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Newsletter - Volume 53, June 2010

Scandal Causes Suspension of 74,000 .eu Domain Names

EURid, the organization that administers the .eu domain names, filed a lawsuit against 400 American registrars, and suspended 74,000 .eu domain names, after accusations of "warehousing." Registrars are only permitted to purchase domain names on behalf of their customers, but they allegedly were speculatively buying .eu domain names for resale at a higher price. EURid claims that three companies, Ovidio Ltd., Fausto Ltd. and Gabino Ltd., held all of the domain names that were suspended, and were also acting as a front for a number of registrars. While these domain names are "on hold," legitimate purchasers of .eu domains have not been affected. Proceedings on the lawsuit are scheduled to begin in October.
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