1. ------IND- 2013 0617 DK- EN------20131212 ------PROJET

Proposed on 13November2013 by the Minister for Business and Growth (Henrik Sass Larsen)

Bill

for an

Act on Internet Domains

PartI

Aims and scope

Chapter1

Aims and scope of the Act

Article 1. The aim of this Act is to provide a framework for access to and the use and administration of internet domains with a view to promoting innovative development of the internet in society.

Article 2. The Act applies to internet domains that are assigned especially to Denmark, and to internet domains otherwise associated with Denmark.

PartII

Internet domains assigned especially to Denmark

Chapter2

Procurement and extension

Article 3. Internet domains assigned especially to Denmark shall belong to the Danish State.

Article 4. The Minister for Business and Growth shall decide that the Danish Business Authority is to put out to tender the administration rights to one or more internet domains, or that an existing licence to administer one or more internet domains is to be extended.

Paragraph 2.

1) which internet domains are to be covered by the call for tenders;

2) the duration of the licence, and temporary extension of the existing licence;

3) the criteria that may be emphasised when assessing the offers received; and

4) the eventuality that no winner can be declared for the tender, including if the Danish Business Authority assumes responsibility for administration until an administrator is appointed, or the internet domain is not to be used.

Should the Minister for Business and Growth decide pursuant to paragraph1 that a procurement procedure is to be held, the Minister shall lay down detailed rules on [this].

Paragraph 3. The Minister for Business and Growth shall lay down detailed rules on the extension of existing licences pursuant to paragraph1.

Article 5. Should the Minister for Business and Growth decide that a procurement procedure is to be held pursuant to Article4(1), the Danish Business Authority shall lay down detailed rules for implementing the procurement procedure. These rules may include:

1)The form of the tender, including the tender materials, implementation of the procurement procedure, and requirements for participation in the procurement procedure;

2)Behaviour on the part of the bidders that may restrict or be intended to restrict competition in connection with the procurement procedure;

3)Compensation and penalties for infringing rules laid down for the procurement procedure, in the form of exclusion from the procurement procedure, revocation of any licences already issued, and fines;

4)Payment by the participants of the costs associated with the preparation and implementation of the procurement procedure by the Danish Business Authority;

5)Principles for distributing among several administrators the Appeals Board costs for domain-name activities pursuant to Article31;

6)Deposit.

Article 6. Should the Danish Business Authority assume responsibility for the administration of an internet domain as a result of rules laid down pursuant to Article4(2)(4), the revocation of a licence pursuant to Article46 or an administrator’s surrender of a licence, Articles9-11, 16, 17(1) and (3), 22(3), 24, 34 and 37 shall not apply to administration by the Danish Business Authority.

Paragraph 2. The Danish Business Authority shall collect administration fees from registrants and any registrars, if it temporarily assumes responsibility for administration pursuant to Article46(2) or pursuant to rules laid down by the Minister for Business and Growth pursuant to Article4(2)(4).

Paragraph 3. The Danish Business Authority may collect extraordinary payments from registrants and any registrars, if the administration costs are not covered by the fee pursuant to paragraph2.

Paragraph 4. The Minister for Business and Growth shall lay down detailed rules on fees pursuant to paragraph2 and on extraordinary payments pursuant to paragraph3.

Article 7. The Danish Business Authority shall declare a winner on the basis of the procurement procedure (please see, however,Article4(2)(4)), and shall issue the winner with a licence to administer the internet domain(s) covered by the tender.

Paragraph 2. The Danish Business Authority shall stipulate conditions in the licence in accordance with the tender awarded.

Chapter3

Administration framework

Article 8. The Minister for Business and Growth may lay down detailed rules relating specifically to the framework for administering a specific internet domain or several internet domains.

Paragraph 2. The Minister for Business and Growth may decide that rules laid down pursuant to paragraph1 are not to apply to administration by the Danish Business Authority if the Danish Business Authority assumes responsibility for the administration of an internet domain pursuant to Article6(1).

Chapter 4

Administrator’s obligations

Anchoring of the administrator in the internet society

Article 9. The administrator shall ensure that a wide range of parties with an interest in the internet in society are represented in its work. The representation of parties with an interest in the internet shall have decisive influence in the administrator’s supreme management body.

Non-profit

Article 10. The administrator may not engage in any activities other than the administration of internet domains assigned especially to Denmark.

Paragraph 2. The administrator’s activities may not be engaged in with a view to making a profit.

Paragraph 3. The administrator shall demonstrate awareness of costs in its administration transactions.

Administrator’s self-regulation

Article 11. The administrator shall lay down regulations for its activities.

Paragraph 2. The administrator’s regulations and any amendments thereto (please see paragraph1) shall be approved by the Minister for Business and Growth.

Article 12. The administrator may transfer all or part of the administration, including technical operations, to one or more sub-contractors.

Paragraph 2. The administrator shall ensure that the administration transferred to other parties pursuant to paragraph1 is carried out in accordance with this Act, with the rules laid down pursuant to Article8, with the terms and conditions of business laid down pursuant to Article14(1), and with the conditions laid down in the licence issued pursuant to Article7(2).

Article 13. The administrator may transfer all or part of the registration process, including the processing of applications and amendments on behalf of applicants and registrants, to registrars.

Paragraph 2. The administrator shall publish a list of registrars.

Paragraph 3. The administrator may lay down terms and conditions of business for registrars in respect of internet domains covered by its administration.

Article 14. The administrator shall lay down terms and conditions of business for registrants in respect of internet domains covered by its administration. Such terms of business may include: 1) a requirement of use; 2) the registration and use of domain names; 3) the deletion of a domain-name registration.

Paragraph 2. The administrator shall make decisions concerning compliance with the terms and conditions of business laid down pursuant to paragraph1.

Paragraph 3. The administrator’s terms and conditions of business for registrants pursuant to paragraph1 may not be contrary to good domain-name practice.

Transparency in the administrator’s work

Article 15. The administrator shall ensure that its administration is transparent.

Article 16. The administrator shall prepare an annual report each year, containing a management report concerning activities during the accounting year.

Paragraph 2. The administrator shall have the annual report audited. The preparation and audit of the annual report shall at least comply with the rules of the Accounting Act relating to limited undertakings in accounts class B.

Paragraph 3. The administrator shall publish the audited, approved annual report, and shall send it to the Danish Business Authority. The report and annual report shall be received by the Authority no later than five months following the end of the accounting year.

Article 17. The administrator shall ensure that there is transparency in the basis for decisions of principle in its supreme management body, and that terms of business, etc. that are significant for the registration and use of domain names are publicly available on the administrator’s website.

Paragraph 2. The administrator shall hold public consultations concerning significant amendments to the terms of business, etc. that are significant for the registration and use of domain names.

Paragraph 3. The administrator shall publish an annual summary of initiatives carried out and those planned for the future in relation to promoting the development of the internet in society; please see Article24.

The WHOIS database

Article 18. The administrator shall establish and maintain a database containing information on the name, address and telephone number of registrants.

Paragraph 2. The administrator shall ensure that the information referred to in paragraph1 is accurate, up to date, and publicly available.

Paragraph 3. The administrator shall ensure that the information referred to in paragraph1 is not made publicly available in the database pursuant to paragraph2 if such information is exempt from publication pursuant to other legislation and the administrator can itself verify it by means of a search in a publicly available register.

Paragraph 4. The administrator shall ensure, upon application by a registrant, that the information referred to in paragraph1 is not made publicly available in the database pursuant to paragraph2 if such information is exempt from publication pursuant to other legislation and the administrator cannot itself verify it by means of a search in a publicly available register.

Paragraph 5.

1) the Appeals Board established pursuant to Article26 in relation to the handling of specific cases; and

2) others who are authorised to do so pursuant to other legislation.

Information that is exempt from publication pursuant to paragraphs3 and 4 may, however, be passed on to [sentence incomplete].

Secure and stable operation

Article 19. The administrator shall have adequate professional and financial resources to be able to administer domain names in accordance with this Act.

Article 20. The administrator shall ensure stable, secure and uninterrupted operation of and connection to the name servers for the internet domain(s) covered by its administration.

Article 21. The administrator shall establish, maintain and ensure the integrity of a name database containing relevant information concerning the individual internet domains at the level immediately below the internet domain(s) covered by its administration. The name database shall at least contain information concerning the identity of the registrant and information enabling identification of the registrant’s name server.

Paragraph 2. The administrator shall establish, maintain and ensure the integrity of and access to a name-server database containing an extract of relevant information; please see paragraph1.

Article 22. The administrator shall conclude a deposit agreement with a third party concerning the depositing of information from the name database and name-server database. The administrator shall send a copy of the databases to the third party in question every day.

Paragraph 2. The Danish Business Authority and the administrator may ask the third party in question (please see paragraph1) to supply the deposited information from the name database and name-server database. The third party in question shall supply the deposited information without any unnecessary delay.

Paragraph 3. The administrator shall send a copy of the deposit agreement pursuant to paragraph1 to the Danish Business Authority once it has been concluded, and in the event of any amendments thereto.

Equality of treatment

Article 23. The administrator shall ensure that its administration does not involve any unprofessional discrimination.

Promotion of internet development in society

Article 24. The administrator shall cooperate in the promotion of internet development in society.

Chapter 5

Registration and use of domain names

Article 25. Registrants may not register or use domain names in a manner contrary to good domain-name practice.

Paragraph 2. Registrants may not register and maintain domain-name registrations for the sole purpose of selling or leasing them on.

Chapter 6

The Appeals Board

Article 26. The Minister for Business and Growth shall appoint an Appeals Board for internet domains.

Paragraph 2. The Appeals Board shall be independent of the administrator and the Minister in its activities.

Article 27. The Appeals Board shall comprise a chairman and vice-chairman, two members with theoretical and practical expertise in law, and a representative of consumer interests and a representative of commercial interests.

Paragraph 2. The members of the Appeals Board shall be appointed by the Minister for Business and Growth. The chairman and vice-chairman shall be judges. The representatives of consumer and commercial interests shall be appointed following consultation of consumer and commercial organisations.

Paragraph 3. An alternate member shall be appointed by the Minister for Business and Growth for both of the members with legal expertise and for both of the representatives for consumer and commercial interests respectively. The alternate members for the representatives of consumer and commercial interests shall be appointed following consultation of consumer and commercial organisations.

Paragraph 4. All members and alternate members of the Appeals Board shall be appointed for four years at a time, with the opportunity for re-appointment.

Paragraph 5. The chairman or vice-chairman and the two members with legal expertise shall participate in the handling of cases by the Appeals Board. The representatives for consumer and commercial interests shall also participate in the handling of cases relating to the non-commercial use of domain names and cases of principle. The chairman of the Appeals Board shall decide when a case relates to the non-commercial use of domain names or is a case of principle.

Article 28. Disputes between registrants and third parties concerning the registration and use of domain names may be brought before the Appeals Board.

Paragraph 2. Appeals against decisions made by the administrator and any registrars pursuant to Article14(2) may be lodged with the Appeals Board.

Paragraph 3. An appeal may be lodged by anyone with a legal interest in the outcome of the case. The chairman of the Appeal Board shall determine whether cases have a legal interest.

Paragraph 4.

1)To suspend or delete the registration of, or to transfer, a domain name registered or used contrary to Article25, rules laid down pursuant to this Act, the terms or conditions of business laid down pursuant to Article14, or registered or used contrary to other legislation;

2)To uphold, repeal, amend or quash the decision made by the administrator or registrar.

The Appeals Board may decide that [sentence incomplete].

Paragraph 5. The Minister for Business and Growth may lay down rules to the effect that decisions made by the administrator and any registrars under rules laid down pursuant to Article8 may be appealed against to the Appeals Board.

Article 29. The Appeals Board shall lay down regulations for its activities and handling of cases. These regulations shall include rules on:

1)The collection and reimbursement of fees for cases handled by the Appeals Board;

2)Deadlines for the lodging of appeals against a decision made by the administrator;

3)The preparation of an agenda;

4)The Secretariat of the Appeals Board;

5)The publication of the Appeals Board’s decisions in electronic format.

Paragraph 2. The fee for appellants and registrants who are using or intending to use the domain name for non-commercial purposes may not exceed the fee for consumers laid down pursuant to the Consumer Complaints Act.

Article 30. The decisions of the Appeals Board may not be appealed against to any other administrative authority.

Paragraph 2. The decisions of the Appeals Board may be appealed against to the courts no later than eight weeks after the party in question was informed of the decision.

Paragraph 3. An appeal to the courts pursuant to paragraph2 against a decision shall not have suspensory effect. The court may, however, order that the appeal is to have suspensory effect if there are special circumstances in favour of this.

Article 31. The administrator(s) appointed pursuant to Article7 shall bear the costs of establishing and operating the Appeals Board, including the financing of the Secretariat.

Chapter7

Change of administrator

Article 32. The administrator shall ensure that administration can continue as far as possible in the same manner as previously in the event that the administration of an internet domain is transferred to a new administrator.

Paragraph 2. The administrator and any registrars shall transfer all information concerning existing agreements with registrants, including the information in the databases deposited pursuant to Article22, to the new administrator free of charge.

Paragraph 3. If the administrator is declared bankrupt, the existing agreements with domain-name registrants shall be transferred to the new administrator.

Paragraph 4. The new administrator shall enter into the agreements with the registrants concerning the registration of domain names under the internet domains covered by the new administrator’s administration.

Paragraph 5. Entry into agreements pursuant to paragraph4 shall be effective as of the transfer date specified in the licence issued pursuant to Article7, in the decision by the Minister pursuant to Article46(2), or in the rules laid down pursuant to Article4(2)(4). The former administrator and any registrars shall be released from any agreements covered by paragraph4 as of the transfer date.

Article 33. The new administrator’s terms and conditions of business shall enter into force without further notice on the transfer date.

Article 34. When the administrator’s administration ceases, the undertaking shall be liquidated or declared bankrupt. Articles219, 221–224 and 233–235 of the Companies Act shall apply; please see, however, paragraphs2–7.

Paragraph 2. The liquidation of the administrator undertaking may not be completed if any court cases are pending against the undertaking.

Paragraph 3. The Danish Business Authority shall appoint one or more liquidators.

Paragraph 4. The final liquidation accounts (please see Article224 of the Companies Act) shall be submitted to the Danish Business Authority. The accounts shall be made publicly available by the Danish Business Authority.

Paragraph 5. The portion of the administrator undertaking’s equity capital that was invested in the undertaking when it was established shall be assigned to the depositors before the liquidation surplus is calculated.

Paragraph 6. The liquidation surplus shall be distributed by the Minister for Business and Growth for purposes that safeguard internet development in society. The final liquidation accounts shall contain a list specifying who will receive payments in connection with the final liquidation, and also specifying the amount and the specific purpose of such payments.