was established); see also Passion Group Inc. v. Usearch, Inc., AF-0250 (eResolution Aug. 10, 2000) (finding that Complainant established sufficient rights by virtue of its distribution and advertising to enable it, at common law, to prevent another magazine by the same name from being passed off as that of Complainant. Thus Complainant established that it ‘has rights’ under the ICANN Policy).

 

Furthermore, Complainant asserts that Respondent’s <postmarkdirect.com> domain name is confusingly similar to Complainant’s POSTMARK DIRECT MARKETING mark because Respondent’s domain name merely deletes the term “marketing” from Complainant’s mark.  The Panel finds that such omission is insignificant and is not enough to overcome a finding of confusing similarity between Respondent’s domain name and Complainant’s mark pursuant to Policy ¶ 4(a)(i).  See Hammond Suddards Edge v. Westwood Guardian Ltd., D2000-1235 (WIPO Nov. 6, 2000) (finding that the domain name, “hammondsuddards.net,” is essentially identical to Complainant's mark, Hammond Suddards Edge, where the name “Hammond Suddards” identifies Complainant independently of the word “Edge”); see also Wellness Int’l Network, LTD v. Apostolics.com, FA 96189 (Nat. Arb. Forum Jan. 16, 2001) (finding that the domain name <wellness-international.com> is confusingly similar to Complainant’s “Wellness International Network”).

 

Moreover, the Panel finds that Respondent’s addition of the generic top-level domain “.com” and omission of the spaces between the terms in Complainant’s mark are insufficient to defeat a finding of confusing similarity under Policy ¶ 4(a)(i).  See Gardline Surveys Ltd. v. Domain Fin. Ltd., FA 153545 (Nat. Arb. Forum May 27, 2003) (“The addition of a top-level domain is irrelevant when establishing whether or not a mark is identical or confusingly similar, because top-level domains are a required element of every domain name.”); see also 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 Hannover Ruckversicherungs-AG v. Ryu, FA 102724 (Nat. Arb. Forum Jan. 7, 2001) (finding <hannoverre.com> to be identical to HANNOVER RE, “as spaces are impermissible in domain names and a generic top-level domain such as ‘.com’ or ‘.net’ is required in domain names”). 

 

 

Rights or Legitimate Interests  Policy ¶ 4(a)(ii).

 

Complainant contends that Respondent is using the <postmarkdirect.com> domain name to redirect Internet users to its website located at the <seminardirect.com> domain name, where competing printing and marketing services are offered.  The Panel finds that such use is not a use in connection with a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i) or a legitimate noncommercial or fair use pursuant to Policy ¶ 4(c)(iii).  See DLJ Long Term Inv. Corp. v. BargainDomainNames.com, FA 104580 (Nat. Arb. Forum Apr. 9, 2002) (“Respondent is not using the disputed domain name in connection with a bona fide offering of goods and services because Respondent is using the domain name to divert Internet users to <visual.com>, where services that compete with Complainant are advertised.”); see also Avery Dennison Corp. v. Steele, FA 133626 (Nat. Arb. Forum Jan 10, 2003) (finding that Respondent had no rights or legitimate interests in the disputed domain name where it used Complainant’s mark, without authorization, to attract Internet users to its business, which competed with Complainant).

 

Furthermore, the Panel finds that nothing in the record indicates that Respondent is either commonly known by the <postmarkdirect.com> domain name or is authorized to register domain names featuring Complainant’s POSTMARK DIRECT MARKETING mark.  Thus, the Panel concludes that Respondent lacks rights and legitimate interests in the domain name pursuant to Policy ¶ 4(c)(ii).  See Compagnie de Saint Gobain v. Com-Union Corp., D2000-0020 (WIPO Mar. 14, 2000) (finding no rights or legitimate interests where Respondent was not commonly known by the mark and never applied for a license or permission from Complainant to use the trademarked name); see also Gallup Inc. v. Amish Country Store, FA 96209 (Nat. Arb. Forum Jan. 23, 2001) (finding that Respondent does not have rights in a domain name when Respondent is not known by the mark).

 

Registration and Use in Bad Faith  Policy ¶ 4(a)(iii).

 

Complainant argues that Respondent is using the <postmarkdirect.com> domain name, which contains a confusingly similar version of Complainant’s POSTMARK DIRECT MARKETING mark, to operate a website featuring competing printing and marketing services.  The Panel finds that such use constitutes bad faith registration and use pursuant to Policy ¶ 4(b)(iii).  See Lubbock Radio Paging v. Venture Tele-Messaging, FA 96102 (Nat. Arb. Forum Dec. 23, 2000) (concluding that domain names were registered and used in bad faith where Respondent and Complainant were in the same line of business in the same market area); see also EthnicGrocer.com, Inc. v. Unlimited Latin Flavors, Inc., FA 94385 (Nat. Arb. Forum July 7, 2000) (finding that the minor degree of variation from Complainant's marks suggests that Respondent, Complainant’s competitor, registered the names primarily for the purpose of disrupting Complainant's business).

 

Furthermore, the Panel finds that Internet users accessing Respondent’s domain name, which contains a confusingly similar variation of Complainant’s mark, may become confused as to Complainant’s affiliation with the resulting website.  Thus, the Panel  concludes that Respondent’s opportunistic use of the domain name constitutes bad faith registration and use pursuant to Policy ¶ 4(b)(iv).  See State Fair of Texas v. Granbury.com, FA 95288 (Nat. Arb. Forum Sept. 12, 2000) (finding bad faith where Respondent registered the domain name <bigtex.net> to infringe on Complainant’s goodwill and attract Internet users to Respondent’s website); see also Identigene, Inc. v. Genetest Lab., D2000-1100 (WIPO Nov. 30, 2000) (finding bad faith where Respondent's use of the domain name at issue to resolve to a website where similar services are offered to Internet users is likely to confuse the user into believing that Complainant is the source of or is sponsoring the services offered at the site).

 

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 <postmarkdirect.com> domain name be TRANSFERRED from Respondent to Complainant.

 

 

 

 

___________________________________________________

 

Honorable Richard B. Wickersham, Judge (Ret.), Panelist
Dated: March 11, 2005