VeriSign on Monday rejected a request from the Internet Corporation for Assigned Names and Numbers (ICANN) to suspend a service that redirects Internet users who have mistyped domain names.

Instead, the company is forming a committee to assess the issues raised by the new service, called Site Finder, and find ways to address technical issues with the service, according to Tom Galvin, a VeriSign spokesman.

ICANN had requested on Friday that VeriSign suspend the controversial "wildcarding" service, which was introduced last week.

The statement from VeriSign came on the same day that another company, Web domain hosting company Go Daddy Software of Scottsdale, Ariz., said that it filed a lawsuit against VeriSign in Federal District Court in Arizona over Site Finder, the second such lawsuit in as many weeks..

Like the earlier suit, which was brought by Popular Enterprises, of Orlando, Fla., Go Daddy's lawsuit claims that VeriSign is misusing its role as the .com and .net domain registry to muscle out competition.

VeriSign is capitalizing on user confusion to direct Web browsers to the sites of VeriSign customers instead of others who might benefit from the mistypes. To counter the Site Finder effect, Web site owners will be forced to register every misspelled version of their domain name to prevent losing customers to paid links provided by Site Finder, Go Daddy said.

In response to mounting criticism over Site Finder, ICANN on Friday released an advisory asking VeriSign to suspend the service pending the outcome of a review from the Security and Stability Advisory Committee and the Internet Architecture Board (IAB).

The IAB report, released on Friday, was critical of the Site Finder service, which it said "interacted poorly" with any program or feature that depended on the traditional "no such name" responses for domains that do not exist.

VeriSign is sensitive to criticisms of Site Finder and is working with the Internet community to resolve technical issues, Galvin said.

However, in a letter to ICANN President and CEO Paul Twomey dated Sept. 21, VeriSign Executive Vice President Russell Lewis said it would be "premature to decide on any course of action until we first have had an opportunity to collect and review the available data."

The IDG News Service is a Network World affiliate.