A GoDaddy customer must pay $652,000.
After suing over the domain suspension, a GoDaddy customer must
pay $652,000. Court grants GoDaddy’s motion for attorneys’ fees; domain
registrant files appeal.
After losing a lawsuit against GoDaddy, the customer was ordered to pay $652k to the domain registrar. Leo India Films Limited registered einthusan .tv, a site that hosts South Asian films, through GoDaddy.
In July 2019, GoDaddy
suspended the domain name after receiving a letter from the Office of the
Inspector General of Policy, Maharashtra Cyber, in Mumbai, stating that the
domain pointed to a site that was “infringing copyrights and engaged in
piracy.”
In the same month,
Leo India Films filed a lawsuit against GoDaddy on the grounds of procedural
and substantive unconscionability, tortious interference with business
relationships, breach of the implied covenant of good faith and fair dealing,
and breach of contract. GoDaddy defended the lawsuit by pointing out that the
terms of service Leo India Films agreed to stated that GoDaddy may:
deny, cancel,
terminate, suspend, lock or modify access to (or control of) any Account or
Services (including the right to cancel or transfer any domain name registration)
for any reason (as determined by [GoDaddy] in its sole and absolute
discretion), including but not limited to the following . . . (v) to comply
with requests of law enforcement, including subpoena requests, . . . (viii) to
avoid any civil or criminal liability on the part of [GoDaddy.]
Leo India Films
argued that the clause was unconscionable and, therefore, unenforceable.
The site owner had
agreed to similar terms with other registrars after his domain was suspended by
GoDaddy, demonstrating that the clause is common in domain registration
agreements. Last year, the court entered summary judgment (pdf) in GoDaddy’s
favor.
After that, GoDaddy
submitted a motion for attorney's fees. The court granted GoDaddy's motion in
May of this year and ordered Leo India Films to pay the domain registrar
approximately $652,000.
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