national arbitration forum

 

DECISION

 

YourTurf, Inc. v. Your Turf c/o Bill Gowan

Claim Number:  FA0504000462460

 

PARTIES

Complainant is YourTurf, Inc. (“Complainant”), P.O. Box 11597, Newport Beach, CA 92658.  Respondent is Your Turf c/o Bill Gowan (“Respondent”), 58 South Downy Circle Willow, The Woodlands, TX 77382.

 

REGISTRAR AND DISPUTED DOMAIN NAME

The domain name at issue is <yourturf.net>, registered with Register.com.

 

PANEL

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

 

Sandra Franklin as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on April 12, 2005; the National Arbitration Forum received a hard copy of the Complaint on April 15, 2005.

 

On April 12, 2005, Register.com confirmed by e-mail to the National Arbitration Forum that the domain name <yourturf.net> is registered with Register.com and that Respondent is the current registrant of the name.  Register.com has verified that Respondent is bound by the Register.com 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 April 21, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of May 11, 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@yourturf.net by e-mail.

 

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

 

On May 16, 2005, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Sandra Franklin as Panelist.

 

Having reviewed the communications records, the Administrative Panel (the "Panel") finds that the National Arbitration 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 National Arbitration 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 <yourturf.net> domain name is confusingly similar to Complainant’s YOURTURF, INC. mark.

 

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

 

3.      Respondent registered and used the <yourturf.net> domain name in bad faith.

 

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

 

FINDINGS

On August 1, 2004, Respondent registered the <yourturf.net> domain name on behalf of Complainant.  According to Complainant, the sole purpose of Respondent in registering the domain name was to secure the name for Complainant’s company, YourTurf, Inc.  Complainant reimbursed Respondent for the domain name registration, evidenced by a company invoice.  See Complainant Exhibit 3.  The domain name has always resolved to a website operated by YourTurf, Inc.

 

YourTurf, Inc. is a California corporation that sells and installs synthetic turf.  Complainant commenced company operations after its first organizational meeting that took place on August 4, 2004.  At that meeting, Respondent was elected Vice President of Marketing for YourTurf, Inc.  Respondent was subsequently removed from that position. 

 

Since Respondent was removed from office, Complainant has repeatedly requested that Respondent transfer the disputed domain name registration.  Respondent has repeatedly denied such requests.  Respondent remains a minority shareholder in Complainant’s company.

 

Complainant filed a registration application for the YOURTURF, INC. mark with the U.S. Patent and Trademark Office on March 29, 2005 in connection with “artificial turf” (Ser. No. 78,597,779).  Complainant represented to the USPTO in the trademark application that the YOURTURF, INC. mark has been used in commerce since August 15, 2004.

 

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.

 

Scope of the Policy

 

It has been said that the Policy “establishes a streamlined, inexpensive administrative dispute-resolution procedure intended only for the relatively narrow class of cases of ‘abusive registrations.’”  ICANN Second Staff Report on Implementation Documents for the Uniform Dispute Resolution Policy, October 24, 1999, www.icann.org/udrp/udrp-second-staff-report-24oct99.htm, at paragraph 4.1(c). 

 

Prior decisions under the Policy have held that certain issues exceed the scope of the Policy and are more properly resolved in courts of law.  Among these issues are contractual disputes, breaches of fiduciary duties, employer/employee disputes, and other business disputes.  See Discover New England v. Avanti Group, Inc. FA 123886 (Nat. Arb. Forum Nov. 6, 2002) (finding the dispute outside the scope of the UDRP because the dispute centered on the interpretation of contractual language and whether or not a breach occurred); see also Latent Tech. Group, Inc. v. Fritchie, FA 95285 (Nat. Arb. Forum Sept. 1, 2000) (dispute concerning employee’s registration of domain name in his own name and subsequent refusal to transfer it to employer raises issues of breach of contract and breach of fiduciary duty that are more appropriately decided in court, not before a UDRP Panel); see also Thread.com, LLC v. Poploff, D2000-1470 (WIPO Jan. 5, 2001) (refusing to transfer the domain name and stating that the ICANN Policy does not apply because attempting “to shoehorn what is essentially a business dispute between former partners into a proceeding to adjudicate cybersquatting is, at its core, misguided, if not a misuse of the Policy”).

 

The instant case implicates the agreement between Complainant and Respondent pertaining to the disputed domain name registration, as well as possible breaches of fiduciary duties of a former corporate officer and current minority shareholder, among other issues.  Panels have consistently found that the resolution of such issues are more properly resolved in courts of law than under the Policy.  As this Panel previously stated in Thump Records, Inc. v. WebPros, FA 446911 (Nat. Arb. Forum May 11, 2005):

 

Whatever the Panel’s thoughts on Respondent’s alleged violations of its agreement with Complainant, this Panel is moved to act not by sentiment, but by authority.  The limited scope of the Policy simply does not grant such authority to panels to resolve disputes that hinge on contractual provisions, breaches of fiduciary relationships, fraud, and the like.  

 

Likewise, another panelist once stated the following: “Complainant charges that Respondent engaged in misconduct that would possibly implicate such legal claims as misrepresentation, fraud, breach of contract, or even breach of a fiduciary duty.  Thus, this dispute is not covered by the Policy.” Drayton Nay v. Ice Inc., FA 400432 (Nat. Arb. Forum Mar. 16, 2005).

 

Therefore, the Panel finds that this dispute exceeds the scope of the Policy.

 

Identical and/or Confusingly Similar

 

Even if this dispute were not outside the scope of the Policy, however, Complainant fails on the elements of the Policy. 

 

Panels have held that Policy ¶ 4(a)(i) requires a complainant to establish rights in a trademark or service mark that predates the disputed domain name registration.  See Abt Elecs., Inc. v. Motherboards.com, FA 221239 (Nat. Arb. Forum Feb. 20, 2004) rejecting the Travant Solutions Inc. approach to Policy ¶ 4(a)(i) and agreeing with the "vast majority of decisions" that Complainant's rights must predate Respondent's registration of a domain name in order for Complainant to prevail; see also B&V Assoc., Inc. v. Internet Waterway, Inc., FA 147531 (Nat. Arb. Forum Apr. 15, 2003) (concluding that Policy ¶ 4(a)(i) “assumes that Complainant's rights must predate Respondent's domain name registration” because the Policy “was intended to protect against infringement of existing trademark rights”); see also Transpark LLC v. Network Admin., FA 135602 (Nat. Arb. Forum Jan. 21, 2003) (finding that Complainant could not establish rights in its relied upon mark pursuant to Policy ¶ 4(a)(i) because Respondent’s domain name registration predated Complainant’s trademark rights); see also Chum Ltd. v. Kashchum Café, AF-0984 (eResolution Oct. 26, 2001) (finding that Complainant lacked rights pursuant to Policy ¶ 4(a)(i) because Complainant's registration date for its trademark was more than two years after Respondent’s domain name registration); see also Planetfone, Inc. v. 1Soft Corp., FA 171259 (Nat. Arb. Forum Sept. 10, 2003) (“As Complainants have not shown that their rights pre-date Registrant's domain name, Complainants have not satisfied paragraph 4(a)(i) of the Policy”).

 

Complainant bases its trademark rights in the YOURTURF, INC. mark.  Complainant has filed a trademark registration application with the U.S. Patent and Trademark Office for the YOURTURF, INC. mark.  The trademark application states that the YOURTURF, INC. mark has been used in commerce since August 15, 2004.  Yet Respondent registered the disputed domain name on August 1, 2004.  Therefore, since Complainant’s alleged trademark rights did not commence prior to Respondent’s registration of the disputed domain name, the Panel may find that Complainant cannot establish Policy ¶ 4(a)(i) under the holdings of prior decisions under the Policy.

 

Rights and Legitimate Interests

 

Since the Panel has found that the current dispute exceeds the scope of the Policy, Complainant lacks priority rights under Policy ¶ 4(a)(i), and Respondent could not have registered the disputed domain name in bad faith under Policy ¶ 4(a)(iii), it is unnecessary for the Panel to analyze whether Respondent has rights or legitimate interests in the domain name under Policy ¶ 4(a)(ii).  See Creative Curb v. Edgetec Int'l Pty. Ltd., FA 116765 (Nat. Arb. Forum Sept. 20, 2002) (finding that, because Complainant must prove all three elements under the Policy, Complainant's failure to prove one of the elements makes further inquiry into the remaining elements unnecessary).

 

Bad Faith Registration and Use

 

To be a violation of Policy ¶ 4(a)(iii), a respondent must register and use a domain name in bad faith.  According to Complainant itself, at the time Respondent registered the disputed domain name, “Respondent was acting on behalf of the Company…[and] Respondent’s sole purpose in registering the domain name was to secure the name for the Company and to promote its business interests.”  Complaint at ¶ 5(a).  Since Complainant concedes Respondent registered the disputed domain name pursuant to an agreement between the parties, the Panel finds that Respondent did not register the domain name in bad faith.  See Thread.com, LLC v. Poploff, D2000-1470 (WIPO Jan. 5, 2001) (finding that Respondent did not register the disputed domain name in bad faith where it "registered the Domain Name with the full consent and knowledge of Complainant" and therefore "did not have the requisite bad faith when he registered the Domain Name, which is an express requirement of the Policy"); see also Eddy’s (Nottingham) Ltd v. Smith, D2000-0789 (WIPO Sept. 7, 2000) (finding no bad faith registration of the domain name where Respondent registered the domain name in good faith, without objection by Complainant, and in the interest of promoting Complainant’s business).

 

Moreover, as stated previously, Complainant’s alleged trademark rights post-date the disputed domain name registration.  Panels have found that “the trademark must predate the domain name” pursuant to Policy ¶ 4(a)(iii) for the domain name to have been registered and used in bad faith.  See Ode v. Intership Ltd., D2001-0074 (WIPO May 1, 2001); see also Interep Nat'l Radio Sales, Inc. v. Internet Domain Names, Inc., D2000-0174 (WIPO May 26, 2000) (finding no bad faith where Respondent registered the domain prior to Complainant’s use of the mark); see also Open Sys. Computing AS v. degli Alessandri, D2000-1393 (WIPO Dec. 11, 2000) (finding no bad faith where Respondent registered the domain name in question before application and commencement of use of the trademark by Complainant).

 

Therefore, the Panel finds that Complainant has failed to establish Policy ¶ 4(a)(iii).

 

DECISION

Finding that this dispute exceeds the scope of the Policy and that Complainant has failed to establish all three elements required under the ICANN Policy, the Panel concludes that relief shall be DENIED.

 

 

 

 

Sandra Franklin, Panelist

Dated:  May 30, 2005

 

 

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