Is cybersquatting a form of unfair competition?
Yes, cybersquatting is a form of unfair competition. Cyber squatting is when someone registers a domain name that is the same as, or very similar to, the trademark of a company. This confuses consumers and tricks them into visiting the wrong website. It also makes it difficult for the company to establish its online presence, as the cyber squatter is using the company’s brand to drive traffic to their website. In Washington, cybersquatting is prohibited under the Washington Business and Professions Code. The law states that it is unlawful to register a domain name that is misleading, confusing or is likely to cause consumer confusion, or is likely to create the false impression that the domain name owner is associated with, or sponsored by, a trademark holder. Cybersquatting is considered unfair competition because it takes away from the legitimate business of the trademark holder. It causes consumer confusion and dilutes the value of the trademark. Courts in Washington have awarded damages to trademark holders to compensate them for losses due to cybersquatting. Cyber squatting is an illegal activity that can have a significant negative impact on businesses. It is important for companies to understand the law in Washington and do what they can to protect their trademarks and prevent cybersquatting.
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