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 © 2025 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

X3 Expo Pops Off With All-Star Lineup

A wave of excited fans cascaded down Sunset Blvd., cresting and breaking with anticipation as they flowed into the historic Hollywood Palladium, where the A-list echelon of the adult world stood ready to greet them, pose with them, chat them up, and showcase the latest in spicy entertainment, as the 2025 X3 Expo popped off.

XBIZ Honors Uplifts Spirits Amid Challenging Times for LA and the Adult Industry

"A bunch of misfit toys." That’s how MojoHost founder Brad Mitchell described himself and his industry peers at the 2025 XBIZ Honors ceremony at Hollywood’s Kimpton Everly Hotel. Everyone cheered in agreement. Frankly, they wouldn’t have it any other way.

Kansas Sues Adult Website Operator Under AV Law

Kansas Attorney General Kris Kobach has filed suit against SARJ LLC, alleging that the company’s adult websites have failed to implement age verification as mandated by state law.

Judge Pauses FSC Lawsuit Over Florida AV Law

A U.S. district court judge has paused Free Speech Coalition’s lawsuit over Florida’s age verification law, pending the Supreme Court's ruling in the FSC-led challenge to Texas’ age verification law, HB 1181.

Barry Loves Boobs Launches New Paysite

Barry Loves Boobs has announced the launch of its new membership site.

Will Co. Wins Legal Battle Against Pirate Sites

After a nearly four-year court battle, Japanese adult entertainment producer Will Co. has been awarded $4.5 million in damages and ownership of domains formerly belonging to the operator of now-shuttered MissAV.com and other high-traffic pirate sites.

Indiana AG Sends Cease and Desist Letters to Adult Sites Over AV

Indiana Attorney General Todd Rokita sent several cease and desist letters to adult websites Wednesday, accusing them of failing to comply with the state’s age verification law.

Ofcom Releases Age Assurance Guidelines

U.K. communications regulator Ofcom released on Thursday its finalized official guidance on what constitutes “highly effective” age assurance, which adult sites are required to implement under the U.K.’s Online Safety Act (OSA).

Supreme Court Hears Pivotal Texas AV Case

The U.S. Supreme Court on Wednesday heard oral arguments in Free Speech Coalition v. Paxton, the case challenging Texas’ controversial age verification law, HB 1181.

SexLikeReal Launches New Brand 'SLR For Women'

SexLikeReal has launched its newest studio brand, SLR For Women, on its VR streaming platform.

Show More