EU Court Legalizes Selling "Used" Digital Games

kitsuta

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Jan 10, 2011
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EU Court Legalizes Selling "Used" Digital Games

The EU Court has overruled the no-resale clause in software EULAs.

Used games have won quite a legal victory today in the European Union. Gamers' ability to resell their games has been on the decline as more and more games have been either entirely or partially digital. After all, End User License Agreements - the semi-legal pseudo-contracts that most people blindly agree to while installing their latest digital purchase - often expressly forbid the customer from re-selling their digital copy. That changes with today's ruling from the Court of Justice of the European Union, which has stated that buying and selling digital copies of any product is legal regardless of what the EULA for the product states.

While the original provider of the product - say, Ubisoft or EA - has no obligation to support the resale of its digital games, the ruling means that a third party company could swoop in and legally facilitate used digital software sales, at least in the EU. Whether or not such a company will form, or if a current distributor such as Valve or Good Old Games will step up to the task, is currently in the realm of pure speculation.

Regardless of whether used digital games become a reality, the ruling is a major blow to the power of the EULA, which has caused gamers more than a few problems [http://www.escapistmagazine.com/articles/view/issues/issue_305/8856-Self-serving-Small-Print] in the past. Whether it's the Steam user who almost lost his entire library over a PayPal dispute or the EA customer who earned a ban from all his EA-published games over a forum comment, these high-profile incidences have called into question whether or not customers who buy software actually own the copy they purchased or are merely licensing the use of the game. Today's ruling clarified this question in favor of the customer; the Court explained that if a copyright holder both distributes a copy of the product and grants the customer unlimited uses of the product, the transaction "involves a transfer of the right of ownership of the copy." That assertion alone could mean a lot for gamers' digital rights as consumers in the future, particularly if the ruling is mirrored in other countries.

Source: Eurogamer [http://curia.europa.eu/jcms/upload/docs/application/pdf/2012-07/cp120094en.pdf]

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John the Gamer

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May 2, 2010
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I'm not sure how that would work out, but it sounds cool.

I'm wondering though; What will developers pull to prevent this from ruining their business?

DRM couldn't possibly get ANY worse can it? *jinxed it*

Oops. Sorry. :p
 

JediMB

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Oct 25, 2008
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Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
 

Versuvius

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Apr 30, 2008
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JediMB said:
Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
I am okay with this.
 

xedobubble

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Apr 2, 2009
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Another step closing to treating digital property as actual property, that you own after you purchase, with all the rights and permissions you normally associate with anything you actually own. I'm good with this.
 

oktalist

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Feb 16, 2009
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JediMB said:
Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
The difference is that when you've copied a game to someone else as part of a resale, you are obliged to destroy your own copy.
 
Apr 28, 2008
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I love it when EULA's get taken down a peg. Hopefully a similar ruling happens in the US at some point.
 

dontlooknow

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JediMB said:
Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
Surely there'd be a way of making sure any one game can only be used on one console / computer at a time? The only differency would be that the designated 'owner' would be able to change.

Of course this is all just conjecture, any I have a horrible feeling that as yet unknown DRM horrors maybe be lurking behind the corner, but at least in theory, this looks like an overwhelmingly positive step.
 

Albino Boo

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Oh well all they have done is make Californian lawyers richer. As it stands normal EULA terms in the EU ignore the German courts by saying all sales in the EU take place under UK law. They will just say all EULA sales take place under US laws. Net result London law firms get less work and US law firms get more.
 

newdarkcloud

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JediMB said:
Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
This difference is that in this case, your legally obligated to deactivate your own copy.
 

UnderGlass

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Jan 12, 2012
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Man, the EU just- Jeez. You never know what crazy crap these guys are gonna do next. One second it's ACTA the next it's something like this.

I take back ALL the pessimistic stuff I've said in the past over the inevitability of 'games as a service'. I'd never have believed in a million years that even the inconsistent clowns at the EU court would pull this wedgie on international copyright law.

If this holds against the inevitable clusterfuck of opposition then there are interesting times ahead. Bring on the popcorn!
 

Realitycrash

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albino boo said:
Oh well all they have done is make Californian lawyers richer. As it stands normal EULA terms in the EU ignore the German courts by saying all sales in the EU take place under UK law. They will just say all EULA sales take place under US laws. Net result London law firms get less work and US law firms get more.
If you're going to be an Albino Miniature Giant Space Hamster, at least have a picture of one.

Here, take this.
 

JediMB

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newdarkcloud said:
JediMB said:
Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
This difference is that in this case, your legally obligated to deactivate your own copy.
But it's still a matter of passing off a copy of copyright-protected software to another person.

Not to mention that trying to apply the physical "used" label onto digitally distributed/replicated data is absurd.
 

darkszero

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Apr 1, 2010
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Interesting new thing, however this can only be enforced with more online-drm. And we know how people love then.
 

WhiteTigerShiro

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JediMB said:
Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
Wow. So what company paid you to come post here? Either that or I really hope that's some major hyperbole going on there, because.... wow.
 

Wicky_42

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Sep 15, 2008
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Europe, fuck yeah! Coming again, to save the mother fucking day yeah!

Yay for consumer protection!
 

Albino Boo

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Hookah said:
albino boo said:
Oh well all they have done is make Californian lawyers richer. As it stands normal EULA terms in the EU ignore the German courts by saying all sales in the EU take place under UK law. They will just say all EULA sales take place under US laws. Net result London law firms get less work and US law firms get more.
Nope.avi.

Go read your European law and how it works.
Small rather important point its an already well established practice in INTERNATIONAL contractual law and the WTO that parties to contracts can decide what jurisdiction that contract falls under. Normally its the UK law firms that benefit from this, all commercial contracts in Dubai fall under UK law for instance and most large scale construction contracts are often done under UK. After this case it US firms that will reap the rewards for a change. Then again you are the guy that accused a staff writer of being ignorant of history when he mentioned Byzantium in the context of Rome total war..
 

JediMB

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WhiteTigerShiro said:
JediMB said:
Why not just go straight ahead and legalize piracy?

Because when it comes to passing on purely digital content, there really isn't much of a difference.
Wow. So what company paid you to come post here? Either that or I really hope that's some major hyperbole going on there, because.... wow.
Hyperbole meant to highlight that the very concept of "used" data is ludicrous.

Not to mention that unless resale of digital games is handled directly by the digital distributor, you're technically committing copyright infringement when you pass the software on to someone else.
 

Voltano

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Dec 11, 2008
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dontlooknow said:
Surely there'd be a way of making sure any one game can only be used on one console / computer at a time? The only differency would be that the designated 'owner' would be able to change.
Its possible, but this again gets in the territory of DRM by restricting what a user could and could not do with target software--and that is a problem with a lot of costumers. The only way possible to enforce this would be to have an online check with a server to see which account has what game, but that could get expensive (and always-online DRM is one of the worst sins right now).

I imagine a combination of the auction house from "Diablo III" but with the service of "Steam/GoG" might work with digital products. You can only buy the games from their service, but you could then "trade" it back in for actual cash or in-store credit. Or sell the game to your friends through a controlled money transfer system provided by the service (similar to Ebay), so sales doesn't have to be done in possible phishing attempts. I imagine this would be a great business opportunity, but it might be awhile before we see something like this happen.