auDA "grossly negligent" says domain registrar CEO

Stephen Withers
Monday, 20 April 2009 11:12

Business IT - Technology

"The turmoil in domains has caused confusion among domain holders - mostly businesses - as well as those companies reselling Bottle's services," Bloch said.

You could argue that auDA has done both groups - and Bloch's Netregistry - a favour. It may have prompted them to take a look at what they are being charged for domain names.

Bottle Domains is one of the most expensive registrars in Australia ($A99 for a .com.au name), according to whatsinaname.com.au, whereas Netregistry is the sixth cheapest ($44.95).

"We have already received many calls from confused customers asking for help and clarification, and many resellers have already transferred their business to us, unable to wait for the outcome of the court proceedings.

"This leaves auDA exposed to pay significant damages should the de-accreditation be permanently overturned by the courts, as much of the damage to Bottle is irreversible, regardless of the legal outcome.

"What that means for auDA financially - which runs a tightly balanced budget - and how a bankrupt administrator would impact the entire Australian domain industry, is anyone's guess," Bloch said.

One possibility is that the Federal Government would provide auDA with a financial bail out; another is that the industry body would quickly form a new policy and self-regulation body. Assuming that new body gained the Government's endorsement, ICANN would presumably follow suit.