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[bc-gnso] more background for BC comments at Public Forum

  • To: bc - GNSO list <bc-gnso@xxxxxxxxx>
  • Subject: [bc-gnso] more background for BC comments at Public Forum
  • From: Steve DelBianco <sdelbianco@xxxxxxxxxxxxx>
  • Date: Thu, 15 Mar 2012 14:52:51 +0000

Public forum topics are here<http://costarica43.icann.org/node/29713> and 
listed below.
ICANN Acting in the Public Interest
Document Availability and Scheduling of ICANN Meetings
Conflicts of Interest
Implementation issues for new gLD rollout
Contract Compliance

Attached and below is the BC's Feb-27 letter with implementation improvements 
for new gTLD program

27-February-2012

To: Dr. Stephen Crocker
Chair, ICANN Board of Directors

Mr. Rod Beckstrom
CEO & President, ICANN

ICANN’s Business Constituency (BC) sees much to gain from a well-executed 
expansion of top-level domains.  But we also worry that there is much to lose 
if this expansion fails to meet ICANN’s commitment to improve trust and choice 
among global Internet users.

This letter follows our Chair’s letter of January 4, 2012, where we asked ICANN 
to note that implementation improvements should be addressed before strings are 
added to the root.  We noted that the BC has raised these concerns before and 
that we fully support the ICANN model and process. This letter describes the 
BC’s priority improvements for the new gTLD program.

The current trajectory of the new gTLD program raises critical concerns that 
can and should be addressed during implementation. This letter defines those 
concerns and offers specific recommendations to help the new gTLD plan fulfill 
its promises and avoid predictable problems. The BC believes that failure to 
address these concerns will put at-risk the multi-stakeholder governance model 
we so strongly support.

Implementation Improvements:

1) Ensure that ICANN can enforce all registry restrictions and commitments made 
to potential objectors.  Perhaps the most important promise ICANN made to the 
GAC and to its government representatives was to allow early warnings and 
objections to proposed TLDs that may offend cultural, religious or national 
sensibilities. However, the BC is concerned that the planned process won't 
empower ICANN to deliver on that promise.

While ICANN is asking governments and other stakeholders to base their response 
to proposed strings on the proposed terms in the application, those terms won't 
actually be enforceable unless they are included as part of the formal Registry 
Agreement.  This raises the risk that for some applicants, promised 
restrictions on registrants or uses of domain names could be ignored after 
their applications are approved. That would leave ICANN with little leverage to 
hold TLD operators to the restrictions that were relied upon to satisfy 
governments and other potential objectors.

This loophole should be closed before the first applications are accepted, or 
ICANN risks breaking a critical promise made to governments that are already 
skeptical of the multi-stakeholder model.

2) Ensure that this gTLD expansion includes TLDs serving multiple languages and 
scripts. Internationalized domain names (IDNs) are the major benefit ICANN has 
promised to global Internet users, as required in the Affirmation of 
Commitments.  Of all the new gTLDs that will be created in this expansion, IDNs 
have the greatest potential to serve the next billion global Internet users, 
most of whom don't use the Latin alphabet as their primary script for reading 
and writing.

However, based on current activity in the new gTLD applicant community, it 
appears that IDN applications may represent only a small fraction of the total 
applicant pool, thereby leaving underserved linguistic groups behind.   It 
would be a missed opportunity—even a broken promise—if global users did not see 
multiple new IDN domains emerge from this first round of applications.  The BC 
and other ICANN stakeholders have offered proposals to increase IDNs in this 
round, but ICANN’s board and management have thus far shown little interest.

2.1) Aside from efforts to assist financially disadvantaged applicants, ICANN 
should also explore incentives and other ways to encourage applicants to offer 
additional versions of their gTLD in underserved scripts and languages.   ICANN 
staff has long acknowledged cost savings of consolidating applicant and 
technical evaluations for applicants who propose multiple versions of their 
gTLD.  These cost savings could be shared with applicants as an incentive to 
serve smaller linguistic communities that might not otherwise be served.

2.2) In the evaluation process, applicants who propose multiple language and 
IDN strings should not be penalized by strict string similarity tests that 
prevent additional linguistic versions of their own gTLD.

ICANN must take seriously its commitment to serve global Internet users.  IDN 
prioritization will help underserved Internet users and the governments that 
represent them at the UN.

3) Rights protection measures (RPMs) must be monitored and adjusted for 
effectiveness.  If an RPM is working effectively, it should be extended; if an 
RPM is not effective, ICANN must be prepared to adjust or expand the measure.

The issue of rights protection and fraud prevention has been a centerpiece of 
the new gTLD debate, and still dominates discussion about the program outside 
of the ICANN community.  The Internet ecosystem includes businesses – large and 
small – that are driving e-commerce and online services. Those businesses 
should be supporting an expansion of domains to serve global registrants and 
users.  But many businesses are not supportive of ICANN’s new gTLD program, and 
some want to stop the expansion altogether.

The ICANN community developed a suite of RPMs to minimize costs of defensive 
registrations and mitigate the risk of fraud and abuse in new gTLDs.  But most 
of these new RPMs are untested and must therefore be closely monitored and 
adjusted to improve their effectiveness.  Here are several improvements that 
can and should be explored:

3.1) Manage the Trademark (TM) Clearinghouse centrally, to ensure standardized 
streamlined submission processes for those trademark holders using it.

3.2) Require TM claims notices at all times. Trademark claims notices — based 
on strings in the Trademark Clearinghouse database – are only required for 60 
days after the launch of each new gTLD.   If TM notices are effective at 
reducing abusive registrations, it makes no sense to stop giving these notices 
once a gTLD is 60 days old.  If TM claims are working as expected, ICANN should 
require them to continue indefinitely.

3.3) Require a standardized Sunrise approach to minimize the confusion and 
costs to registrants to participate in Sunrise in multiple gTLDs.

3.4) Extend Sunrise for new gTLDs for a mandatory 60 days.  Single-registant 
TLDs could be excluded from this requirement.

3.5) Operate the Uniform Rapid Suspension (URS) process initially as a sole 
vendor, supervised by ICANN.   Monitor the disposition of URS cases to 
determine whether names subject to a URS are rapidly re-registered by others. 
If this is the case, additional measures should be taken, such as making these 
names ineligible for future registration. Create sanctions for accredited 
registrars/resellers who violate such lists.

3.6) Successful URS complainants should have option to transfer or suspend the 
name, and such names should generate TM Claims Notice for subsequent 
registrations.

3.7) If required RPMs are not effective in preventing cybersquatting and 
fraudulent registrations in new gTLDs, ICANN should be ready to implement 
additional RPMs based on the TM Clearinghouse.

4) Amend the Registrar Accreditation Agreement (RAA) for registrars 
distributing names in new gTLDS.  With all the focus on new registry 
agreements, the new gTLD program missed the opportunity to strengthen ICANN's 
contractual agreements with registrars who will sell and manage names in new 
TLDs.  When millions of new registrants enter the market, it is registrars — 
not registries — they will be dealing with. New TLDs are just as important for 
registrars as for registries, especially now that cross-ownership and vertical 
integration are permitted.

With the benefit of hindsight, the ICANN community probably should have pushed 
for an improved registrar agreement as a requirement to sell names in new TLDs. 
 But it is not too late to create a new registrar agreement—one that 
incorporates the consensus recommendations of law enforcement agencies from 
around the world.

Citing urgency to address law enforcement issues, ICANN’s Board adopted a 
resolution in Dakar directing RAA negotiations to commence immediately.   While 
ICANN has a protective and often prolonged process for amending existing 
contracts like the RAA, these negotiations can quickly generate a new RAA 
covering new gTLDs.

ICANN should require registrars to comply with the amended RAA in order to gain 
accreditation to distribute names in new gTLDs.   At a minimum, ICANN should 
encourage each new gTLD registry to require this improved RAA for any registrar 
distributing or managing its domain names.

5) Review the criteria for community facing TLDs to avoid sending such 
applications to auction mechanisms, particularly for non-profit and charitable 
organizations.

6) Review the conditions under which a trademark name might end up being sent 
to auction mechanisms.

7) Require validation of WHOIS data for new gTLDs.

8) Add a “do not register” or “registry block” service based on the Trademark 
Clearinghouse, allowing any trademark holder to pay a one time fee to 
permanently prevent registration of names that are an identical match or 
include the identical match trademark name.
The fee per name should be a one time fee that covers all new gTLDs through a 
database of ‘reserve names’.  Operate this service for two years, then evaluate 
its continuation.

9) Improve and modify the Communications Plan to focus more on information and 
education about mechanisms for those who do not want to operate a gTLD registry.

10) Board has committed to second Round after a trademark study which would 
start 1 year after 75 new gTLDs in the root.   The dates can be contingent on 
first round milestones and adjustments, but the commitment must be firm enough 
to show potential applicants that they can obtain a gTLD soon enough to match 
competitors or participate in emerging trends.


The above improvements are achievable within the present implementation plan 
for new gTLDs.

We fully understand that the ICANN community, staff and Board have become 
fatigued with the new gTLD process. But now is not the time to stand back and 
let the TLD chips fall where they may.

Governments and stakeholders who support ICANN’s role will also hold ICANN to 
its promises to maximize global benefits and minimize harms to registrants and 
users.  As we saw in Dakar, it does not suffice to tell governments or other 
stakeholders with legitimate concerns that ICANN enforcement is constrained to 
its Guidebook, or that improvements to new registrar agreements must go through 
a protracted Policy Development Process.  Much of the process that needs to 
change is in the arena of implementation, and ICANN staff can work with the 
community to affect these improvements to the gTLD Guidebook.

All stakeholders have options to pursue other means if ICANN does not provide 
effective and responsive mechanisms to address their concerns.  The BC goal is 
to ensure that ICANN is the relevant space to work on effective safeguards for 
those who would otherwise bear significant financial and resource costs in the 
introduction of new gTLDs.

The BC has supported a responsible, managed introduction of new gTLDs, but we 
do so with a commitment that effective protections are in place for registrants 
and trademark holders, in full recognition of the concerns raised by 
governments and law enforcement.  We are committed to working with ICANN, the 
GAC, and with other stakeholders to achieve improvements that are essential to 
addressing the concerns of trademark holders regarding defensive registrations, 
and other key elements of the Guidebook.



Marilyn S. Cade
Chair, Business Constituency

Attachment: BC request for implementation improvements.pdf
Description: BC request for implementation improvements.pdf



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