Domains ARE Personal Property!



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work Solutions to transfer the domain to Cohen. Network Solutions did so without verifying the authenticity of the letter. Cohen went on to make $millions from a porn empire that was focused on the sex.com name.

Kremen sued and in 2001 a judge ordered Cohen to pay Kremen $65 million in damages. Cohen fled to Europe leaving Kremen little except a large home in Rancho Santa Fee. Kremen sued Network Solutions, but a federal judge in San Jose, California, rejected his claim saying that domain names are a form of intangible property not eligible for damages. Kremen appealed arguing theat Network Solutions should be held liable for damages despite the fact that he didn?t actually pay anything to register the domain in 1994, when web addresses were free.

The court agreed with Kremen that the company should be held liable under the Tort of Conversion, a statute under which damages can be assessed for contributing to the loss of property. ?Negligent or not, it was Network Solutions that gave away Kremen?s property? It would not be unfair to hold Network Solutions responsible.? Koziniski wrote.

The case now goes back to the San Jose federal district court who could assess damages against Network Solutions predicted to be in the tens of millions of dollars


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