national arbitration forum

 

DECISION

 

Target Brands, Inc. v. N/A c/o Anthony Hardy

Claim Number:  FA0506000505367

 

PARTIES

Complainant is Target Brands, Inc. (“Complainant”), represented by Jodi A. DeSchane of Faegre & Benson LLP, 2200 Wells Fargo Center, 90 South Seventh St., Minneapolis, MN 55402.  Respondent is N/A c/o Anthony Hardy (“Respondent”), 1627 11th Place N.E., Washington, DC 20002.

 

REGISTRAR AND DISPUTED DOMAIN NAME

The domain name at issue is <targetoutlet.net>, registered with Tucows 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 electronically on June 24, 2005; the National Arbitration Forum received a hard copy of the Complaint on June 24, 2005.

 

On June 24, 2005, Tucows Inc. confirmed by e-mail to the National Arbitration Forum that the domain name <targetoutlet.net> is registered with Tucows Inc. and that Respondent is the current registrant of the name.  Tucows Inc. has verified that Respondent is bound by the Tucows 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 June 27, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of July 18, 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@targetoutlet.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 July 24, 2005, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Judge Harold Kalina (Ret.) 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 <targetoutlet.net> domain name is confusingly similar to Complainant’s TARGET mark.

 

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

 

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

 

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

 

FINDINGS

Complainant, Target Brands, Inc., licenses its TARGET mark to Target Corporation, of which Target Stores is a division.  Target Corporation has used the TARGET mark since 1962 to operate a chain of retail discount department stores.  There are more than 1,300 TARGET stores throughout 47 states.

 

Complainant holds numerous registrations with the United States Patent and Trademark Office (“USPTO”) for the TARGET mark (Reg. No. 2,793,901 issued December 16, 2003) individually and with a Bullseye Design (Reg. No. 2,755,538 issued August 26, 2003).  In addition, Complainant holds trademark registrations and pending applications in many countries worldwide.

 

Complainant operates a website at the <target.com> domain name, which offers information and online shopping.  Forbes Magazine has recognized the success of Complainant’s online retail business.

 

Respondent registered the <targetoutlet.net> domain name on December 28, 2004.  Respondent has used the domain name to redirect Internet users to a website that features links to Complainant’s website and to a website at the <googlemall.com> domain name, which displays links to more than 500 stores and businesses, several of which are in competition with Complainant.  Following a March 1, 2005 cease and desist letter from Complainant, Respondent began displaying content from Complainant’s website.  Complainant again sent a letter to Respondent on April 14, 2005, after which, Respondent again changed the content of the website at the disputed domain name to that of a generic search engine.  Then, after a May 26, 2005 letter from Complainant, Respondent redirected the domain name to Complainant’s website and indicated to Complainant an interest in becoming one of Complainant’s affiliates.  Complainant sent Respondent a letter on June 1, 2005, indicating that Respondent’s website did not qualify for participation in Complainant’s affiliate program and offering to pay Respondent’s out-of-pocket costs of registration for the transfer of the domain name to Complainant.  Respondent subsequently took down the website and refused to transfer the domain name registration to Complainant. 

 

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.  The Panel is entitled to accept all reasonable allegations and inferences set forth in the Complaint as true unless the evidence is clearly contradictory.  See Vertical Solutions Mgmt., Inc. v. webnet-marketing, inc., FA 95095 (Nat. Arb. Forum July 31, 2000) (holding that the respondent’s failure to respond allows all reasonable inferences of fact in the allegations of the complaint to be deemed true); see also Talk City, Inc. v. Robertson, D2000-0009 (WIPO Feb. 29, 2000) (“In the absence of a response, it is appropriate to accept as true all allegations of the Complaint.”).

 

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

 

Complainant has provided evidence of its registrations of the TARGET mark with the USPTO which constitutes a prima facie case of Complainant’s rights in the mark.  Respondent is entitled to provide evidence to rebut this presumption of rights in Complainant’s favor.  See Janus Int’l Holding Co. v. Rademacher, D2002-0201 (WIPO Mar. 5, 2002) (“Panel decisions have held that 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 Men’s Wearhouse, Inc. v. Wick, FA 117861 (Nat. Arb. Forum Sept. 16, 2002) (“Under U.S. trademark law, registered marks hold a presumption that they are inherently distinctive [or] have acquired secondary meaning.”).  Respondent’s failure to submit a response in this matter leaves the Panel with no evidence to contest Complainant’s prima facie case of rights.  The Panel, therefore, concludes that Complainant has established rights in the mark for the purposes of fulfilling Policy ¶ 4(a)(i).

 

It has been widely held under the Policy that the addition of a generic or descriptive term to a complainant’s registered mark will not form a domain name that is distinct from the complainant’s mark.  See Space Imaging LLC v. Brownell, AF-0298 (eResolution Sept. 22, 2000) (finding confusing similarity where the respondent’s domain name combines the complainant’s mark with a generic term that has an obvious relationship to the complainant’s business); see also Arthur Guinness Son & Co. (Dublin) Ltd. v. Healy/BOSTH, D2001-0026 (WIPO Mar. 23, 2001) (finding confusing similarity where the domain name in dispute contains the identical mark of the complainant combined with a generic word or term).  Thus, the addition of the generic or descriptive term “outlet” to Complainant’s TARGET mark to form the <targetoutlet.net> domain name does not negate the confusing similarity between the domain name and Complainant’s mark.  Furthermore, the addition of the generic top-level domain (“gTLD”) “.net” is irrelevant to a determination of similarity under Policy ¶ 4(a)(i).  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 Isleworth Land Co. v. Lost in Space, SA, FA 117330 (Nat. Arb. Forum Sept. 27, 2002) (finding it is a “well established principle that generic top-level domains are irrelevant when conducting a Policy ¶ 4(a)(i) analysis”).  Therefore, the Panel finds that the disputed domain name is confusingly similar to Complainant’s TARGET mark pursuant to Policy ¶ 4(a)(i).

 

The Panel finds that Complainant has established Policy ¶ 4(a)(i).

 

Rights or Legitimate Interests

 

Under the Policy, the complainant has the initial burden of asserting that the respondent lacks rights and legitimate interests in the disputed domain name.  The panel in Compagnie Generale des Matieres Nucleaires v. Greenpeace Int’l, D2001-0376 (WIPO May 14, 2001), held:

 

Proving that the Respondent has no rights or legitimate interests in respect of the Domain Name requires the Complainant to prove a negative. For the purposes of this sub paragraph, however, it is sufficient for the Complainant to show a prima facie case and the burden of proof is then shifted on to the shoulders of Respondent.  In those circumstances, the common approach is for respondents to seek to bring themselves within one of the examples of paragraph 4(c) or put forward some other reason why they can fairly be said to have a relevant right or legitimate interests in respect of the domain name in question.

 

Id.; see also Woolworths plc. v. Anderson, D2000-1113 (WIPO Oct. 10, 2000) (finding that absent evidence of preparation to use the domain name for a legitimate purpose, the burden of proof lies with the respondent to demonstrate that it has rights or legitimate interests); see also Clerical Med. Inv. Group Ltd. v. Clericalmedical.com, D2000-1228 (WIPO Nov. 28, 2000) (finding that under certain circumstances the mere assertion by the complainant that the respondent has no right or legitimate interest is sufficient to shift the burden of proof to the respondent to demonstrate that such a right or legitimate interest does exist).  The Panel finds that Complainant has met its initial burden and established a prima facie case, and the Panel will now analyze whether Respondent has met its burden to establish rights or legitimate interests in the disputed domain name under Policy ¶ 4(c).

 

Complainant contends that Respondent is not commonly known by the <targetoutlet.net> domain name and that Respondent has never been a licensee of Complainant or any of Complainant’s predecessors in interest.  The WHOIS information for the disputed domain name identifies Respondent as “Hardy, Anthony” and does not appear to indicate any affiliation between Respondent and the disputed domain name other that Respondent’s registration.  Since the Panel has not received a response from Respondent to rebut Complainant’s evidence, the Panel finds that Respondent has failed to establish rights or legitimate interests in the domain name under Policy ¶ 4(c)(ii).  See Tercent Inc. v. Lee Yi, FA 139720 (Nat. Arb. Forum Feb. 10, 2003) (stating “nothing in Respondent’s WHOIS information implies that Respondent is ‘commonly known by’ the disputed domain name” as one factor in determining that Policy ¶ 4(c)(ii) does not apply); see also Am. Online, Inc. v. World Photo Video & Imaging Corp., FA 109031 (Nat. Arb. Forum May 13, 2002) (finding that the respondent was not commonly known by <aolcamera.com> or <aolcameras.com> because the respondent was doing business as “Sunset Camera” and “World Photo Video & Imaging Corp.”); see also Am. Online, Inc. v. AOL Int'l, D2000-0654 (WIPO Aug. 21, 2000) (finding no rights or legitimate interests where the respondent fails to respond).

 

Respondent has used the <targetoutlet.net> domain name to divert Internet users to a website displaying links to Complainant’s website and to a website at the <googlemall.com> domain name, which includes links to over 500 stores and businesses, many of which are in competition with Complainant.  Presumably, Respondent is earning referral fees for diverting Internet users to websites via links on Respondent’s website.  The Panel finds that Respondent’s use of a domain name that is confusingly similar to Complainant’s TARGET mark to attract Internet users to Respondent’s commercial website is not a use in connection with a bona fide offering of goods or services under Policy ¶ 4(c)(i) or a legitimate noncommercial or fair use pursuant to Policy ¶ 4(c)(iii).  See Black & Decker Corp. v. Clinical Evaluations, FA 112629 (Nat. Arb. Forum June 24, 2002) (holding that the respondent’s use of the disputed domain name to redirect Internet users to commercial websites, unrelated to the complainant and presumably with the purpose of earning a commission or pay-per-click referral fee did not evidence rights or legitimate interests in the domain name); see also Nike, Inc. v. Dias, FA 135016 (Nat. Arb. Forum Jan. 7, 2002) (finding no bona fide offering of goods or services where the respondent used the complainant’s mark without authorization to attract Internet users to its website, which offered both the complainant’s products and those of the complainant’s competitors); see also Nat’l Collegiate Athletic Ass’n v. Halpern, D2000-0700 (WIPO Dec. 10, 2000) (finding that domain names used to sell the complainant’s goods without the complainant’s authority, as well as others’ goods, is not bona fide use).  In addition, in failing to submit a response to Complainant’s allegations, Respondent has neglected to provide any evidence that would challenge Complainant’s prima facie case.  Thus, the Panel finds that Respondent has not established rights or legitimate interests in the disputed domain name under Policy ¶ 4(c).  See BIC Deutschland GmbH & Co. KG v. Tweed, D2000-0418 (WIPO June 20, 2000) (“By not submitting a response, Respondent has failed to invoke any circumstance which could demonstrate, pursuant to ¶ 4(c) of the Policy, any rights or legitimate interests in the domain name”); see also Geocities v. Geociites.com, D2000-0326 (WIPO June 19, 2000) (finding that the respondent has no rights or legitimate interests in the domain name because the respondent never submitted a response or provided the panel with evidence to suggest otherwise).   

 

The Panel finds that Complainant has established Policy ¶ 4(a)(ii).

 

Registration and Use in Bad Faith

 

The <targetoutlet.net> domain name redirects Internet users to a website that features links to Complainant’s website as well as the websites of many of Complainant’s competitors.  The Panel infers that Respondent receives referral fees for diverting Internet users to these businesses via Respondent’s website at the disputed domain name.  Additionally, by using Complainant’s famous TARGET mark in the domain name, Respondent has created a likelihood of confusion and is attempting to attract Internet users to Respondent’s website for Respondent’s commercial gain.  The Panel finds that these circumstances constitute evidence of bad faith registration and use under Policy ¶ 4(b)(iv).  See H-D Michigan, Inc. v. Petersons Auto., FA 135608 (Nat. Arb. Forum Jan. 8, 2003) (finding that the disputed domain name was registered and used in bad faith pursuant to Policy ¶ 4(b)(iv) through the respondent’s registration and use of the infringing domain name to intentionally attempt to attract Internet users to its fraudulent website by using the complainant’s famous marks and likeness); see also Associated Newspapers Ltd. v. Domain Manager, FA 201976 (Nat. Arb. Forum Nov. 19, 2003) (“Respondent's prior use of the <mailonsunday.com> domain name is evidence of bad faith pursuant to Policy ¶ 4(b)(iv) because the domain name provided links to Complainant's competitors and Respondent presumably commercially benefited from the misleading domain name by receiving ‘click-through-fees.’”).

 

The Policy lists four circumstances under Policy ¶ 4(b), which constitute evidence of bad faith registration and use.  However, this list is not intended to be comprehensive, and the Panel has, therefore, chosen to consider additional factors which support its finding of bad faith registration and use.  See Twentieth Century Fox Film Corp. v. Risser, FA 93761 (Nat. Arb. Forum May 18, 2000) (finding that in determining if a domain name has been registered in bad faith, the Panel must look at the “totality of circumstances”); see also Do The Hustle, LLC v. Tropic Web, D2000-0624 (WIPO Aug. 21, 2000) (“[T]he examples [of bad faith] in Paragraph 4(b) are intended to be illustrative, rather than exclusive.”).

 

Respondent has used the <targetoutlet.net> domain name, which contains Complainant’s TARGET mark, to redirect Internet users to a website that links to Complainant’s website at the <target.com> domain name.  This suggests that Respondent had actual knowledge of Complainant’s rights in the mark when it registered the domain name and chose the disputed domain name based on the goodwill Complainant has acquired in its TARGET mark.  Furthermore, Complainant’s registration of the TARGET mark with the USPTO bestows upon Respondent constructive notice of Complainant’s rights in the mark.  Respondent’s registration of a domain name containing Complainant’s mark in spite of Respondent’s actual or constructive knowledge of Complainant’s rights in the mark is evidence of bad faith registration and use pursuant to Policy ¶ 4(a)(iii).  See Samsonite Corp. v. Colony Holding, FA 94313 (Nat. Arb. Forum Apr. 17, 2000) (finding that evidence of bad faith includes actual or constructive knowledge of a commonly known mark at the time of registration); see also Am. Online, Inc. v. Miles, FA 105890 (Nat. Arb. Forum May 31, 2002) (“Respondent is using the domain name at issue to resolve to a website at which Complainant’s trademarks and logos are prominently displayed.  Respondent has done this with full knowledge of Complainant’s business and trademarks. The Panel finds that this conduct is that which is prohibited by Paragraph 4(b)(iv) of the Policy.”); see also Pfizer, Inc. v. Suger, D2002-0187 (WIPO Apr. 24, 2002) (finding that because the link between the complainant’s mark and the content advertised on the respondent’s website was obvious, the respondent “must have known about the Complainant’s mark when it registered the subject domain name”); see also Orange Glo Int’l v. Blume, FA 118313 (Nat. Arb. Forum Oct. 4, 2002) (“Complainant’s OXICLEAN mark is listed on the Principal Register of the USPTO, a status that confers constructive notice on those seeking to register or use the mark or any confusingly similar variation thereof.”).

 

The Panel finds that 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 <targetoutlet.net> domain name be TRANSFERRED from Respondent to Complainant.

 

 

Judge Harold Kalina (Ret.), Panelist

Dated:  August 2, 2005

 

 

 

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