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VeriSign's SiteFinder & ICANN Contracts--A Second Opinion
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And there are also disreputable used car sellers that turn back the odometer on a used car to make it look more like new... and then there is the case of "new" cars been driven by employees with the odometer disconnected. All of which is considered fraud and a criminal offense in many parts of the world.
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State laws draw very firm lines around the uses that a new car dealer may make of its inventory, use beyond those lines removes the car in question from the "new" category.
Verisign, by making use of names, which leaves residual effects of lingering incorrect resource records in DNS resolvers all over the net, as well as captured information in web caches and search engines, is engaged in a practice that amounts to misrepresenting that the names that it is selling are untained items.
I do believe that Verisign's practice runs the risk of being found to constitute criminal fraud on those consumers who purchase domain names in .com and .net. All the classical elements of fraud seem to be there - there is a knowing misrepresentation by Verisign regarding the virginity of the name, that misrepresentation is certainly a material fact, and in nearly all cases the buyer is relying upon that misrepresentation to his/her detriment.
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