This was designed to address accidental registrations, but domain tasters have used the practice for illicit purposes.
[3] Domain tasting is lucrative in a number of ways: In January 2008, ICANN proposed several possible solutions, including the elimination of the exemption on transaction costs (US$0.20) during the five-day grace period, which would effectively make the practice of domain tasting not viable.
[4] The ICANN operating plan and budget for Fiscal Year 2009 included a section intended to deal with the problem of domain tasting.
[10] Domains continue to resolve for up to 30 days or more after their registration and redemption grace period have expired.
This process is repeated any number of times with the end result of having the domain registered without having to pay for it.