Suspension/cancellation of registrations for Non-payment of registrar fees (Effective date November 17, 2001) 1.0 Introduction: 1.1 Many registrants pay their registrars for registry services by credit cards. Some registrants are being charged back for failed credit card payments. The low cost of registry services may make it uneconomic for registrars to take all steps necessary to recover payment. 1.2 To ensure that registrants are granted registrations as quickly as possible, Registrars may allow applications to proceed to registration before being assured of payment. Further, to keep registry costs down, Nic AG requires registrars to pay for registrations on a timely basis. 1.3 Nic AG considers a registrant's failure to pay its registrar for registry services an abuse by the registrant of Nic AG's registry services. 1.4 Abuse of Nic AG 's registry services is a breach of the Registrant Agreement between Nic AG and the registrants. 1.5 Although Nic AG's right to take corrective action is clear in the Registrant Agreement, the procedure to be followed in taking that action is left to the operational discretion of Nic AG. 2.0 Operating Procedures: 2.1 Registrar notice of non-payment. A Registrar who has not been paid for Nic AG registry services for a particular registration may request Nic AG to initiate these procedures by email notice to Nic AG at billing@nic.ag. 2.2 The notice must identify the registration and must include or be followed by copies of all relevant communications between the registrar to the registrant advising it of the situation and requesting that the registrant remedy the situation. 2.3 If Nic AG receives the notice within 45 days after the registration is granted and believes that the registrant has failed to pay its registrar for registry services Nic AG may, at its option, initiate procedures to correct the situation. 2.4 At any time after initiating the procedures, Nic AG may cancel them for any reason it considers appropriate . Nic AG will send notice of the cancellation by email to the registrar. 2.5 The type of procedures will follow the general guidelines listed below. (a) Nic AG request to confirm payment. Within 45 days after registration is granted, Nic AG will notify the Registrar by email that, within 30 days of the time and date of the email from Nic AG, the Registrar must pay the Registrar's registration fee for the registration. (b) Confirmation of payment. The Registrar must confirm payment by the Registrant by email to Nic AG immediately on receipt of payment. (c ) Nic AG notice of payment. Nic AG will notify the Registrar by email that the Registrar has confirmed payment. (d ) Registration cancelled. If, within the 30 day period, the Registrar fails to confirm payment, Nic AG will automatically cancel the registration. 2.6 Applicable to all rejections and cancellations. 2.6.1 Address for emails. All emails for the Registrar will be sent to the Registrar administrative contact. 2.6.2 Domain name returned to pool. If the registration is not granted or is cancelled, Nic AG will return the domain name to the available domain name pool. 2.6.3 Refund. If Nic AG or Registrar cancels a registration during the first five (5) days (Add Grace Period) or the original registration, Nic AG will refund the full amount of the applicable registration fee to the registrar if paid. Nic AG will not refund the registration fee if a domain registration is cancelled after the Add Grace Period. 2 Cancellation of Domain Names 18/11/2001