Internet Commerce Association News - January 27, 2009

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Dear ICA Members,

Now that a historic and tumultuous 2008 is behind us, it’s time to look ahead to a 2009 that promises to have more than a few surprises up its sleeves. I hope everyone enjoyed the look back on 2008 in our Annual Report, and truth be told, the ICA has evolved into a respected voice on matters affecting domain owners and web-based businesses alike. But the challenges facing ICA members are likely to increase in the coming year as old-economy stalwarts push Congress to rewrite the law to fight competition.

A review of the ICA’s 2009 budget highlights our reliance on the ongoing support of our members to keep up the fight, through annual membership renewal, volunteering time, and assisting with fundraising and membership drives. Renewal rates for 2009, however, have thus far been disappointing, and the Board of Directors have been scrutinizing our 2009 budget for opportunities to cut overhead and reduce expenses so that we can focus membership fees to what matters—being heard in the halls of Washington and in the cubicles of ICANN.

This being said, we are working to ensure that member priorities guide the operating plans for 2009 and we have received many suggestions from members on topics ranging from fundraising to the content of our website. As we head into a challenging year with a smaller team, we're going to be focusing efforts at the start of the year on finding a low cost solution for improving administrative duties, such as managing memberships and renewals; reengaging expired members to encourage renewal; and improving website and email communication, including monthly newsletters.

So, watch Internetcommerce.org for the latest news on ICA activities, and encourage others to become an ICA member and join the fight!
Best Wishes,

Jeremiah Johnston
President, Internet Commerce Association

ICA Update

As you may have read in his email to ICA members last week, Michael Collins has moved on from his position as Executive Director of the Internet Commerce Association to turn his attention on growing his auto accessory business. Few people understand the power of domains to help grow a business like Michael, and the ICA thanks him for his time at the helm and wishes him the best of luck in his future endeavors. While Michael’s departure means a few changes for the ICA, he has already committed to remaining a member and volunteering to help where possible. With a difficult economy forecasted for 2009, the Board of Directors has decided to forego hiring a replacement for Michael until we have completed a membership renewal drive intended at increasing our operating budget for 2009.

Recent news:

- ICA counsel Phil Corwin has assumed Michael’s position as the ICA’s liaison/representative on ICANN’s Business Constituency (BC) and provides an update on ICANN matters below. Any thoughts, concerns or general feedback on ICANN matters can be sent to pcorwin@butera-andrews.com. The ICA’s involvement with the Business Constituency has been yielding results for members. Recent efforts have ensured, amongst other things, that an ICANN draft memo critical of domain monetization was rewritten to express the legitimate benefits of such uses of domains and that concerns about the seemingly fast-tracked gTLD roll-out were discussed and scrutinized among the BC.

- As tax time nears, we will be sending an email to members with information regarding tax deductions related to ICA membership fees. Federal lobbying activities must be deducted from the portion of fees used for operating expenses, and once we close the books on 2008 that information will be distributed to members.

Legislative Update

In a victory for domain owners everywhere, the Court of Appeals for the Commonwealth of Kentucky has ruled against the state Governor in his attempts to seize 141 domains from registrants located around to world. The court failed to fully address the many questions regarding a state’s ability to extend the enforcement of their laws beyond their borders. The Court of Appeals, however, rejected the state’s attempt to designate domains as gambling devices, as required by the law used to justify the seizure. The Governor wasted no time to appeal, and by the next day the case had been referred to the state supreme court.

The combined efforts of the ICA and several other organizations such as the Blue Grass Institute, the Poker Players Alliance, Interactive Media Entertainment & Gaming Association, and the Americans for Tax Reform, played a significant role in helping ensure a satisfactory conclusion to this case. In cooperation with such groups, a top ICA priority in 2009 is the introduction of preemptive federal legislation to establish clear guidelines on jurisdiction and due process standard for domain seizures to ensure that state officials do not attempt to extend the territoriality of state law over domain owners lacking sufficient connections with the state.

We’ll be tracking all the developments of this case, so watch the ICA website and newsletter for more information.

ICANN Update

Congressional Internet Caucus Event Focuses on ICANN’s Future, By Philip Corwin, ICA Counsel.

On Wednesday, January 13, 2009 the Advisory Committee to the Congressional Internet Caucus (http://www.netcaucus.org) held its annual “State of the Net Conference”. This event, attended by hundreds, brings together members of Congress and their staff, regulatory agency personnel, lawyers and lobbyists, public interest groups and think tanks, and others interested in technology policy – and often serves as a jumping off point for Congressional inquiries and legislative activities for the remainder of the year. ICA has been an Advisory Committee member since 2007.

MORE

Press Update

Poker News Daily 1/22/09

Industry Reacts to Kentucky Internet Gambling Ruling and Appeal

Chicago Tribune 1/21/09

Appeals court: Ky. lacks jurisdiction in online gambling fight; cannot seize domain names

PC World 1/14/09

US Businesses Concerned About ICANN Changes

Upcoming Events

DOMAINfest Global 2009

, January 28-30, Hollywood, CA

Overview from event site: Many great minds will be attending DOMAINfest Global 2009 to share insights, identify emerging trends, and discuss the changing business practices needed to be successful. If that isn't enough to convince you to attend, here are five more top reasons:

1. Unmatched networking opportunities.
2. Deals happen here, make no mistake about it.
3. Visit with leading vendors and service providers.
4. The Moniker Live Auction will provide a great chance to buy, sell, and gauge the value of your own domains.
5. The DomainSponsor party will rock your world.

Domainer Mardi Gras, February 19-21, New Orleans, LA

Domainer Mardi Gras: Risk Management for the Modern Domainer

Overview from event site: The domain name industry witnessed dramatic changes in 2008. Today’s Modern Domainer is being impacted by rising domain name registration fees, approval of new Top Level Domains, changes in monetization rules by advertising network providers, new tax implications and by an increase in domain name related lawsuits. Modern Domainer invites you to an industry gathering to address these challenges during Domainer Mardi Gras: Risk Management for the Modern Domainer. In the conference you will learn about risk management tools that can assist in managing, protecting and growing domain name investments. And oh yeah – Domainer Mardi Gras is in New Orleans during Mardi Gras – also known as THE GREATEST FREE SHOW ON EARTH!

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