18(c) What operating rules will you adopt to eliminate or minimize social costs?

Prototypical answer:

i. Given the nature of the applied-for gTLD and its mission and purpose, Applicant considers it unlikely that there will be multiple applications for a particular domain name in the applied-for gTLD.

In line with the Applicant’s mission and purpose for the applied-for gTLD, it is important for the Applicant to safeguard and protect its brand at the top level of the DNS’ hierarchy. Such protection does not only extend to the actual registration, delegation and use of the gTLD, but also to the domain names that are registered therein, and how these domain names are used.

Following the delegation of the applied-for gTLD, the gTLD is likely going to be a so-called “single registrant TLD” as contemplated by ICANN in Article 4.5 of the template Registry Operator Agreement. While the Applicant has not fully determined the exact types of domain names to be registered and the exact use of such domain names, the Applicant nonetheless initially contemplates a single registrant TLD. For the avoidance of doubt, a “single registrant TLD” is a TLD where “(i) all domain name registrations in the TLD are registered to, and maintained by, Registry Operator for its own exclusive use, and (ii) Registry Operator does not sell, distribute or transfer control or use of any registrations in the TLD to any third party that is not an Affiliate of Registry Operator.” The term “Affiliate” has been defined in Article 2.9 (c) of the draft Registry Operator Agreement as follows:“a person or entity that, directly or indirectly, through one or more intermediaries, controls, or is controlled by, or is under common control with, the person or entity specified.”

As a result, it is unlikely that there will be multiple applications for a particular domain name. There will also likely be no social costs for third parties, given the fact that they will be unable to register domain names in the applied-for gTLD in any event.

Over time, if the Applicant determines, at its sole discretion, that it will allow certain categories of additional stakeholders to register domain names in the applied-for gTLD, the Applicant will devise policies to that effect. The Applicant reserves the right to subject the registration or use of a domain name to internal approval processes and procedures at each and every step of the domain name life cycle.

If the Applicant allows certain categories of stakeholders to register domain names in the applied-for gTLD, it will release available domain names in a highly controlled manner. This also reduces the likelihood that two or more applicants qualify for the registration of the same domain name in the applied-for gTLD.

As a method of last resort, and subject to the actual domain name registration policy adopted by the Registry Operator and in force at the time of registration, domain names will be allocated on a first-come, first-served basis.

In any event, the Applicant reserves the right to change or restrict any policies, procedures and practices at any point if it is of the opinion that there would be a risk of damage to the reputation of the Applicant’s brand.

ii. The Applicant ⁄ Registry Operator intends to implement cost benefits for registrations by, at the outset, making the applied-for gTLD available to qualifying domain name registrants at no cost to them. However, if necessary as the gTLD develops over time, the Applicant ⁄ Registry Operator may, at its discretion, charge a fee to its stakeholders for the registration of domain names under the applied-for gTLD.

iii. The Applicant ⁄ Registry Operator may, at its discretion, make contractual commitments to implement, increase, or decrease the fees for the registration of domain names under the applied-for gTLD.

Similar gTLD applications: (4)