National Arbitration Forum

 

DECISION

 

Glenn Hugh, Inc. v. The Sporn Company, Inc.

Claim Number: FA0507000515478

 

PARTIES

Complainant is Glenn Hugh, Inc. (“Complainant”), represented by Jonathan B. Summers, 125 Wolf Road, Suite 302, Albany, NY 12205.  Respondent is The Sporn Company, Inc. (“Respondent”), represented by Karen A. Rhoades, of Siegal Law Offices, LLC, 16 Corporate Woods Blvd., Albany, NY 12211.

 

REGISTRAR AND DISPUTED DOMAIN NAMES 

The domain names at issue are <glennpeter.com> and <glennpeterjewelers.com>, registered with Domainbank.com.

 

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.

 

David E. Sorkin as Panelist.

 

PROCEDURAL HISTORY

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

 

On July 15, 2005, Domainbank.com confirmed by e-mail to the National Arbitration Forum that the domain names <glennpeter.com> and <glennpeterjewelers.com> are registered with Domainbank.com and that the Respondent is the current registrant of the name.  Domainbank.com has verified that Respondent is bound by the Domainbank.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 July 21, 2005, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of August 10, 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@glennpeter.com and postmaster@glennpeterjewelers.com by e-mail.

 

A timely Response was received and determined to be complete on August 8, 2005.

 

On August 17, 2005, pursuant to Complainant’s request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed David E. Sorkin as Panelist.

 

RELIEF SOUGHT

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

 

PARTIES’ CONTENTIONS

A. Complainant

Complainant operates retail jewelry stores in upstate New York under the name Glennpeter Jewelers.  Complainant registered the service marks GLENNPETER and GLENNPETER JEWELERS in New York State in December 2004; these marks have been used by Complainant and its predecessors since 1977.

 

Respondent’s principal is a former employee and business partner of Complainant who now operates competing jewelry stores under a different name.  In May 1999 the parties entered into a corporate separation agreement under which, in relevant part, Complainant retained all rights to the Glennpeter name and service marks.

 

Respondent is the registered owner of the disputed domain names <glennpeter.com> and <glennpeterjewelers.com>, the latter of which was registered in January 2003.  Complainant alleges that Respondent has refused Complainant’s request that it voluntarily surrender the domain names pursuant to the parties’ 1999 agreement.  Complainant further alleges that Respondent’s purpose in retaining the domain names is to frustrate Complainant’s marketing efforts, disrupt its business, and create consumer confusion.

 

B. Respondent

Respondent’s principal owned and operated retail stores under the name Glennpeter Jewelers from 1986 to 1999, and it presently operates stores that were formerly known by that name.  Respondent states that its present stores continue to honor warranties on jewelry that was sold when the stores operated as Glennpeter.  Respondent alleges that for these reasons it has a legitimate interest in the disputed domain names.

 

Respondent claims that the disputed domain names had not yet been registered in 1999, when the parties’ agreement was entered into, and that Respondent later registered the domain names in order to reference the former name of his business.

 

FINDINGS

The Panel finds that the disputed domain names are identical to service marks in which the Complainant has rights, Respondent lacks rights or legitimate interests in the disputed domain names, and Respondent registered and is using the disputed domain names in bad faith.

 

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.

 

Identical and/or Confusingly Similar

Complainant has rights to the service marks GLENNPETER and GLENNPETER JEWELERS, and the disputed domain names are identical to these marks.  The first element is satisfied.

 

Rights or Legitimate Interests

To prevail on the second element, Complainant must prove that Respondent lacks rights or legitimate interests in the disputed domain names.  Complainant is the present owner of the GLENNPETER and GLENNPETER JEWELERS service marks.  While Respondent previously operated businesses under the Glennpeter name, it has no present rights in the name.  The fact that Respondent’s stores still honor warranties on goods that were sold when the stores operated under the name now owned by Complainant does not give Respondent a right to do business under that name.  Furthermore, in the Panel’s view, this does not rise to the level of a legitimate trademark dispute that would preclude resolution under the Policy.  The Panel finds that Complainant has sustained its burden of proving that Respondent lacks rights or legitimate interests in the disputed domain names.

 

Registration and Use in Bad Faith

The disputed domain name <glennpeterjewelers.com> was registered by Respondent in January 2003.  However, the other disputed domain name, <glennpeter.com>, has been registered since 1995, according to public whois records.  The Complaint fails to identify the date on which this domain name was acquired by Respondent; the Response states that Respondent registered both disputed domain names in January 2003.  According to the Panel’s independent research, the domain name <glennpeter.com> apparently was registered under the name of the parties’ combined corporation prior to 1999, and at some time between then and 2002 the registration was transferred into Respondent’s name.  For purposes of this proceeding, it is sufficient to note that both of the disputed domain names were registered or acquired by Respondent between 1999 and 2003.

 

Complainant alleges that Respondent registered the disputed domain names in order to frustrate Complainant’s marketing efforts, disrupt its business, and create consumer confusion.  Respondent claims that it registered the names because they correspond to the name under which Respondent’s retail stores formerly operated, but this claim is belied by the fact that Respondent seems to have made no active use of either disputed domain name.  The Panel finds that the disputed domain names were registered by Respondent primarily for the purpose of disrupting Complainant’s competing business.  Under paragraph 4(b)(iii) of the Policy, this circumstance serves as evidence of bad faith registration and use of the domain names.  On this basis the Panel finds that Respondent registered and is using the disputed domain names in bad faith.

 

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 <glennpeter.com> and <glennpeterjewelers.com> domain name be TRANSFERRED from Respondent to Complainant.

 

 

 

David E. Sorkin, Panelist
Dated:  August 29, 2005

 

 

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