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Stamps.com Loses Cybersquatting Complaints Against AI Domains

Published on September 24, 2025 | By OMWEB

Stamps.com Loses Cybersquatting Complaints Against AI Domains

It’s been a rough week for Stamps.com owner Auctane LLC, which just lost two domain name disputes — and was even hit with a finding of reverse domain name hijacking (RDNH).

Case 1: Stamps.ai

Auctane filed a complaint against the registrant of stamps.ai, a domain registered back in 2017 and used for a stamp collector application.

Panelist Paddy Tam ruled against Stamps.com, noting that the company failed to prove the registrant lacked rights or legitimate interests in the name. While Stamps.com holds a trademark for Stamps.com, it does not own exclusive rights to the generic word “stamps.”

Case 2: Shipstation.ai

Things got worse with shipstation.ai, where Stamps.com accused the registrant — who offers web design services — of cybersquatting.

Panelist Alan Limbury rejected the claim and went further, finding Stamps.com guilty of reverse domain name hijacking.

One reason: Auctane’s lawyers pointed to the domain’s Terms of Service, which listed an address in “Karnataka,” claiming it was fake and therefore evidence of bad faith. Limbury blasted this argument, writing:

“The Panel considers this to be a knowingly false statement because Karnataka is an Indian State and Respondent’s address … is a genuine address.”

The Outcome

Both cases highlight the limits of trademark enforcement when it comes to generic or descriptive terms like “stamps.” They also show the risks of filing overreaching complaints: not only can companies lose, but they can also be labeled as reverse domain name hijackers — damaging both reputation and credibility.

Auctane was represented in both disputes by Pillsbury Winthrop Shaw Pittman, LLP.

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