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</o:shapelayout></xml><![endif]--></head><body lang=EN-US link=blue vlink=purple><div class=WordSection1><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'>John,<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'> Thank you for your response.<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'> Regards,<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'> Enrique<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in'><p class=MsoNormal><b><span style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'>From:</span></b><span style='font-size:10.0pt;font-family:"Tahoma","sans-serif"'> John Curran [mailto:jcurran@arin.net] <br><b>Sent:</b> Wednesday, August 22, 2012 9:19 PM<br><b>To:</b> Enrique Garcia<br><b>Cc:</b> arin-ppml@arin.net<br><b>Subject:</b> Leasing (was: Re: [arin-ppml] IPv4 Update)<o:p></o:p></span></p></div></div><p class=MsoNormal><o:p> </o:p></p><div><div><p class=MsoNormal>On Aug 22, 2012, at 9:58 AM, Enrique Garcia <<a href="mailto:Enrique.Garcia@sidera.net">Enrique.Garcia@sidera.net</a>> wrote:<o:p></o:p></p></div><p class=MsoNormal><br><br><o:p></o:p></p><div><div><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'> I received an e-mail this morning from a company claiming that IP Space can now be leased.</span><o:p></o:p></p></div><div><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'> </span><o:p></o:p></p></div><div><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri","sans-serif";color:#1F497D'>Was just wondering if this was legal.</span><o:p></o:p></p></div></div></div><div><p class=MsoNormal><o:p> </o:p></p></div><p class=MsoNormal>Enrique - <o:p></o:p></p><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal> If by "legal", you mean "in compliance with the community number resource<o:p></o:p></p></div><div><p class=MsoNormal> management policy in this region", then perhaps I can provide some insight. <o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal> Internet service providers routinely provide IP address assignments as part <o:p></o:p></p></div><div><p class=MsoNormal> of their Internet services bundle, and those assignments are not permanent<o:p></o:p></p></div><div><p class=MsoNormal> in nature but only for the duration of the service agreement. Many would<o:p></o:p></p></div><div><p class=MsoNormal> consider such assignments to be "leased IP address space". <o:p></o:p></p></div><div><p class=MsoNormal> <o:p></o:p></p></div><div><p class=MsoNormal> Organizations receiving IP address space (as the recipient of a transfer or<o:p></o:p></p></div><div><p class=MsoNormal> via allocations of IP address space from the free pool) as an ISP must meet <o:p></o:p></p></div><div><p class=MsoNormal> the LIR definition (per NRPM 2.4) and that means "primarily assigning address <o:p></o:p></p></div><div><p class=MsoNormal> space to the users of the network services that it provides." End-users <o:p></o:p></p></div><div><p class=MsoNormal> receiving transfers or assignments of IP address space from the free pool <o:p></o:p></p></div><div><p class=MsoNormal> must meet the End-user definition (per NRPM 2.6) during their request which <o:p></o:p></p></div><div><p class=MsoNormal> requires they be receiving space to be used "exclusively for use in its <o:p></o:p></p></div><div><p class=MsoNormal> operational networks."<o:p></o:p></p></div><div><p class=MsoNormal> <o:p></o:p></p></div><div><p class=MsoNormal> Ergo, the "leasing" of recently received space could reasonably raise<o:p></o:p></p></div><div><p class=MsoNormal> concern about whether the request to ARIN for that space was made with<o:p></o:p></p></div><div><p class=MsoNormal> full sincerity, and organizations would be advised not to request to receive<o:p></o:p></p></div><div><p class=MsoNormal> IP address from the free pool or as the recipient of a transfer if their intent<o:p></o:p></p></div><div><p class=MsoNormal> is to "lease" the space rather then use it for their network service customers <o:p></o:p></p></div><div><p class=MsoNormal> (if an ISP) or use it for their own network (if they applied as an end-user.) <o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal> There has been no policy development specifically regarding leasing as an<o:p></o:p></p></div><div><p class=MsoNormal> appropriate/inappropriate use of held IP address space, so ARIN does not <o:p></o:p></p></div><div><p class=MsoNormal> have a position either way (aside from the case above of insuring that <o:p></o:p></p></div><div><p class=MsoNormal> requests to receive additional address space are made in good faith based<o:p></o:p></p></div><div><p class=MsoNormal> on existing definitions of usage.) Obviously, individual Internet service <o:p></o:p></p></div><div><p class=MsoNormal> providers may have their own views on handling of "leased" address space,<o:p></o:p></p></div><div><p class=MsoNormal> depending on any number of factors including registrant and block size.<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal> I hope this helps somewhat in understanding the situation, recognizing <o:p></o:p></p></div><div><p class=MsoNormal> that it is not likely to be as complete an answer as you would have liked.<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>Thanks!<o:p></o:p></p></div><div><p class=MsoNormal>/John<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>John Curran<o:p></o:p></p></div><div><p class=MsoNormal>President and CEO<o:p></o:p></p></div><div><p class=MsoNormal>ARIN<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div></div></body></html>