The .CN domain name of Ucloo, which has been accused of violating users' privacy by disclosing their personal data and for failure to register the website with local Chinese authorities, has been revoked by the Chinese domain name registration organization.

Ucloo has decided to sue to regain the use of its domain name. A representative from Ucloo tells local media that because the company's web server was hosted in the United States, they should not have needed to register with any local agency in China.

Ucloo's .CN domain name was registered by a technology company in Shanghai on behalf of Ucloo. The agreed term was from September 2005 to September 2006.

The extent to which Ucloo shared data with third parties is still unclear and the company has not responded to this accusation. The procedure to regain the domain name might take many months of discussions and legal wranglings before a final decision is made.