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Nike, Inc. v. Henry Chan [2004] GENDND 566 (24 May 2004)


National Arbitration Forum

DECISION

Nike, Inc. v. Henry Chan

Claim Number:  FA0404000250742

PARTIES

Complainant is Nike, Inc. (“Complainant”), represented by Kenneth Kwartler, One Bowerman Drive, Beaverton, OR 97005.  Respondent is Henry Chan  (“Respondent”), P.O. Box SS-6348/A124, Nassau, Bahamas.

REGISTRAR AND DISPUTED DOMAIN NAMES

The domain names at issue are <airforcenike.com>, <airjordannike.com>, <nikeairforce1s.com>, <nikeclothes.com>, <nikefootbol.com>, <nikeinc.com>, <nikejumpman.com>, <wwwnikefootball.com>, <airnikes.com>, <freestylenike.com>, <futbolnike.com>, <nikecommercials.com>, <gridironnike.com>, <nikefotbal.com>, <nikefotboll.com>, <nikefreestyler.com>, <nikefreestyles.com>, <nikefrestyle.com>, <nikefutbool.com>, <nikegidiron.com>, <nikegirdiron.com>, <nikegirdon.com>, <nikegriddon.com>, <nikegrideiron.com>, <nikegrideon.com>, <nikegrideron.com>, <nikegridin.com>, <nikegridion.com>, <nikegridiorn.com>, <nikegridirion.com>, <nikegridon.com>, <nikegridrion.com>, <nikegridron.com>, <nikegriiron.com>, <nikegrindiron.com>, <nikegrindon.com>, <nikesocer.com>, <niketow.com> and <nikeytown.com>, registered with Iholdings.com, Inc. d/b/a Dotregistrar.com.

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.

Hon. Ralph Yachnin as Panelist.

PROCEDURAL HISTORY

Complainant submitted a Complaint to the National Arbitration Forum (the "Forum") electronically on April 1, 2004; the Forum received a hard copy of the Complaint on April 5, 2004.

On April 2, 2004, Iholdings.com, Inc. d/b/a Dotregistrar.com confirmed by e-mail to the Forum that the domain names <airforcenike.com>, <airjordannike.com>, <nikeairforce1s.com>, <nikeclothes.com>, <nikefootbol.com>, <nikeinc.com>, <nikejumpman.com>, <wwwnikefootball.com>, <airnikes.com>, <freestylenike.com>, <futbolnike.com>, <nikecommercials.com>, <gridironnike.com>, <nikefotbal.com>, <nikefotboll.com>, <nikefreestyler.com>, <nikefreestyles.com>, <nikefrestyle.com>, <nikefutbool.com>, <nikegidiron.com>, <nikegirdiron.com>, <nikegirdon.com>, <nikegriddon.com>, <nikegrideiron.com>, <nikegrideon.com>, <nikegrideron.com>, <nikegridin.com>, <nikegridion.com>, <nikegridiorn.com>, <nikegridirion.com>, <nikegridon.com>, <nikegridrion.com>, <nikegridron.com>, <nikegriiron.com>, <nikegrindiron.com>, <nikegrindon.com>, <nikesocer.com>, <niketow.com> and <nikeytown.com> are registered with Iholdings.com, Inc. d/b/a Dotregistrar.com and that Respondent is the current registrant of the names. Iholdings.com, Inc. d/b/a Dotregistrar.com has verified that Respondent is bound by the Iholdings.com, Inc. d/b/a Dotregistrar.com 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 April 13, 2004, a Notification of Complaint and Commencement of Administrative Proceeding (the "Commencement Notification"), setting a deadline of May 3, 2004 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@airforcenike.com, postmaster@airjordannike.com, postmaster@nikeairforce1s.com, postmaster@nikeclothes.com, postmaster@nikefootbol.com, postmaster@nikeinc.com, postmaster@nikejumpman.com, postmaster@wwwnikefootball.com, postmaster@airnikes.com, postmaster@freestylenike.com, postmaster@futbolnike.com, postmaster@nikecommercials.com, postmaster@gridironnike.com, postmaster@nikefotbal.com, postmaster@nikefotboll.com, postmaster@nikefreestyler.com, postmaster@nikefreestyles.com, postmaster@nikefrestyle.com, postmaster@nikefutbool.com, postmaster@nikegidiron.com, postmaster@nikegirdiron.com, postmaster@nikegirdon.com, postmaster@nikegriddon.com, postmaster@nikegrideiron.com, postmaster@nikegrideon.com, postmaster@nikegrideron.com, postmaster@nikegridin.com, postmaster@nikegridion.com, postmaster@nikegridiorn.com, postmaster@nikegridirion.com, postmaster@nikegridon.com, postmaster@nikegridrion.com, postmaster@nikegridron.com, postmaster@nikegriiron.com, postmaster@nikegrindiron.com, postmaster@nikegrindon.com, postmaster@nikesocer.com, postmaster@niketow.com and postmaster@nikeytown.com by e-mail.

Having received no Response from Respondent, using the same contact details and methods as were used for the Commencement Notification, the Forum transmitted to the parties a Notification of Respondent Default.

On May 14, 2004, pursuant to Complainant's request to have the dispute decided by a single-member Panel, the Forum appointed Hon. Ralph Yachnin as Panelist.

Having reviewed the communications records, the Administrative Panel (the "Panel") finds that the Forum has discharged its responsibility under Paragraph 2(a) of the Rules for Uniform Domain Name Dispute Resolution Policy (the "Rules") "to employ reasonably available means calculated to achieve actual notice to Respondent."  Therefore, the Panel may issue its decision based on the documents submitted and in accordance with the ICANN Policy, ICANN Rules, the Forum's Supplemental Rules and any rules and principles of law that the Panel deems applicable, without the benefit of any Response from Respondent.

RELIEF SOUGHT

Complainant requests that the domain names be transferred from Respondent to Complainant.

PARTIES' CONTENTIONS

A.  Complainant makes the following assertions:

1. Respondent’s <airforcenike.com>, <airjordannike.com>, <nikeairforce1s.com>, <nikeclothes.com>, <nikefootbol.com>, <nikeinc.com>, <nikejumpman.com>, <wwwnikefootball.com>, <airnikes.com>, <freestylenike.com>, <futbolnike.com>, <nikecommercials.com>, <gridironnike.com>, <nikefotbal.com>, <nikefotboll.com>, <nikefreestyler.com>, <nikefreestyles.com>, <nikefrestyle.com>, <nikefutbool.com>, <nikegidiron.com>, <nikegirdiron.com>, <nikegirdon.com>, <nikegriddon.com>, <nikegrideiron.com>, <nikegrideon.com>, <nikegrideron.com>, <nikegridin.com>, <nikegridion.com>, <nikegridiorn.com>, <nikegridirion.com>, <nikegridon.com>, <nikegridrion.com>, <nikegridron.com>, <nikegriiron.com>, <nikegrindiron.com>, <nikegrindon.com>, <nikesocer.com>, <niketow.com> and <nikeytown.com> domain names are confusingly similar to Complainant’s NIKE mark.

2. Respondent does not have any rights or legitimate interests in the <airforcenike.com>, <airjordannike.com>, <nikeairforce1s.com>, <nikeclothes.com>, <nikefootbol.com>, <nikeinc.com>, <nikejumpman.com>, <wwwnikefootball.com>, <airnikes.com>, <freestylenike.com>, <futbolnike.com>, <nikecommercials.com>, <gridironnike.com>, <nikefotbal.com>, <nikefotboll.com>, <nikefreestyler.com>, <nikefreestyles.com>, <nikefrestyle.com>, <nikefutbool.com>, <nikegidiron.com>, <nikegirdiron.com>, <nikegirdon.com>, <nikegriddon.com>, <nikegrideiron.com>, <nikegrideon.com>, <nikegrideron.com>, <nikegridin.com>, <nikegridion.com>, <nikegridiorn.com>, <nikegridirion.com>, <nikegridon.com>, <nikegridrion.com>, <nikegridron.com>, <nikegriiron.com>, <nikegrindiron.com>, <nikegrindon.com>, <nikesocer.com>, <niketow.com> and <nikeytown.com> domain names.

3. Respondent registered and used the <airforcenike.com>, <airjordannike.com>, <nikeairforce1s.com>, <nikeclothes.com>, <nikefootbol.com>, <nikeinc.com>, <nikejumpman.com>, <wwwnikefootball.com>, <airnikes.com>, <freestylenike.com>, <futbolnike.com>, <nikecommercials.com>, <gridironnike.com>, <nikefotbal.com>, <nikefotboll.com>, <nikefreestyler.com>, <nikefreestyles.com>, <nikefrestyle.com>, <nikefutbool.com>, <nikegidiron.com>, <nikegirdiron.com>, <nikegirdon.com>, <nikegriddon.com>, <nikegrideiron.com>, <nikegrideon.com>, <nikegrideron.com>, <nikegridin.com>, <nikegridion.com>, <nikegridiorn.com>, <nikegridirion.com>, <nikegridon.com>, <nikegridrion.com>, <nikegridron.com>, <nikegriiron.com>, <nikegrindiron.com>, <nikegrindon.com>, <nikesocer.com>, <niketow.com> and <nikeytown.com> domain names in bad faith.

B.  Respondent failed to submit a Response in this proceeding.

FINDINGS

Complainant is a worldwide leader in sports and fitness.  Complainant designs, manufacturers and markets a broad range of athletic footwear, apparel and equipment.  Complainant holds several registrations for the NIKE mark with the U.S. Patent and Trademark Office (“USPTO”), including Reg. Nos. 978,952 and 1,153,938 (registered on February 19, 1974 and May 12, 1981, respectively).  

Respondent registered the disputed domain names between October 1, 2002 and December 19, 2003.  Respondent uses the domain names to earn click-through fees by redirecting Internet users to commercial websites.

DISCUSSION

Paragraph 15(a) of 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."

In view of Respondent's failure to submit a Response, the Panel shall decide this administrative proceeding on the basis of Complainant's undisputed representations pursuant to paragraphs 5(e), 14(a) and 15(a) of the Rules and draw such inferences it considers appropriate pursuant to paragraph 14(b) of the Rules.

Paragraph 4(a) of the Policy requires that Complainant 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 Complainant has rights; and

(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.

Identical and/or Confusingly Similar

Complainant has established rights in the NIKE mark through registration with the USPTO.  See Men’s Wearhouse, Inc. v. Wick, FA 117861 (Nat. Arb. Forum Sept. 16, 2002) (“Under U.S. trademark law, registered marks hold a presumption that they are inherently distinctive and have acquired secondary meaning.”); see also Janus Int’l Holding Co. v. Rademacher, D2002-0201 (WIPO Mar. 5, 2002) (finding that Panel decisions have held that registration of a mark is prima facie evidence of validity, which creates a rebuttable presumption that the mark is inherently distinctive.  Respondent has the burden of refuting this assumption).

Respondent’s domain names are confusingly similar to Complainant’s NIKE mark because each of the domain names incorporates the mark.  The domain names merely add generic terms, or misspellings thereof, to the mark.  Some of the generic terms describe Complainant’s business.  The addition of generic or descriptive terms is insufficient to distinguish the domain names from Complainant’s mark.  See Arthur Guinness Son & Co. (Dublin) Ltd.  v. Healy/BOSTH, D2001-0026 (WIPO Mar. 23, 2001) (finding confusing similarity where the domain name in dispute contains the identical mark of Complainant combined with a generic word or term); see also Space Imaging LLC v. Brownwell, AF-0298 (eResolution Sept. 22, 2000) (finding confusing similarity where Respondent’s domain name combines Complainant’s mark with a generic term that has an obvious relationship to Complainant’s business).

Furthermore, the addition of the generic top-level domain “.com” to the mark is irrelevant in determining whether the domain names are confusingly similar to Complainant’s mark.  See Pomellato S.p.A v. Tonetti, D2000-0493 (WIPO July 7, 2000) (finding <pomellato.com> identical to Complainant’s mark because the generic top-level domain (gTLD) “.com” after the name POMELLATO is not relevant); see also Rollerblade, Inc. v. McCrady, D2000-0429 (WIPO June 25, 2000) (finding that the top level of the domain name such as “.net” or “.com” does not affect the domain name for the purpose of determining whether it is identical or confusingly similar).

The Panel finds that Policy ¶ 4(a)(i) has been satisfied. 

Rights or Legitimate Interests

Due to Respondent’s failure to provide a Response, the Panel accepts all reasonable allegations and inferences in the Complaint as true.  See Talk City, Inc. v. Robertson, D2000-0009 (WIPO Feb. 29, 2000) (“In the absence of a response, it is appropriate to accept as true all allegations of the Complaint.”); see also Charles Jourdan Holding AG v. AAIM, D2000-0403 (WIPO June 27, 2000) (finding it appropriate for the Panel to draw adverse inferences from Respondent’s failure to reply to the Complaint).

Furthermore, Respondent has failed to contest the allegations of the Complaint; therefore, the Panel presumes that Respondent lacks rights and legitimate interests in the domain names.  See Parfums Christian Dior v. QTR Corp., D2000-0023 (WIPO Mar. 9, 2000) (finding that by not submitting a Response, Respondent has failed to invoke any circumstance which could demonstrate any rights or legitimate interests in the domain name); see also Pavillion Agency, Inc. v. Greenhouse Agency Ltd., D2000-1221 (WIPO Dec. 4, 2000) (finding that Respondents’ failure to respond can be construed as an admission that they have no legitimate interest in the domain names).

Nothing in the record establishes that Respondent is commonly known by the domain names.  Moreover, Respondent is not licensed or authorized to register or use domain names that incorporate Complainant’s mark.  Therefore, the Panel concludes that Respondent lacks rights and legitimate interests in the domain names pursuant to Policy ¶ 4(c)(ii).  See Tercent Inc. v. Yi, FA 139720 (Nat. Arb. Forum Feb. 10, 2003) (stating “nothing in Respondent’s WHOIS information implies that Respondent is ‘commonly known by’ the disputed domain name” as one factor in determining that Policy ¶ 4(c)(ii) does not apply); see also Charles Jourdan Holding AG v. AAIM, D2000-0403 (WIPO June 27, 2000) (finding no rights or legitimate interests where (1) Respondent is not a licensee of Complainant; (2) Complainant’s prior rights in the domain name precede Respondent’s registration; (3) Respondent is not commonly known by the domain name in question).

Complainant asserts that Respondent uses the domain names to earn click-through fees by redirecting Internet users to commercial websites.  Due to Respondent’s failure to contest this assertion, the Panel accepts the assertion as true.  Therefore, the Panel concludes that Respondent’s use of the domain names does not constitute a bona fide offering of goods or services pursuant to Policy ¶ 4(c)(i) or a legitimate noncommercial or fair use pursuant to Policy ¶ 4(c)(iii).  See Black & Decker Corp. v. Clinical Evaluations, FA 112629 (Nat. Arb. Forum June 24, 2002) (holding that Respondent’s use of the disputed domain name to redirect Internet users to commercial websites, unrelated to Complainant and presumably with the purpose of earning a commission or pay-per-click referral fee, did not evidence rights or legitimate interests in the domain name); see also MSNBC Cable, LLC v. Tysys.com, D2000-1204 (WIPO Dec. 8, 2000) (finding no rights or legitimate interests in the famous MSNBC mark where Respondent attempted to profit using Complainant’s mark by redirecting Internet traffic to its own website).

The Panel finds that Policy ¶ 4(a)(ii) has been satisfied. 

Registration and Use in Bad Faith

Respondent receives click-through fees from Internet vendors when Internet users access the vendors’ commercial websites via the disputed domain names.  Respondent’s commercial use of domain names confusingly similar to Complainant’s mark constitutes bad faith registration and use pursuant to Policy ¶ 4(b)(iv).  See Kmart v. Khan, FA 127708 (Nat. Arb. Forum Nov. 22, 2002) (finding that if Respondent profits from its diversionary use of Complainant's mark when the domain name resolves to commercial websites and Respondent fails to contest the Complaint, it may be concluded that Respondent is using the domain name in bad faith pursuant to Policy ¶ 4(b)(iv)); see also ESPN, Inc. v. Ballerini, FA 95410 (Nat. Arb. Forum Sept. 15, 2000) (finding bad faith where Respondent linked the domain name to another website <iwin.com>, presumably receiving a portion of the advertising revenue from the site by directing Internet traffic there, thus using a domain name to attract Internet users for commercial gain).

The Panel finds that Policy ¶ 4(a)(iii) has been satisfied. 

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 <airforcenike.com>, <airjordannike.com>, <nikeairforce1s.com>, <nikeclothes.com>, <nikefootbol.com>, <nikeinc.com>, <nikejumpman.com>, <wwwnikefootball.com>, <airnikes.com>, <freestylenike.com>, <futbolnike.com>, <nikecommercials.com>, <gridironnike.com>, <nikefotbal.com>, <nikefotboll.com>, <nikefreestyler.com>, <nikefreestyles.com>, <nikefrestyle.com>, <nikefutbool.com>, <nikegidiron.com>, <nikegirdiron.com>, <nikegirdon.com>, <nikegriddon.com>, <nikegrideiron.com>, <nikegrideon.com>, <nikegrideron.com>, <nikegridin.com>, <nikegridion.com>, <nikegridiorn.com>, <nikegridirion.com>, <nikegridon.com>, <nikegridrion.com>, <nikegridron.com>, <nikegriiron.com>, <nikegrindiron.com>, <nikegrindon.com>, <nikesocer.com>, <niketow.com> and <nikeytown.com> domain names be TRANSFERRED from Respondent to Complainant.

Hon. Ralph Yachnin, Panelist

Justice, Supreme Court, NY ( Ret.)

Dated:  May 24, 2004


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