Microcenter.ai Domain Loses UDRP Lawsuit, Ordered to Transfer to Micro Electronics

Recently, Micro Electronics, Inc., the technology company holding the MICRO CENTER trademark and operating microcenter.com, filed a UDRP lawsuit against the Microcenter.ai domain registered in 2024 and ultimately won, being ordered to transfer the domain.

Microcenter.ai Domain Loses UDRP Lawsuit, Ordered to Transfer to Micro Electronics

It is understood that Micro Electronics’ MICRO CENTER trademark has a long history, with its .com domain registration dating back to 1989, and enjoys high brand recognition in the US market. The disputed Microcenter.ai domain not only closely resembles the trademark (only the suffix is ​​different) but also exhibits clear malicious use: after being parked, it displayed paid search links pointing to the complainant’s direct competitors, and at one point resolved to a fake “Windows Defender / Trojan spyware” lock screen page, allegedly deceiving users.

Although the respondent raised multiple defenses—arguing that the .ai and .com domains have different target audiences and industries; that the PPC links were controlled by GoDaddy’s algorithm rather than by the respondent; that ICANN allowed the domain to be suspended indefinitely under “development”; and that the plan to build a non-profit AI forum was not intended for malicious profit—all were rejected by the panel.

The panel clearly ruled that: the .ai suffix, when paired with a well-known technology trademark, cannot eliminate confusion; linking to competitors negates bona fide use; this case is governed by UDRP law, not ICANN standard terms; and that “profit” under the UDRP framework encompasses various interests, not just cash revenue. Based on the complainant’s trademark registration history and the respondent’s evidence of malicious use, the panel determined that the respondent had no legal rights to the domain and engaged in malicious registration and use.

Ultimately, according to the relevant UDRP rules, the Microcenter.ai domain was ordered to be transferred to the complainant, Micro Electronics, Inc., providing a typical reference for the protection of trademark rights in the AI ​​domain field.

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