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Premium » Domain Name Acquisitions – Beware of Poisoned Chalices

April 3, 2017 Certain domain names, under specifics extensions, are considered as “premium” by their respective registries. This often leads to higher annual renewal fees, ranging from a low cost to several thousand euros.

This practice is either inexistent or marginal for most traditional gTLDs (.com, .net…) and ccTLDs (.fr,.de…). However, certain registries operating new gTLDs have adopted the practice of placing entire lists of domain names under a “premium” label, hence increasing their registration and renewal fees.

A person or company wishing to register a domain name is informed of the “premium” costs, if any, beforehand by his/her registrar and is able to make an informed decision. However, it will not always be the case for domain name acquisitions from third-parties on the domain names secondary market. Recently, the buyer of the domain name dl.tv was surprised to learn that the domain name he purchased five months previously had an annual renewal fee of 1000 USD ( source ). This example highlights the need for a domain name buyer on the secondary market, to enquire of the seller whether the domain name to be purchased is a premium or not or if the relevant registry has a “premium” policy. This inquiry may be completed, if possible, by checking with a third-party.

The IP TWINS team is available to assist you towards amicable acquisition of domain names from third-parties.

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