This depends heavily on jurisdiction. I know for a fact that german courts don't give a rat's ass about what the UDRP says if both complainer and complainee reside (or are business entities) in Germany and the domain name in question is the registered name of a city, town or village ("Berlin", "Stuttgart"). Which TLD is in question doesn't matter. The municipal authority associated with the geographic name will usually be awarded the right to the name. I think Germany is not the only country where such precendents exist.

According to this article on Elliot's blog, trademark protection does not apply to Geo Domains for UDRP.