Domain Name Escrow
What is a domain?
If the Internet is a web of highways running through cyberspace, your domain is where you live or work and your domain name is the address of your home or business on the net. Every time you email someone or look up a website, you are using a domain name. Each domain and each domain name is unique. While more than one person can “live” on one website, that website is the exclusive property of it’s owner, just like your house is your exclusive property, although title may be shared with a spouse or the bank.
Domain names are common language addresses corresponding to your domain, consisting of a string of words separated by a dot (.) and usually containing some word that represents you or your business and indicates the type of information someone might find there.
When you walk into a shop with a large donut or bagel sign outside and pictures of coffee cups in the window, you expect to find a coffee shop. Domain names work the same way. You don’t hang a bagel sign over a garage, for instance, or a tow truck sign over a flower store. In this sense, domain names are also your advertising sign and may include the name of your business.
This makes domains and domain names valuable. You don’t want someone else stealing your domain or your domain name. Remember the old saying: Location, location, location? You want to protect that domain and its name the way you would protect the most marketable corner lot when putting up your business or the way you would protect the name or logo you use in your business.
HOW CAN GREENBERG & LIEBERMAN HELP YOU MAKE CERTAIN THAT THERE ARE NO ISSUES WHEN YOU ARE INVOLVED IN A DOMAIN NAME TRANSACTION?
When you are ready to buy that corner lot and put up a business, you usually meet with a lawyer to help you with the transaction. The lawyer, often referred to as a “qualified intermediary,” will, review all legal documents associated with the transaction, confirming that they comply with the relevant law, satisfies himself that both parties understand the agreement into which they are entering, and depending on the terms of the agreement, may hold onto the asset(s) and / or the money that are part and parcel of the transaction, until the terms of the contract have been complied with and / or the deed is safely in your hands. If the lawyer is required to hold assets or money he holds them in trust (often called escrow), in specially labeled accounts just for that purpose. Greenberg & Lieberman (G&L) has domain name accounts at over 40 registrars and an IOLTA account specifically designed for this purpose. Further, as a law firm client all non-public information not shared with third parties is attorney-client privilege thus protecting your privacy rights associated with your transaction(s).
How do I use the Law firm’s online portal to start a transaction?
First, the seller or buyer (“initiator”) sets up an account (if they do not have one already) and enters the basic terms of the agreement and if required upload the transaction documents to the portal.
Second, the other party(s) (“responder(s)” are notified that a transaction has been setup and are invited to log in, setup an account if he or she does not have one already and to review the terms stated by the initiator.
If the responders agree to the terms then he may click the accept button. If he does not then he may modify the terms after which the initiator is notified of the change in terms to which he may accept, thus moving the transaction forward or further modify.
Third, once the parties have all agreed to the terms of contract then the transaction may move forward. How the transaction moves forward will of course be based on the terms. Often the purchaser will transfer funds to G&L to hold pending the transfer of the domain name(s) to the purchaser. In other transactions, G&L will hold funds and domain names. Sometimes, G&L will hold funds pending a title search on the domain names(s) and the transaction may not move forward until ownership is confirmed. In other instances leans must be paid off and releases obtained prior to the completion of the transaction. There are of course an endless number of permutations of possible transaction terms. Let G&L assist you with crafting the right transaction for your situation.
YOU SHOULD USE GREENBERG & LIEBERMAN FOR ALL OF YOUR TRANSACTIONS BECAUSE WE ARE THE RIGHT CHOICE.
At Greenberg & Lieberman our success relies on our ability to get your deals closed. With one of the nation’s most experienced domain name / Internet law firms — we have the expertise and resources that get your transaction to the finish line.
Every transaction is important, and each deal unique. Regardless of size or complexity, we offer the skill, expertise, products and services you need to close your deal, all from one portal.