NEW DELHI, India: GoDaddy has challenged an Indian court ruling aimed at curbing fake websites impersonating well-known brands, warning the measures could undermine online privacy, disrupt legitimate businesses and have far-reaching consequences for internet governance.

India has been stepping up efforts to combat cyber fraud as smartphone and internet use surges. Government data shows authorities received 2.4 million complaints of alleged cyber fraud worth US$2.4 billion last year.

The dispute stems from lawsuits filed since 2019 by companies including Amazon and McDonald's against fraudulent websites using their names. In December, a New Delhi court ordered more than 1,100 such websites to be blocked.

The court also introduced broader measures requiring domain registrars to stop offering free privacy protection by default, disclose domain owners' details within 72 hours to anyone with a "legitimate interest," and prevent the registration of website addresses that are variations of protected brand names.

According to non-public court filings reviewed by Reuters, U.S.-based GoDaddy has appealed the ruling before a larger bench of the Delhi High Court, arguing the directives could expose legitimate website owners to privacy and security risks.

GoDaddy said removing privacy-by-default features would publicly disclose the names, addresses, phone numbers and email addresses of legitimate domain owners, leaving them vulnerable to stalking, harassment and other threats.

The company also argued that, because domain names operate globally, the order could force it to regulate website registrations worldwide. It said the requirement to determine who has a "legitimate interest" in requesting registration details within 72 hours would be difficult to implement.

In one appeal document, GoDaddy described the directives as "commercially destabilizing" and warned they could force domain registration companies to "exit India."

GoDaddy, which manages about 80 million domain names and serves more than 20 million customers worldwide, has annual revenue of about $5 billion. Company executives have previously described India as its largest emerging market. Rivals Namecheap and Hosting Concepts have also challenged the ruling.

The court said fake websites had become "engines for large-scale deception" and ruled that privacy protection should become a paid service because it acts "as a cloak" hiding rogue operators.

GoDaddy argues the ruling conflicts with India's data protection law and the European Union's GDPR, both of which promote a "privacy by default" approach.

The company also contends that banning domain names resembling trademarks could create monopolies over common words. It argued, for example, that restricting the use of "McDonald" would effectively grant exclusive rights over a surname with historical and linguistic significance.

The Delhi High Court is scheduled to hear the appeals on July 16.