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	<title>WebProNews &#187; EU domains</title>
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		<title>EU Domain Grabs Lead To Lawsuits</title>
		<link>http://www.webpronews.com/eu-domain-grabs-lead-to-lawsuits-2006-07</link>
		<comments>http://www.webpronews.com/eu-domain-grabs-lead-to-lawsuits-2006-07#comments</comments>
		<pubDate>Tue, 25 Jul 2006 18:58:37 +0000</pubDate>
		<dc:creator>WebProNews Staff</dc:creator>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[domain]]></category>
		<category><![CDATA[EU domains]]></category>
		<category><![CDATA[Ipwalk]]></category>
		<category><![CDATA[Lawsuits]]></category>

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		<description><![CDATA[The European Registry of Internet Domain names (EURid) suspended the registrations of over 74,000 .eu domains and accused 400 registrars of warehousing names for resale.
]]></description>
			<content:encoded><![CDATA[<p>The European Registry of Internet Domain names (EURid) suspended the registrations of over 74,000 .eu domains and accused 400 registrars of warehousing names for resale.</p>
<p>Domain tracking site <a href=http://www.ipwalk.com class=bluelink>Ipwalk</a> thought something was rotten in Cyprus back in April, when they noticed Cyprus had a suspiciously substantial of .eu domain names registered:</p>
<p><i>
<div style=margin-left:10px; margin-right:10px>Cyprus is in 5th place (74,481 registrations), an island with a population of less than 800,000. They have more .eu domain names than France, which has a population of about 60 million.</div>
<p></i><br />
EURid noticed the incongruency as well. Convinced that some shenanigans had taken place, the agency made 400 registrars <a href=http://www.eurid.eu/en/general/news/eurid-suspends-74-000-eu-domain-names-due-to-breach-of-contract class=bluelink>painfully aware</a> that their actions constituted a breach of contract. </p>
<p>They also singled out three suspected front companies for specific attention, in a statement about the issue:</p>
<p><i>
<div style=margin-left:10px; margin-right:10px>&#8220;In this case we are convinced that the domain name holders of the 74 000 .eu names (Ovidio Ltd, Fausto Ltd and Gabino Ltd) are acting as a front for a number of registrars. The domain name holders and the registrars can be regarded as one and the same. Since registrars should only register domain names for existing customers and not &#8220;warehouse&#8221; the names in order to resell them at a higher price, this is clearly in breach of the registrar contract,&#8221; says Herman Sobrie, Legal Manager of EURid.&#8221;</div>
<p></i><br />
Some registrations have been suspended already, but for a different reason. EURid requires those holders to verify they are based within the European Union. Without that verification, they cannot register a .eu domain name.</p>
<p>Ipwalk cited a substantial drop in the number of .eu domains registered from Cyprus. Since the EURid took action, that number has dropped to 12,297 registrations, a much more likely figure given the size of the population.</p>
<p><i>Discuss this article with your fellow WebPros at <a href="http://www.webproworld.com/viewtopic.php?t=65577" class=bluelink>WebProWorld</a>.</i><br />
&#8212;<br />
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<p>David Utter is a staff writer for WebProNews covering technology and business. </p>
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