From what it sounds like, unlike domains under other TLDs, when you purchase a domain under .name you always purchase specifically the three-segment domain.
i.e. I own john.doe.name, you own george.joe.name. Once this change goes through, only "doe.name" can be owned, so who gets it?
I own a .name domain that is an initialism for my wife and I, and Namecheap never gave me any problems adding a record for vpn.mwai.name, for example. In fact I never even realized you could register a 3LD, much less that this was the intended(?) behavior.