| gTLD | Full Legal Name | E-mail suffix | Detail | | .art | Dadotart, Inc. | deviantart.com | View |
18.3.1 What operating rules will you adopt to eliminate or minimize social costs (e.g., time or financial resource costs, as well as various types of consumer vulnerabilities)?
Dadotart believes the proposed operating rules that undertake to initially reserve key names including trademarks, as well as its proposed policies on eligibility, name selection and name use will provide clarity and predictability to name registration, thereby reducing social costs. In full operation the .ART gTLD will provide a trusted online environment for the arts community. There should be no need for other trademark and brand owners to defensively register in the gTLD. This verified eco-system also provides consumers with a single trusted source for arts information and communication. Dadotart also believes that the safeguards set forth in the Applicant Guidebook and the proposed business modeled outlined in Sections 18.1 and 18.1.2 and the policies planned and noted in 18.2.4 will minimize and potential negative social costs.
18.3.2 What other steps will you take to minimize negative consequences⁄costs imposed upon consumers?
Dadotart believes that the proposed operation of the .ART gTLD as set forth in this application has no known negative consequences or cost implications for consumers. To the contrary, the proposed operation of this registry will likely lead to direct and quantifiable benefits to consumers. Dadotart believes that by following the core values as identified in Section 18.2 it will be able provide real value to the consumer and minimize any potential negative consequences⁄costs.
More particularly, the three phases of PAB creation, pre-launch, and launch and ongoing registration of the .ART gTLD are designed to minimize social costs and negative externalities. They protect potential registrants and potentially affected parties while maximizing the value of the name space to its registrants and users.
This approach is based on the premise that extensive screening efforts by the registry in the early stages will create a fair and orderly name space with lower compliance costs in the long term.
18.3.3 How will multiple applications for a particular domain name be resolved, for example, by auction or on a first-come⁄first-serve basis?
In phases and areas where the first-come-first-served principle tends to yield perverse results, alternative modes will be used.
(1) In the PAB creation phase community research will identify names to be entered into reserved lists and the rules by which they will be allocated;
(2) In the pre-launch phase key portal names of use to the entire community will be registered and used for communication and outreach; and
(3) A launch phase led by protection for and registration by trademark holders and those eligible to hold names on reserved lists.
It is anticipated that the pre-launch portal development program identified in (2) above will involve key participants in the Art Community. The portal development program will allocate domain names based on an open and transparent project selection process. This process is highly economical in terms of social costs and yields substantial external benefits.
The portal development program is an essential part of .ART outreach. It begins before delegation of the TLD. In terms of workload and it mainly affects proposers who themselves are required to demonstrate support for their projects. Support will be required to come from the segment of the community concerned with the respective portion of the name space. Given the high value of the resulting on-line resources for the community and the public interest, and given the economic benefits that can be derived from their operation, the administrative effort is largely justified. To further protect affected parties, all adjudications in name space mandates have a safety-valve clause, allowing for later adjustments based on community input. The principle of the safety-valve is that affected parties can obtain adjustments to a component of a mandate if they propose (and commit to) an improved use of the underlying domain names from a public interest perspective.
The launch programs referred to in (3) above combine the so-called “sunrise” and “landrush” processes simultaneously in one phase. The use of domain applications instead of domain registrations means that the registry accepts multiple applications the same domain name. (By contrast, only a single registration can exist for a given domain.) In this way, contention resolution can take place without time pressure in a transparent, fair and orderly manner.
At the time of ongoing registration the first-come rule will be followed. Registrations will be checked in a post-validation process and subject to an enforcement program based on statistically targeted random investigation and complaint follow-up. This program minimizes both costs to registrants and third parties. In particular, it strongly diminishes the attractiveness of rights violations, abuse or malignant behavior. Having been preceded by a controlled launch phase, the validation and enforcement workload faces no resource bottleneck and thus achieves a high degree of credibility, further dissuading abuse from the start. This mode of operation has a strong positive side effect in the interest of trademark holders.
18.3.3 How will multiple applications for a particular domain name be resolved, for example, by auction or on a first-come⁄first-serve basis?
As described below, during pre-launch and launch phase, the first-come-first-served principle is NOT applied. Adjudication by auction is one of the solutions available to the parties in the context of the contention resolution process. In the phase of ongoing registrations the first-come⁄first-served basis of name allocation will be followed, unless the name is one that is on a reserved list, in which case the allocation rules applicable to that list will be followed.
In phases and areas where the first-come-first-served principle tends to yield perverse results, alternative modes will be used.
(1) In the PAB creation phase community research will identify names to be entered into reserved lists and the rules by which they will be allocated;
(2) In the pre-launch phase key portal names of use to the entire community will be registered and used for communication and outreach; and
A launch phase led by protection for and registration by trademark holders and those eligible to hold names on reserved lists.
It is anticipated that the pre-launch portal development program identified in (2) above will involve builders and users in the Art community. The portal development program will allocate domain names based on an open and transparent project selection process. This process is highly economical in terms of social costs and yields substantial external benefits.
The portal development program is an essential part of .Art outreach. It begins before delegation of the TLD. In terms of workload, it mainly affects proposers who themselves are required to demonstrate support for their projects. Support will be required to come from the segment of the community concerned with the respective portion of the name space. Given the high value of the resulting on-line resources for the community and the public interest, and given the economic benefits that can be derived from their operation, the administrative effort is largely justified. To further protect affected parties, all adjudications in name space mandates have a safety-valve clause, allowing for later adjustments based on community input. The principle of the safety-valve is that affected parties can obtain adjustments to a component of a mandate if they propose (and commit to) an improved use of the underlying domain names from a public interest perspective.
The launch programs referred to in (3) above combine the so-called “sunrise” and “landrush” processes simultaneously in one phase. The use of domain applications instead of domain registrations means that the registry accepts multiple applications the same domain name. (By contrast, only a single registration can exist for a given domain.) In this way, contention resolution can take place without time pressure in a transparent, fair and orderly manner.
At the time of ongoing registration the first-com rule will be followed. Registrations will be checked in a post-validation process and subject to an enforcement program based on statistically targeted random investigation and complaint follow-up. This program minimizes both costs to registrants and third parties. In particular, it strongly diminishes the attractiveness of rights violations, abuse or malignant behaviour. Having been preceded by a controlled launch phase, the validation and enforcement workload faces no resource bottleneck and thus achieves a high degree of credibility, further dissuading abuse from the start. This mode of operation has a strong positive side effect in the interest of trademark holders.
18.3.4 Explain any cost benefits for registrants you intend to implement (e.g., advantageous pricing, introductory discounts, bulk registration discounts).
The focus of the .ART gTLD is a competitive cost to registrants and stakeholders that takes into account the limited community nature of the gTLD. This takes into account all burdens, including the effort needed to register or the potential alternative cost to obtain a name on the secondary market. The direct per-unit cost is merely a component of the bottom-line cost.
The cost is greatly reduced by avoiding contention between legitimate community-based applicants and speculators. Community-specific promotion code programs will be used from time to time to offer registrations at low cost. This is a way to avoid perverse effects of low prices, such as speculation with ultimately high costs to registrants, large-scale confusion and waste of the name space, or cybersquatting.
The portal development program will have special terms in order ensure that key portions of name space are used in the public interest.
18.3.5 Note that the Registry Agreement requires that registrars be offered the option to obtain initial domain name registrations for periods of one to ten years at the discretion of the registrar, but no greater than ten years. Additionally, the Registry Agreement requires advance written notice of price increases. Do you intend to make contractual commitments to registrants regarding the magnitude of price escalation? If so, please describe your plans.
The .ART TLD will not be based on or otherwise involve contractual clauses regarding price escalation between the .ART Registry and its registrars.
The .ART business plan is designed to avoid any future necessity to increase registry price in real terms. The fundamental principle is prudence: starting from conservative price levels that allow self-sustainability at the registration levels projected and gradually lowering prices as registration volumes increase beyond the minimum necessary for self-sustained operation. This method ensures sufficient financial reserves, favors optimal allocation of domain names, helps prevent misuse and supports an orderly registration process.
| gTLD | Full Legal Name | E-mail suffix | Detail | | .scot | Dot Scot Registry Limited | corenic.org | View |
Q18 c) - operating rules
The Pre-launch, Launch and General Availability phases of the .scot TLD are designed to minimize social costs and negative externalities.
The community-based approach of the .scot TLD (please see answers to Q20 below for more details), with its rules for Eligibility, Name Selection, Accepted Use and vigorous Enforcement practices (see answer to Q29 below for additional details) ensure that trademark owners and other right holders will not face the usual costs of monitoring, and defending against abuses. Nor would they feel impelled to defensively register their names, identities, products, services or brands in the .scot TLD to prevent abuses.
The .scot Registry will furthermore implement vigorous and comprehensive general malicious conduct (see answer to Q28 below for additional details) prevention and mitigation policies to minimize the number, importance and effects of abuses harming the general users.
The different registration phases protect potential registrants and potentially affected parties while maximizing the value of the name space to its registrants and users.
This approach is based on the premise that extensive screening efforts by the Registry in the early stages will create a fair and orderly name space with lower compliance costs in the long term.
In phases and areas where the first-come-first-served principle tends to yield perverse results, alternative modes are used. These include:
1) A pioneer name program and name space mandate program. These programs adjudicate domain names based on an open and transparent project selection process. This process is highly economical in terms of social costs and yields substantial external benefits.
The pioneer name and name space mandate programs are part of the .scot TLD outreach program. It begins before delegation of the TLD. In terms of workload, it mainly affects proposers who themselves are required to demonstrate support for their projects. Support will be required to come from the segment of the community concerned with the respective portion of the name space. Given the high value of the resulting on-line resources for the community and the public interest, and given the economic benefits that can be derived from their operation, the administrative effort is largely justified.
To further protect affected parties, all adjudications in this phase have a safety-valve clause, allowing for later adjustments based on community input. The principle of the safety-valve is that affected parties can obtain adjustments to a component of a mandate if they propose (and commit to) an improved use of the underlying domain names from a public interest perspective.
2) Launch phase: there will be a long, single launch phase (simultaneous sunrise and landrush) based on domain applications. Domain applications are not domain registrations: multiple applications are accepted for any domain name. (By contrast, only a single registration can exist for a given domain.)
All applications are published on the Whois service. Applicants mark their prior rights, if any, in the application. There are four categories: entities
that do have a role in the promotion of the Scottish community’s public interest and welfare; trademarks; legal entities with their legal seat in Scotland; and no prior rights.
For a given domain, the highest priority applications will be validated with respect to the claimed priority right. If there is more than one application for the same domain in a given category (or subcategory), a contention resolution process begins. The contention resolution process allows agreement between contenders (withdrawal and refund of application)and auctions as a mechanism of last resort.
The agreement or auction are the most effective solution for the affected parties. These options are designed to promote quiet resolution at minimal effort, the lowest social costs, and the highest public benefits while protecting individual stakeholders from excessive burdens.
Answers to enumerated question points:
c) i. How will multiple applications for a particular domain name be resolved, for example, by auction or on a first-come⁄first- serve basis?
As described above, during pre-launch and launch phase, the first-come⁄first-served principle is NOT applied. If there is more than one application for the same domain in a given category (or subcategory), a contention resolution process begins. The contention resolution process allows agreement between contenders(withdrawal and refund of application), random selection (if all contenders agree), mediation and arbitration and, as a tie-breaker of last resort, auction.
c) ii. Explain any cost benefits for registrants you intend to implement (e.g., advantageous pricing, introductory discounts, bulk registration discounts).
The focus of the .scot TLD is bottom-line cost to registrants and stakeholders, not the direct per-unit cost. The bottom-line cost is greatly reduced thanks to avoiding contention between legitimate community-based applicants and speculators.
Dotscot intends to operate with maximum flexibility to suit the marketplace, commensurate with industry norms. This will include discounts and other benefits such as:
◦ Discounts for long-term registrations with the discount increasing in line with the term;
◦ volume discounts using a stage-gate discount scheme;
◦ advantageous pricing for social-economy organisations and registered charities
c) iii. Note that the Registry Agreement requires that registrars be offered the option to obtain initial domain name registrations for periods of one to ten years at the discretion of the registrar, but no greater than ten years. Additionally, the Registry Agreement requires advance written notice of price increases. Do you intend to make contractual commitments to registrants regarding the magnitude of price escalation? If so, please describe your plans.
dotScot Registry Limited is committed to provide domain name registration services in accordance with the requirements, notices and periods set forth in the Registry Agreement. Dotscot intends to contractually commit to limiting price escalation to no more than Retail Price Index (RPI) plus 5%. This represents a maximum amount which would only be called upon should the economic situation demand it. It is fervently hoped by Dotscot that we will be able, once sales patterns stabilise, to reduce domain costs significantly over time. It is anticipated that this price reduction programme will be enacted from the end of Year three of operation.
The .scot TLD will be based on predictability regarding pricing. The .scot Registry-Registrar Agreement will not contain specific or non-standard clauses regarding price escalation between the .scot Registry and its registrars.
The .scot TLD business plan is designed to avoid any future necessity to increase Registry price in real terms. The fundamental principle is prudence: starting from conservative price levels and gradually lowering them. This method ensures sufficient financial reserves, favours optimal allocation of domain names, helps prevent misuse and supports an orderly registration process.