Intentionally provocative question: So you think domain squatting is ethical if it's done occasionally and unsystematically, but not if it's done in an efficient and industrious manner?
Your definition doesn't match how I usually see the term used, so I don't understand how it's the real one. Sure, it's written into law that way, but legal jargon doesn't supersede actual widespread usage except in a legal context. When people say "domain squatting" or "cybersquatting," they mean speculatively buying and holding a domain with no intention of using it, hoping to sell it later when it becomes valuable to someone else. (And no, putting up a generic advertising search page does not qualify as "using" it for the purposes of this definition.)