This article by BusinessWeek solely points the finger at web design vendors saying that they hold small business customers to ransom via:

1. Static websites: These websites can’t be updated by customers so every new update is charged.
2. Registering domain names: The article alleges that vendors register the domain name for the customer so later the customer has no control over his/her website. The truth is that in many cases, the customer has no clue on how to register a domain name and giving him/her instructions leads to nowhere so the web designer or developer ends up registering the domain on their behalf. Having said that there are vendors who give the profession a bad name by holding customers to ransom via their domain names.

In order to remedy this a few basic steps can be taken by the customer to avoid being held ransom:

1. Learn to register a domain: It is not as hard as others make it sound. Services like GoDaddy make it super easy. Do ask your web designer or developer on which provider to use but don’t give them the login and password.
2. Insist on a website that can be updated: Since businesses are dynamic, it doesn’t make sense to have a static website. Insist on some form of CMS (Content Management System) like Open Source Joomla or WordPress and learn how to use this simple software. It’ll save you a lot of time, money and frustration.
3. Don’t be cheap: Do not cut costs and go for the cheapest bidder because the cheap ones are usually looking to make money off you in the long run so they’ll indulge in tricks like holding on to your domain or giving you a static website.
4. Ask for recommendations: Ask friends, family or owners of websites you admire about their web design and development experience. Get recommendations.

I think the above measures will help in preventing the pain and frustration of being held at ransom by unscrupulous web vendors but remember not everyone is unethical.