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Lahoti v. Vericheck, Inc.
United States Court of Appeals for the Ninth Circuit
586 F.3d 1190 (2009)
Vericheck, Inc. (plaintiff) was a company that offered check verification, account verification, and other services. Its website was located at vericheck.net. David Lahoti (defendant) described himself as an internet entrepreneur. Lahoti registered the domain name vericheck.com. Vericheck sued Lahoti in federal district court under a number of laws, including the Anticybersquatting Consumer Protection Act (ACPA). Lahoti claimed that he had registered and used the domain name in good faith, offering him a safe harbor within the ACPA. The district court found that Lahoti had registered over 400 domain names of well-known companies, such as ebays.com. Vericheck.com redirected to Vericheck’s competitors. Lahoti also tried to sell the vericheck.com domain to Vericheck for $72,500. Lahoti also never tried to use Lahoti for any actual commercial venture. The district court ruled that Lahoti had acted in bad faith.
Rule of Law
Holding and Reasoning (Gould, J.)
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