News


8 de Marzo de 2010

Domain names/ defending your interests in Chile.

Importance of your ¨.cl¨ Domain
The ¨.cl¨ domain is the extension that groups all domains registered through Nic Chile.  To date there are more than 270,000 ¨.cl¨ domains registered, a number which greatly surpasses other countries in the region, which demonstrates that when searching for a service, product or company in Chile, internet users prefer the ¨.cl¨ domain over other global extensions such as ¨.com¨ or ¨.net.¨ Presently, having a ¨.com¨ instead of a ¨.cl¨ domain can be less effective in spreading your content to other internet users, possible consumers or clients in Chile.

Registering your ¨.cl¨ Domain
Anyone can file an application for a domain name that is available at that time at Nic Chile. There is a 30 day deadline after every new application in which a third party can apply for the same domain name, which begins an assignment dispute proceeding which can ultimately result in arbitration. Nic Chile does not carry out any sort of examination to verify if new applications conflict with an existing trademark or another party’s rights; therefore it is important to have a good monitoring service for your trademarks and domain names in order to know when conflicting applications arise.

If there are no third party applications filed during the next 30 days of the first application, then the domain is registered to that solicitor.  The first registration is valid for two years and can be renewed for registration periods of two to ten years.

Assignment Disputes
In case there is more than one application for the same domain name, a domain assignment dispute arises. The first step is the mediation hearing held before Nic Chile, in which both parties are requested to appear in the presence of a mediator. The hearing is not binding but helps the parties understand each others intentions and is an important step to start negotiating a friendly agreement to settle the case before arbitration.

Any agreement reached by the parties has to clearly state who will be the sole owner of the domain name. In order to obtain dismissal on behalf of one of the parties, the agreements can vary and are by no means restrictive, as an example the agreements can include financial compensation or limitation of the use of the domain in regards to the business sector, line of products or services of the other party.

If no agreement is reached, an arbitrator is named, who will finally decide who the owner of the domain will be; in doing so he will have to hear the arguments of both parties and decide who has a better right over the domain. An arbitration proceeding always includes arbitration fees which can range between CLP 500.000 and CLP 1.100.000. Payment of arbitration fees fall exclusively on the party who has subsequently presented their application, also known as the second applicant, or between all parties if there are multiple applications competing for the same domain.  Initially, the first applicant of the domain should not be charged with any fees, notwithstanding that the arbitrator may include payment of costs to the first applicant in his ruling if he so deems.

The arbitrator is free to rule in the manner which he considers to be fair in connection to the arguments and evidence that were brought to his consideration during the case. This is where trademark registrations are important, because they are highly recognized as an important piece of evidence in case the domain name is identical or similar to a registered trademark in Chile or abroad. Being the owner of a trademark and the solicitor of that same domain name in dispute does not in any case assure a successful ruling in the arbitration, but it is considered crucial information in the moment the arbitrator renders a ruling.

Cancellation Actions
The last form to protect your acquired rights in the area of domains is through a cancellation action.  A cancellation action of a domain is given when a third party who claims his rights are being violated by a registered domain, initiates a cancellation action with the intention of annulling the domain’s ownership.  In contrast to the previous disputes in assigning a domain name, here we are confronted by an existing registered domain where the deadline to present new applications has expired.  The process of a cancellation action is very similar to domain disputes, since a developed mediation before Nic Chile already exists and subsequently an arbitrator will be assigned in case an agreement was not previously reached.  The important difference between the two is cancellation actions require the revoking party to prove that the actual owner of the domain had initially registered this domain in the past acting upon bad faith which caused damage to their rights. 

Due Protection of Your Rights
In today’s society, it can be concluded that the existence of a web domain equivalent of its products, services or company can be damaging to other owners of similar domains. Currently, more people have access to the internet which is an important tool when researching, searching for businesses, buying products or contracting services.  In this arena, the extension ¨.cl¨ has proved to be a leader in Chile over other global extensions when searching for Chilean companies or other information about Chile.  Because of this, it is recommended to file and register all names linked to your trademarks and your services in order to prevent potential harm to them.  Apart from filing our clients’ domain names, Albagli Zaliasnik provides a strict monitoring service of trademarks and domain names in order to protect against new or damaging applications.  Do not hesitate to contact us for more information regarding the proper protection of your domains or your rights online.