New .CL registration and dispute resolution system

The so-called "New .CL Policies", intended to "update" the domain name registration and dispute resolution procedures in Chile, came into force on the first day of December.

These New Policies -as contained regulatory documents referred to as "New Regulations for the Operation of the CL Domain Name Registration" and ".CL Domain Name Dispute Resolution Policy"- follow NIC´s strategy to adapt its operations to globally developed practices on said matters, and which were discussed and agreed upon with the local Internet community with representation in the Domain Name and IP Number Council.

The changes to these matters are particularly relevant and may be summarized in three major.

1. .CL Domain Name Registration Procedure

Unlike the previous system allowing the existence of multiple applications (disputed) for a single domain name, reason by which awarding to the final holder thereof was put on a standby status, every domain name will be assigned immediately and contemporarily, as of December 1, upon payment of the registration fee.

The possibility of the participation of other ¨registrars¨, in addition to NIC Chile, which will continue to perform both the ¨registry¨ and ¨register¨ functions, is also contemplated.

2. Dispute Generation Mechanism

As a result of the new immediate registration system, any third parties affected may file domain name cancellation applications, the causes of which differ, depending on the timing of their filing, thus resulting in a scheme that is somehow the heir to its predecessor and which, to this effect, turned out to be successful.

Thus, the New Policies make the distinction between what may be referred to as a "regular" cancellation application, which must be filed within 30 days following registration of the objected to domain name, and be based on the "best interest", and a ¨special¨ cancellation application, which is not subject to any fixed filing deadline and must be based on the "abusive" nature of the objected to domain name. The new system only allows multiple cancellation applications as long as they are filed within 3o days following registration of the disputed domain ("regular" cancellation).

The aforementioned "special" cancellation classification, which is analogous - but not identical - to that as contemplated in the previous local system, and which originates in the UDRP, is broadened in two ways. On the one hand, it may be enforced upon an alleged "abusive use" of a domain name, with which the action ceases to be constrained as it is to date, to cases of "abusive registration". In addition, the basic requirement for this action - deceitful sameness or similarity between the disputed domain name and a mark or name of the petitioner - incorporates a new hypothesis, namely, incompatibility of the disputed domain name with any other expression to which the claimant holds precedent rights.

3. Dispute Resolution Procedure

A uniform dispute resolution procedure is established for the first time, thus putting an end to a system of heterogeneous procedures that were freely set by each one of the arbitrators appointed to settle disputes. In practice, there were as many procedures as there were arbitrators in NIC Chile arbitration board.

Following the system´s same standardization lines, a uniform fees for members of the arbitration body are set, fluctuating, as reported by NIC Chile, between one thousand and two thousand dollars of the United States of America, depending on the number of domain names involved, thus becoming similar to those applied by the WIPO.

The arbitration-preceding mediation stage, which was executed by NIC Chile, and whose effectiveness was of low statistical relevance, is also eliminated.

One of the most interesting changes from a practical viewpoint, is the incorporation of online arbitration via am electronic record mechanism that may be accessed by the parties to a dispute or their lawyers, as well as the arbitrator.

Finally, the New Policies also introduce a number of transitory provisions, as newly advertised by NIC Chile, intended to give continuity to the transition from one system to the other. Outstanding among them is, mainly, that all those disputes started prior to December 1, 3013, will be subject to the old registration and dispute resolution system.