Domain Names have gained increasing utilization and importance in the present day electronic commerce driven industry. They are seen not merely as a communication tool, but as a business name, which is used for identification. In the e-commerce driven market place, the most important business house identifier is the domain name, which actually identifies the company with the Internet users. Domain Names often have high monetary market value as an asset of the company, also in terms of the resale possibilities. It is certain that brand goodwill is created not only in the business name but also in the domain name owned by the business.

The problem of protecting the domain name remains an issue of high worry for any e-commerce enterprise. Mere registration of a domain name by a person/business would not entitle the registrant to have an exclusive right to it. Also, a domain name registrant may not have a better right on the domain name compared to a third party. Therefore, a mere registration of the domain does not mean anything except that someone is presently holding the domain name during that particular time. There is no certainty on the future holding of the domain name.

Creation of exclusive right over a domain name

An exclusive right to use a domain name may be created by registering the domain name as a trademark owned by the enterprise. Domain Names can be registered as a Trademark in India under the Trademark Act, 1999. The domain names are neither automatically eligible nor ineligible for registration as a trademark. As no special provision is found for the same in the legislation, the normal requirements for registration of trademarks shall apply. However, certain special condition in terms of the practical aspects of the obtaining a trademark for a domain name is a concern.

Where, prima facie, the domain name has no distinctive character, the applicant may also be required to demonstrate that the particular domain name has acquired a distinctive character as a trademark.

Relevant class of goods or services

Mere use of the domain name shall not satisfy the requirements of the applicant. The applicant would need to demonstrate that the domain name is being put to use to sell those goods or services falling under the classification claimed in the application.

The important test is whether the domain name would qualify as a trademark for goods or services of the kind specified by the applicant. The applicant would need to be advised prudently on the goods or services that he would have a right as per the classification of the goods. That would require intellectual property expertise on how each service or good of the e-commerce can be classification.

The applicant in most of the cases would be required to lead in factual evidence that the goods or services falling within the classification as claimed by the applicant are being sold in the particular domain name. Also, it is important to demonstrate that the domain name is known to be a source for the product or service and not merely as a web address.

Benefits of trademark registration for domain names

It can be perceived that there is no actual protection mechanism for a domain name and the registration of a trademark is the most effective means for establishing the exclusive right over it. The benefits of trademark registration for domain names are as follows:

· The registering of the domain name as a trademark would help any organization to be confident of retaining its domain name, either in the UDRP or before a Court of Law.

· As an Intellectual Property asset of the company, the trademark may be commercially exploited to it’s fullest extent

· The domain name registrant would be able to protect himself from frivolous claims of third parties either in UDRP or before the court of Law.

· The trademark owner would be able to enforce his right over the trademark by litigating against any unauthorized third party who might be infringing the rights obtained through the trademark.

It is advised that domain names are registered as trademarks for all e-commerce companies. For enterprises or persons who have a business on the Internet, the domain name would be of great significance. Even for companies which are predominantly not online, but have a website, the importance of a domain name cannot be minimized. That being the case, the registration of the domain name as a trademark is not merely an advantage but is an essential element for brand protection.

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