Legal proceedings between auDA and accredited registrar Domain Directors Pty Ltd have been finalised, with Domain Directors paying $27,500 in net amount of costs to auDA.
On 3 November 2008, auDA investigated Domain Directors’ eligibility to hold the domain name auregistry.com.au, under the Domain Name Eligibility and Allocation Policy Rules for the Open 2LDs (2008-05). In accordance with its standard “warranty check” process, auDA requested Domain Directors to provide details of its eligibility and when no response was received, the domain name was placed into ‘pending delete’.
On 18 November 2008, Domain Directors commenced legal proceedings against auDA in the Supreme Court of Queensland. On 21 November 2008, in order to ensure the integrity of its investigation process, auDA decided to reinstate the domain name and recommence the warranty check. However, Domain Directors continued the proceedings and changed the basis of its claim.
On 25 November 2008, auDA again requested Domain Directors to provide details of its eligibility to hold auregistry.com.au. Once Domain Directors provided the requested information and auDA had completed the warranty check, auDA confirmed Domain Directors’ eligibility to hold auregistry.com.au.
Whilst it was open to Domain Directors to bring proceedings against auDA when the domain name was placed into pending delete, Dutney J of the Supreme Court of Queensland found that there was “no legitimate basis” for Domain Directors to continue its proceedings after auDA had reinstated the domain name and recommenced the warranty check.
The court ordered auDA to pay Domain Directors’ costs for the period 18-21 November 2008, and Domain Directors to pay auDA’s costs from 22 November 2008. As a result, Domain Directors has now paid $27,500 in net amount of costs to auDA.
Refer to Transcript of Proceedings.