Plaza Operating Partners, Ltd.
V.
Pop Data Technologies, Inc. and Joseph Pillus
[Indexed as: Plaza Operating Partners v. Pop Data Technologies]
[Indexed as: THEPLAZA.com]
WIPO Arbitration and Mediation Center
Administrative Panel Decision
Case No. D2000-0166
Commenced: 22 March 2000
Judgment: 1 June 2000
Presiding Panelist: David H. Bernstein
Domain name - Domain name dispute resolution policy - U.S. Service
mark - U.S. Trademark - Famous marks - Identical - Confusingly similar
- Bad faith registration - Bad faith use - Extension of time for submission
- Common Law Rights - Administrative Error.
Complainant owns the Plaza Hotel, a famous hotel and landmark in
New York City. Complainant has shown that it is the owner of trademark
registrations for the marks THE PLAZA, THE PLAZA COLLECTION, and YOUNG
PLAZA AMBASSADORS. Complainant has also established common law rights
in the mark THE PLAZA HOTEL.
There are two respondents. Pop Data initially registered plazahotel.com.
The domain name has never been used for any purpose. Pillus purchased the
domain name from Port Jefferson Asset Management Corp., who purchased it
from Pop Data.
Held, Name Transferred to Complainant.
The Center acknowledged Pillus' request and granted an extension
but through inadvertence did not respond to Pop Data's request for an extension.
Principals of fairness dictate that the Panel accept the late response
of Pop Data.
Because the Center erroneously sent the Interim Order to Pop Data
only by email (when Pop Data asked for transmission by fax), Pop Data should
not be penalized for its late receipt of the Order and its resulting late
response.
If a Party wishes to submit a supplemental submission, the better
practice under the Rules would be to first seek consent from the Panel,
with an explanation of why a supplemental submission is warranted.
Appropriate reasons may include the existence of new, pertinent facts that
did not arise until after the submission of the Complaint, or the desire
to bring new, relevant legal authority to the attention of the Panel.
The most appropriate procedure where new legal authority is handed down
after the complaint is merely to submit the new authority to the Panel
without any accompanying legal argument.
WIPO, as an accredited provider under the Rules, does not have jurisdiction
over a party unless the party has agreed to be subject to these proceedings.
Although Pop Data sold the domain name to Pillus, NSI still lists Pop Data
as the owner of the domain name. Pop Data is still a party by virtue
of its registration agreement with NSI. Pillus, through his participation
in these proceedings has voluntarily agreed to subject himself to this
Panel's jurisdiction.
The use of the designation THE PLAZA HOTEL in commerce is sufficient
to establish common law trademark rights in that mark. Complainant
has satisfied its burden of proving that the domain name plazahotel.com
is confusingly similar to the mark THE PLAZA HOTEL.
Neither Respondent had rights or legitimate interests.
Pop Data states that it actually did pitch this name to the head
of catering for an unidentified hotel. Because the domain name is
not a generic name, but rather incorporates the PLAZA HOTEL trademark,
the Panel finds that Pop Data's effort to interest another hotel in the
plazahotel.com domain name evidences an illegitimate interest - trademark
infringement.
The argument that Pillus acquired the name for the benefit of his
relatives is directly undercut by Pillus' subsequent statement in the Response
that he "has not yet decided how he would intends [sic] to use the domain
name."
Both Respondents registered and used the domain name in bad faith.
Pop Data registered the domain name and never developed a website.
When it did attempt to interest a client in the domain name, it approached
a client in the hotel catering business - a venture that, if successful,
likely would have resulted in consumer confusion. This alone is evidence
of bad faith. Pop Data's subsequent offer to sell the domain name to Complainant,
even if prompted by Complainant's demand letter, is further evidence of
Pop Data's bad faith intent to profit from this domain name.
In light of Pillus' refusal to submit the purchase documentation,
the Panel infers that Pillus was well aware of the dispute between Complainant
and Pop Data and acquired the name from Pop Data for the sole purpose of
selling it to Complainant at a profit. The fact that there are other
Plaza Hotels around the world does not excuse Pillus' conduct. That
a number of parties may own trademark rights in this mark does not mean
that Pillus, a party without any such rights, can register the plazahotel.com
domain name and then decide which of the trademark owners to sell it to.
Policies referred to
Rules for Uniform Domain Name Dispute Resolution Policy
Supplemental Rules for Uniform Domain Name Dispute Resolution Policy
Uniform Domain Name Dispute Resolution Policy
Registration Agreements referred to
--
Cases referred to
--
Panel Decision referred to
CRS Technology Corporation v. CondeNet, Inc., File No. FA#0002000093547
(NAF Mar. 28, 2000)
Pet Warehouse v. Pets.Com, Inc., Case No. D2000-0105 (WIPO Apr. 13,
2000)
Quixtar Investments, Inc. v. Scott A. Smithberger and QUIXTAR-IBO, Case
No. D2000-0138 (WIPO Apr. 19, 2000)
Bernstein, Panelist: -
The Domain Name and Registrar
The domain name at issue is plazahotel.com. This domain name is
registered with Network Solutions, Inc. ("NSI").
The Parties
The complainant is Plaza Operating Partners, Ltd. ("Plaza"), a corporation
with its principal place of business in New York, New York. The Respondents
are Pop Data Technologies, Inc. ("Pop Data"), a business entity with an
address at 486 Sunrise Highway, Rockville Centre, New York, and Joseph
Pillus ("Pillus"), an individual with an address at P.O. Box 10, Mount
Sinai, New York. Mr. Pillus is the sole shareholder of Port Jefferson
Asset Management Corp., a business entity that is not a party to this proceeding.
Procedural History
The Complainant initiated this proceeding by filing a Complaint by e-mail
with the World Intellectual Property Organization Arbitration and Mediation
Center (the "Center") on March 15, 2000. On March 20, 2000, the Center
received a hard copy of the Complaint. After confirming that the
Complaint satisfied the Rules for Uniform Domain Name Dispute Resolution
Policy (the "Rules"), the Center sent Respondents notice of the commencement
of this proceeding on March 22, 2000. The deadline for filing Responses
was set for April 10, 2000.
On April 4, 2000, Respondent Pillus requested a two-week extension of
time to file a response. The following day, the Center acknowledged
his request and asked Pillus to confer with the Complainant to see if Complainant
would consent to an extension. On April 7, 2000, Complainant stipulated
to, and the Center approved, an extension for Pillus until April 23, 2000
to file his response. See Rule 5(d). Pillus submitted a timely response
on April 21, 2000.
Meanwhile, on April 10, 2000, the original deadline for a response,
Respondent Pop Data also requested a two-week extension of time.
Through an oversight on the part of the Center, this request was not noticed
until several weeks later and was thus neither granted nor denied.
On April 24, 2000, Pop Data submitted its Response, two weeks after the
initial deadline. The Center acknowledged this submission and noted
that, because it was submitted after the deadline, the Panel would decide
in its sole discretion whether to consider this late submission.
On May 5, 2000, without seeking permission from the Panel, the Complainant
submitted a reply to Respondents' Responses (the "Reply").
On May 8, 2000, the Center appointed David H. Bernstein as the sole
Panelist. On May 10, 2000, the Panel received from the Center the
case file, which was sent by overnight courier. On May 11, 2000,
the Panel issued the following Interim Order:
Pursuant to Rule 12, the Panel hereby requests a further statement from
each party addressing the two issues discussed below. Such further
statements shall be delivered to the Center via email by 10 a.m., Eastern
Daylight Time, on Monday, May 15, 2000. The statements shall be limited
to seven double spaced pages, not including exhibits. Exhibits not
available in electronic form shall be faxed to the Center, with hard copies
to follow by courier. The Panel will disregard in their entirety
any late filed or over long submissions.
1. Timeliness and Number of Submissions. Rule 5(a) requires
a respondent to submit its response within 20 days of the commencement
of the proceedings. That time period may be extended upon consent
or upon a showing of exceptional circumstances. Rule 5(d).
The Rules make no provision for any reply by complainant. See Rule
12.
In this case, both of the respondents requested an extension of time
for the submission of their responses. The Center acknowledged respondent
Pillus' request and, upon the consent of complainant, granted an extension
until April 23, 2000. Respondent Pillus submitted his response on
April 21, 2000, within the time allotted.
Through inadvertence, the Center overlooked respondent Pop Data Technologies,
Inc.'s request for an extension. Thus, the Center never acknowledged
receipt of the request, nor did the Center ask whether complainant also
consented to this request.
Under these circumstances, respondent Pop Data may have been confused
into believing that its time to respond was extended, like that of Respondent
Pillus', to April 23, 2000. Even if that were the case, though, Pop
Data's response was untimely, as it was submitted on April 24, 2000.
The lateness of this response constitutes a technical default, which allows
the Panel to draw such inferences as it considers appropriate. Rule
14(b). . . .
[O]n May 5, 2000, complainant submitted a nine page reply with fifteen
exhibits, which measures about a half an inch in thickness.
Before addressing the merits of this dispute, the Panel requests that
the parties address whether they believe the Panel should accept respondent
Pop Data's late response and complainant's unauthorized reply and, if so,
whether to allow any further submissions and on what schedule. In
this connection, respondent Pop Data may want to address why its response
was submitted late, and complainant may want to address why this is an
exceptional case that justifies a reply. Moreover, if the Panel accepts
complainant's reply, fairness may require that respondents be given an
opportunity to submit a sur-reply, although any such sur-reply must be
limited solely to new matter raised in the reply.
2. Owner of Domain Name. This case is unusual in that there
are two respondents. The registrar of the domain name at issue, Network
Solutions, Inc., has confirmed to the Center that Pop Data is the owner
of the domain name. Pop Data, though, alleges that it sold the domain
name. In one part of its response, it states that it sold the name
to Port Jefferson Asset Management Corp. on February 29, 2000; later, it
alleges that it sold the domain name to Pillus. Pillus, without providing
any details concerning his acquisition of the domain name or his relationship,
if any, to Port Jefferson Asset Management Corp., alleges that he is the
owner of the domain name.
The Panel hereby requests that the respondents explain the chain of
ownership of the domain name, and provide to the Panel a copy of all documents
related to the transfer, assignment and/or sale of the domain name.
These should include, without limitation, any agreements among Pop Data,
Pillus, and any other parties for the transfer of the name, any indemnification
agreements among those parties, any Registrant Name Change Agreement or
other document submitted to Network Solutions, and any document in which
Pillus has agreed to the Network Solutions Service Agreement (see Complaint,
Ex. B). If Pillus asserts that he has not agreed to the Network Solutions
Service Agreement, the Panel asks that Pillus indicate whether he consents
to submit himself to the jurisdiction of this Panel and to operation of
the Rules and the ICANN Uniform Domain Name Dispute Resolution Policy (the
"Policy"). If, as it appears, Pillus did purchase the domain name
prior to the filing of the complaint, the Parties also should address whether
both of the respondents properly are before the Panel, and whose conduct
should be considered in determining whether the respondent(s) had a legitimate
interest and/or used and registered the domain name in bad faith.
On May 15, 2000, Complainant and Pillus each filed a submission pursuant
to the Interim Order. On May 16, 2000, the Panel issued the following
Scheduling Order:
On May 11, 2000, the Panel invoked Rule 12 and requested (the "Request")
a further statement from each party addressing two issues: (1) whether
to accept respondent Pop Data Technologies' late Response and Complainant's
Reply to the Respondents' Responses; and (2) the identity of the owner
of the domain name plazahotel.com, with full details regarding its transfer
from Pop Data to Joseph Pillus. These statements were due by 10 a.m.,
Eastern Daylight Time, on Monday, May 15, 2000.
Complainant submitted a timely statement, which the Center forwarded
to the Panel on May 15. Pillus submitted a statement late in the
day on May 15, with the explanation that Pillus' statement was late because
his counsel (to whom the Request was sent) was out of the country and only
returned on the afternoon of May 15. Because Pillus' statement was
not received by the Center until long after the close of business in Geneva,
it was not forwarded to the Panel until the morning of May 16. On
the basis of good cause shown, and because there is no prejudice in the
acceptance of this late-filed statement, the Panel accepts Pillus' statement.
Pop Data did not submit any statement.
Having considered the statements, the Panel has determined that it does
not need any further submissions from the parties. The record for
this arbitration is hereby closed. Should there be any new developments
that a party believes warrants submission of a further statement or document,
the party first shall seek leave from the Panel, with an explanation of
the reasons it seeks to supplement the record.
Given that the Panel has received Pillus statement today, the decision
date for this matter is hereby reset for two weeks from today. Rules
10(c), 15(a). The Panel expects to render its decision by May 30,
2000.
On May 22, 2000, Respondent Pop Data filed a submission in response
to the Panel's May 11 Interim Order. Pop Data explained that its
submission was late because it did not receive the Interim Order from the
Center by fax, which was its preferred method of communication; instead,
the Interim Order was sent by email to an address that Pop Data checks
infrequently.
In its submission, Pop Data recounted the history of its communications
with Complainant and with Pillus, the purchaser of the domain name.
Although Pop Data said that the "bill of sale" was "attached," no such
document was submitted to the Panel. On May 25, 2000, the Panel requested
that Pop Data submit a copy of the bill of sale. Pop Data never responded
to this request and never submitted a copy of the "bill of sale."
Procedural Rulings
1. Pop Data's Late Responses.
As a preliminary matter, the Panel must determine whether to accept
Pop Data's initial April 24, 2000 Response. Barring exceptional circumstances,
a respondent must normally submit a Response within twenty days of the
commencement of the proceedings. Rule 5(a). That time period
may be extended upon consent or upon a showing of exceptional circumstances.
Rule 5(d).
Both of the Respondents in this case requested an extension of time
for the submission of their replies. The Center acknowledged Pillus'
request and granted an extension until April 23, 2000 after Complainant
so stipulated. Through inadvertence, though, the Center overlooked
Pop Data's request for an extension. The Center neither acknowledged
the request nor asked Complainant whether it would stipulate to such an
extension.
Given the lack of any response from the Center, Pop Data may have been
confused into believing that its time to respond was extended with Pillus'
to April 23, 2000, or perhaps to April 24, 2000, which was the extension
that it requested. Under these circumstances, and given the Rules'
admonition that "the Panel shall ensure that the Parties are treated with
equality and that each Party is given a fair opportunity to present its
case," Rule 10(b), principals of fairness dictate that the Panel accept
the April 24 Response.
The Panel also believes it appropriate to accept Pop Data's May 22 submission,
which was filed in response to the Panel's Interim Order. In its
initial April 24 Response, Pop Data expressly requested that all notices
be sent to it by fax rather than email. See Rules 2(b), 5(b)(iii).
Because the Center erroneously sent the Interim Order to Pop Data only
by email, Pop Data should not be penalized for its late receipt of the
Order and its resulting late response.
Pop Data can claim no similar excuses for its failure to submit with
its May 22 statement the additional documents the Panel requested (including
the bill of sale and any other documents related to the sale of the domain
name) or its subsequent failure to respond to the Panel's May 25, 2000
request (sent by fax) that Pop Data submit a copy of the bill of sale discussed
in its response. Accordingly, pursuant to Rule 14(b) and given Pop
Data's failure to comply with the Panel's request, the Panel "shall draw
such inferences therefrom as it considers appropriate."
2. Complainant's Reply.
Rule 12 unambiguously provides that only the Panel may request further
submissions: "In addition to the complaint and the response, the
Panel may request, in its sole discretion, further statements or documents
from either of the Parties." There is no provision in the Rules for
a party to file an additional submission without leave of the Panel.
Although litigants and parties in arbitrations may have a right of reply
under the rules of other forums, ICANN chose a different procedure for
these proceedings that calls for only a Complaint and a Response.
Among other things, this more truncated procedure allows for more rapid
and cost effective resolution of domain name challenges. See CRS
Technology Corporation v. CondeNet, Inc., File No. FA#0002000093547 (NAF
Mar. 28, 2000). At the same time, ICANN provided the Panel with the
flexibility to seek additional submissions if the Panel feels that it can
not rule on the record submitted.
If a Party wishes to submit a supplemental submission, the better practice
under the Rules would be to first seek consent from the Panel, with an
explanation of why a supplemental submission is warranted. Appropriate
reasons may include the existence of new, pertinent facts that did not
arise until after the submission of the Complaint, or the desire to bring
new, relevant legal authority to the attention of the Panel. E.g
, Pet Warehouse v. Pets.Com, Inc., Case No. D2000-0105 (WIPO Apr. 13, 2000).
The Panel would then be in a position quickly to rule on the request and,
if it determines that a supplemental submission is warranted, set a schedule
that is fair to both parties and provides each party with an opportunity
to supplement the record. This procedure also would save the Parties
the expense of preparing responses the Panel decides not to accept.
In this case, Complainant simply submitted its reply without seeking
prior permission from the Panel. To its credit, Complainant did acknowledge
in its reply that acceptance of the reply was at the sole discretion of
the Panel. It also explained why it believed a reply was justified:
to clarify the record given its belief that Respondents misstated the law
and mischaracterized the facts, and to place before the Panel two new decisions
issued under the Rules that it believed were relevant to the issues in
this case.
Although there may be factual or legal misstatements so egregious as
to justify a reply, the Panel concludes that no such misconduct occurred
in this case. To the extent the Parties have different interpretations
of the law, the Panel is fully capable of reading the relevant authorities
and drawing its own conclusions as to the proper interpretation of the
law and rules. Similarly, the Panel is able to determine whether
United States trademark registrations cited by the Respondent (which noticeably
did not include an indication of their status, or even an application or
registration number) are cancelled or abandoned through its own review
of the U.S. Patent and Trademark Office website. None of the other
factual allegations submitted in Complainant's reply (such as information
about concurrent users of the trademark PLAZA HOTEL in distant, limited
territories) constitutes new facts that were not available at the time
of the Complaint. The Complainant should have anticipated that these
facts might be relevant to the Panel's consideration, and thus should have
included them in its initial Complaint.
Complainant's second argument - that a reply was warranted to place
before the Panel new legal authority handed down after Complainant submitted
its Complaint - has more merit. To be fair, though, and avoid the
need for argument and sur-replies, the most appropriate procedure in such
circumstances is merely to submit the new authority to the Panel without
any accompanying legal argument. See Pet Warehouse v. Pets.Com, Inc.,
Case No. D2000?0105 (WIPO Apr. 13, 2000).
For these reasons, the Panel has decided not to accept the text of the
reply filed by Complainant, and has not relied on that material in reaching
this decision. The Panel will accept, however, the additional
decisions that the Complainant appended to its reply that were issued after
the submission of the Complaint.
Factual Background
The following facts, taken from the Complaint, Responses, and publicly
available documents on the Internet, are not disputed.
Complainant owns the Plaza Hotel, a famous hotel and landmark in New
York City. In its near century of existence, the Plaza Hotel has
been the subject of many positive reviews and articles, and has been featured
in literature and films. Although Complainant has shown that it is
the owner of trademark registrations for the marks THE PLAZA (for hotel
and restaurant services and various goods), THE PLAZA COLLECTION (for goods),
and YOUNG PLAZA AMBASSADORS (for clothing and entertainment services),
there is little question but that Complainant also has established common
law rights in the mark THE PLAZA HOTEL.
Pop Data registered plazahotel.com with NSI on September 27, 1996.
The domain name has never been used for any purpose.
On October 28, 1999 and again on February 2, 2000, Complainant wrote
to Pop Data to demand the transfer of the plazahotel.com domain name.
During discussions on February 8 and 10, 2000, Pop Data's president, Scott
Miller, refused to transfer the domain name unless Complainant would purchase
it for $10,000. Mr. Miller threatened that, if Complainant refused
to purchase the domain name, Pop Data might sell it to another party.
Complainant did not purchase the domain name from Pop Data.
Pop Data apparently made good on its threat. On February 29, 2000,
it sold the domain name to Port Jefferson Asset Management Corp. for an
undisclosed sum; Port Jefferson in turn transferred or sold the domain
name to its owner, Joseph Pillus. Later that day, Pillus contacted
Complainant and advised that he had, in fact, purchased the domain name
from Pop Data for an undisclosed sum. Although he claimed to have
relatives in Belgium who owned a hotel with "Plaza" in the name, Pillus
indicated that he was willing to sell the name to Complainant. On
March 1, 2000, after Complainant sent Pillus copies of its correspondence
with Pop Data, Pillus offered to sell the domain name for $575,000.
Complainant rejected that demand and, instead, filed the instant proceeding.
Jurisdictional Conclusions
As noted in the Panel's Interim Order, one interesting issue raised
by this dispute is whether both Respondents have agreed to the jurisdiction
of this Panel.
WIPO, as an accredited provider under the Rules, does not have jurisdiction
over a party unless the party has agreed to be subject to these proceedings.
Although registrants of domain names in the .com generic top-level domain
("gTLD") have agreed, through their registration agreements, to submit
to the jurisdiction of these ICANN proceedings, the Panel cannot reach
parties who have not so agreed. See Quixtar Investments, Inc. v.
Scott A. Smithberger and QUIXTAR-IBO, Case No. D2000-0138 (WIPO Apr.
19, 2000).
Pop Data claims in its response that it is not properly before the Panel
because it no longer has an interest in the domain name plazahotel.com.
Although both Pop Data and Pillus agree that Pop Data sold the domain name
to Pillus on February 29, 2000, NSI still lists Pop Data as the owner of
the domain name. In these circumstances, although Pop Data may have
signed a document selling its rights in the domain name, it is clear that
Pop Data remains a necessary party to these proceedings and, by virtue
of its registration agreement with NSI, properly is before this Panel.
Pillus, in contrast, is not listed by NSI as an owner of the domain
name, and has not submitted to this Panel a signed copy of a registration
agreement in which he consents to the jurisdiction of ICANN Panels.
Nevertheless, Pillus asserts that he is the owner of the domain name, and,
through his participation in these proceedings, voluntarily has agreed
to subject himself to this Panel's jurisdiction. Given Pillus' voluntary
submission to the Panel's jurisdiction, the Panel concludes that it does
have jurisdiction over Pillus, and that Pillus properly is before the Panel.
Discussion
In order to succeed in its claim, Complainant must demonstrate that
all of the elements enumerated in Paragraph 4(a) of the Policy have been
satisfied:
i. the domain name in dispute is identical or confusingly similar to
a trademark or service mark in which the Complainant has rights;
ii. the Respondent has no rights or legitimate interests with respect
to the disputed domain name; and
iii. the domain name has been registered and is being used in bad faith.
1. Similarity of the Mark and Domain Name.
This first factor contains two elements: first, does the Complainant
have rights in a relevant mark, and second, is the domain name identical
or confusingly similar to that mark. The Panel concludes that Complainant
has satisfied its burden on both parts of this factor.
Complainant has submitted persuasive evidence that it owns the famous
mark THE PLAZA for use in hotel and restaurant services and assorted merchandise.
Complainant also has submitted documentary evidence showing that its hotel
is sometimes referred to as THE PLAZA HOTEL including, it appears, on the
brass "Historic Landmark" plaque affixed to the hotel. That Complainant
does not own a trademark registration for PLAZA HOTEL is immaterial as
use of the designation THE PLAZA HOTEL in commerce is sufficient to establish
common law trademark rights in that mark.
Complainant also has satisfied its burden of proving that the domain
name plazahotel.com is confusingly similar to the mark THE PLAZA HOTEL.
The only difference between the domain name (not including the ".com" gTLD)
and the mark is the word "the." There thus can be no dispute but
that the domain name is confusingly similar to Complainant's mark.
2. Respondent Has No Legitimate Interest in the Domain Name.
Given the participation of two Respondents in this case, an interesting
issue is which Respondent's interest is relevant to determining whether
the interest is legitimate - Pop Data, the original registrant, or Pillus,
the recent purchaser. Because the Panel concludes that neither party
has a legitimate interest in this name, the Panel need not reach this issue
in this case.
Pop Data asserts as its legitimate interest that it registered this
domain name so that it could offer it for sale to a prospective client
of its web building services. Pop Data states that it actually did
pitch this name to the head of catering for an unidentified hotel.
If the domain name at issue were a generic domain name, like hotel.com
or hotelcatering.com, Pop Data's arguments might hold water. But
the domain name here is not a generic word. Rather, the domain name
incorporates the famous PLAZA HOTEL trademark. In these circumstances,
and given the absence of evidence that Pop Data's clients included hotels
with the word "Plaza" in their name, the Panel finds that Pop Data's effort
to interest another hotel in the plazahotel.com domain name evidences an
illegitimate interest - trademark infringement.
Pillus' assertion of legitimacy fairs no better. In his discussions
with Complainant, Pillus asserted that he has relatives in Belgium who
own a hotel with the word "Plaza" in the name. In the absence of
concrete evidence of facts such as the truthfulness of that unsworn statement,
his relationship with these unidentified relatives, and proof that he was
acting on their behalf, this assertion is not credible and not entitled
to any weight by the Panel. Moreover, any argument that Pillus acquired
this name for the benefit of his relatives is directly undercut by Pillus'
subsequent statement in the Response that he "has not yet decided how he
would intends [sic] to use the domain name."
For all these reasons, the Panel finds that both Respondents lack any
legitimate interest in the domain name plazahotel.com.
3. Respondent Registered and Used the Domain Name in Bad Faith.
As with the issue of legitimacy of interest, an interesting issue here
is whether the Panel should focus on Pop Data or Pillus in determining
whether the name was registered and used in bad faith. Again, because
both Respondents exhibited bad faith, the Panel need not reach that issue
in this proceeding.
Pop Data registered the domain name in 1996 and, for nearly four years,
never developed a website. When it did attempt to interest a client
in the domain name, it approached a client in the hotel catering business
- a venture that, if successful, likely would have resulted in consumer
confusion. This alone is evidence of bad faith. Policy 4(b)(4).
Pop Data's subsequent offer to sell the domain name to Complainant, even
if prompted by Complainant's demand letter, is further evidence of Pop
Data's bad faith intent to profit from this domain name. Policy 4(b)(i).
Pillus' bad faith is even more palpable. In light of his refusal
to submit the purchase documentation requested by the Panel, the Panel
infers that Pillus was well aware of the dispute between Complainant and
Pop Data and acquired the name from Pop Data for the sole purpose of selling
it to Complainant at a profit. Indeed, immediately after his acquisition
of the domain name, he offered to sell the domain name to Complainant for
the staggering sum of $575,000 (which, the Panel infers, is far, far greater
than his out of pocket acquisition costs). This is classic cyberpiracy
and the epitome of bad faith. Id.
Pillus tries to avoid this finding by arguing that there are dozens
of "Plaza Hotels" worldwide, and thus his purchase of the name was not
in bad faith. That fact, which the Panel credits, does not excuse
Pillus' conduct. That a number of parties may own trademark rights
in this mark does not mean that Pillus, a party without any such rights,
can register the plazahotel.com domain name and then decide which of the
trademark owners to sell it to.
In sum, the Panel finds that both of Pop Data and Pillus registered
and used this domain name in bad faith.
Decision
For all of the foregoing reasons, the Panel finds that the domain name
plazahotel.com is confusingly similar to Complainant's mark THE PLAZA HOTEL,
that Respondents Pop Data and Joseph Pillus have no rights or legitimate
interests in respect of the domain name, and that the Complainant has adequately
demonstrated that Respondents registered and used the domain name in bad
faith. Accordingly, the Panel orders that the registration of the
domain name plazahotel.com be transferred to the Complainant.
David H. Bernstein
Presiding Panelist
Dated: June 1, 2000
Domain
Name Transferred
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