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18(c) What operating rules will you adopt to eliminate or minimize social costs?

gTLDFull Legal NameE-mail suffixDetail
.MERCKMerck Registry Holdings, Inc.fairwindspartners.comView
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)?

MRH has proposed operating rules to limit registration to MRH and potentially qualified subsidiaries and affiliates and will provide a trusted online environment for end-users.

Therefore, one way in which social costs will be eliminated is that there will be no defensive need for other trademark and brand owners to register second-level domains in the .MERCK gTLD. In addition, the .MERCK gTLD will provide end-users with a trusted source for MRH information, goods, and services.

18.3.2 What other steps will you take to minimize negative consequences⁄costs imposed upon consumers?

MRH believes that the proposed operation of the .MERCK gTLD as set forth in this application has no known negative consequences or cost implications to end users. On the contrary, the proposed operation of this registry will likely lead to direct and quantifiable benefits to end users.

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?

MRH does not envision multiple applicants for the same domain name, as domain names will only be allocated to its parent company, MSD, and potentially MSD’s qualified subsidiaries and affiliates.

18.3.4 Explain any cost benefits for registrants you intend to implement (e.g., advantageous pricing, introductory discounts, bulk registration discounts).

MRH does not envision any advantageous pricing, introductory discounts, or bulk registration discounts at this time because these marketing⁄commercial initiatives are inconsistent with the mission and purpose of the .MERCK gTLD as a trusted online source identifier for MSD, and potentially its qualified subsidiaries and affiliates.

Moreover, it is the current intention of MSD to have MRH provide domain name registrations initially at no cost, at least for the first five years of operation.

However, the company reserves the right to reevaluate this decision and may choose to impose a fee in the future. Any potential registrant fees imposed upon licensees or strategic parties will be commensurate with commercial agreements and made if this class of registrants is permitted to register domain names in the .MERCK gTLD.

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.

MRH is committed to providing the domain name registration periods set forth in the Registry Agreement. Moreover, it is the current intention of MSD to have MRH provide domain name registrations initially at no cost, at least for the first five years of operation. Therefore, providing contractual commitments in a domain name Registrant Agreement regarding the magnitude of price escalations does not seem relevant or appropriate. MRH acknowledges that the current template Registry Agreement requires that the Registry Operator “shall offer registrars the option to obtain registration periods for one to ten years at the discretion of the registrar.”

MRH acknowledges that the current template Registry Agreement requires that the Registry Operator “shall offer registrars the option to obtain registration periods for one to ten years at the discretion of the registrar.” However, MSD, as the sole registrant within the .MERCK gTLD, intends to only register domain names on an annual basis through a single registrar.

This is done to better account for costs on an annual basis as well as to provide for more concise financial statements in Question 46, (e.g., no multi-year registration or deferred revenue).
gTLDFull Legal NameE-mail suffixDetail
.BOFANMS Services, Inc.fairwindspartners.comView
18.3 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)? What other steps will you take to minimize negative consequences⁄costs imposed upon consumers?

NMS Servicesʹ proposed operating rules to limit registration to Bank of America and its qualified subsidiaries, affiliates, and business units will provide a trusted online environment for consumers of Bank of America’s information, goods, and services. Therefore, NMS Services will minimize social costs by eliminating the need for third-party brand owners to defensively register their trademark in the .BOFA gTLD, unlike other open registries. In addition, the .BOFA gTLD will provide consumers with a trusted source for Bank of America’s information, goods, and services without the risk of fraud, misdirection, infringement, phishing, malware, and other scams that consumers are plagued with in .COM and other open gTLDs.

18.3.1 What other steps will you take to minimize negative consequences⁄costs imposed upon consumers?

NMS Services believes that the proposed operation of the .BOFA gTLD as set forth in this application has no known negative consequences or cost implications to consumers. On the contrary, the proposed operation of this registry will likely lead to consumer benefits.

18.3.2 How will multiple applications for a particular domain name be resolved, for example, by auction or on a first-come⁄first serve basis?

NMS Services does not envision multiple applicants for the same domain name, as domain names will initially only be registered to Bank of America and its qualified subsidiaries, affiliates, and business units.

18.3.3 Explain any cost benefits for registrants you intend to implement (e.g., advantageous pricing, introductory discounts, bulk registration discounts).

NMS Services does not envision any advantageous pricing, introductory discounts, or bulk registration discounts because it will not be marketing or creating commercial initiatives for the sale of .BOFA domain names. Its intention is to use the gTLD as a recognizable, trusted, virtual platform offering Bank of Americaʹs and its qualified subsidiaries’, affiliates’ and business units’ content, goods, and services to customers and Internet users. Any potential registrant fees imposed upon licensees and strategic partners will be made in the future if this class of registrants are permitted to register domain names in the .BOFA gTLD.

18.3.4 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.

NMS Services is committed to providing the domain name registration periods set forth in the Registry Agreement. As a .BRAND gTLD, the use of any .BOFA domain names is conditioned upon a subsidiary or affiliate relationship with Bank of America. Therefore, there is a natural incentive for NMS Services to provide domain names with minimal price escalations and the maximum flexibility in domain registration terms possible under ICANN rules. Understanding the ownership of .BOFA domains as noted previously, contractual commitments in a domain name registrant agreement regarding the magnitude of price escalations are not relevant or appropriate. That said, the .BOFA domain agreements will be in accordance with all ICANN requirements.