Riding on Expiring Domains: Are Registrars Abusing Owners' Rights?
Talented Fool writes on CircleID:
The ICANN regulations for domain name registrars dictate a requirement for deletion and auto-renewal policies. However, if you've had a domain expire lately you may have noticed that your registrar has taken over your domain name's DNS and redirected YOUR domain to THEIR website. This is because of a clause in their Service Agreement that says you give them permission to do this.
This permission statement is usually buried so you won't find the clause or the opt-out provisions that are provided. (For example, the clause is in Section 14, on page 10 of the Network Solutions agreement.)
Before we go any further, it should be noted that this practice is widely employed by registrars. In fact almost all registrars have gotten on this gravy train. So be aware that while the facts in this article apply to Network Solutions, this is simply a representative sample of the findings and are provided as evidence of the article's accuracy and for no other reason.
In any event, this free use of a registrant's property rights is without compensation and entirely to the benefit of your registrar and any third party they may use to sell your domain (SnapNames in the case of Network Solutions). Even when they sell your domain you get only 15 to 20% of the sale proceeds.
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