Trademark Cyberpiracy Prevention Act Law and Legal Definition

Trademark Cyberpiracy Prevention Act is a federal law enacted in 1999, which authorizes a trademark owner to obtain a federal-court order transferring ownership of a domain name from a cyber-squatter to the trademark owner. The law requires the mark's owner to show that

(1) the mark and the domain name are identical or confusingly similar;

(2) the mark was distinctive when the domain name was first registered;

(3) the trademark's owner used the mark commercially before the domain name was registered; and

(4) the domain registrant acted in bad faith and intended to profit from the trademark's use.

Generally, registering a domain name with the intention to sell it to the trademark owner is an act of bad faith. However, if the defendant is able to provide a legitimate reason for the domain-name registration, the defendant may be allowed to keep the name.