I just received an email from regarding the Sex.com domain name, which had been scheduled to be auctioned tomorrow morning in New York City. According to the email sent to me, legal action has been filed, and the domain auction will apparently not take place as previously scheduled as a result. The news was released by Mike Mann via Facebook and Twitter (see screenshot below).

Here’s the news release that was sent to me:

Woodland Hills, California – Creditors of Escom, LLC (“Escom”) today filed an involuntary Chapter 11 bankruptcy petition against Escom in the United States Bankruptcy Court for the Central District of California (San Fernando Valley Division).

Petitioners took this action to protect their interests and to maximize value for all other creditors and equity holders. The filing will stay the public auction foreclosure proceedings previously scheduled for March 18, 2010, which petitioners believe would have diminished the value of Escom’s assets.

For more information, please contact:
Lawrence Morrison, Esq.
Meister Seelig & Fein LLP
(212) 655-3582

Domain investor launches March Madness bracket selection challenge with $1,000 on the line.

Brackets.com is giving away $1,000 in cash prizes during the NCAA men’s college basketball tournament, which begins on Thursday, March 18th. You can print out an official bracket and enter to win $250 – with no entry fee.  The person who has the most points will win $250, the second place finisher will win $150, and the third place finisher will win $100.

Entrants who aren’t good at making college basketball picks can still win. Brackets.com is offering $500 to the person who refers the most valid users.  In addition, to help build awareness, Brackets.com is offering prizes for inbound links from different websites. Higher pagerank websites are worth more points, and the leading referrer will win $250, the second place finisher will win $150, and the third place finisher will win $100.

Full contest details are available on Brackets.com. The tournament begins tomorrow, so sign up today.

Brackets.com is a recently launched venture from 260.com, a domain investment company founded by Tony Peppler.