9th Circuit Hears Cybersquatting Case Against GoDaddy

SAN FRANCISCO — An appeals court panel yesterday heard the novel claim of "contributory cybersquatting" brought against GoDaddy.com by a Malaysian national oil company after traffic to domain names that included the company's trademark was redirected to a porn site.

Petronas, formally known as Petroliam Nasional Berhad, appealed to the 9th U.S. Circuit Court of Appeals after a lower court granted summary judgment to the domain registrar, which was sued for monetary damages and attorney fees for cybersquatting, or at least a claim of contributory cybersquatting.

In its suit, Petronas said it complained to GoDaddy over two websites, PetronasTower.net and PetronasTowers.net, that were alleged to have cybersquatted on its name. But it was not until Petronas obtained two separate court orders that GoDaddy stopped forwarding traffic for those domains to CamFunChat.com.

The appeals court previously ruled in a 1999 case, Lockheed vs. Network Solutions, which decided that domain name registrars are immune from liability for cybersquatting.

But Petronas' counsel argued to the appellate panel that the case covers only domain name registration — not the forwarding service at issue where multiple domains are redirected to a single website. Registration is different from domain name forwarding, Petronas counsel Perry Clark told the panel.

But GoDaddy attorney John Slafsky said there's no distinction between the two and imposing liability would cause extreme disruption to current Internet systems and processes. With more than 200 million domain names, registrars can't police every trademark dispute, GoDaddy states.

Slafsky also argued to the panel that the Anti-Cybersquatting Consumer Protection Act of 1999 doesn't say anything about contributory infringement,

"No appellate court has ever recognized such a claim," he said. "To the extent such a claim exists, and we don't know that it does, there is no basis in this record for such a claim."

GoDaddy's position all along is that Petronas should direct its complaints for damages to the operator of CamFunChat.

With more than 200 million domain names in the world, registrars like GoDaddy can't police every trademark dispute, the company says.

The 9th Circuit panel said they would take both sides' arguments under submission.

An audio recording of yesterday's hearing at the 9th Circuit is available here.

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Adult Web Hosting Service 'QloudHost' Launches

QloudHost, a new web hosting service for adult websites, has launched.

Peter Hooke Launches New Paysite

Peter Hooke has launched an official website through PAYSITE.

Pineapple Support Names Ny Ny Lew as Brand Ambassador

Pineapple Support has named Ny Ny Lew as its newest brand ambassador.

Federal AV Proposal Passes House, Faces Senate Opposition

The U.S. House of Representatives on Monday passed the Kids Internet and Digital Safety (KIDS) Act, which includes provisions to make age verification by adult websites federal law, but the bill still faces tough going in the Senate.

Devin Drills Launches New Paysite

Creator Devin Drills has launched an official website through PAYSITE.

AV Bulletin: Midyear Roundup

Since the U.S. Supreme Court’s decision in Free Speech Coalition v. Paxton, more state age verification laws have been enacted around the United States, as well as proposed at the federal level and in other countries. Meanwhile, lawsuits resulting from AV laws have begun to play out in the courts. This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Judge Dismisses Last NCOSE-Backed Suit Over Kansas AV Law

A federal judge on Monday dismissed a lawsuit alleging that adult site SuperPorn violated Kansas’ age verification law, citing lack of jurisdiction after similarly dismissing two related cases earlier this year.

ASACP Updates 'Restricted to Adults' Labeling Resource Page

The Association of Sites Advocating Child Protection (ASACP) has updated its Restricted to Adults (RTA) labeling resource page.

Federal AV Proposal Scores Minor Win in House but Remains in Doubt

A newly announced bipartisan agreement in the U.S. House of Representatives Committee on Energy and Commerce may soon bring a proposed federal age verification law before the full House, but the measure continues to face an uphill battle.

Arizona Governor Vetoes 'Protect Act' With New Consent Provisions

Arizona Governor Kate Hobbs on Friday vetoed HB 2133, the “Protect Act,” which would have imposed new requirements for adult content uploaded online.

Show More