Internet company sued for holding domain names

**toria** · 03-03-2008, 01:40 PM

I got this from Internet today. HURRAY! I've been really aggravated at NetSol and their affiliates for this practice. I hope the plaintiffs win.

It will be better for all us Domainers!!

NEW YORK — A company that sells Internet addresses is being sued for its controversial practice of holding a domain name in reserve if someone checks for its availability but does not buy it right away.

Although Network Solutions LLC termed its new program a consumer-protection measure, the moves make it difficult for interested parties to shop around for better prices. The company charges $35 a year for a name — a few times more than what many of its rivals charge.

The lawsuit against Network Solutions was filed last week in U.S. District Court in Los Angeles by Chris McElroy, a Florida man who checked for "KidSearchNetwork.com" at Network Solutions without buying it, then learned it was unavailable elsewhere. The lawsuit, which seeks class-action status, calls for an end to the practice and unspecified damages.

Also named as a defendant is the Internet Corporation for Assigned Names and Numbers, which oversees domain name policies, including one that Network Solutions uses to keep names in reserve for up to five days without having to pay fees.

Network Solutions has said it was trying to combat domain name front running — the use of insider information to snatch desired domain names before an individual or business can register them.

**fab** · 03-03-2008, 02:42 PM

Good going!

**a2zdomain.net** · 03-19-2008, 10:41 AM

If network solution is geninuely holding the domain names that are being searched to aviod it from snatched by others, then it is a noble action, but charging a domain name at 5x more is robbery! They can charge for this service, but may be $1 more. Then it is easier to sollow.

**HarveyJ** · 03-19-2008, 05:35 PM

A2Z: They're not being Noble. NSI have been running this particular scam for ages.
You search for something, and if you don't process it before the site times out, they register it themselves. It's the same as cyber squatting, but because the price is low enough, it's palatable, and they can pretend it's with good intentions.
Someone else here (or maybe it was Domain State forum) made them register AlQaedaBlog.com or some such and then alerted the FBI as a joke.

What I really can't believe is that it's taken this long to come back and bite them in the arse.