A man was arrested and police Seized twenty duplicating machines and 5,000 master discs were seized from the man’s premises in Lowestoft, Suffolk UK.
Sources: Gamasutra
Redoctane Sues The Ant Commandos over Peripheral
RedOctane, the developers of the popular Guitar Hero PS2 video game, have sued The Ant Commandos alleging trademark infringement, unfair competition and copyright violation among other claims in connection with the sale of The Ant Commandos’ unlicensed line of guitar-like controllers.
Sources: GameSpot | Gamasutra | Next Generation | Kotaku | ars technica | joystiq
THQ Sued Over Use of Song in SmackDown! Without Authorization
A New York musician, Michael Tumbarello is seeking $12 million in damages for the alleged use of his song, King of the Mat" in THQ's SmackDown! vs. Raw 2006 game. Among other claims, Tumbarello is seeking $3M each for copyright infringement, misappropriation of property and violation of New York civil rights law.
Dale's Comment: The clearing of rights to all intellectual property content is a critical and daunting task for all video game developers. This case shows the importance of this too frequently overlooked issue.
Sources: GameSpot | Yahoo! Games
Video Games Once Again Being Blamed for Montreal Shootings
Upon learning that Montreal’s Dawson College shooter Kimveer Gill played violent video games, the usual stories discussing whether video-games cause violence have been written and circulated. I post links to several articles and video news coverage of the event/issue.
Sources: Joystiq 1 | Joystiq 2 | Joystiq 3 | 
Canoe Live | CTV.ca | Canadian A.M. News Video | Calgary Sun | National Post | Toronto Sun | Game Politics
The Syndicate Gaming Guild Registers a Trademark
The ‘professional’ online gaming clan/guild The Syndicate has registered a trade-mark. Davis & Co. has posted an interesting blog entry on this registration.
Dale’s Comment: As professinal gaming continues further into the mainstream and as more players are make viable careers out of professional gaming, we will no doubt see increasing numbers of such clan/guild professional trademark registrations in the same way that sports teams have used trademarks to protect their valued brands.
Sources: Davis & Co. LLP | The Syndicate’s Explanation
Paltalk Alleges Microsoft’s Xbox Live Infringes its Patents
Text of Complaint
The complaint outlines that Paltalk’s technology covers a number of aspects of online communications, including gaming communications through a group message server to maintain a consistent environment for all players, as well as establishing groups for online game play.
Sources: ars technica | CNet | Seattle PI | CrunchGear | Digital Trends | Inquirer | Kotaku | Paltalk Press Release
Group Prosecuted in China for ‘Arms Dealing’ in Legends of Mir
A former deputy manager of Shanghai-based Shanda Network Development, Wang Yihui, and two accomplices are being prosecuted in China for illegal virtual weapons trade. Mr. Yihui changed the underlying game database of the popular Legend of Mir video game to produce, and replicate, two high powered weapons and provide them to two registered gamer accomplices. They, in turn, sold multiple copies of these weapons for profit. The group was able to make around $250,000 between September 2004 to August 2005 by such sales. Users of these weapons have an unfair advantage that allows them to advance through the game at a much quicker pace. The group are being prosecuted for copyright infringement.
Sources: Bit-tech.net | ars technica | Live Science | Spong | Taipei Times | 7 Days | IEET | War Cry | China Post
Tom Buscaglia: The Game Attorney Interview
In December of 2005 GameCloud interviewed Florida game attorney Tom Buscaglia on a number of game law related topics. I thought the interview was interesting. In particular his answers to questions 3, 4 and 5 about common business and IP problems that game developers run into in the early stages of a game development studio. New game developers often fail to properly secure the intellectual property rights needed/used in a game. They also often fail to deal with the issues needed to sustain a viable business. Creating a great game alone is not sufficient to create a sustainable game development studio.
Source: GameAttorney.com
Square Enix Sued for Return of $3.78M Royalty Payment
Soft-World International has filed a lawsuit against Japan-based Square Enix, alleging that the Japanese company has failed to comply with a distribution agreement and demanded Square Enix pay back a royalty payment of US$3.78 million. Soft-World claims Square Enix failed to provide source codes as contracted.
Sources: DigiTimes | GameIndustry.biz | MMORPG blog
Is an Eve Online Ponzi Scam an Actionable Fraud or Taxable by IRS?
Gamer’s with Jobs has a very interesting article about a recent Eve Online virtual ponzi scheme where ‘Dentara Rast’, the gaming name of an Eve Online player, scammed 700 billion ISK (the in-game currency) from other players. Given that ISK is convertible into real-world currency, making his ‘winnings/earnings’ from the scam roughly equal to $81,667 USD, would the other players have an actionable real-world fraud claim against the player? Are his ‘winnings’ taxable by the IRS? If Dentara Rast does not convert his winnings into cash, are his winnings taxable on the same theory as unrealized capital gains from exercised stock option purchases? Does Eve-Online’s EULA, claiming ownership rights to all in-game property, affect the result given that ISK is bought and sold on e-Bay in contravention to the EULA? Or, does the voluntary participation of other gamers in the free-wheeling, unregulated, world of Eve Online, comprise implicit consent (as with a poker-player’s implicit consent to being lied to by another player that bluffs) to in-game fraud and other shenanigans that would be illegal in the real world? All interesting questions explored in this article.
Sources: Gamers with Jobs | Joystiq | CNet | Gaming Insider | Gamasutra | Game Politics | Google Cache | Dentara Rasts Downloadable Confession
Minnesota Appeals Video Game Law Permanent Injunction
ESA v. Minnesota (March 17, 2008 – 8th Cir Court of Appeals)
Click to hear Oral Arguments on Appeal (Feb 12, 2007)
Text of Appeal (Aug 29, 2006)
Permanent Injunction (July 31, 2006 – District Court)
Text of Complaint (June 6, 2006)
Text of Enjoined Bill (May 22, 2006)
Minnesota Attorney General Mike Hatch is appealing the last month’s permanent injunction against Minnesota’s violent video game bill.
Sources: GamePolitics 1 | GamePolitics 2 | GameDaily.biz | GameSpot | Gamasutra | 1Up.com | Next Generation
GamePolitics Full Coverage Of Minnesota’s Violent Video Game Law
Preliminary Injunction Granted Against Louisiana Violent Game Bill
Text of Preliminary Injunction
Text of Temporary Restraining Order
Text of ESA Complaint
Text of Violent Game Bill (HB 1381)
No surprise here yet again. Jack Thompson’s violent game bill, criminalizing sales of violent video games to minors, designed to be immune from constitutional challenge – isn’t. Here are a few choice excerpts from Federal District Court Judge James Brady’s decision:
“The State’s argument overlooks a line of cases holding that video games are protected free speech…”
“Defendants (Louisiana) contend that the legislative record contains social science evidence demonstrating that violent video games are harmful. It appears that much of the same evidence has been considered by numerous courts and in each case the connection was found to be tenuous and speculative…”
“The evidence that was submitted to the legislature in connection with the bill that became the statute is sparse and could hardly be called in any sense reliable…”
“Absent an injunction the statute will have a chilling effect on both video game developers and retailers.”.
Sources: GamePolitics.com | Gamasutra | GameDaily.biz | ZDNet | ars technica | Next Generation | Joystiq | MSNBC | CBS (AP)
How the PEGI and BBFC Rating Systems Work
Jack Thompson Sues For Early Access to Bully Video Game
Text of Complaint [.doc]
Dale’s Comment: Thompson proves yet again that he will try any stunt to get notoriety. I will be very surprised if this ‘case’ is not immediately dismissed.
Sources: GamePolitics.com | GameSpot | Pro-G | CNet | ars technica | Inquirer | Bit-tech.net
Another Game Piracy Asset Seizure: $474,000
After serving a 12 month jail sentence for PS2 and XBox game related piracy and counterfeiting offenses, 46 year old Merseyside England woman Susan Roach has had $474,000 in assets seized under the Proceeds of Crime Act.
Sources: Gamasutra | Northwest Enquirer | 1Up.com | Computer Active
EA Canada Employee is Awarded Almost $150,000 in Human Rights Case
Text of Decision
A woman, Janie Toivanen, who claimed she was unjustly fired from Electronic Arts Canada after suffering a breakdown was awarded close to $150,000 in a decision by the B.C. Human Rights Tribunal. When presented with a doctor’s letter recommending an indefinite stress leave, EA responded with a letter of dismissal with a lump sum payment offer of $19,744 representing a five-month severance payment. Toivanen was awarded: (i) $69,230 US to cover the lost value of her stock options; (ii) $19,744 severance; (iii) $20,000 for injury to her dignity, feelings and self-respect; (iv) health care costs of $6,000; (v) legal expenses of $3,300; and (vi ) $1,000 in out-of-pocket expenses related to the matter. No word yet if EA will appeal.
Sources: Vancouver Sun
Two U.K. Men Jailed for Game Piracy
Two men were jailed, one for 18 months another for 3 years. They were found with illegally-copied PC and Xbox video games worth an estimated £58,000.
Sources: BBC | Myth Games
ESA Wins its Bid for Cost Award from Illinois Game Bill Fight
Back in March, the Entertainment Software Association and Video Software Dealers Association had petitioned Judge Kennelly in the United States District Court, asking him to order the State of Illinois to pay $644,545 in legal fees, for its unsuccessful effort to enact a law banning the sale of violent video games in the state. On August 11, the judge ordered Illinois to pay a $510,528.64 cost award.
Sources: Gamasutra | IGN | L.A. Times | GameSpy | 1Up.com | GameDaily.biz | GamePolitics.com | Next Generation | CBS (AP)
GamePolitics Full Coverage of Illinois Game Law
GameStop Store Managers File Overtime Lawsuit
Six GameStop managers have filed a collective-action suit against the company because they believe they should be eligible for overtime pay and were classified as exempt.
Sources: GameDaily.biz | Joystiq | War Cry
British Game Pirates Ordered to Repay $1.114M
An ex-couple, Andrew King (53) and Angela Susan Jones (42), were ordered by a Liverpool court to pay $4378K and $835K respectively within six months or serve 21 months/six years in jail. If they fail to pay by the deadline and serve the jail sentence, they will still have to pay the outstanding balance.
Sources: Gamasutra | Myth Games | Hexus | PC Pro
Judge Rules Sports Statistics are Not Intellectual Property
Text of Decision
CBC Distribution was denied a new licensing agreement with MLB’s players’ association. CDC sued them for the right to use the player profiles and statistics. U.S. District Court Judge Mary Ann Medler has concluded that “The names and playing records of major league baseball players as used in CBC’s fantasy games are not copyrightable. Therefore, federal copyright law does not pre-empt the players’ claimed right of publicity.” The MLBPA is appealing.
Sources: Sports Illustrated | L.A. Times | ars technica | New York Times | San Jose Mercury News (AP) | USA Today | BBC | Contra Costa Times | Reuters | Washington Post | PC Magazine | MLB Player’s Association Statement | IPTABlog | William Patry | Cathy Kirkman
Microsoft/Nintendo Sued over Controllers
Text of Complaint
Texas-based Anascape filed suit on Monday in the US District Court for the Eastern District of Texas, alleging that Microsoft and Nintendo infringed on 12 patents. The patents in question deal with a variety of controller technologies, including analog sensors, tactile feedback, and vibration mechanisms.
Dale’s Comment: OK, one wonders why Sony wasn’t sued as well? Perhaps Microsoft was targeted because it settled quickly with Immersion, while Sony “fought the good fight” for much longer. Nintendo was not targeted by Immersion. This article oddly reports an Immersion spokesperson as saying the reason is because Nintendo claimed it invented force feedback. Huh? If Nintendo invented it, how could Immersion hold the patent. If anyone has any more info on why Anascape hasn’t sued Sony, please contact me.
Sources: GameSpot | Joystiq | Gamasutra | engadget | ars technica | GameDaily.biz | Inquirer | Kotaku | Bit-tech.net | Aussie-Nintendo.com
Eidos Mulls Over Possible “Lava Croft” Lawsuit
Eidos, the publisher of the famous Laura Croft/Tomb Raider video games, is contemplating bringing a copyright infringement suit against Singapore publisher Ozura Mobile over its new game “Lava Croft“. The game is an action adventure game featuring an Asian femme-fatal lead that seems quite similar to the famous Eidos character.
Sources: GameIndustry.biz | EuroGamer | Kotaku | Ferrago | Club Skill
Note: See related stories posted on Feb 15, 2006. Well, in truth, they are not related, but you can see stories about the new, err, face of Laura Croft there.
Dale’s Comment: While the press accounts mention Eidos’ considering copyright breach litigation, the use of the name Lava Croft for a game and character title also raises the spectre of trademark infringement.
Rockstar’s use of ‘Pig Pen’ in San Andreas Does Not Infringe Play Pen’s Trademark
In a decision that could be important for game developers, a District judge has ruled that Rockstar’s use of the trade dress and trademark ‘Pig Pen’ over a fictional strip club in GTA San Andreas does not infringe upon a similarly styled ‘Play Pen’ strip club trademark in Los Angeles. The court ruled that Rockstar’s use of “the Play Pen trade dress and mark presents little, if any, chance that consumers will be misled about the content of the game”.
Sources: Gamespot | Gamasutra | 1Up.com | GameIndusry.biz | Eurogamer | Bit-tech.net | Spong | Kotaku | Playfuls | GamePolitics.com
Louisiana Motion Filed To Introduce Minnesota Permanent Injunction Decision
Text of Preliminary Injunction
Text of Temporary Restraining Order
Text of ESA Complaint
Text of Violent Game Bill (HB 1381)
Lawyers for the ESA have introduced a motion to the Louisiana Court to admit the text of Minnesota’s July 31 permanent injunction decision arguing that the decision “adds to the overwhelming precedent in favor of preliminarily enjoining [Louisiana’s law] on First Amendment grounds.
Source: GamePolitics.com