After PPC and Domain Tasting, we probably have the next popular word in the domain industry – “Domain Name Front Running”
What is it?
When the domain name of interest for which an availability check is made is registered shortly after such a check, the individuals making the availability check may reasonably assume that the organization operating the web site or service they used to determine the availability of the name preemptively registered the name. Registrants have filed complaints with ICANN, registrars, and with Intellectual Property attorneys that suggest domain name front running incidents may have occurred. This practice by registrars is called Domain Name Front Running.
The ICANN Security and Stability Advisory Committee (SSAC) recently conducted a investigation into this Domain Name Front Running and has found various instances where registrars and other domain related companies are taking part in this unethical and maybe illegal activity.
According to a report published by SSAC – “SSAC observes that there does not appear to be a strong set of standards and practices to conclude whether monitoring availability checks is an acceptable or unacceptable practice.”
Where does this term come from?
During the latter half of the 19th century, certain settlers to what is now the southwestern region of the United States devised ways to preemptively file or jump a claim on a parcel of land prior to the official start of land runs established following the Indian Appropriation Act of 1889. Preemptive claim filing was also common during the North American Gold Rushes of this period. Settlers and miners who engaged in claim jumping shared several common characteristics: they had access to information (surveys, maps, geology reports), information holders (engineers, cartographers, territorial officials), or the land itself that allowed them to speculate and choose which land was most valuable
Why would anyone resort to this practice?
Several possible incentives have been suggested to SSAC as motivations to engage in domain name front running. One possibility is that a domain name that is of interest to one or more Internet users has potential for domain name monetization. A second possibility is that a domain of interest to an Internet user may have a commodity value in a secondary (resale) market; in particular, the domain name front runner might seek to sell the domain name registration to the party whose queries prompted the preemptive registration of that domain name.
Alternative explanations have also been suggested. Apparent instances of domain namefront running may be mere coincidence or a consequence of domain name tasting. Domain name tasting usually occurs during the 5 day Add Grace Period (AGP) so that the taster can cancel domain names deemed to be unprofitable before the AGP expires and recover the cost of registration. In any given month, over a million domain names can be tested for their potential to be profitable for monetization, and there is a reasonable chance that some of these names may coincide with names that have been subject to some form of a domain name availability check during that month.
There have been various allegations against registrars and domain name service providers from their users (an example is the recent disclosure under public pressure that Network Solutions had taken part in this practice for some time now – Check the story here)
