Domain Resale Legality: What You Need to Know Before You Sell
Thinking of flipping a .in or any other domain? You can do it, but you need to stay on the right side of the law. In India, the rules are a mix of government regulations, registrar policies, and global internet rules. Skipping any of these can land you with a lost domain, a fine, or even a court case.
Who Can Resell a Domain?
Anyone who legally owns a domain can sell it, but ownership isn’t just about paying for the name. The Ministry of Electronics and Information Technology (MeitY) requires the WHOIS record to stay accurate. That means the name you put in the registry must reflect the real owner at any time. If you’re selling, you must update the WHOIS details right after the transfer.
Also, the registrar you bought the domain from may have its own resale clause. Some registrars allow transfers only after a certain period, usually 60 days, to stop quick flips that look like cybersquatting. Check your registrar’s terms before you list the domain.
Common Legal Pitfalls and How to Avoid Them
One big mistake is ignoring trademark rights. If the domain matches a registered trademark, the trademark holder can file a complaint under the Indian Trade Marks Act. You might lose the domain and face damages. Do a quick trademark search on the INIP (Intellectual Property India) portal before you list a domain that looks brand‑specific.
Cybersquatting is another red flag. Indian law treats it as a violation of the Information Technology Act. If you buy a domain just to demand money from the rightful brand, you could be sued. The safest route is to sell domains that are generic, like "besttraveltips.in" rather than brand‑related names.
When you sell, use a simple contract that states the price, payment method, and the exact moment ownership transfers. An escrow service adds a layer of trust—both buyer and seller hold the money until the WHOIS update is confirmed. Keep email threads, invoices, and the escrow receipt; they’re proof if a dispute pops up later.
Lastly, watch out for hidden fees. Some registrars charge a transfer fee or a renewal fee that the buyer might not expect. Disclose all costs up front so the buyer doesn’t claim they were misled.
By staying transparent, checking trademarks, and updating WHOIS info promptly, you keep the resale process legal and smooth. If you’re unsure, a quick consult with a cyber‑law expert can save you headaches down the road.
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