Almost 3,000 cases were brought to the Geneva-based World Intellectual Property Organisation (WIPO) in the 12 months to June 2012, a 6 per cent increase from 2,775 the previous year.
Legal information provider Sweet and Maxwell found that domain name squatting – when users include a trademark in a web site address – was becoming common in an attempt to attract traffic.

Big brands

John Olsen, a partner at Boston law firm Edwards Wildman, said the main reason for the increase is that big brands are seeing more income from on-line sales. He explained: ‘As on-line retail becomes more profitable, household name brands are taking the defence of their domain names much more seriously… They are doing all that they can to protect their revenue streams -- domain names are the key to the door of on-line retail.’
Among those fending off ‘squatters’ this year have been fashion giant Gucci, Mayor of London Boris Johnson and Manchester United football star Wayne Rooney
‘Businesses need to be aware that squatters are actively searching for domain names they can register,’ adds Mr Olsen. ‘They then attempt to hold businesses to ransom, or in some cases, sell fake goods using the brand. The number of alleged squatters in China is on the rise, contributing significantly to the global growth. All the cases Gucci has brought this year have been against owners of domain names registered in China.’