If you get an inquiry out of the blue asking if you want to sell your domain name, think twice before responding. The inquiry may be from a trademark owner, the trademark owner’s attorney or their agent seeking evidence to use against you in a UDRP arbitration or a lawsuit under the Anticybersquatting Consumer Protection Act
. If you respond and ask for more than your out-of-pocket costs to acquire the domain name, your response could be used as evidence of bad faith and you may supply the evidence the trademark owner needs to prove you are a cybersquatter. If you want to respond to an inquiry to purchase your domain name, have your lawyer first contact the person who asked about purchasing the domain name and ask that the prospective purchaser sign a confidentiality and nondisclosure agreement under which the prospective purchaser covenants not to disclose the substance of any discussions about selling the domain name to any party and covenants that any statements, agreements or drafts of agreements relating to the discussions cannot be used or submitted as evidence in any lawsuit or proceeding in any court or other forum, including, but not limited to an ICANN UDRP arbitration. If you do not get a signed agreement, then do not offer to sell your domain name unless you are sure you can defeat a UDRP arbitration and an ACPA lawsuit.