Registering an Internet domain name that sounds similar to a widely known company or product. For example, if fancy-shirts.com were a popular clothing site, a cybersquatter might register FancyShirtsClothing.com and hope to rank high on a search engine's results page, also by including related words in hidden tags of its Web pages. The site might sell a competitive product or make money from ads (see domain parking).Instead of registering similar-sounding names, cybersquatters might register the common misspellings of popular domain names (see URL hijacking).Anti-Cybersquatting: ACPA and UDRPIn 1999, the U.S. government passed the Anti-Cybersquatting Consumer Protection Act (ACPA), which enables trademark holders to obtain civil damages up to USD $100,000 from cybersquatters. While not directly outlawing cybersquatting, it was an attempt to improve the situation.Also in 1999, ICANN created the Uniform Domain-Name Dispute-Resolution Policy (UDRP) to resolve cybersquatting disputes. If not resolved, trademark holders may still take legal action under ACPA. For more information, visit www.icann.org/en/udrp/udrp.htm. See URL hijacking, page hijacking and domaining.
The registering of a domain name on the Internet in the hope of selling or licensing it at a profit to a person or entity who wishes to use it. If the domain name is identical or confusingly similar to a trademark used by that person or entity, the owner of the trademark has a cause of action against whoever registered and is holding on to the name. Also called cyberpiracy, domain name grabbing, and domain name piracy.