Internet name registry Nominet UK is to review its procedures for dealing with the problem of cybersquatting.

Cybersquatters register the Internet names of well-known businesses then ask the victims to pay them for the privilege of using the name.

They can 'steal' brand names to register Internet addresses that most people would feel do not belong to them because Internet registries operate on a strict first-come first-served principle.

Nominet, a non-profit organisation that employs 80 staff at Sandford Gate, Littlemore, is asking for public comments on changing its dispute resolution service for Internet names ending in .uk Managing director Willie Black said: "While the principle of first-come first-served is crucial to the success of quick and efficient domain name registration and most registrations are never challenged disputes need to be resolved quickly."

Nominet registers 200,000 names a month all ending in co.uk, ltd.uk, pc.uk, org.uk, net.uk and sch.uk

It intends to keep its free mediation system, which successfully resolves more than a third of cases where a registered Internet name is challenged.

Others are decided by Nominet under its rules and the remainder are referred to an independent legal expert for a decision.

Under the new proposals, if mediation is unsuccessful after 14 days, the challenger must pay between 500 and 1,000 for a referral. Nominet will publish a timetable with the outcome of all decisions. During the public consultation in February and March, the company will canvas views from businesses, consumers and other interested parties. Contributions can be e-mailed to drs-review@nominet.org.uk

When Nominet was set up in Abingdon in August, 1996, it had five employees processing 2,000 names a month. Now it registers more than 200,000.

When the firm began operations there were 1,000 names now there are 2.3 million. To cover its running costs it charges members 5 to register a name. Non-members pay 80.

In 1999, the company moved to the former British Biotech offices in Littlemore.

* If you want to find out whether your chosen domain name is available, search the Nominet web site at www.nominet.org.uk