Our ideal domain name has been bought by someone else. What can we do?

We currently own a business name (Sydney Designers) and are looking to register a domain name under the same name. However, the domain name (sydneydesigners.com and .com.au) have been purchased by another person, who is not using the domain as an operating website.

We understand that we can purchase this domain from the owner, but we were wondering if, as the ACN/ABN owners of the company, we have any rights to own the domain name?

This is going to be hard for you, because your chosen business name is very descriptive of what you do, as opposed to being distinctive of your business. It is also a combination of two names that many people may want to legitimately use in their own business name or identity – as evidenced by the fact that a search of the government business and company names produces 78 current and former business names using these words.

The simple answer to your question is – yes, there is a legal process to take away domain names from people who have registered them in bad faith – the UDRP (Uniform Domain Name Dispute Resolution Procedure).

However, this costs US$1,500 per application, and you would want to get a lawyer to draft the proceedings, which will cost you another $1,500 to $3,000.

But on the little that I can see of the situation, I think this would probably be wasted money, because I’m afraid you do not have a very strong case. You would be better taking this money and using it to buy one or both of the names – as that way you will be certain to get them, whereas I would not be very hopeful of success under the UDRP.

Sorry to be the barer of bad news – but the more descriptive your name is of what your business does, the harder it is to protect.

James Omond runs his own Melbourne-based commercial legal practice Omond & Co, specialising in the area of intellectual property (trademarks, copyright, etc). He is a registered trademarks attorney, and was the Australian Young Corporate Lawyer of the Year (back in 1999, when he was almost young). James also advises on a broad range of commercial matters, such as buying and selling businesses, partnerships and joint ventures, trade practices, advertising, marketing and promotion.