From 2005 to 2008, GoDaddy had a subsidiary, Standard Tactics, which held domains previously owned by GoDaddy. Shortly after this was reported on, GoDaddy closed down Standard Tactics. However, today, GoDaddy openly practices domain warehousing. Instead of letting domains which GoDaddy considers "Premium domains" expire, GoDaddy takes control of and lists as "Premium Domains" those domains, after the registrant – GoDaddy's customer – allows them to lapse, even before the end of the redemption period. These domains are often listed at GoDaddy auctions for thousands of dollars, as "Premium domains". GoDaddy sells these domains at auction while the original registrant is still entitled to redemption of the domain, with the stipulation that if the original registrant uses their right to redeem the domain and renews it within the redemption period, GoDaddy simply refunds the money paid by the winning bidder.
