The registration of a domain name that is the same as another person's trade mark, thereby preventing the competitor from using his trade mark for the purpose of on-line activity, commits the commercial wrong of unfair interference. A recent judgment of the District Court of Tel Aviv has applied the tort to the Internet world for the first time.
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In the first decision of its type, in Cellcom Israel Ltd v. T.M. Aquanet Computer Communications Ltd et al, the Tel Aviv District Court considered the relationship between trademarks and Internet domain names. The decision's result was the same as in the majority of cases in the USA - the registered trademark owner emerged with the upper hand.
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The District Court of Tel Aviv awarded the force of a judgment to an understanding reached in the first Israeli dispute relating to domain names. Yahoo Israel undertook to stop using the name "Yahoo" within 24 hours and to transfer to Yahoo! Inc. all the rights in the domain name and in the trademark registration applications filed by it. The understanding ended the first Israeli domain names dispute.
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