Cybersquatting is the use of a company's name in a domain when the intent is to make money from that name. This often happens when a cybersquatter buys a domain before the company has a chance to and then tries to sell it to that company. The law was passed in 1999 to prevent this type of predatory behavior.
The original intent of the law was to keep businesses safe from unscrupulous cybersquatting in a time when many businesses did not yet have an online presence. Unfortunately, cybersquatting legislation is now being used by companies and individuals who simply don't like anyone using their name for any reason at all- even if the reason is not profit.
Companies like Dell, Verizon
and eBay
have been using cybersquatting law to shut down websites that have the name of their company as part of the domain name. This sometimes happens when the site in question is a phishing site that is attempting to use the company's name to deceive the public, but in many instances, it has also being done to shut down sites that are parodying the company or talking about it in some way.
Though cybersquatting law was not meant to cover those instances, the money at the disposal of these large companies means that they usually win by intimidating site owners or by hiring high-priced lawyers. Until additional legislation is passed that specifically prohibits companies from using strong-arm tactics to get legitimate sites taken down, the intimidation will likely continue.
