I don't think the problem is only the language but the main point which it implicates in the whole ecosystem.

I agree with Owen's point that the solution to those who cannot transfer is a combination of IPv6 and NRPM 4.10. In other RIRs there are, in my view, very successful and fair policies for IPv4 exhaustion that only assigns a maximum of a /22 to newcomers and which would address this issue. Unfortunately this has not been the same here. I also see the same way as Albert that in most cases leases will be required for abusers and those seeking for long term may just transfer which is available and works.

Regarding the analogy the car is a private property, while the IP space by contract is not (Section 7 of the RSA)

Fernando Frediani

On 01/11/2019 14:41, Scott Leibrand wrote:
In my opinion, it makes sense to allow leasing if we require that addresses only be (re-)assigned to organizations who'll be using them on an operational network. I think we're looking for language something like:

*ARIN allocates or assigns number resources to organizations via transfer for the purpose of use on an operational network. Organizations receiving number resources via transfer may reallocate or reassign number resources to organizations that do not receive connectivity from the registrant for use on another operational network.
*

Further arguments inline below.

On Fri, Nov 1, 2019 at 9:19 AM <hostmas...@uneedus.com <mailto:hostmas...@uneedus.com>> wrote:

    I also agree with what has been said, and am also opposed to the
    proposal.

    Some of the justification seems to be in the form of "I cannot
    afford to
    buy a car, so I demand that someone permit me to lease one". 
    Noone is
    going to get into the car leasing business unless they can make
    money.
    Generally the only money making segment is going to be the short
    term,
    since the lessors profit is going to make buying cheaper than
    leasing in
    the longer term.  I think the same applies to IP leasing.

    In the case of IP address leasing, the only major users of short term
    leases are abusers.  The advancers of this proposal talk of longer
    term
    leases to get discussion away from those abusers.  However, most
    of the
    time, someone wanting a long term lease would be better off to
    buy, as
    they can always sell them on again at the end of the need and often
    recover nearly all of their original investment, effectively having a
    short term use of the address space nearly free.


Nope, transferring purchased addresses and then re-transferring them after < 12 months is disallowed by current rules (with the goal of preventing speculation).

To extend your analogy, we currently disallow anyone from selling a car they've owned for less than a year. Some people would really like to rent a car for a shorter duration, so they do so. But the DMV has rules requiring you to make regular use of your current cars before you can buy an additional one, and doesn't consider short-term rental to be a legitimate use, so they won't issue license plates for companies that rent out most of their cars and want to obtain more cars to also rent out.

-Scott

      I think the long term
    IP leasing business model will not work.

    The only valid leasing I can see is an entity that has excess address
    space that they expect to use in the future, and I think that case is
    already addressed in the current rules. They would also be
    unlikely to
    lease to someone that is an abuser, since they will have to live
    with the
    block reputation after the lease ends.

    Albert Erdmann
    Network Administrator
    Paradise On Line Inc.

    On Fri, 1 Nov 2019, Fernando Frediani wrote:

    >
    > Exactly, and the main justification for this proposal to allow
    subleasing  is a total misuse of IP addressing and a try to
    privilege specific companies in
    > detriment to all others.
    >
    > I do not agree that legitimizing leasing as such increases
    accessibility to IPv4 space. Organization already have access to
    it by transfers. By allowing
    > leasing as such prices of both leasing and transfer has the
    potential to rise significantly as organizations will prefer much
    more to sublease than to
    > transfer which is logic to think that will increase pricing in
    general for both and which is only interesting to those who are
    involved in the transaction
    > and not to those who are seeking for IPv4 space and have already
    access via transfers.
    > The point about keeping the correct registry updated is not a
    justification either because this is already a obligation. If
    someone is not doing that or is
    > doing things in a different way is going against the current
    policies. Any organization who signed a contract when they became
    a member accepted to follow
    > these rules and they must bound to them, not the other way round.
    > As said there is not reasons to issue addresses to anyone who
    will not be using them on a operational network other than
    legitimate speculation of IP space.
    >
    > I consider the current text in NRPM as appropriate and therefore
    I oppose this proposal in full.
    >
    > Regards
    > Fernando
    >
    > On 01/11/2019 11:28, Owen DeLong wrote:
    >       I have trouble with both phrases.
    > Even if the resources are to be re-assigned to organizations or
    entities which do not receive connectivity from the original
    registrant, I see no
    > reason to issue addresses to anyone who will not be using them
    on an operational network.
    >
    > Owen
    >
    >
    >       On Oct 31, 2019, at 3:10 PM, Scott Leibrand
    <scottleibr...@gmail.com <mailto:scottleibr...@gmail.com>> wrote:
    >
    > On Thu, Oct 31, 2019 at 3:03 PM Kiran Malancharuvil
    <k...@openiadvisors.com <mailto:k...@openiadvisors.com>> wrote:
    >       Dear All,
    > Prior to tomorrow's community discussion of Draft Policy
    ARIN-2019-18, I wanted to offer some clarification and propose
    some language for
    > consideration to address questions posed on the PPML.
    >
    > Regarding the question over the intended meaning of
    "non-connected networks", I will clarify that I mean this policy
    to refer to
    > re-assignment to organizations and entities which do not receive
    connectivity from the original registrant.
    >
    > As such, I wanted to offer the following alternative edit to 8.5.2:
    >
    >       8.5.2 Operational Use
    >
    > ARIN allocates or assigns number resources to organizations via
    transfer primarily for the purpose of use on an operational network,
    > but may allocate or assign number resources to organizations for
    other purposes, including re-assignment to organizations and
    > entities which do not receive connectivity from the original
    registrant.
    >
    >
    > I believe this is consistent with the intent of 2019-18, and I
    would support this language.
    >
    >
    >
    > Alternatively, and more simply, since the sentence referencing
    "non-connected networks" starts with "including" and is therefore
    not meant
    > to be an exclusive "other purpose", but rather illustrative, we
    can remove it entirely.  That option would read:
    >
    >       8.5.2 Operational Use
    >
    > ARIN allocates or assigns number resources to organizations via
    transfer primarily for the purpose of use on an operational network,
    > but may allocate or assign number resources to organizations for
    other purposes.
    >
    > I believe this is materially different than the text above, in
    that it would give ARIN permission to approve transfers for any reason
    > whatsoever. ARIN in the past has interpreted such ambiguity in
    favor of allowing whatever is not expressly prohibited. As such, I
    don't think
    > this language accomplishes the original intent, and would oppose it.
    >
    > -Scott
    >
    >
    >             *please note that the online version of the policy
    proposal reads "solely primarily" instead of "primarily".  This is a
    >             typo due to originally proposing the language with
    the word "solely" in strike-through text (solely), which did not
    >             translate.
    >
    > Further, I want to clarify, as the original author of the
    proposal, that the key intent of the policy is to acknowledge that
    small and
    > medium-sized businesses have a need for IPv4 space, but often
    cannot afford to buy space in the current market. Legitimizing a
    subleasing
    > market increases accessibility to IPv4 space, and opens the
    market to business solutions to facilitate safe, trusted
    subleasing practices,
    > including keeping the correct registry updated.
    > Thanks all for the continued discussion.
    >
    > Best,
    >
    > Kiran
    > --
    > Kiran Malancharuvil
    > Open-i Advisors
    > p:  415 419 9138
    > http://openiadvisors.com

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