It makes option 3 slightly more palatable, but I would still prefer option 2 as 
described below.

Owen

On Feb 22, 2014, at 3:28 PM, Scott Leibrand <[email protected]> wrote:

> There is another restriction already in 8.3, which reads "The source entity 
> will be ineligible to receive any further IPv4 address allocations or 
> assignments from ARIN for a period of 12 months after a transfer approval, or 
> until the exhaustion of ARIN's IPv4 space, whichever occurs first."  In light 
> of that, do you still see a problem with #3?
> 
> -Scott
> 
> 
> On Sat, Feb 22, 2014 at 3:06 PM, Owen DeLong <[email protected]> wrote:
> Several options are being discussed regarding this proposal:
> 
> 1. Use the existing last sentence as is and ask ARIN staff to be particularly 
> watchful for seeming abuse and to bring such back to the community through 
> regular Policy Experience Reports.  There was discussion about this option 
> suggesting that by the time abuse was recognized and reported, and given 
> limited existing free pool stocks and the extended policy development 
> cycle....this option is mute.
> 
> 2. Remove the clause 'and its subsidiaries' and or modify it in such a way as 
> to mitigate the risk of a laundering of addresses through fraudulent 
> transfers, but potentially limit the utility of organizations who may have 
> complex organizations structures in use internationally.
> 
> 3. Take an alternative tack and simply restrict the Inter-RIR re-org transfer 
> of the 'recently issued block' only, allowing other existing blocks to be 
> transferred without restriction by recent block acquisition. This alternative 
> seems to have been expressed and supported in the recent Atlanta Public 
> Policy Consultation.
> 
> It is my opinion that option 3 is perilous in that it allows a large resource 
> holder to sell off their address space out of region while backfilling from 
> the ARIN free pool.
> 
> As such, I am much more comfortable with option 2. One set of language that 
> was suggested which I like is:
> 
> “…subsidiaries having been operational for a minimum of 18 months.”
> 
> While this might not prevent all possible subsidiary-based rinse-repeat abuse 
> scenarios, it would at least prevent the obvious subsidiary created for this 
> purpose scenario and certainly provides better protections than proposal 
> number 3.
> 
> I think option 1 is probably an unfair burden for the ARIN staff and makes 
> policy vague in a way that would be difficult, if not impossible, to reliably 
> enforce and may be even harder to defend in the event of litigation. This is 
> strictly my own opinion as a member of the community and I have not discussed 
> the matter with legal council or even the other members of the AC.
> 
> Owen
> 
> 
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