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<title>Registry services - consensus policy- dot net</title>
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<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>I believe that it will be helpful to have
the General Counsel join us for a segment of our call, in order for us to
discuss very pragmatically, what the options are. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>IT is important to understand the
following: [perhaps this is only a partial list and others would want to help
to develop the questions we need answered]:<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in;mso-list:l0 level1 lfo1'><![if !supportLists]><font
size=2 color=navy face=Wingdings><span style='font-size:10.0pt;font-family:
Wingdings;color:navy'><span style='mso-list:Ignore'>Ø<font size=1
face="Times New Roman"><span style='font:7.0pt "Times New Roman"'>
</span></font></span></span></font><![endif]><font size=2 color=navy
face=Arial><span style='font-size:10.0pt;font-family:Arial;color:navy'>What is
the situation in terms of the impact of the negotiated terms in the .net
agreement on other contracts, including com?<o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in;mso-list:l0 level1 lfo1'><![if !supportLists]><font
size=2 color=navy face=Wingdings><span style='font-size:10.0pt;font-family:
Wingdings;color:navy'><span style='mso-list:Ignore'>Ø<font size=1
face="Times New Roman"><span style='font:7.0pt "Times New Roman"'>
</span></font></span></span></font><![endif]><font size=2 color=navy
face=Arial><span style='font-size:10.0pt;font-family:Arial;color:navy'>What is
the role of consensus policy related to the .net agreement in the two areas
where it appears that there is variance: definition of security and stability,
and consensus policy on new registry services: e.g., is there a time lapse when
consensus policy, whatever it is, again is in force?<o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in;mso-list:l0 level1 lfo1'><![if !supportLists]><font
size=2 color=navy face=Wingdings><span style='font-size:10.0pt;font-family:
Wingdings;color:navy'><span style='mso-list:Ignore'>Ø<font size=1
face="Times New Roman"><span style='font:7.0pt "Times New Roman"'>
</span></font></span></span></font><![endif]><font size=2 color=navy
face=Arial><span style='font-size:10.0pt;font-family:Arial;color:navy'>Are
other registries actually disadvantaged by being subject to consensus
policy in a way that is “disparate” as suggested in Mr. Neuman’s
email.<o:p></o:p></span></font></p>
<p class=MsoNormal style='margin-left:.5in;text-indent:-.25in;mso-list:l0 level1 lfo1'><![if !supportLists]><font
size=2 color=navy face=Wingdings><span style='font-size:10.0pt;font-family:
Wingdings;color:navy'><span style='mso-list:Ignore'>Ø<font size=1
face="Times New Roman"><span style='font:7.0pt "Times New Roman"'>
</span></font></span></span></font><![endif]><font size=2 color=navy
face=Arial><span style='font-size:10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'> I do appreciate receiving it, and
thank Alick for forwarding it to Council. The subject has been much on my mind
since <st1:country-region w:st="on"><st1:place w:st="on">Luxembourg</st1:place></st1:country-region>.
And I’ve spent a good deal of time on this item, including reading
contracts, and looking for information in different agreements. I may say more
about the support that is needed for Council in the area of legal advice on our
call. However, since we have discussed this point previously with senior
management, perhaps it is only necessary to gently mention it. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>I will say only that I feel a sense of
deep disappointment about where we are in this situation, after being quite
impressed by the hard work of the Council/Chair on this rather arduous, in
depth, and detailed amount of work in developing a balanced process. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>These are NOT circumstances where I
expect, ever again, to find Council. I expect better. And assume the “collective
we” will strive for better.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>However, having said that, I want to fully
understand Council’s options, and the implications of where we are. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Creating balanced policy is our job. And
understanding the implications and parameters of our options is as well.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>That takes supportive activity from the
staff. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Thus, we need the General Counsel, or the
deputy on the call to provide clarifications. My initial questions are above.
The clearer we can be on our questions, the quicker we can get through
the background and legal clarification we need, and the quicker we can get to
the discussion of the policy and our vote. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
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<div class=MsoNormal align=center style='text-align:center'><font size=3
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<p class=MsoNormal><b><font size=2 face=Tahoma><span style='font-size:10.0pt;
font-family:Tahoma;font-weight:bold'>From:</span></font></b><font size=2
face=Tahoma><span style='font-size:10.0pt;font-family:Tahoma'>
owner-council@gnso.icann.org [mailto:owner-council@gnso.icann.org] <b><span
style='font-weight:bold'>On Behalf Of </span></b>Philip Sheppard<br>
<b><span style='font-weight:bold'>Sent:</span></b> Wednesday, July 27, 2005
5:11 AM<br>
<b><span style='font-weight:bold'>To:</span></b> council@gnso.icann.org<br>
<b><span style='font-weight:bold'>Subject:</span></b> [council] Registry
services - consensus policy- dot net</span></font><o:p></o:p></p>
</div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
<p><b><font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;font-weight:bold'>Background</span></font></b> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>Alick posted a request by Neustar for Council not to proceed with a
consensus policy on registry services.</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>The argument was that the new .net agreement is different and that would
lead to unequal treatment. </span></font><br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>I am sympathetic to the argument but not to the proposed course of
action. Let me explain why.</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'> </span></font> <br>
<b><font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial;font-weight:bold'>Role of Council</span></font></b> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>It is the role of Council to make consensus policy and that policy
should be binding on all parties.</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>We should continue to do this.</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'> </span></font> <br>
<b><font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial;font-weight:bold'>Dot net agreement</span></font></b> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>The dot net agreement has limitations with respect to the application of
consensus policy to Registry Services (see below for clip from the .net
agreement), and it establishes its own unique procedure for changes to Registry
Services.</span></font><o:p></o:p></p>
<p><font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>This seems to be a fundamental corruption of the principle upon which
consensus policy rests.</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>It seems to be a violation of the raison d'etre of the GNSO Council
itself.</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>I believe this is the issue to discuss.</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'> </span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>Philip</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>---------------------------------------------------</span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'>This seems to be the relevant section from the new .net agreement:</span></font>
<br>
<font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>Section 3.1 b.(iv)</span></font> <br>
<font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>In addition to the other limitations on Consensus
Policies, they shall not:</span></font> <br>
<font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(A) prescribe or limit the price of Registry
Services;</span></font><span lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(B) modify the standards for the consideration of
proposed Registry Services, including the definitions of Security and Stability</span></font><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(set forth below) and the standards applied by
ICANN;</span></font><span lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(C) for three years following the Effective Date,
modify the procedure for the consideration of proposed Registry Services;</span></font><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(D) modify the terms or conditions for the
renewal or termination of this Agreement;</span></font><span lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(E) modify ICANN’s obligations to Registry
Operator under Section 3.2 (a), (b), and (c);</span></font><span lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(F) modify the limitations on Consensus Policies
or Temporary Specifications or Policies;</span></font><span lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(G) modify the definition of Registry Services;</span></font><span
lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(H) modify the terms of Sections 7.2 and 7.3,
below; and</span></font><span lang=EN-GB> </span><font size=2 face=Arial><span
lang=EN-GB style='font-size:10.0pt;font-family:Arial'>{relates to pricing}</span></font><span
lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>(I) alter services that have been implemented
pursuant to Section 3.1(d) of this Agreement (unless justified by compelling
and</span></font><o:p></o:p></p>
<p><font size=2 color=blue face=Arial><span lang=EN-GB style='font-size:10.0pt;
font-family:Arial;color:blue'>just cause based on Security and Stability).</span></font><span
lang=EN-GB> </span><o:p></o:p></p>
<p><font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'> </span></font> <br>
<font size=2 face=Arial><span lang=EN-GB style='font-size:10.0pt;font-family:
Arial'> </span></font><span lang=EN-GB> </span><o:p></o:p></p>
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