Contacted by major corporation about TM infringement

[taktikz]

Help me interpret these terms.
Here's an excerpt of the "terms" I received in e-mail and in the mail.

X = me
XX = company
--------------------------------------------------------------
[FONT=&quot]Specifically, by way of illustration and without limiting the general agreement expressed[/FONT]
[FONT=&quot]above, X agrees that, by no later than [/FONT][FONT=&quot]October 22, 2009[/FONT][FONT=&quot], it will:[/FONT]
[FONT=&quot](1) cease and desist from the unauthorized use of the XX COMPANY Marks;[/FONT]
[FONT=&quot](2) transfer to XX COMPANY the registration for the domain name [/FONT][FONT=&quot]WEBSITE XX COMPANY.net [/FONT][FONT=&quot]and agrees to[/FONT]
[FONT=&quot]sign all forms necessary, to provide other necessary information and[/FONT]
[FONT=&quot]documentation, and to send such electronic mail messages as may be necessary to[/FONT]
[FONT=&quot]accomplish the transfer of the domain names;[/FONT]
[FONT=&quot](3) warrant to XX COMPANY that [/FONT][FONT=&quot]WEBSITE XX COMPANY.net [/FONT][FONT=&quot]is the only domain name registered by or for X[/FONT]
[FONT=&quot]that incorporates any trademark, or any variation of any trademark, owned by[/FONT]
[FONT=&quot]XX COMPANY, its affiliates, and related companies, and that in the future X will not[/FONT]
[FONT=&quot]register, or cause to be registered, any domain names incorporating the XX COMPANY[/FONT]
[FONT=&quot]Marks, or any variation of thereof; and[/FONT]
[FONT=&quot](4) pay XX COMPANY damages and attorney fees, by cashier’s check made payable to[/FONT]
[FONT=&quot]XX COMPANY.[/FONT][FONT=&quot], in an amount equal to the greater of 25%[/FONT]
[FONT=&quot]of your gross revenue associated with your unauthorized use of the XX COMPANY Marks or[/FONT]
[FONT=&quot]$2,500.00.[/FONT]
[FONT=&quot]X agrees and acknowledges that any violation or breach of this Agreement will cause[/FONT]
[FONT=&quot]irreparable harm to XX COMPANY, and that XX COMPANY will be entitled to entry of both a preliminary and[/FONT]
[FONT=&quot]permanent injunction against X for any violation of this Agreement, as well as any other remedy[/FONT]
[FONT=&quot]allowed by applicable law. X further agrees that if X breaches this Agreement, X will pay all[/FONT]
[FONT=&quot]costs incurred by XX COMPANY in enforcing this Agreement, including reasonable attorney fees.[/FONT]
[FONT=&quot]-------------------------------------------------------------------------[/FONT]


[FONT=&quot]Are they stating that I must pay $2500 or just if I don't hand over the domain? Don't understand that part.[/FONT]
[FONT=&quot]I've set up an appointment with my lawyer tomorrow, but just can't wait to see what you guys think.
[/FONT]

 

[iestates]

Yes, that's exactly what it's saying, unless you've generated more than $10k on the domain, in which case you would owe 25% of the total amount of revenue generated from the domain. I would DEFINITELY check to make sure this attorney actually represents this company. Something sounds fishy here.

 

[DNBA]

odd. I never heard of a lawyer that will give you a C&D and give you a future date to stop use. Its usually stop immediately . Sounds fishy.

 

[taktikz]

Thanks for the advice.

I rather give up the domain, but the $2500 they are asking for is outrageous. I've gotten mixed opinions from lawyers, some say to give it up and some say they have no right to ask for the domain.

In the end, the lawyers all are looking to get a couple of hundred dollars to write a response letter.

Do you think contacting them myself and stating that I'm willing to transfer the domain, but not pay the $2500 fee would be ok?

This seems like pure extortion.

Here's a copy of the template they used (very similar):
http://www.chillingeffects.org/trademark/notice.cgi?NoticeID=15590

 

[katherine]

If you have their phone number why not call or at least trace it to confirm it's genuine and that the person you are dealing with exists.
As for the extortion you don't have to comply. Of course they can escalate things and possibly sue you. How is your domain infringing on their brand according to them ?

 

[taktikz]

well the domain contains their trademark of two letters in it.

That's really it.

 

[TheLegendaryJP]

Never seen this request ( $XXXX ) accompany a C&D before, usually it would be what follows a decision not to lol

I say if you really just want to hand it over, call the company.

 

[katherine]

well the domain contains their trademark of two letters in it.

That's really it.

With a reasoning like that everybody could sue each other.

 

[DTalk]

Call the company direct. Speak to their IN-HOUSE Counsel - or, failing that - to the CEO, and ONLY the CEO.

Verify that this alleged claim is authorised by the Company, or not.


Its VERY unusual for an initial C&D letter from a lawyer to mention payment of monies to settle things, imo. Indeed, improper....The facts of the situation have not yet been acknowledged.


I wouldn't do a thing until you speak, personally, to the Company that it is alleged is making this complaint.

.

 

[taktikz]

Call the company direct. Speak to their IN-HOUSE Counsel - or, failing that - to the CEO, and ONLY the CEO.

Verify that this alleged claim is authorised by the Company, or not.


Its VERY unusual for an initial C&D letter from a lawyer to mention payment of monies to settle things, imo. Indeed, improper....The facts of the situation have not yet been acknowledged.


I wouldn't do a thing until you speak, personally, to the Company that it is alleged is making this complaint.

.

Did you read this letter?
http://www.chillingeffects.org/trademark/notice.cgi?NoticeID=15590

It seems like it's common for them to ask for money in their first letter. If you notice, they are now asking for half of what they used to ask for. $5,000 before to $2,500 now.

What do you guys think? Is this extortion?

'Extortion', outwresting, or exaction is a criminal offense which occurs when a person unlawfully obtains either money, property or services from a person, entity, or institution, through coercion....................................................
Making a threat of violence or a lawsuit[citation needed] which refers to a requirement of a payment of money or property to halt future violence or lawsuit[citation needed] is sufficient to commit the offense. Exaction refers not only to extortion or the unlawful demanding and obtaining of something through force,[1] but additionally, in its formal definition, means the infliction of something such as pain and suffering or making somebody endure something unpleasant.....................................

Such threats include the filing of lawsuits, reports (true or not) of criminal behavior to the police, revelation of damaging facts (such as pictures of the object of the extortion in a compromising position), etc.

 

[Cartoonz]

so the 2 letters ARE "VW" then?

 

[chrisb72]

This is most likely a scam, I personally have received more than a few copyright infringement letters and in no way have any of them asked for a monetary value in any of their letters. Their main purpose is to get the domain back and thats it. Almost all of the domains I have gotten letters on are just sitting blank and not forwarded or anything so the company just wanted the name out of someone elses hands. That should be the situation here, not "well let me get $2500 real quick" BULLCRAP I dont know who the company is but if they are recognizable by two letters, they dont need your $2500!!

 

[liberator]

have you received a hard copy of the letter? If this was me I would not give up the domain but if I was going to I would follow the advice here and call the company directly and verify the letter.

 

[taktikz]

have you received a hard copy of the letter? If this was me I would not give up the domain but if I was going to I would follow the advice here and call the company directly and verify the letter.

Just received an email from the corporation verifying that the law firm does represent them.

 

[Cartoonz]

Thanks for the helpful responsed.
The domain consists of USED(XX).net
Where XX can stand for a variety of things...

ok, since you dodged my last direct question... I'm still thinking there is a V and a W in there....

The thing you should be looking at is who owns the .COM version????

 

[taktikz]

ok, since you dodged my last direct question... I'm still thinking there is a V and a W in there....

The thing you should be looking at is who owns the .COM version????

No one has mentioned this for a reason. The .com seems to be owned by an individual .

 

[DNBA]

ok just to clarify its not just a LL.net. Theres a term before the LL that can relate to the LL which can be used with the mark.

 

[Jacksplat]

I didnt read every post in this thread, but from what I have read I'm guessing you have the .net version of the .com and to make things worse the LL is a brand and the word before it pertains to use of that brand.. perhaps BUY"LL".net

If your wrong, fix the problem quickly.
If your right, then tell them to piss off.

 

[Cartoonz]

...The .com seems to be owned by an individual .

Perhaps you should ask him how he still has that, eh?

It is even Parked!