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Don't become a victim of domain name fraud!

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Reading time minutes
By Patrick Schokker

Internet fraud comes in different forms. One form that has been common lately is domain name fraud over the phone. Entrepreneurs are increasingly falling victim to this. In this blog, we explain how to recognize domain name fraud, how to prevent it and what to do if you do become a victim.

What is domain name fraud?

With domain name fraud, you get a call (and sometimes email) telling you that someone else wants to register your domain name with another extension, such as .com. They give you the choice to register that domain name yourself. After all, you already own the .nl extension. That's why you have the 'first right of registration'. For 'privacy reasons', they don't share who the party is. They do say that it might be a competitor because the party is active in the same industry and might be able to benefit from your good name. 

You can avoid this by agreeing to register the domain name. However, at a higher (market-based) rate and a duration of 10-15 years.  

How do you know this is not real?

- The caller indicates he is an independent supervisor;
- 'First right of registration' does not exist;
- There is no legal obligation to notify that someone else wants to register your domain name with a different extension;
- You are "forced" to decide quickly/immediately;
- The registration fee is higher than current market rates;
- You can only choose to register the domain name for a longer period of time. 

Are you getting calls or emails about your domain name and recognize the above points? Then don't respond!

This is how you prevent domain name fraud:

- Never agree to a similar proposal right away after one email or phone call;
- Cut off the conversation by saying you are not interested;
- When in doubt, first contact the hosting provider/domain registrar of your domain name. You can still choose to register the domain name through them;

Victimized anyway?

You are certainly not the first victim if you did fall for it. Here's what you can do if you've been victimized:

- Always make a report to the fraud help desk, even if you are not yet a victim;
- File a police report;
- Have the agreement voided on grounds of mistake, fraud or abuse of circumstances:

  • Write a written defense requesting the annulment;
  • Substantiate why you want the annulment: on grounds of fraud/abuse, citing inaccuracies such as the "first registration fee.
  • Send your written defense by both email and registered mail.

The agreement is now basically voided. Should you still receive any reminders, the other party must present an initiative to the court. Should there really be a court appearance, you can only be forced to pay after the court's ruling. 

You can prove to the court that the agreement is due to fraud or abuse of circumstances and that you therefore want to void the agreement. 

Did you pay right after the deal? Then you have probably really lost your money. It is then still wise to write a written defense to annul the agreement. You can then also ask for a refund. Usually, however, the payment will not be made. You will have to hire a lawyer. However, the legal costs are often higher than the amount you lost on the domain name. 

Do not become a victim of domain name fraud and always check first with your hosting provider/domain registrar if your domain name is still available in other extensions. At least through your hosting provider/domain registrar you can be sure that you are entering into an honest agreement!

Still have questions about this? Get in touch with our web team!

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Patrick Schokker
Patrick Schokker

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