National Arbitration Forum

 

DECISION

 

Seiko Epson Corporation and Epson America, Inc. v. AOS Web Com, Inc.

Claim Number: FA0610000823033

 

PARTIES

Complainants are Seiko Epson Corporation and Epson America, Inc. (collectively “Complainant”), represented by R. Parish Freeman, of Workman Nydegger, 1000 Eagle Gate Tower, 60 East South Temple, Salt Lake City, UT 84111.  Respondent is AOS Web Com (“Respondent”), 687 Prospect St. Ste. 455, Lakewood, NJ 08701.

 

 

REGISTRAR AND DISPUTED DOMAIN NAME 

The domain name at issue is <epsonusa.com>, registered with Stargate Holdings Corp.

 

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.

 

Alan L. Limbury as Panelist.

 

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum electronically on October 17, 2006; the National Arbitration Forum received a hard copy of the Complaint on October 18, 2006.

 

On October 18, 2006, Stargate Holdings Corp. confirmed by e-mail to the National Arbitration Forum that the <epsonusa.com> domain name is registered with Stargate Holdings Corp. and that the Respondent is the current registrant of the name.  Stargate Holdings Corp. has verified that Respondent is bound by the Stargate Holdings Corp. 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 October 19, 2006, a Notification of Complaint and Commencement of Administrative Proceeding (the “Commencement Notification”), setting a deadline of November 8, 2006 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@epsonusa.com by e-mail.

 

A timely Response was received and determined to be complete on November 8, 2006.

 

On November 17, 2006, pursuant to Complainant’s request to have the dispute decided by a single-member Panel, the National Arbitration Forum appointed Alan L. Limbury as Panelist.

 

An Additional Submission was submitted by Complainant on November 20, 2006 (more than 5 calendar days after the Response) and, being out of time under Supplemental Rule 7(a), was determined to be deficient.  Respondent submitted a Reply to Complainant’s Additional Submission on November 23, 2006. Since the Complainant’s submission was out of time, the Panel has considered neither of the additional submissions.

 

RELIEF SOUGHT

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

 

PARTIES’ CONTENTIONS

A. Complainant

Complainant contends that the disputed domain name is identical and/or confusingly similar to the trademark and service mark EPSON, of which the first Complainant (“Seiko Epson”) is the registrant in the USA and elsewhere and which it has licensed to its subsidiary, the second Complainant (“Epson America”). Complainant says it has used the mark for over 30 years and that it has not licensed the mark to Respondent nor otherwise permitted registration by Respondent of the disputed domain name.  Complainant contends that Respondent has no rights nor any legitimate interest in the disputed domain name and that it was registered and is being used in bad faith.

 

Complainant says that the disputed domain name leads to a single page website that has a link to Action Office Supplies, Inc., an office supply website which offers for sale products of companies who are direct competitors of Complainant or who are selling products not authorized by Complainant.

 

B. Respondent

Respondent does not contest Complainant’s rights in the mark EPSON nor that the disputed domain name is identical and/or confusingly similar to that mark. Respondent says Complainant has failed to establish both absence of legitimacy and bad faith registration and use. It says Complainant has a history of reverse domain name hijacking based on previous NAF pleadings.

 

Respondent says it registered the disputed domain name for its sister company, Action Office Supplies, Inc. It denies driving traffic to items that are not Epson products, saying “we are authorized resellers of Epson Products and our marketing plan was simply to use the name epsonusa.com to further our sales of Epson products to our corporate and government customers”. Action Office Supplies Inc. is a reseller of Epson Products and a preferred dealer with S. P. Richards Company, one of North America’s leading business product wholesalers, which has a direct contract relationship with Epson.  Action Office Supplies Inc. is also a member of the Trimega Purchasing Association, the largest independent dealer buying group in the USA. Because of these relationships Respondent carries most of the Epson line of products via its website at <cheapofficesupplies.com>.

 

The disputed domain name had previously been held by Epson but was never used and was allowed to expire prior to 2001. <Epsonusa.com> was the perfect name for Respondent to reach its USA customers, so when Epson allowed the registration to expire, Respondent decided to register it. Epson must have known that allowing expiry would make the domain available for anyone to purchase and use. Now, years later, Complainants want the name back based on their claims it is not being used to promote and sell Epson products.

 

Respondent’s project of building an e-commerce site specifically for its Epson product line has not been completed but in the meantime, wishing to avoid confusion with epson.com (the Epson corporate website), Respondent placed a disclaimer on the epsonusa.com website and a link to cheapofficesupplies.com informing  customers to search at that site for Epson products using the Epson product code EPS.

 

Only 5 people have called Respondent over the last 5 years having confused Respondent with Epson.com. In terms of confusion, this is next to nothing. Respondent does not pretend to be Epson and its website clearly states that.

 

FINDINGS

Complainant has established the elements necessary to entitle it to the relief it sought.

 

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 Complainants 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 at least one of Complainants has rights;

(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.

 

Rights in a mark

Seiko Epson has long established rights in the distinctive mark EPSON through use and through numerous United States and other trademark and service mark registrations. As licensee, its subsidiary Epson America also has rights in the mark under the Policy: Toyota Motor Sales U.S.A. Inc. v. J. Alexis Productions, D2003-0624 (WIPO Oct. 16, 2003

 

Identical and/or Confusingly Similar

Many cases have established that "essential" or "virtual" identity is sufficient for the purposes of the Policy: The Stanley Works and Stanley Logistics Inc. v. Camp Creek Co., Inc., D2000-0113 (WIPO Apr. 14, 2000), Nokia Corp. v. Nokiagirls.com a.k.a IBCC, D2000-0102 (WIPO Apr. 20, 2000); Am. Online, Inc. v. Anson Chan, D2001-0004 (WIPO Feb. 27 2001); Disney Enters, Inc. v. John Zuccarini, Cupcake City and Cupcake Patrol, D2001-0489 (WIPO Jul. 3, 2001); Komatsu Ltd. and Komatsu Am. Int’l Co. v. RKWeb Ltd., D2000-0995 (WIPO Nov. 23, 2000) ; Am. Online, Inc. v. Andy Hind, D2001-0642 (WIPO Jul. 1, 2001); The Toronto-Dominion Bank v. Boris Karpachev, D2000-1571 (WIPO Jan. 17, 2001).

 

Likewise, many cases have established that the test of confusing similarity under the Policy is confined to a comparison of the disputed domain name and the trademark alone, independent of the other marketing and use factors, such as the "Sleekcraft factors" – AMF Inc. v. Sleekcraft Boats, 599 F.2d 341,346 (9th Cir. 1979), usually considered in trademark infringement or unfair competition cases.  Accordingly, the content of a website is irrelevant to this question. See BWT Brands, Inc. and British Am.Tobacco (Brands), Inc v. NABR, D2001-1480 (WIPO Mar. 26, 2002); Britannia Bldg. Society v. Britannia Fraud Prevention, D2001‑0505 (WIPO Jul. 12, 2001); Wal-Mart Stores, Inc. v. Richard MacLeod d/b/a For Sale, D2000-0662 (WIPO Sep. 21, 2000); Koninklijke Philips Elecs N.V. v. In Seo Kim, D2001‑1195 (WIPO Nov. 12, 2001); Energy Source Inc. v. Your Energy Source, FA 96364 (Nat. Arb. Forum Feb. 19, 2001); Vivendi Universal v. Mr. Jay David Sallen and GO247.COM, Inc., D2001-1121 (WIPO Nov. 7, 2001), and the cases there cited.  See also the similar approach adopted by the U.S. Federal court in Northern Light Tech., Inc. v. N. Lights Club 2000 U.S. Dist. LEXIS 4732 (D. Mass. March 31, 2000).

 

Here the mark and the domain name are not identical even though the latter wholly incorporates the former.

 

The disputed domain name is confusingly similar to the EPSON mark. The gTLD ‘.com’ is inconsequential and the addition of the geographic identifier ‘USA’ to the distinctive EPSON mark does nothing to detract from that distinctiveness.  Rather it serves to imply that the associated website belongs to the United States operator of the Epson business. No disclaimer on the website can dispel this initial interest confusion, which arises before the Internet user arrives at the website. See InfoSpace, Inc. v. domains Asia Ventures, FA 198909 (Nat. Arb. Forum Nov. 10, 2003) (“Internet users may believe that the website located at the <dogpileuk.com> domain name is run by a United Kingdom branch or affiliate of Complainant. . . . Consequently, the Panel finds that the geographic identifier “uk” does not significantly distinguish Respondent’s domain name from Complainant’s mark under Policy ¶ 4(a)(ii).”).

Complainants have established this element of their case.

 

Rights or Legitimate Interests

Respondent is not known by the domain name. It is common ground that Complainant has not licensed the mark to Respondent nor permitted registration by Respondent of the disputed domain name.  In this regard, although allowing one’s registration of a domain name to expire leaves it open to anyone else to register it, that does not constitute permission to do so, such as to confer a right upon or give rise to a legitimate interest in any such new registrant.

 

These circumstances are sufficient to constitute a prima facie showing by Complainant of absence of rights or legitimate interest in the disputed domain name on the part of Respondent.  The evidentiary burden therefore shifts to Respondent to show by concrete evidence that it does have rights or legitimate interests in that name: Do The Hustle, LLC v. Tropic Web, D2000-0624 (Aug. 23, 2000)and the cases there cited.

 

Paragraph 4(c) of the Policy sets out, without limitation, circumstances which, if proved, establish the registrant’s rights to or legitimate interests in the disputed domain name.  Respondent relies on the circumstances specified in sub-paragraph 4(c)(i):

 

“before any notice to you of the dispute, your use of, or demonstrable preparations to use, the domain name or a name corresponding to the domain name in connection with a bona fide offering of goods or services;”

 

Even perfunctory preparations have been held to suffice for this purpose:  Shirmax Retail Ltd. v. CES Mktg. Group, Inc., AF-0104 (eResolution Feb. 7, 2000); Lumena s-ka so.o. v. Express Ventures Ltd., FA94375 (Nat. Arb. Forum (Apr. 3, 2000) and Royal Bank of Canada v. Xross, AF-0133 (eResolution Feb. 24, 2000). On the other hand, use which intentionally trades on the fame of another cannot constitute a ‘bona fide’ offering of goods or services; Madonna Ciccone, p/k/a Madonna v. Dan Parisi and “Madonna.com”, D2000-0847 (WIPO Oct. 16, 2000).

 

It appears Respondent is not authorized by Complainant to resell Epson products but rather lawfully acquires genuine Epson products both from a large wholesaler having a supply contract with Complainant and through large buying groups. Respondent resells them to users. A reseller of goods bearing another’s trademark can be found to be making a bona fide offering of goods and services and thus have a legitimate interest in the domain name if the use of the domain name meets certain requirements, including the actual offering of goods and services at issue and, more importantly in the present context, the use of the website to sell only the trademarked goods: Oki Data Ams, Inc. v. ASD, Inc., D2001-0903 (WIPO Nov. 6, 2001) and Experian Info. Solutions, Inc. v. Credit Research, Inc., D2002-0095 (WIPO May 7, 2002).

 

Respondent says it planned to devote the epsonusa.com website wholly to the offering for sale of Complainant’s products. However it concedes it has not put this plan into effect, instead linking that website to its cheapofficesupplies.com website and suggesting a search under the code EPS for Complainant’s products.

 

A panel may visit an internet site linked to the disputed domain name in order to obtain more information about the use of the domain name: See Société des Produits Nestlé SA v. Telmex Mgmt. Services, D2002-0070 (WIPO Apr. 2, 2002); Hesco Bastion Ltd. v. The Trading Force Limited, D2002-1038 (WIPO Dec. 31, 2002); Howard Jarvis Taxpayers Ass/n v. Paul McCauley, D2004-0014 (WIPO Apr. 22, 2004); Koninklijke Philips Elecs. N.V. v. Relson Ltd., D2001-0003 (WIPO Nov. 26, 2001); see also Terabeam Corp. v. Goldman, D2001-0697 (WIPO Aug. 24, 2001) and Kur- und Verkehrsverein St. Moritz v. StMoritz.com, D2000-0617 (WIPO Aug. 23, 2000). 

 

The Panel has visited the <cheapofficesupplies.com> website and found not merely Complainant’s products offered for sale but those of Complainant’s competitors also. Using a domain name which is confusingly similar to a trademark in order to attract customers who are seeking the trademark owner’s products to a site offering also those of its competitors, even with guidance as to where the trademark owner’s products may be found, does not fall within the criteria under which a reseller may be said to be making a bona fide offering of goods or services and thereby demonstrate a legitimate interest in the domain name.

 

Neither does Respondent’s activity constitute fair use for the purposes of paragraph 4(c)(iii) of the Policy.

 

Accordingly Complainants have established this element of their case.

 

Registration and Use in Bad Faith

Respondent clearly had Complainants and the EPSON mark in mind when registering the then lapsed disputed domain name. The only uses of the domain name that have been established are first to lead to the <epsonusa.com> website, a single page which begins with a fine print disclaimer and is followed with a welcome, in much larger type, to Action Office Supplies, and a large logo, followed by the statement:  “We carry the Epson Product Line” and “…We carry items by all the manufacturers you see below”. Clicking the link below produces, so far as is apparent to the Panel, content unrelated to Complainant’s products.  The second use has been to provide a link to the <cheapofficesupplies.com> website, where competitors’ products, as well as those of Complainant, are offered for sale.

 

The disclaimer is easy to overlook since the welcome and the AOS logo attract the user’s attention. Even if read, the disclaimer is equivocal. It says, among other things, ‘Nothing on this site is to be construed as an endorsement by any manufacturer unless explicitly identified, for this site or for any information here’. It denies ‘direct’ affiliation with Epson America while claiming ‘proudly’ to carry all major Epson consumables and components and normally to ship all Epson products to USA customers the same day. No disclaimer of any association with Seiko Epson, the registrant of the EPSON trademark, appears.

 

The numerous references to Epson products both in the disclaimer itself and in the text below could well reassure anyone who bothered to read the disclaimer that Epson, of all manufacturers, being explicitly identified, does endorse the site. No other manufacturers are explicitly identified. Given that users would have entered the domain name epsonusa.com into their computers before reaching the site, the language of the disclaimer and the references to Epson and only Epson by name could well reinforce their expectation, derived from the domain name, that the site is an Epson-endorsed or approved site.

 

Accordingly the Panel finds that Respondent, by using the domain name <epsonusa.com>, has intentionally attempted to attract, for commercial gain, Internet users to its website by creating the likelihood of confusion with Complainant’s mark as to the endorsement of its website. This is evidence of both bad faith registration and bad faith use, pursuant to paragraph 4(b)(iv) of the Policy.

 

Complainant has established this element of their case.

 

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 <epsonusa.com> domain name be TRANSFERRED from Respondent to Complainant Epson America Inc., unless, within 10 days of being notified of this decision, Complainants jointly notify the National Arbitration Forum and the Registrar that they would prefer the domain name to be transferred to Complainant Seiko Epson Corporation, in which case it is Ordered that the <epsonusa.com> domain name be transferred to Seiko Epson Corporation.

 

 

 

Alan L. Limbury, Panelist
Dated: November 27, 2006.

 

 

 

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