Do you know if your company owns its domain name? Do you have an agreement with your Web site developer assigning the right to the content on your site and the code to write it to your business? Does your Web site contain photos taken by someone other than an employee and do you have an agreement with that person?
If you don’t know the answer to any of these questions, it may be time for a Web site audit. Web sites can expose large and small business to many risks. These risks include legal risks such as consumer privacy and copyright infringement, as well as business risks such as business interruption and loss of consumer goodwill. In order to manage these risks, consider the following as part of your Web site review.
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Who owns your company’s domain name?
It is not uncommon for a company to engage a Web site developer. It is also not uncommon for a Web site developer to register the company’s domain name in its own name. This is dangerous. If you do not own your domain name, you will not be able to make changes to your domain name registration, renew your domain name or transfer it to another entity if you sell your business. In addition, the domain name could be used as leverage against you should your relationship with your Web site developer sour. It is imperative that you or your business be listed as the owner of your Web site’s domain name.
Does your company have a system for tracking the expiration and renewal of your domain name?
A domain name is typically registered for a term of one, two or three years, but longer terms are now available. Failure to renew a domain name will inactivate your Web site, and the domain name will become available for another entity to register and use it. To avoid this, consider extending the term of your domain name registration to the maximum, and developing a system for tracking the expiration and renewal of your domain name.
Who is the administrative contact for your domain name?
Keeping the administrative contact information current is critical to maintaining and updating your domain name. The contact is the only person the domain name registrar will communicate with and notify of an impending domain name expiration. As often happens, the person who is listed as the contact may leave the company and the registrar won’t know who to contact. For this reason, you might consider using a general e-mail address for the administrative contact.
Do you know the user name and password associated with your domain name?
Each time a domain name is registered, the domain name registrar requires a user name and password. This information is the only way to access your account and make changes.
In addition, a lost user name and password can result in unauthorized changes to your domain name registration. Treat your user name and password in the same manner as other important business information.
Have you registered other versions of your domain name to protect against cyber-squatters?
You might consider registering common misspellings of your company’s domain name, to prevent competitors and cyber-pirates from registering and using similar domain names to divert consumers looking for your company.
Do you have an agreement with your Web site developer?
It is imperative that you have an agreement with your Web site developer that grants your company all rights in your Web site and content. If such an agreement is not in place, you may not be able to modify your Web site or to represent that you own the Web site and its contents in the sale of your business.
Do you have an agreement with your Web site hosting company?
Your Web site can only serve your business if it is up and running. A Web site hosting agreement should cover issues such as uptime, backup and disaster recovery.
Do you have agreements with your content providers?
If you purchase content – such as photographs and text – for inclusion in your marketing materials or Web site without written conditions and terms, you may not be able to reuse the content in other media or in another version of your Web site.
Are you using your trademarks properly?
Confirm that your trademarks are used correctly on your Web site. Even the strongest and most well-known trademarks can become generic terms (like dry ice, escalator, nylon and aspirin) as a result of misuse by you or your customers.
Have you used the correct trademark notice?
Use of the symbol ® must be in connection with marks that have been registered with the U.S. Patent and Trademark Office.
Do you have a Web site privacy policy?
Is your privacy policy clearly posted on your Web site? Laws require certain businesses to clearly post privacy policies. Web sites that cater to children, especially those under the age of 13, have special privacy rules that must be followed. Know the laws and regulations pertaining to your industry.
n Do you have terms and conditions of use for your Web site?
Are these terms of use easy to find and clearly written? Your terms of use are important in that they outline the permitted uses of your Web site and its content. You should review them to ensure they are representative of your business objectives and are easily understood by your customers.
Amy B. Spagnole is an associate in the intellectual property law group at Hinckley, Allen & Snyder LLP.
