Guidelines on the Interpretation of Policy Rules for Open 2LDs (2012-05)

1.1 This auDA policy only applies to domain names that were last registered, renewed or transferred before 12 April 2021. This policy does not apply to domain names that were registered, renewed or transferred on or after 12 April 2021 at 00:00 Universal Time Coordinated (UTC).

1.2 The .au Domain Administration Rules: Licensing apply to all domain names that were registered, renewed or transferred after 12 April 2021. 

1.3 This policy expires on 11 April 2026 after which time the .au Domain Administration Rules: Licensing will apply, in addition to any ongoing relevant policies.

2.1 This document sets out guidelines on the interpretation of the Domain Name Eligibility and Allocation Policy Rules for the Open 2LDs (2012-04). At the time of publication, the open 2LDs are asn.au, com.au, id.au, net.au and org.au.

3.1 The policy rules for the open 2LDs are divided into two types of criteria:

a) Eligibility - is the registrant eligible to license a domain name in the requested 2LD?; and

b) Allocation - can the requested domain name be allocated to the registrant?

3.2 The Eligibility criteria require the registrant to provide the relevant identification details for the 2LD that they want to license their domain name in. For example, if the registrant wants to license a domain name in com.au, they must provide identification details such as Australian registered company name and Australian Company Number (ACN).

3.3 The Allocation criteria require the registrant to give a reason why the requested domain name can be allocated to them. The reasons available in each 2LD are:

a) exact match, abbreviation or acronym of registrant's name; or

b) otherwise closely and substantially connected to the registrant (known as the “close and substantial connection rule”).

3.4 The purpose of these guidelines is to provide clarification on how the Eligibility and Allocation criteria of the policy should be interpreted.

4.1 Registrars may design their own domain name application form for registrants. Forms may include check boxes to allow an applicant to self-select the appropriate eligibility and allocation criteria. As a matter of best practice, registrars are advised to make sure that they collect sufficient information to enable them to explain or justify their decision in the case of dispute, or if requested to do so by auDA under the terms and conditions of the Registrar Agreement.

4.2 Application forms must include a warranty statement that the registrant must agree to before they submit the application.

4.3 Each domain name application must be assessed on its own merits. It is not acceptable for the registrant merely to refer to previous decisions in order to support their claims. For example, the mere fact that a registrant called “Jane's Shop Pty Ltd” was able to license “janesflowers.com.au” is not sufficient to support the claims of “John's Shop Pty Ltd” to license “johnsflowers.com.au”.

5.1 Before determining that a domain name application meets the specific Eligibility and Allocation criteria for the particular 2LD, registrars must check that each domain name application complies with the general rules that apply in all open 2LDs.

5.2 Domain names are allocated on a “first come, first served” basis. Provided that the registrant meets the relevant policy rules, the registrar may process the application, submit the registration to the registry and issue a domain name licence to the registrant. Registrars are not required to decide whether or not the domain name potentially infringes the rights of a third party.

5.3 Registrars must check that the requested domain name:

a) is at least two characters long;

b) contains only letters (a-z), numbers (0-9) or hyphens (-), or a combination of these;

c) starts and ends with a letter or a number, not a hyphen; and

d) does not contain hyphens in the third and fourth position (eg. ab--cd.com.au).

5.4 In addition, registrars must check that the requested domain name is not on auDA's Reserved List.

5.5 auDA's Reserved List does not contain objectionable words. Registrars are not required to decide whether or not a domain name is potentially objectionable. However, auDA supports the right of registrars to choose not to process a domain name registration if it breaches their own "acceptable use" policy.

6.1 A domain name licence is a legal contract and as such may only be entered into by a legal entity. Registrars must ensure that the registrant of a domain name, as listed in the registry database, is a legal entity. If the registrant is not a legal entity then the domain name licence, and any associated terms and conditions imposed by the registrar, may not be enforceable.

6.2 The following are legal entities and may be entered in the registrant name and ID fields of the registry database:

a) a registered company (proprietary or public);

b) an individual;

c) an incorporated association; and

d) a statutory body.

6.3 The following are NOT legal entities and must NOT be entered in the registrant name and ID fields of the registry database:

a) a registered business name;

b) a trade mark;

c) a trust; and

d) a partnership.

6.4 With regard to the categories listed in paragraph 5.3, the registrant would be the owner of the registered business name or trade mark, the trustee of the trust or the individual partners of the partnership. In the case of a partnership with more than two partners, one partner must elect to be listed as the registrant on behalf of the partnership.

7.1 Registrants must provide sufficient identification to demonstrate that they meet the eligibility criteria for the particular 2LD . Registrars must verify the registrant's identification details to confirm that the registrant meets the eligibility criteria. The table in Schedule A lists the registrant types for each 2LD, the identification details to be provided by the registrant, and the verification source that registrars must use to check those details.

7.2 Most verification sources are available online, however there are some cases where the registrar must obtain further documentation from the registrant, including:

a) incorporated associations that are not listed on the Australian Securities and Investments Commission (ASIC) database must provide a copy of their Certificate of Incorporation; and

b) commercial statutory bodies must provide a copy (or extract) of the relevant Act of Parliament.

7.3 When verifying registrant details on official databases, registrars should check the status entry, as follows:

a) on the ASIC database, “association strike off status (ASOS)”, “de-registered (DRGD)”, “pending (PEND)”, “removed (RMVD)” and “reserved (RSVD)” are not an acceptable basis for domain name registration ; and

b) on the Australian Trade Mark Online Search System (ATMOSS), “refused”, “rejected”, “removed” and “never registered” are not an acceptable basis for domain name registration.

7.4 In cases where there is no verification source available, registrars are entitled to rely on the registrant's warranty that they meet the eligibility criteria, as follows:

a) sporting and special interest clubs that do not have an Australian Business Number must warrant that they are a club;

b) registrants in id.au must warrant that they are an Australian citizen or resident; and

c) non-profit organisations, in addition to providing the identification details relevant to their corporate status, must warrant that they are non-profit.

7.5 It is not necessary for a registrar to obtain a statutory declaration from the registrant. Where auDA believes on reasonable grounds that a registrant has made a false warranty, or otherwise acted in bad faith in order to obtain the domain name licence, auDA reserves the right to revoke the domain name licence.

7.6 Please note that registrars are expected to act with integrity and use their common sense in determining whether the registrant's warranty is bona fide. Under the terms and conditions of the Registrar Agreement, auDA reserves the right to take action against a registrar where it has reasonable grounds to believe that the registrar has acted negligently or recklessly in approving a domain name application in breach of the relevant policy rules.

8.1 An “exact match” is where the requested domain name matches one, some or all of the words comprising the name used by the registrant to establish their eligibility. The words must be used in the same order as they appear in the name. Refer to the examples in Schedule B.

9.1 An “abbreviation” is where the requested domain name is used to represent or stand for the complete form, of the name used by the registrant to establish their eligibility. The abbreviation can contain letters or numbers that do not appear in the registrant's name. Words do not have to be used in the same order as they appear in the name. Refer to the examples in Schedule B.

9.2 Please note that this rule is NOT the same as the pre-2002 “derivation rule” in com.au and net.au, which allowed registrants to derive a domain name that was entirely unrelated to their own name by using a consecutive sequence of letters. The abbreviation must “represent or stand for the complete form”. This means that the abbreviation must be a close approximation of, and have a related meaning to, the complete form. A “close approximation” refers to the way the words look. In general, partial words or words that contain the same letters in a similar sequence will be a close approximation. “Related meaning” refers to the accepted dictionary definition of the words. Although there might be a close approximation between the words, derivations are not acceptable if there is no related meaning. Similarly, although there might be a related meaning between the words, synonyms are not acceptable if there is no close approximation.

10.1 An “acronym” is where the requested domain name comprises the initial letters only of each word of the name used by the registrant to establish their eligibility. If the requested domain name comprises more than the initial letters of each word, then it will most likely fall within the definition of abbreviation (for example, “auda.org.au” is an abbreviation of .au Domain Administration Ltd, not an acronym). Refer to the examples in Schedule B.

10.2 Please note the following qualifications:

• Commercial status identifiers such as “Pty Ltd” or “Co” do not need to be included.
• DNS identifiers such as “com.au” do not need to be included.
• Pronouns such as “a”, “the”, “and” or “of” do not need to be included.

11.1 The “close and substantial connection” rule is where the requested domain name is connected to the registrant in accordance with the listed categories for each 2LD.

11.2 The purpose of the close and substantial connection rule is to allow some flexibility for registrants who do not want to license a domain name that is directly related to their name (or cannot do so, because the domain name has already been licensed by another registrant with the same or similar name). It is important to note that this rule is NOT intended as a “free for all”, and the degree of flexibility is limited by the categories of close and substantial connection outlined below, as well as the specific conditions of use outlined in the policy rules.

11.3 At the point in the application form where a registrant indicates that they are eligible for a domain name under the close and substantial connection rule, registrars must provide a link to a page that sets out the criteria for the close and substantial connection rule.

11.4 In asn.au and org.au, the categories of close and substantial connection are:

a) a service that the registrant provides; or

b) a program that the registrant ad`ministers; or

c) an event that the registrant organises or sponsors; or

d) an activity that the registrant facilitates, teaches or trains; or

e) a venue that the registrant operates; or

f) a profession that the registrant's members practise.

11.5 In com.au and net.au, the categories of close and substantial connection are:

a) a product that the registrant manufactures or sells; or

b) a service that the registrant provides; or

c) an event that the registrant organises or sponsors; or

d) an activity that the registrant facilitates, teaches or trains; or

e) a venue that the registrant operates; or

f) a profession that the registrant's employees practise.

It is also permissible, under the close and substantial connection rule, to register a com.au or net.au domain name for the purpose of domain monetisation – refer to section 11 below.

11.6 In id.au, the categories of close and substantial connection are:

a) a name that includes, or is derived from, one or more words of the registrant's personal name; or

b) a name by which the registrant is commonly known (ie. a nickname).

It is also permissible, under the close and substantial connection rule, to register an id.au domain name that refers to a personal interest or hobby of the registrant – refer to section 12 below.

11.7 The requested domain name does not have to be the same as the registrant's product, service, hobby etc. The domain name must only refer to the registrant's product, service, hobby etc. This allows the registrant to license variations or descriptions of their product, service, hobby etc (for example, "Jane the Florist Pty Ltd" could license “bestflowers.com.au”, “flowersonline.net.au”, “redroses.com.au”, “cheapflowers.net.au” and so on). Refer to the examples in Schedule B.

11.8 Schedule A of the Domain Name Eligibility and Allocation Policy Rules for all Open 2LDs contains a prohibition on registering domain names for the sole purpose of resale. Therefore, it is not acceptable for registrants to use the close and substantial connection rule to engage in domain name speculation or warehousing.

12.1 In the com.au and net.au 2LDs, in addition to the categories of close and substantial connection listed in paragraph 11.5 above, it is also permissible to register a domain name for the purpose of domain monetisation under the close and substantial connection rule. Examples of domain monetisation include:

a) resolving the domain name to a website or landing page containing pay per click advertising links (also known as “parked pages”);

b) resolving the domain name to a website or landing page containing content such as general information, news articles, product reviews, blog posts and images, with the primary intent of generating revenue from third party affiliate or commission programs or pay per click advertising;

c) resolving the domain name to a website that contains directory listings;

d) redirecting the domain name to another domain name under a third party affiliate or commission program;

e) using the domain name to provide featured advertising services; and

f) using the domain name for traffic optimisation purposes.

12.2 Registrants who register domain names for the purpose of domain monetisation do not fall into any of the categories of close and substantial connection outlined in paragraph 11.5. For example, a registrant who registers “shoes.com.au” for domain monetisation purposes does not actually sell or manufacture shoes; their intention is to earn revenue from the domain name in one of the ways listed in paragraph 12.1. The policy rules allow people to register domain names for the purpose of domain monetisation under the close and substantial connection rule, but with two conditions of use to ensure that the intent and integrity of the close and substantial connection rule is maintained.

12.3 The first condition is that “the content on the website to which the domain name resolves must be related specifically and predominantly to subject matter denoted by the domain name”. This is intended to ensure that the close and substantial connection between the registrant and the domain name is visible and meaningful to users. If the content of the website does not relate to the domain name in any discernible way, then the close and substantial connection rule is not satisfied. auDA uses a “reasonableness test” to determine whether the content on the website satisfies the condition, ie. would a reasonable person regard the content as related specifically and predominantly to the domain name?

12.4 The second condition is that “the domain name must not be, or incorporate, an entity name, personal name or brand name in existence at the time the domain name was registered”. This condition is intended to ensure that domain monetisation is not used as a cover for cybersquatting or other misleading or fraudulent activity. In determining whether a registrant is in breach of this condition, auDA will take into account whether the domain name is a generic word or may have an alternative meaning which is not related to a specific entity, person or brand.

12.1 In the id.au 2LD, in addition to the categories of close and substantial connection listed in paragraph 11.6 above, it is also permissible to register a domain name that refers to a personal interest or hobby of the registrant, subject to the condition that “the domain name must not be, or incorporate, an entity name, personal name or brand name in existence at the time the domain name was registered”. This condition is intended to ensure that registering domain names for personal interest or hobby purposes is not used as a cover for cybersquatting or other misleading or fraudulent activity. In determining whether a registrant is in breach of this condition, auDA will take into account whether the domain name is a generic word or may have an alternative meaning which is not related to a specific entity, person or brand.

14.1 To process a domain name renewal, registrars must obtain confirmation from the registrant that their eligibility details are still current. If the registrant's details have not changed, registrars are not required to perform any policy compliance checks and are entitled to rely on the registrant's warranty that they still meet the relevant policy rules.

14.2 If the registrant's eligibility details are no longer current, the registrar must not process the renewal unless and until the registrant provides new or updated eligibility details. The cases where this is most likely to occur are:

a) Where a business name registration has lapsed or been removed. If the registrant is able to re-register the same business name, then the registrar must simply verify that the re-registration has taken place. They do not need to perform any further policy compliance checks, because the registrant's business name has not changed. If the registrant registers a new business name, then the registrar must perform full policy compliance checks because the registrant's new business name may no longer have any connection with the domain name.

b) Where an application for an Australian Registered Trade Mark has not been accepted for registration. The registrant is unable to resurrect the original basis for their domain name registration, so they must provide entirely new eligibility details (eg. a company or business name). The registrar must perform full policy compliance checks, because the registrant's new eligibility details may no longer have any connection with the domain name.

14.3 Where the legal entity that is the registrant no longer exists, the domain name licence is terminated and the domain name cannot be renewed. The case where this is most likely to occur is where a company has been deregistered. The registrar must deal with this situation in accordance with the Complaints (Registrant Eligibility) Policy.

15.1 As the .au administrator, one of auDA's primary responsibilities is to preserve the policy integrity of the .au namespace. auDA fulfils that responsibility by:

a) providing domain name policy advice and assistance to registrars, registrants and members of the public;

b) handling complaints about .au domain name registrations and registrants in accordance with its published Complaints Policy; and

c) conducting random audits of domain name registry records on a regular basis.

16.1 From time to time, auDA may update this document for the purposes of clarification or correction, or to maintain consistency with other auDA published policies. Under the terms and conditions of the Registrar Agreement, there is a 30 day grace period for registrars to comply with any variations of procedures or practices under this document.